Latest news with #Flight302
Yahoo
5 days ago
- Business
- Yahoo
Boeing Could Avoid a Trial
Boeing's criminal trial has been paused as the court reviews an 11th-hour Department of Justice deal. Crash victims' families are urging the judge to reject the non-prosecution agreement. 10 stocks we like better than Boeing › Boeing (NYSE: BA) has faced a multitude of tribulations over the past decade. But the company recently got a reprieve from a trial that would've been its biggest yet. On June 2, U.S. District Judge Reed O'Connor removed Boeing's upcoming criminal trial from the docket, as the court considers a motion to dismiss a fraud case against the jet maker that stemmed from two deadly crashes (in 2018 and 2019) of 737 MAX aircraft. Investors are still awaiting the court's final decision, but things seem to be moving in a good direction. A crash of a Boeing Dreamliner last week in India knocked the stock down a bit, but it's up 14% so far this year. Boeing had been set to stand trial, starting on June 23, for allegedly misleading federal regulators about a stability-control system in the 737 MAX that played a role in the crashes of Lion Air Flight 610 in 2018 and Ethiopian Airlines Flight 302 in 2019. In total, 346 passengers died in the plane crashes. But in late May, the Department of Justice and Boeing came to terms on a non-prosecution agreement, and the DOJ promptly asked the presiding court to drop the case. As O'Connor weighs the 11th-hour motion to dismiss the case -- and considers the objections of the crash victims' families -- the stakes couldn't be higher for Boeing. If the court drops the case, Boeing avoids a potential felony conviction. It also dodges an ugly, high-profile criminal trial that would've kept Boeing in the news for all the wrong reasons. From a 30,000-foot view, it would lift a legal cloud that's been looming over the company since the 737 MAX tragedies, which could help clear the runway for Boeing to rebuild its reputation and restore investor confidence. Under federal law, O'Connor must consider the arguments of the crash victims' families, who have said they will fight the DOJ's motion to dismiss the case against Boeing. Their objections are due by June 18, after which the DOJ and Boeing will have a week to respond. It's worth noting that in December 2024, O'Connor rejected a proposed plea deal that would've established an "independent compliance monitor" to oversee Boeing's reform efforts, in addition to levying millions of dollars in financial penalties. In his ruling, O'Connor expressed concern that the agreement would "marginalize" the court by giving the government sole discretion over selecting and overseeing the compliance monitor. The judge also took issue with DEI (diversity, equity, and inclusion) language in the selection requirements. O'Connor noted that "numerous" victims' families voiced similar objections. The non-prosecution agreement that's on the table now doesn't include any DEI language. However, under the agreement, Boeing would get to pick an "independent compliance consultant" -- subject to DOJ approval -- excluding the court from oversight. That could raise a major red flag for O'Connor, given his previous ruling. Boeing stock has rallied 14% in 2025, with the stock sliding after last week's deadly crash of a Boeing 787 Dreamliner in India. Outside of that crash, investors have been buoyed by a string of contract wins and positive headlines this year: In March, the U.S. Air Force tapped Boeing to build its next-generation fighter aircraft, the F-47. On April 23, Boeing delivered a first-quarter earnings beat and reported a narrower-than-expected Q1 loss. In the Q1 earnings call, executives said Boeing is ramping up production of the 737 MAX and is on target to reach its goal of 38 jets per month this year. In May, Boeing and Qatar Airways announced that the airline will buy up to 210 Boeing widebody jets in a deal that the White House valued at $96 billion. Analysts expect the momentum to accelerate. Consensus estimates call for Boeing to grow earnings by 91% this year and a staggering 332% next year, making it back into positive territory. Wall Street seems to be buying into CEO Kelly Ortberg's assertion that Boeing is "moving in the right direction." If O'Connor grants the DOJ's request to toss the criminal trial, it will lift a legal weight that's been dragging on the stock since the 737 MAX crisis began. That kind of clarity could help fuel the next leg of Boeing's recovery -- and potentially send the stock even higher. 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Mint
13-06-2025
- Mint
Boeing faces renewed scrutiny after Ahmedabad crash as past documentaries highlight history of fatal failures
The recent plane crash in Ahmedabad claimed the lives of over 200 people. The Air India Boeing flight, which was headed to London, went down just minutes after take-off. While investigations are still underway, the cause of the crash remains unknown. This isn't the first time a Boeing aircraft has been involved in such a mysterious and tragic incident. Once regarded as a leader in aviation, Boeing's reputation has taken a serious hit in recent years, with several high-profile crashes raising concerns about safety and accountability. Though the details of the Ahmedabad crash are still unclear, the tragedy brings back memories of previous incidents where Boeing jets were at the centre of controversy. Take a look at the documentaries made related to fatal Boeing crashes. Directed by Rory Kennedy, 'Downfall' is a powerful and unsettling documentary that examines the fatal crashes of Lion Air Flight 610 and Ethiopian Airlines Flight 302, which together claimed the lives of 346 people. The film delves deep into how Boeing, once considered a gold standard in aviation safety, prioritised profit over passenger safety. Through expert interviews, whistleblower testimonies, and harrowing footage, the documentary paints a grim picture of corporate greed, regulatory failure, and the tragic consequences of flawed aircraft design—specifically, the MCAS software that played a key role in both crashes. 'Flight/Risk', directed by Karim Amer and Omar Mullick, offers a deeply human perspective on the Boeing crisis. It follows the emotional journeys of families who lost loved ones, as well as whistleblowers and investigative journalists seeking accountability. The film stands out for its intimate access and raw emotion, capturing not only the technical failings of Boeing but also the pain, anger, and determination of those left behind. It is a compelling portrait of justice-seeking in the face of a powerful corporation, and highlights the global implications of aviation oversight. Produced by Frontline in partnership with The New York Times, this investigative documentary takes a more journalistic approach, unpacking how and why the 737 MAX was rushed to market. It scrutinises the relationship between Boeing and the Federal Aviation Administration (FAA), and exposes how internal pressures to compete with Airbus led to dangerous design shortcuts. The documentary includes interviews with engineers, aviation experts, and former Boeing employees, offering a thorough look at the systemic issues behind the tragedies. Broadcast on BBC's Panorama, this British investigation aired shortly after the Ethiopian Airlines crash, raising early alarms about Boeing's internal practices. The documentary sheds light on the commercial and regulatory decisions that allowed the 737 MAX to be certified and sold, despite serious concerns. It includes interviews with aviation analysts and uses internal Boeing documents to support its claims. 'The Trouble with Boeing' helped bring the story into public discourse in the UK, and contributed to growing scrutiny of the aviation industry as a whole. These documentaries collectively offer a sobering look at one of the biggest safety scandals in modern aviation history. They not only explore what went wrong, but also raise vital questions about corporate responsibility, regulation, and the cost of cutting corners.
