{"id":4096,"date":"2019-03-22T08:51:14","date_gmt":"2019-03-22T13:51:14","guid":{"rendered":"http:\/\/planesintheair.com\/?p=4096"},"modified":"2019-03-22T09:18:07","modified_gmt":"2019-03-22T14:18:07","slug":"garuda-indonesia-plans-to-cancel-order-for-boeing-737-max-8s","status":"publish","type":"post","link":"https:\/\/planesintheair.com\/?p=4096","title":{"rendered":"Garuda Indonesia Plans to Cancel Boeing 737 MAX 8 Order"},"content":{"rendered":"\n

JAKARTA\/OSLO\n (Reuters) – Indonesian airline Garuda plans to cancel a $6 billion \norder for Boeing 737 MAX jets, it said on Friday, saying some passengers\n would be frightened to board the plane after two fatal crashes, \nalthough analysts said the deal had long been in doubt.<\/p>\n\n\n\n

The\n news came as another 737 MAX customer, Norwegian Air, played down the \nsignificance of a move by Boeing to make a previously optional cockpit \nwarning light compulsory.<\/p>\n\n\n\n

Norwegian\n said that, according to Boeing, the warning light would not have been \nable to prevent erroneous signals that Lion Air pilots received before \ntheir new 737 MAX plane crashed off Indonesia in October, killing 189 \npeople.<\/p>\n\n\n\n

Indonesia’s\n national carrier Garuda is the first airline to publicly announce plans\n to scrap an order since the world’s entire fleet of 737 MAX planes was \ngrounded last week, following an Ethiopian Airlines crash that left 157 \npeople dead.<\/p>\n\n\n\n

“Many passengers told us they were afraid to get on a MAX 8,” Garuda CEO Ari Askhara told Reuters on Friday.<\/p>\n\n\n\n

However,\n the airline had been reconsidering its order for 49 of the narrowbody \njets prior to the Ethiopian crash, including potentially swapping some \nfor widebody Boeing models.<\/p>\n\n\n\n

Southeast\n Asia faces a glut of narrowbody aircraft like the 737 MAX and rival \nAirbus A320neo at a time of slowing global economic growth and high fuel\n costs.<\/p>\n\n\n\n

“They\n have been re-looking at their fleet plan anyway so this is an \nopportunity to make some changes that otherwise may be difficult to do,”\n CAPA Centre for Aviation Chief Analyst Brendan Sobie said.<\/p>\n\n\n\n

Indonesia’s\n Lion Air has also said it might cancel 737 MAX aircraft, though \nindustry sources say it is also struggling to absorb the number of \nplanes on order.<\/p>\n\n\n\n

Both\n crashes are still being investigated. But regulators have noted some \nsimilarities between the two, and attention has focused on whether \npilots had the correct information about the “angle of attack” at which \nthe wing slices through the air.<\/p>\n\n\n\n

No direct link has been proven between the accidents.<\/p>\n\n\n\n

RETROFITS<\/p>\n\n\n\n

Boeing\n now plans to make compulsory a light to alert pilots when sensor \nreadings of the angle of attack do not match – meaning at least one must\n be wrong -, according to two officials briefed on the matter.<\/p>\n\n\n\n

Investigators\n suspect a faulty angle-of-attack reading led the doomed Lion Air jet’s \ncomputer to believe it had stalled, prompting the plane’s anti-stall \nsystem, called MCAS, repeatedly to push the plane’s nose down.<\/p>\n\n\n\n

The\n Lion Air plane did not have the warning light installed because it was \nnot compulsory. Ethiopian Airlines did not immediately comment on \nwhether its crashed plane had the alert.<\/p>\n\n\n\n

But\n the Ethiopian carrier, whose reputation along with Boeing’s is at \nstake, issued a statement on Friday emphasising the modernity of its \nsafety and training systems, with more than $500 million invested in \ninfrastructure in the past five years.<\/p>\n\n\n\n

