Shares of Boeing slid after the jet maker warned that a manufacturing hangup could snarl production and delivery of 737 Max planes.
Shares of Boeing Co. slid after hours on Thursday after the jet maker warned that a manufacturing hangup could snarl the production and delivery of “a significant number” of its 737 Max planes.A Boeing spokesperson, in a statement, said that “a supplier” had notified the company of a “non-standard... Shares of Boeing Co. slid after hours on Thursday after the jet maker warned that a manufacturing hangup could snarl the production and delivery of “a significant number” of its 737 Max planes.
“This is not an immediate safety of flight issue and the in-service fleet can continue operating safely,” the spokesperson said. “However, the issue will likely affect a significant number of undelivered 737 Max airplanes, both in production and in storage.” The supplier was Spirit AeroSystems Holdings Inc., CNBC reported. Spirit SPR makes the Max fuselage and other components. Spirit did not immediately respond to a request for comment. Shares of Spirit AeroSystems were down 7.5% after hours on Thursday.
“We have notified the FAA of the issue and are working to conduct inspections and replace the non-conforming fittings where necessary,” the Boeing spokesperson said. “We expect lower near-term 737 Max deliveries while this required work is completed. We regret the impact that this issue will have on affected customers and are in contact with them concerning their delivery schedule.”
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