PARIS (AP) — Boeing is selling its 737 Max planes again.

The company announced at the Paris Air Show on Tuesday that International Airlines Group, the parent company of British Airways and other carriers, signed a letter of intent for 200 Boeing 737 aircraft.

Boeing said it's the first sale of the jet since the crash of an Ethiopian Airlines 737 Max in March. Another 737 Max crashed in Indonesia last year, and the planes are now grounded amid an investigation into problematic software.

The letter of intent is subject to final agreement but is a vote of confidence in Boeing as it struggles to win back trust. The planes would be delivered between 2023 and 2027 to airlines owned by IAG. </s> PARIS — Boeing is selling its 737 Max planes again.

The company announced at the Paris Air Show on Tuesday that International Airlines Group, the parent company of British Airways and other carriers, signed a letter of intent for 200 Boeing 737 aircraft.

Boeing said it's the first sale of the jet since the crash of an Ethiopian Airlines 737 Max in March. Another 737 Max crashed in Indonesia last year, and the planes are now grounded amid an investigation into problematic software.

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The letter of intent is subject to final agreement but is a vote of confidence in Boeing as it struggles to win back trust. The planes would be delivered between 2023 and 2027 to airlines owned by IAG.

The combination of 737-Max 8 and 737-Max 10 planes would cost $24 billion at list prices, though companies usually strike deals for discounts.

IAG expressed confidence that regulators will allow amended Max jets to fly again soon. The Ethiopian Airlines and Lion Air crashes killed 346 people.

Analysts had predicted that Boeing might try to announce some Max orders at the air show to demonstrate that the plane - one of Boeing's most popular models - still has support.

After a lackluster start to the Paris Air Show, Boeing's orders picked up Tuesday. It announced a deal with Korean Air and Air Lease Corporation for a total of 30 long-range 787 jets, and worth $6.3 billion at list prices.

Airbus also announced several orders Tuesday, including from IAG. </s> CHICAGO (dpa-AFX) - Boeing Co. (BA) said that International Airlines Group plans to buy 200 Boeing 737 MAX Airplanes. The two companies signed a letter of intent at the Paris Air Show in a deal that would be valued at more than $24 billion, per list prices. The purchase would include 737 MAX 8 and MAX 10 jets.



In selecting the 737 MAX, IAG said it will fly a combination of the 737 MAX 8, which seats up to 178 passengers in a two-class configuration, and the larger 737 MAX 10 jet, which can accommodate as many as 230 passengers. 



The airline did not disclose a specific split between the two MAX models, though it anticipates deploying the aircraft at a number of the group's airlines including Vueling and LEVEL.



Copyright RTT News/dpa-AFX </s> LE BOURGET, June 19 — US aircraft giant Boeing got a welcome vote of confidence in its beleaguered 737 MAX plane yesterday when International Airlines Group, owner of British Airways, said it wanted to buy 200 of the planes.

The companies said they had signed a letter of intent for the purchase, the first since the 737 MAXs were grounded in March after two of them crashed within six months of each other, killing 346 people.

At list prices the order would be worth US$24 billion (RM100 billion), but IAG, whose airlines also include Iberia, Vueling and Aer Lingus, noted that it had negotiated “a substantial discount.”

It was a coup for Boeing since up to now IAG has been a longtime client of Airbus for its single-aisle jets, used on some of its most popular routes.

“We have every confidence in Boeing and expect that the aircraft will make a successful return to service in the coming months having received approval from the regulators,” IAG’s chief Willie Walsh said in a statement.

Walsh isn’t a stranger to Boeing, however, having started his career as a pilot flying 737-200s, the precursor to the MAX.

The deal came as a surprise to aviation executives at the Paris Air Show this week, where many firms are still reeling from the industry-wide fallout of the accidents.

Boeing is battling to regain the trust of passengers, pilots and regulators after a 737 operated by Indonesia’s Lion Air crashed last October, followed by an Ethiopian Airlines jet in March.

Executives apologised again as the air show opened Monday for its handling of the disasters, vowing a thorough review of its production processes as it seeks a fix for the anti-stall system suspected of causing the crashes.

“Our priority is doing everything to get this plane safely returned to service. It is a pivotal moment for all of us,” Boeing’s head of commercial aircraft Kevin McAllister said at the Paris Air Show on Monday.

Boeing officials have faced a barrage of questions over the 737 MAX disasters, thought to be caused by a faulty MCAS anti-stall system.

Critics accuse Boeing of failing to sufficiently test a system that used just one sensor to determine if the 737 was at risk of stalling, and of failing to adequately inform and train pilots.

