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737-MAX-a Disaster given Boeing billions of loss

The crisis of the crash of flight prohibited documented series, the 737 MAX has brought Boeing deeply into the red. In the second quarter, a record loss was.

The worldwide prohibition for the ill machine, the 737 MAX, after two crashes with many deaths has led to the aircraft manufacturer Boeing to a billion loss. In the second quarter, Boeing booked because of a provision of just under five billion dollars to 2.9 billion dollars net loss. “This is a critical Moment for Boeing,” said Boeing CEO Dennis Muilenburg on Wednesday in Chicago. The company believe that its values of safety, quality and integrity are high, while it is working on the 737 MAX back in service.

Worldwide, the most important new model from Boeing is no longer allowed to fly in March, once in Ethiopia and Indonesia were crashed new machines of this type shortly after the Start. All 346 people were on Board the aircraft lost their lives.

Boeing is working on an Update as the cause of the accident is suspected safety software. With the provision of the US group’s compensation for its customers and the cost of production to cover losses. Among the major customers of the 737 MAX, Ryanair and TUI in Europe. For the compensation of relatives of the victims Boeing provides for $ 50 million.

The sales of the aircraft manufacturers fell from April to June by 35 percent compared to the prior-year quarter to 15.75 billion dollars. The order books are well filled, with more than 5,500 planes worth 390 billion dollars, informed Boeing more.

Only put off: Boeing can currently CEO Dennis Muilenburg

No views of the financial year

A new Outlook for the year, the company was not, because still is not sure when the 737 again allowed to withdraw. The U.S. customers of Boeing expect by the end of the year. Ryanair is to take the first machines of this series in the spring, in reception, because in addition to the US authority, the FAA, the European aviation oversight EASA certification in check.

The crisis of the 737 is not the only Problem Boeing. The new widebody aircraft 777 may be a delay in the coming year, delivered because of problems with the engines of General Electric. Among the best-sellers of which Lufthansa is a. In addition, Boeing also postponed the start of construction of new medium-range jets NMA. This is not only an important competitive product for Airbus, but also a possible replacement for the 737, it was said in industry circles.

Investors will remain (still) left

So far, the damage balance of the 737 MAX-a Disaster is, according to the financial service Bloomberg to 8.3 billion dollars and the end is likely not going to be achieved. Recently the credit rating Agency had warned Fitch from further distress. Boeing is suspected, the 737 Max, due to the tough Competition rushed to the market and to have the safety neglected. The group denies this, but has given a breakdown. Initial investigation reports indicated a faulty control software as the cause of a crash.

The US airlines with these Jets – Southwest, American and United Airlines, had recently announced to withdraw the flyer until the beginning of November from the flight plans. That is why hundreds of flights, and the Airlines account for a daily additional cost. Boeing also high compensation payments threaten it.

In spite of everything, investors remain relatively relaxed. Boeing’s shares have risen since the beginning of the year to just under 16 percent. This is significantly worse than the industry average, but is still a strong Plus. Also, the high loss for the quarter resulted in pre-market discounts are only for slight Course. Ultimately, the Numbers were significantly better than expected. Analysts have already pointed out, airlines are unlikely to come to Boeing over, as there is only Airbus as an Alternative and both are fully booked for years to come.


hb/dk (rtr, dpa)

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