Boeing Commercial Airplanes CEO Said Boeing Will Add Additional Quality Inspections For 737 Max After Alaska Airlines Incident; Boeing Teams Will Check Work By Spirit Aerosystems Before Max 9 Door Plugs Are Shipped To Boeing
Portfolio Pulse from Charles Gross
Boeing Commercial Airplanes CEO announced that Boeing will implement extra quality inspections for the 737 Max following an incident with an Alaska Airlines aircraft. The new inspections will focus on work done by Spirit Aerosystems, particularly before Max 9 door plugs are dispatched to Boeing.

January 15, 2024 | 1:26 pm
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Alaska Airlines incident with the 737 Max has prompted Boeing to enhance quality inspections, which may affect Alaska Airlines' operations if further issues are found.
The incident with an Alaska Airlines aircraft has indirectly led to increased scrutiny on the 737 Max planes. If the additional inspections reveal more issues, it could lead to operational disruptions or negative publicity for Alaska Airlines, potentially affecting the stock price negatively in the short term.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 70
NEGATIVE IMPACT
Spirit Aerosystems will face additional inspections from Boeing on the Max 9 door plugs, which may impact production timelines and costs for SPR.
As the supplier of the Max 9 door plugs, Spirit Aerosystems will be directly affected by Boeing's decision to implement additional quality inspections. This could lead to increased costs and potential delays in production for Spirit Aerosystems, which might have a negative impact on the company's stock price in the short term.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 80
NEUTRAL IMPACT
Boeing will add extra quality inspections for its 737 Max planes, which could impact production efficiency and costs, but may also improve safety and customer trust.
The additional inspections are likely to increase production costs and could potentially delay deliveries, which might negatively affect Boeing's short-term financial performance. However, the move is also likely to be seen as a positive step towards ensuring the safety and reliability of the 737 Max, which could help rebuild trust and potentially support the stock price.
CONFIDENCE 85
IMPORTANCE 80
RELEVANCE 90