Reports also suggest that US safety regulators allowed Boeing engineers to self-certify the system, prompting worries of insufficient oversight.

The company has promised a software fix that will now include two sensors, though some regulators may require the company to provide three, to avoid any uncertainty in case of divergent readings.

“We are very confident that the three layers of protection we are planning with the software update will prevent anything like this happening again,” McAllister said.

Yet it remains unclear when the 737 MAX will fly again, with Alexandre de Juniac, director general of the International Air Transport Association (IATA), warning that certification might not come before August.

Some airlines aren’t taking any chances, with American Airlines recently cancelling all its 737 MAX flights through September 3.

Boeing now has 140 737 MAXs parked on its tarmac waiting for delivery, and has had to reduce monthly production to 42 planes from 52 previously. — AFP </s> So much for the 737 MAX hangover.

After a quiet Day 1 at the Paris Air Show, Boeing announced a trio of deals Wednesday that stunned the aviation sector. The aircraft manufacturer has new orders lined up from airline customers on three continents for its widebody 787 Dreamliner and its beleaguered narrowbody 737 MAX.

The deal haul carries a potential value of $31.8 billion if you go by list prices. (There are always discounts). Analysts had been voicing concern about the poor early showing for Boeing at the biennial show, the most prestigious in the industry, chalking up the slow deal flow to the woes of its workhorse model, the 737 MAX. On the eve of the show, CEO Dennis Muilenburg told the press Boeing had no timetable for the 737 MAX to take to the skies again. The global fleet of roughly 400 has been grounded since the fatal March crash of Ethiopian Airlines Flight 302.

The announcement of yesterday’s deal with International Airlines Group couldn’t have come at a more opportune moment. IAG, the sixth largest airline group in the world with carriers such as Aer Lingus, British Airways, Iberia and Vueling, signed a letter of intent to buy 200 737 MAX planes, carrying a list price of $24 billion. Boeing shares skyrocketed more than 5 percent on Tuesday.

At a press conference, IAG CEO Willie Walsh, shrugged off the plane’s uncertain future. “We’re partnering with the Boeing brand,” he said. “That’s the brand that I’m doing business with. That’s the brand that I’ve worked with for years. And it’s a brand that I trust.”

Sitting beside him, Kevin McAllister, CEO of Boeing Commercial Airplanes, looked as if he wanted to hug Walsh. “We can’t thank you enough for the confidence you place in the 737 MAX family, and in all of us,” he replied, beaming.

Industry observers point out that it’s a fairly safe hedge for IAG as deliveries aren’t planned until 2023 and 2027, which should give Boeing plenty of time to work through the flight trials and inspections regulators around the world are demanding. Boeing also announced separate deals with Korean Air and Air Lease Corporation on the delivery of 787 Dreamliners worth a combined $7.8 billion at list price.

Boeing rival Airbus stole the show on Day 1 when it said Air Lease Corp. had ordered 27 of its new longer-range, narrow-body model, the A321XLR. While the price tag was less of an eye-catcher, that deal may be the most significant commercial aviation news of the Paris Air Show. There’s huge global demand for narrow-body, long-range aircrafts like A321XLR. The new Airbus model has a range of 4,700 nautical miles with 30% less fuel-burn per seat, an important industry metric.

This morning, Airbus added Australia’s Qantas to its customer list for the new long-distance aircraft. Qantas and Airbus announced a deal for 10 new A321XLR models, part of a 36-plane deal. Airbus’s shares took a nice jump on Monday as news came in from Le Bourget air field, north of Paris. The stock was down this morning.

Analysts, meanwhile, are still hoping to hear more about Boeing’s answer to the A321XLR.

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Don’t miss the daily Term Sheet, Fortune‘s newsletter on deals and dealmakers. </s> Boeing Chief Executive Officer Dennis Muilenburg faces his biggest crisis yet following the second deadly crash of a 737 Max jetliner, as some airlines grounded the best-selling plane and the shares logged their biggest loss since the 9/11 attacks.

China ordered its carriers to ground all 96 of Boeing’s newest 737 model, while Indonesia said it would also halt flights after Ethiopian Airlines Flight 302 went down in a field shortly after takeoff Sunday, killing all 157 people on board. While the flight recorders have now been recovered and must be analyzed, the disaster bore similarities to the doomed Lion Air 737 Max that crashed in October.

The 737 Max is Boeing’s most important aircraft type, generating almost one-third of the company’s operating profit and forming the backbone of many global airline fleets who use the model and Airbus’s competing A320 family on shorter routes.

Boeing sank 11 percent to $374.31 at 9:37 a.m. in New York after sliding as much as 13 percent for the biggest intraday decline since Sept. 17, 2001, the first day of trading after the 9/11 attacks.

