Indonesian Airline Seeks to Cancel Boeing Order
March 22 2019 - 06:00AM
Dow Jones News
By WSJ City
Flag carrier Garuda Indonesia said it is seeking to cancel an
order for 49 Boeing 737 MAX jets, saying passengers have lost
confidence in the aircraft following two deadly crashes in recent
months.
KEY FACTS
- Garuda CEO I Gusti Ngurah Askhara Danadiputra told WSJ the
airline sent a letter to Boeing "to say that we want to cancel.
--- "Boeing representatives were planning to meet with Garuda on
March 28 "for further discussion," Garuda said.
--- Garuda said consumers "have lost confidence in the Boeing
737 MAX 8."
--- A new MAX jet flown by Lion Air, Indonesia's largest airline
by fleet size, crashed shortly after takeoff in October.
--- The plane's pilots struggled with the plane's automated
anti-stall system.
Why This Matters
The move makes Garuda the first airline to publicly confirm
plans to cancel a 737 MAX order. The 737 MAX jets were grounded by
regulators world-wide this month in the wake of an Ethiopian
Airlines crash that killed all 157 passengers and crew on board. On
Thursday, a senior Boeing executive defended the company's aircraft
design and production processes and said fixes to software linked
to at least one of the crashes should be ready within weeks.
A fuller story is available on WSJ.com
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(END) Dow Jones Newswires
March 22, 2019 06:45 ET (10:45 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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