April 19, 2023: Boeing’s CEO Dave Calhoun stated that a flaw detected in a few of its 737 Max planes would help its supply chain plans for increased production of its bestselling jetliner this year.
On Thursday, Boeing revealed a problem with two of a few brackets in the aft fuselage of a few 737 Max planes, including the most famous model, the Max 8, and stated that it would likely result in reduced aircraft deliveries.
At Tuesday’s annual shareholder meeting, the company is not transferring its schedule with suppliers, including “anticipated rate increases,” Calhoun stated. Boeing is also comfortable holding extra stock of aircraft supplies “so our supply chain can keep its speed,” Calhoun added.
Shares of Spirit AeroSystems, making the fuselages, and Boeing each rose on Calhoun’s comments.
The recent issue comes as airlines are eager to take the recent planes ahead of what’s anticipated to be a busy summer travel season. Boeing is also planning to increase aircraft production, a goal that has proved challenging as the supply chain is recovering from the pandemic.
Calhoun said Tuesday the company was assessing the impact on 737 Max deliveries and apologized to customers but didn’t provide more detail. He said the problem doesn’t affect the firm’s long-term guidance.
He said that Max jetliners not affected by the flaw would continue to be provided to airlines.
“We are known what we have to do,” he stated.
Boeing is scheduled to state its first-quarter results on April 26.