The\n Ethiopian crash has set off one of the widest inquiries in aviation \nhistory and cast a shadow over the Boeing 737 MAX model intended to be a\n standard for decades.<\/p>\n\n\n\n

Boeing\n did not comment on the plan to make the safety feature standard, but \nseparately said it was moving quickly to make software changes and \nexpected the upgrade to be approved by the U.S. Federal Aviation \nAdministration (FAA) in coming weeks.<\/p>\n\n\n\n

Chicago-based Boeing will also retrofit older planes with the cockpit warning light, the officials told Reuters.<\/p>\n\n\n\n

Experts\n said it could take weeks or months to be done, and for regulators to \nreview and approve the changes. Regulators in Europe and Canada have \nsaid they will conduct their own reviews of any new systems.<\/p>\n\n\n\n

Norwegian\n said its 18 737 MAX jets did not have the cockpit warning light, but it\n would follow any recommendations made by Boeing and aviation \nregulations. The airline said last week it would seek compensation from \nBoeing for the cost of grounding its 737 MAX planes, which makes up 11 \npercent of its fleet.<\/p>\n\n\n\n

Since the Ethiopian crash, Boeing shares have fallen 12 percent and $28 billion has been wiped off its market value.<\/p>\n\n\n\n

Pressure\n has mounted on the company from U.S. legislators, who are also expected\n to question the FAA. The company faces a criminal investigation by the \nU.S. Justice Department as well.<\/p>\n\n\n\n

Several\n lawsuits have already been filed on behalf of victims of the Lion Air \ncrash referring to the Ethiopian accident. Boeing declined to comment on\n the lawsuits.<\/p>\n\n\n\n

( By Cindy Silviana and Terje Solsvik, Additional reporting by Jamie Freed in Singapore, Bernadette Christina Munthe in Jakarta, Maggie Fick and Jason Neely in Addis Ababa, Tim Hepher in Paris, and Eric M. Johnson in Seattle; Writing by Sayantani Ghosh, Georgina Prodhan and Ben Klayman; Editing by Mark Potter)<\/p>\n\n\n\n

\"\"<\/figure>\n","protected":false},"excerpt":{"rendered":"

Indonesian airline Garuda plans to cancel a $6 billion order for Boeing 737 MAX jets, it said on Friday, saying some passengers would be frightened to board the plane after two fatal crashes, although analysts said the deal had long been in doubt.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[797,89,799,2203,1397,868,1103],"tags":[45,909,220,1690,539,47,118,3867,1642,151,160,41,2545,3868,2474,3869,736,3724,177,3149,2672,3731,985,1898,1435,982,46,2409,276,412,97,2566,3865,995,940,1288,3787,2407,1177,3866],"class_list":["post-4096","post","type-post","status-publish","format-standard","hentry","category-airline-news","category-aviation-news","category-boeing-news","category-finance-news","category-stock-news","category-transportation-news","category-travel-news","tag-45","tag-909","tag-a320","tag-administration","tag-air","tag-airbus","tag-airlines","tag-angle","tag-anti","tag-attack","tag-aviation","tag-boeing","tag-cancel","tag-changes","tag-cockpit","tag-compensation","tag-crash","tag-ethiopian","tag-faa","tag-fatal","tag-federal","tag-garuda","tag-indonesia","tag-jets","tag-light","tag-lion","tag-max","tag-mcas","tag-neo","tag-news","tag-norwegian","tag-of","tag-optional","tag-order","tag-pilot","tag-reuters","tag-software","tag-stall","tag-system","tag-warning"],"_links":{"self":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts\/4096","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4096"}],"version-history":[{"count":2,"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts\/4096\/revisions"}],"predecessor-version":[{"id":4099,"href":"https:\/\/planesintheair.com\/index.php?rest_route=\/wp\/v2\/posts\/4096\/revisions\/4099"}],"wp:attachment":[{"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4096"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4096"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/planesintheair.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4096"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}