MIAMI – Boeing is holding conversations with Alaska Airlines (AS) about selling its 737 MAX jets to the Seattle-based airline, according to a Reuters report and quoted by The Hill on October 8.
As stated in the news story, “three people familiar with the discussions between Boeing and Alaska Airlines told Reuters that while it was not clear how many jets would be sold, the deal is expected to include significant discounts following the crashes and lowered demand as fewer people are traveling amid the coronavirus pandemic.”
The airline ordered 37 jets before the grounding in March 2019, and “an additional deal would aid the company amid a financial crisis,” the report said. Representatives from both Boeing and AS declined to comment on the Reuters report.
Boeing has been suffering from massive losses since the beginning of the 737 MAX crisis. “The company announced in May that it would lay off 6,770 workers across its U.S. facilities and had “several thousand” more cuts planned in the coming months,” The Hill article stated.
This past August, Boeing received its first 737 MAX order since the grounding, with aircraft destined to Polish charter airline Enter Air (E4). During that same month, as per the article, “the US Federal Aviation Administration (FAA) issued a 36-page report on required changes and training needed before the 737 MAX jets can begin flying again.”
Additionally, a Congressional report published last month found out that “there were ‘repeated and serious failures by both’ throughout ‘the 737 Max’s design process.'” The Reuters report also told that Boeing “plans to resume delivery of the jets to airlines in the US by the end of the calendar year.”
Boeing was surpassed by Airbus in 2019 as the largest aerospace company in the world.