boeing reports its worst-ever financial losses as 737 max crisis continues
Headquartered in the aerospace giant, it is reported that its largest-
Quarterly losses on Wednesday.
The company lost $3. 38 billion ($5. 04 billion)
The price for the quarter was $15.
7 billion of the revenue, making its stock fell nearly 3% in the early afternoon.
Boeing faces a reputation crisis because it used-
The promising 737 Max commercial jet has been grounded for more than four months.
Executives say the company may have to temporarily shut down its 737 maximum output, an extraordinary step that will have a ripple effect on the global aerospace industry.
The company has slowed down production.
\"This is a defining moment for Boeing, and as a company, we are committed to getting better and stronger through this challenging moment,\" said chief executive Dennis muienburg.
The company is working to address a range of technical issues related to aircraft flight control systems, and executives initially estimate that the aircraft will be considered flying
The fourth quarter of 2019 is worth mentioning.
But the regulator did not provide an exact timetable for when the aircraft would be allowed to fly again, and Boeing executives stressed that their estimates could fall further, depending on the regulator\'s decision.
Airlines believe the crisis will continue until late fall, with hundreds of flights canceled every day.
For Boeing, the financial impact is growing.
Executives said Wednesday they could not estimate how much the crisis would affect the company\'s earnings this year.
The company released a $5 report last week.
It costs 6 billion to compensate 737 maximum customers.
The company faces lawsuits against families of 346 people on the plane killed in Indonesia and Ethiopia, as well as ongoing congressional scrutiny.
737 Max is the best latest version for Boeing
Commercial jets for sale
It is considered a more reliable version
Trusted aircraft, complete engine updates to make the aircraft more fuel efficientefficient.
However, the company added a new flight
The control system, known as the motor characteristic enhancement system, is referred to as MCAS, and is designed to make the aircraft as similar as the previous model, with minimal new training for the pilot.
It was later found that in some rare but dangerous cases, the system could push down the aircraft\'s nose and go beyond the manual control of the pilot.
According to the survey report and Boeing executives, these problems played a role in the 737 Max 8 crash in Indonesia in October 2018, which killed 189 people.
Then, in the early days, another Max 8 crashed in a similar situation, killing 157 people.
The FAA initially authorized a series of fixes \"no later than April\", but the schedule slipped as Boeing and the FAA found more problems with aircraft flight control software.
Richard Aboulafia, aerospace analyst at Teal Group, said that given the huge uncertainty, Boeing did a \"decent\" job of managing the financial impact of the biggest crisis \".
\"Given how much is beyond their control, it is not clear how much guidance they can provide,\" said Aboulafia . \". \"[Boeing\'s]
They will say one thing and then break the news record elsewhere. . .
From the airline or the FAA.