Plz fix… A sharp-eyed Boeing employee deserves a bonus after detecting a “gnarly” but hard-to-spot flaw in nearly three-quarters of stored 737 Max jets. Boeing said the defect isn’t safety-related, but it is putting deliveries of the popular model on hold just as travel heats up.
Jet not set: Boeing will deliver fewer planes than planned for the next several months as it addresses the problem.
Wing it: The company still expects to meet its annual targets by boosting 737 Max production later this year. Southwest was set to receive 90 Max jets this year, but now expects 70.
FYI: In its quarterly earnings this week, Boeing said sales were up 28%, while its loss narrowed as aircraft demand was hot.
Bad timing… Everyone’s dreaming of a “White Lotus” summer (minus the drama). The TSA’s expecting a record-breaking year for flights, and some analysts say this could be the busiest spring ever. Meanwhile, airlines are seeing record summer bookings. Delta's summer flights were 75% reserved as of mid-April, and United Airlines added 24 global routes to meet eat-pray-lovers’ demand. Hilton unpacked strong #s this week as hotel bookings quadrupled worldwide.
A perfect storm could rain on travelers… Booming demand + aircraft delays + staffing shortages + airport congestion = summertime blues. Southwest plans to cut hiring as a result of Boeing’s delivery delays, even as the industry faces a labor shortage that has NYC airports so short-staffed that airlines are cutting scores of flights. American Airlines’ CEO said this about aircraft-delivery delays: “Guess what? We’re going out and having to cancel flights.”