Problems keep mounting for the Boeing aircraft company. In 2019, there were two crashes in quick succession of the new Boeing 737 Max aircraft that killed 346 people and resulted in the entire fleet of that model being grounded from March 2019 to November 2020 for investigations and to fix the problem.
Investigations faulted a Boeing cover-up of a defect and lapses in the FAA’s certification of the aircraft for flight. The accidents and grounding cost Boeing an estimated $20 billion in fines, compensation and legal fees as of 2020, with indirect losses of more than $60 billion from 1,200 cancelled orders. In 2021, Boeing also paid US$2.5 billion in penalties and compensation to settle the DOJ’s fraud conspiracy case against the company. Further investigations also revealed that the FAA and Boeing had colluded on recertification test flights, attempted to cover up important information and that the FAA had retaliated against whistleblowers.
Then last week, a panel of the fuselage ripped out of a brand new 737 Max plane operated by Alaskan Airways just after it took off and was ascending to cruising altitude. Fortunately there were no casualties and the plane landed safely but the fleet was grounded again to see what might be the problem.
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