On Friday, January 5, the news about the accident with the Boeing 737 Max 9 aircraft of the Alaska Airlines carrier flew around the headlines of the world media. The plane took off from the American city of Portland, reached an altitude of about 5 km, and 20 minutes after takeoff was forced to return urgently due to the fact that the door plug came off and the cabin began to depressurize. By a lucky coincidence, none of the passengers were seriously injured, only their personal belongings flew out of the hole in the hull. The US Federal Aviation Administration has suspended all flights with the Boeing 737 Max 9 and launched an investigation into the incident, as well as checking the serviceability of other aircraft of this model.
Inspections have revealed the first problems with Boeing aircraft
After the accident with the Boeing 737 Max 9, Boeing issued instructions to airlines on what checks are needed to prevent similar disasters in the future.
Airlines have had to cancel hundreds of flights as they will have to inspect almost 200 737 Max 9 series aircraft. According to Cirium, an aviation data provider, Alaska Airlines used 65 Max 9 aircraft, or about 20% of its fleet, and another American airline, United Airlines, used 79 aircraft, more than any other in the world. This is about 8% of its fleet.
Officials, led by the American National Transportation Safety Board, are paying special attention to installing and checking the plugs. Experts need to find out how this door plug was installed, and who installed it.
Initially, the door was installed by Spirit AeroSystems, which manufactures bodies for the 737 Max and other aircraft. Investigators are investigating whether work has been carried out on the door since the aircraft was put into operation in November 2023. The Commission will also check the remaining intact plug on the other side of the aircraft, interview the flight crew and passengers, examine maintenance records and repair logs, and conduct a laboratory analysis of aircraft parts.
The first results of the inspections were not long in coming. United Airlines and Alaska Airlines said they found loose parts on some of their Boeing 737 Max 9 aircraft. However, before the investigation is completed, you should not wait for official comments on what led to the accident and who is to blame for it.
This is not the first disaster with the 737 Max series aircraft
The incident again drew negative attention to Boeing. At this time, CEO Dave Calhoun is trying to reassure investors that Boeing's main problems are over. The fact is that the company has only restored its reputation after two fatal crashes with 737 Max series aircraft that occurred in 2018 and 2019 and claimed the lives of 346 people.
Large-scale bans by aviation authorities on the use of certain models of aircraft are rare, but now the US Federal Aviation Administration is carefully studying Boeing and its in-demand 737 Max series. Experts note that older planes usually face similar problems, but the Boeing 737 Max 9 was only a few months old. Now the main task is to find out whether the problem lies in the production of the series or in its improper operation by carriers. Nevertheless, as CNN writes, citing the words of Russ Mould, investment director of AJ Bel, airlines will now think about whether they need potentially problematic 737 Max 9 series aircraft. This situation is undoubtedly putting pressure on Boeing and its shares.
Boeing shares are falling, but analysts rate them positively
On Monday, January 8, Boeing shares fell by 8% after the news about the ban on flights of Boeing 737 Max 9 aircraft. This was the worst one-day drop in Boeing shares in three years. Shares of Spirit AeroSystems, which manufactures the fuselage for Boeing 737 Max aircraft, also collapsed by 13%. Shares of Boeing's European competitor, Airbus, by contrast, rose 2.5%. However, many experts agree that the investor reaction to Boeing's problems was quite moderate and did not lead to massive sales. After all, the industry giant is still seen as promising in the eyes of the majority. So, during the year, Boeing shares managed to grow by 20%.
Evgeny Kogan, an investment banker and professor at the Higher School of Economics, notes that the Max 9 accounts for only 2% of Boeing's total aircraft orders, so losses should not be catastrophic. But only a scandal will hit the reputation of the company.
"This accident does not alter our positive view on Boeing," Ken Herbert, an analyst at RBC Capital Markets, wrote in a note to clients.
"Our view remains that Boeing’s key task over the next two years is to ramp production and deliveries of 737s and 787s," said JPMorgan analyst Seth Seifman.
