Airlines on Thursday urged global regulators to coordinate on measures needed to...
PARIS - Airlines on Thursday urged global regulators to coordinate on measures needed to bring the grounded 737 MAX jetliner back into service, as Boeing grappled with a new technical glitch and investors sold shares of suppliers over fears of more disruption.
The 737 MAX was grounded worldwide in March in the wake of two accidents in five months, which prompted Boeing to redesign part of an automated software system suspected of playing a role in the crashes that also involved faulty sensor data. It also followed news on Wednesday, first reported by Reuters, that the U.S. Federal Aviation Administration had identified a new risk that Boeing must address on the 737 MAX before it can start flying again.
Downgrading its rating on Senior to “equal weight”, Barclays said it expected a widespread “supplier reset” following the grounding of the 737 MAX, with the impact on 2020 results not yet factored into analysts’ consensus forecasts. Travel firm TUI said on Thursday it did not expect an additional financial impact after the FAA’s latest warning on the 737 MAX. TUI has already taken a 300 million euro hit to remove the jet from its summer schedules.China was first to ground the MAX after a March 10 crash in Ethiopia within five months of a similar crash off Indonesia, killing a combined 346 people.
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