“Boeing has lost control of the timetable to provide the safe, reliable solution,” said Neil Hansford, chairman of the Australian consultancy firm Strategic Aviation Solutions. “The longer it goes, the more chance Boeing has of losing orders.”

The grounding in China, followed by the Indonesian air safety regulator’s order to halt 737 Max flights from Tuesday, raises the specter of other countries following suit. South Korea began a special inspection of the aircraft, while in Europe, regulators said they’re in contact with their U.S. counterparts as well as Boeing, but that it’s too soon to take action.

While the groundings in China and elsewhere are important, most nations typically wait to act until the U.S. and Europe issue findings on aviation matters. The Federal Aviation Administration and the European Union Aviation Safety Agency oversee the world’s largest aircraft manufacturers and take the lead in ensuring the safety of their planes.

U.S. carriers such as Southwest Airlines Co., American Airlines Group Inc. and United Continental Holdings Inc. are still flying the 737 Max.

Investigators have recovered the cockpit voice and flight-data recorders, Ethiopian Airlines said Monday, a significant step forward in piecing together what happened.

Chinese airlines accounted for about 20 percent of 737 Max deliveries worldwide through January, and further purchases of the Chicago-based planemaker’s aircraft are said to have been touted as a possible component of a trade deal with the U.S.

China Southern Airlines Co. has 16 of the aircraft, with another 34 on order, according to data through January on Boeing’s website. China Eastern Airlines Corp. has 13, while Air China Ltd. has 14, Boeing says. Other Chinese airlines that have bought the Max include Hainan Airlines Holdings Co. and Shandong Airlines Co., the data show.

Lion Air, which is based in Indonesia, is one of the biggest customers, having ordered 201 Max planes and taken delivery of 14.

The single-aisle 737 Max is poised to generate about $30 billion in annual revenue as factory output rises to a 57-jet monthly pace this year, according to Bloomberg Intelligence estimates.

The disaster in Ethiopia followed the crash of Lion Air’s 737 Max off the coast of Indonesia on Oct. 29. A preliminary report into that flight indicated that pilots struggled to maintain control following an equipment malfunction. The U.S. Federal Aviation Administration is working with Boeing on a possible software change to reduce the chances that such a failure could cause an accident in the future.

Boeing responded to the earlier crash by advising pilots that the Max’s so-called angle-of-attack sensor can provide false readings, causing the plane’s computers to erroneously detect a mid-flight stall in airflow. That in turn can cause the aircraft to abruptly dive to regain the speed the computer has calculated it needs to keep flying. Pilots could counteract the sudden downward tilt by following a checklist in their training manual, the planemaker said.

The doomed Ethiopian jetliner left Addis Ababa at 8:38 a.m. local time, and contact was lost six minutes later, the company said in a statement. There were people from 35 nations on board, including 32 Kenyans, 18 Canadians, nine Ethiopians and eight Americans. The United Nations, which is hosting an environmental conference this week in Nairobi, said it lost 19 staff members in the crash.

The pilot of the ET302 reported problems shortly after takeoff and was cleared to return to the airport, said the airline’s chief executive officer, Tewolde GebreMariam. The 737 Max 8 hadn’t had any apparent mechanical issues on an earlier flight from Johannesburg, he said.

Ethiopian Airlines had five of the planes in operation as of the end of January and orders for a further 25, according to Boeing’s website. Boeing has dispatched a technical team to assist the investigation into the Ethiopian Airlines plane, which was delivered new in November to Africa’s biggest carrier, while the FAA, which originally certified the 737 Max and U.S. National Transportation Safety Board have also joined the probe.

Jet Airways India Ltd. and SpiceJet Ltd., two Indian airlines that use the 737 Max jet, and the country’s regulators have asked Boeing for information following the Ethiopia crash.

Southwest Airlines says it’s “confident in the safety of our fleet” including its 34 737 Max 8 planes American Airlines Will closely monitor the investigation via Boeing and NTSB Singapore Airlines Monitoring the situation; the 737 Max 8 flights operated by SilkAir are flying as scheduled Icelandair Says it’s had no issues with its three 737 Max 8s Korean Air Due to receive its first Max in April, is monitoring the situation Cayman Airways Grounds both its Boeing 737 Max 8 aircraft Thailand Says it currently has no plans to ground Boeing 737 Max jets China Grounds entire fleet of Boeing 737 Max 8 jets. China Eastern to talk with Boeing about losses caused by grounding. Flydubai Says it’s monitoring situation and in touch with BoeingA U.S.-ordered grounding of an entire model of aircraft is extremely rare and in the past has typically not occurred so soon during an investigation when few details are known. The last time the agency did so was in January 2013 as a result of overheating lithium-ion batteries on Boeing’s 787 model. The agency only acted after the second such incident occurred.

