Faced with Boeing “defeat”, Ryanair demands financial compensation

The 737 MAX crisis continues to cause turmoil at Boeing. In addition to the security dimension, which is undoubtedly the most important, the American manufacturer must deal with the dissatisfaction of companies. Never be shy with words when it comes to putting pressure on a competitor or partner, says Ryanair CEO Michael O’Leary. “defeat” Boeing suffered a series of quality problems and production delays. Irish company bosses are now seeking financial compensation for the situation which led to the cancellation of the flight.

Michael O’Leary said: “Boeing and Airbus contracts allow for excusable delays, but if we drill holes in the wrong place and cause a delay, is that excusable or not? We feel very strongly that this is inexcusable. He thought before adding “Get a modest return from Boeing”. The comments, reported by AFP, were made during a roundtable held Friday with reporters at the low-cost airline’s headquarters in Dublin.

Ryanair’s boss did not directly attack the 737 MAX and its merits, which would be unwelcome for a company that has ordered fewer than 360 firm examples plus 150 options. It hopes to operate more than 500 examples within 10 years and already had 136 in the fleet at the end of 2023. “Nothing fundamentally wrong with the device…but a poor approach to quality controls”Michael O’Leary insisted.

With the backlog of orders, Boeing and Airbus may experience delivery delays

indirect effects

Ryanair has not ordered the 737 MAX 9 and was therefore not directly affected by the loss of a door stopper by an Alaska Airlines aircraft in early January, which led to the suspension of flights for part of the fleet. But the incident delayed deliveries for the entire range, including the 737 MAX 8-200 operated by the low-cost airline. It now expects to receive deliveries of 40 or 45 devices for the summer, instead of the 50 expected.

Michael O’Leary said.

This could lead the company to scale back its program this summer, according to Reuters. The company slightly lowered its traffic forecast for its 2023-2024 fiscal year to 183.5 million passengers, from 185 million earlier, on the occasion of its third-quarter results presentation in late January.

Frequent delays

This is not the first time Ryanair has criticized Boeing delays. The company regularly provides updates on its delivery forecasts in its interim results announcements, and regularly decries uncertainties caused by production problems at Boeing and their impact on its ramp-up.

737 MAX: Plagued by its quality problems, Boeing gives up increasing production rates

This should continue for some time. In light of the recurring quality issues experienced by the 737 MAX program, Boeing has decided to freeze its ramp-up for the moment. After struggling to stabilize its production after the health crisis, then to reach an average rate of 38 devices per month, the manufacturer is for the moment abandoning planning towards a rate of 50. This objective planned for 2025-2026 has not been abandoned. However

This should also not facilitate the certification of the 737 MAX 10, of which Ryanair ordered 150 copies last May (plus 150 in options). This has been dragging on for years following known deviations in the approval of the first 737 MAX models, with strengthened controls from the American Federal Aviation Administration (FAA) leading to two fatal accidents.