The Boeing 737 MAX 7 and MAX 10 are still awaiting certification from the FAA, which insists it is not obstructing the process. FAA Administrator Brian Bedford stated that the agency is dedicated to these programs, but Boeing must complete outstanding work before approval can be granted. Both models face delays primarily due to unresolved de-icing issues.
While the MAX 10 has entered the second phase of flight testing, the MAX 7 is still on hold. Boeing aims to stabilize production and restore its credibility amid ongoing scrutiny. The company plans to increase its production rate of the 737 MAX to 42 planes per month, with significant orders from Alaska Airlines underscoring confidence in the MAX 10.
Delays pose a serious cash flow issue for Boeing, preventing the company from collecting payments on aircraft that aren’t ready for delivery. With a backlog of over 1,200 MAX 10 orders, timely certification is crucial for improving revenue. The uncertainty surrounding the timelines may prompt airlines like Alaska Airlines to convert some orders to different models if certification delays extend further.
In summary, Boeing’s future, particularly concerning the MAX program, remains uncertain as it navigates certification challenges and production adjustments.
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