American Airlines extends Boeing 737 Max cancellations through August

Erika Holt
April 16, 2019

President Donald Trump said Monday that Boeing should "rebrand" its 737 Max airplane, which has been taken out of passenger service worldwide following two high-profile fatal crashes in recent months.

The airline has 24 737 Max jets in its fleet.

American's cancellations represent 1.5% of its total flights each day of the summer.

Ethiopian Airlines Flight 302 crashed the morning of March 10 after taking off from Addis Ababa on its way to Nairobi, Kenya, killing all 157 people on board. The authority recommended the manufacturer to review 737 MAX flight control systems and advise aviation authorities to review if Boeing "adequately" addresses the question. Southwest Airlines, the largest operator of Boeing jets, announced last week that it would cancel its Max flights through August 5.

The plane's grounding has also threatened the USA summer travel season, with some airlines removing the 737 from their schedules through August and cancelling a number of scheduled flights.

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Airlines and countries around the world grounded the Boeing 737 Max jets or banned them from their airspace following the crashes.

Brand Finance, a UK-based consultancy that tracks the value of global brands, said on Monday it sees a $12 billion dent to the value of the Boeing brand, which it had called the most valuable in the aerospace industry worth $32 billion in 2018.

Boeing and the FAA said they are working on an upgrade of the 737 Max software to deal with that safety feature.

"We remain confident that the impending software updates, along with the new training elements Boeing is developing for the Max, will lead to recertification of the aircraft soon", Parker and Isom told employees. The software fix is to include changes to prevent the system from overreacting to bad data, a new set of cockpit alerts created to make pilots aware of potentially risky situations, and a new pilot training course.

"The FAA is preparing to make an announcement very shortly regarding the new information and physical evidence that we've received from the [Ethiopia crash site] and from other locations and through a couple of other complaints", Trump said.

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