United Airlines projects 1st-quarter loss from Boeing 737 Max 9 grounding
United Airlines says its planes will remain grounded through at least Jan. 27
Boeing's MAX 9 problem is a 'frightening situation': Jeff Sica
Circle Squared Alternative Investments founder Jeff Sica discusses whether Boeing stock is a buy on 'Varney & Co.'
United Airlines expects to face a loss in its first quarter due to the Federal Aviation Administration (FAA) temporary grounding Boeing 737 Max 9 jets earlier this month, the carrier said on Monday.
The Chicago-based carrier said in a regulatory filing that it expects all 79 of its 737 Max 9 planes to remain grounded through the end of January, resulting in an adjusted loss of between 35 cents and 85 cents per share.
As of now, United has told FOX Business that the Max 9 has been removed from its schedule through Jan. 27.
United, one of two U.S. carriers that fly this model, was forced to cancel flights after the FAA issued a temporary grounding for all Max 9s with door plugs until the agency confirms that they are safe for service.
ALASKA AIRLINES, BOEING SUED BY PASSENGERS ON PLANE WHEN DOOR FLEW OFF MID-FLIGHT
In total, 171 Max 9 planes were grounded after a 737 Max 9 operated by Alaska Airlines lost a door plug panel mid-flight earlier this month.
A United Airlines Boeing 737 Max 9 airplane takes off from Los Angeles International Airport as seen from El Segundo, California, on Sept. 11, 2023. (PATRICK T. FALLON/AFP via Getty Images / Getty Images)
Both United and Alaska Airlines had their schedules disrupted because of the grounding, though United said it has been using other aircraft types to curtail some cancellations when possible.
After the incident, the FAA launched an investigation into Boeing to determine if the company "failed to ensure completed products conformed to its approved design and were in a condition for safe operation in compliance with FAA regulations."
Investigator-in-Charge John Lovell examines the fuselage plug area of Alaska Airlines Flight 1282, a Boeing 737 Max 9. (NTSB / Fox News)
It is also investigating its manufacturing practices and production lines, including those involving subcontractor Spirit AeroSystems.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| UAL | UNITED AIRLINES HOLDINGS INC. | 52.84 | -0.67 | -1.25% |
The FAA also announced requirements for a rigorous inspection and maintenance process before the agency contemplates any further steps in the process to return the planes to service.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
The FAA has already finished the first 40 inspections and is in the process of reviewing data from them. However, all planes will remain grounded until there is final approval of an inspection and maintenance process that satisfies all the agency's safety requirements.
The agency also noted that once the FAA approves an inspection and maintenance process, it will be required on every grounded 737 Max 9 before future operation.