Muilenburg, 55, was running Boeing’s defense business during the Dreamliner’s grounding. Since he took the reins as CEO in July 2015, Boeing has dramatically expanded cash flow and the shares have tripled. That has boosted the company’s market value by $140 billion and made Boeing the biggest U.S. industrial company. </s> Boeing announces preliminary deal to sell 737 Max planes for first time since Ethiopian Airlines crash

PARIS (AP) — Boeing announces preliminary deal to sell 737 Max planes for first time since Ethiopian Airlines crash. </s> An aerial photo shows Boeing 737 MAX airplanes parked on the tarmac at the Boeing Factory in Renton, Washington, U.S. March 21, 2019.

Boeing on Tuesday won its first order for 737 Max planes since the jets were grounded worldwide in March after two fatal crashes. The vote of confidence from British Airways' parent sent shares of the manufacturer sharply higher.

International Consolidated Airlines Group, or IAG, signed a letter of intent at the Paris Air Show to order 200 Boeing 737 Max planes. Boeing won't post the planes on its monthly order tally until the agreement is finalized.

Aviation authorities grounded the Boeing 737 Max worldwide after two crashes within five months killed a total of 346 people. Boeing and airlines are awaiting approval from regulators to resume flights with the jets, but officials have said they have no firm timeline so far.

Boeing shares surged 5.4% to close at $373.96, outpacing the broader market and leading the Dow Jones Industrial Average higher. It was their biggest one-day percentage gain in almost five months.

IAG will use the jets order, which includes the 737 Max 8 and the larger Max 10 that Boeing is developing, for short-haul flights across its airlines, which also include Iberia, Aer Lingus and low-cost carriers Vueling and Level. The group's narrowbody fleet is mostly A320s made by Boeing's chief rival, Airbus.

"We have every confidence in Boeing and expect that the aircraft will make a successful return to service in the coming months having received approval from the regulators," said IAG CEO Willie Walsh.

Boeing cut production of the 737 Max, its best-selling aircraft ever, by one-fifth and suspended deliveries of the planes after they were grounded.

The surprise order is welcome news for Boeing, which entered the air show hamstrung by the fallout from the crashes. It faces several investigations and lawsuits, customer airlines that have had to cut flights during the peak summer travel season due to the planes' grounding, and passengers who may be too skittish to fly the 737 Max once regulators give it a green light.

The order would be worth $24 billion at list prices, Boeing said, but airlines often receive discounts. The planes that IAG is planning to buy would be delivered between 2023 and 2027. </s> Boeing reported its largest ever quarterly loss on Wednesday, as the cost of grounding its fleet of 737 Max airliners took its toll.

The company lost $2.9bn in the three months to the end of June, compared to a profit of $2.2bn for the same period last year. Sales fell 35% to $15.75bn.

The 737 Max was Boeing’s best selling aircraft until the fleet was grounded worldwide in March following two fatal crashes.

Last week Boeing said it would take a $5.6bn charge to cover potential compensation to customers. The company also expects the cost of manufacturing the 737 to rise by $2.7bn due to production slowdowns. A $100m fund is being established to compensate the families and communities affected by the crashes.

“This is a defining moment for Boeing and we remain focused on our enduring values of safety, quality, and integrity in all that we do, as we work to safely return the 737 Max to service,” Boeing’s chief executive, Dennis Muilenburg, said in a statement.

“During these challenging times, teams across our enterprise continue to perform at a high level while delivering on commitments and capturing new opportunities driven by strong, long-term fundamentals.”

Regulators across the world continue to investigate the fatal crashes of a Lion Air Max in Indonesia and an Ethiopian Airlines flight in Ethiopia that claimed a total of 346 lives.

Last week a father who lost five family members in the Ethiopian disaster accused the company of “utter prejudice and disrespect” and said Boeing had pursued higher a higher share price and profits “at the expense of the safety of human life”.

The grounding of the 737 Max has had wider consequences for the US. American Airlines, Southwest Airlines and United Airlines all used the Max and have canceled flights into November as a result of the grounding, depressing revenues.

Boeing has predicted that the Max will be flying again by the end of the year and appears to be preparing to change the plane’s name to the 737 8200.
Boeing sells 200 of its 737 MAX planes to International Airlines Group, the first sale of the controversial airliners since two fatal crashes and subsequent worldwide groundings earlier this year.