Economic Times
12-06-2025
- Automotive
- Economic Times
First-ever 787 crash: Boeing in recovery mode, gathers data
US aircraft maker Boeing said it was working to gather more information on the air crash in is the first crash ever of a B787, according to the Aviation Safety Network database."We are aware of initial reports and are working to gather more information," Boeing said. Boeing has been in recovery mode for more than six years after Lion Air Flight 610, a Boeing 737 Max 8, plunged into the Java Sea off the coast of Indonesia minutes after take-off from Jakarta, killing all 189 on board. Five months later, Ethiopian Airlines Flight 302, also a Boeing 737 Max 8, crashed after take-off from Addis Ababa, killing 157 passengers and crew members.
Economic Times
12-06-2025
- Business
- Economic Times
Ahmedabad plane crash may dent Boeing plane orders
Reuters A tail of an Air India Boeing 787 Dreamliner plane that crashed is seen stuck on a building after the incident in Ahmedabad Troubled American plane maker Boeing might see its challenges mounting after an Air India Boeing 787-8 Dreamliner, flying from Ahmedabad to Gatwick, crashed immediately after takeoff from Ahmedabad today. There were 242 people on board the aircraft, including pilots and cabin crew. The aircraft issued a MAYDAY call to ATC, but thereafter did not respond to calls made by ATC, aviation regulator DGCA said in a statement. "It gave a MAYDAY call to ATC, but thereafter, no response was given by the aircraft to the calls made by ATC. Aircraft immediately after departure from Runway 23, fell on the ground outside the airport perimeter. Heavy black smoke was seen coming from the accident site," said the DGCA, as quoted by it's too early to determine what caused the plane crash, the incident will bring Boeing back into focus. Boeing planes have been involved in several incidents in the past few years, raising doubts about the quality of production. Also Read | Ahmedabad Plane Crash: Air India passenger plane with 242 onboard crashes near Meghaninagar Boeing weighed down by controversies Boeing has been mired in a series of controversies over the past several years. These issues span safety concerns, corporate governance, regulatory scrutiny and production quality problems. The most significant catalyst was the two fatal crashes involving the 737 MAX aircraft, but the implications have extended well beyond that. Lion Air Flight 610 in 2018 and Ethiopian Airlines Flight 302 in 2019 crashed within minutes of takeoff, killing 346 people. Both crashes were linked to a faulty system known as the Maneuvering Characteristics Augmentation System (MCAS). The flawed software pushed the nose of the aircraft downward based on erroneous sensor data. This led to a global grounding of the 737 MAX fleet for over 20 months. US Congressional investigations revealed a 'culture of concealment' at Boeing. Last year in January, a door plug panel on a 737 MAX 9 aircraft of Alaska Airlines blew out mid-flight due to missing bolts, narrowly avoiding a catastrophe. Federal Aviation Administration grounded the MAX 9 temporarily and launched a detailed audit into Boeing's production line. This resulted in additional penalties, delays in aircraft certification (including the 737 MAX 7 and MAX 10), and further erosion of corporate culture has been criticized as overly focused on cost-cutting and shareholder returns at the expense of engineering excellence and safety. A series of executive turnovers, including the ousting of former CEO Dennis Muilenburg, signaled internal faces competitive pressure from Airbus, which has gained market share during Boeing's turmoil. Continued delivery delays have strained relationships with airline customers, many of whom are diversifying their fleet choices. The Boeing 787-8 Dreamliner model, which crashed in Ahmedabad today, has faced recurring technical scrutiny in recent years. A previous Economic Times report documented repeated diversions of a Dreamliner with registration code N819AN due to hydraulic leaks and flap malfunctions, leading to multiple flight cancellations in a span of just 25 days earlier this year. In addition, Boeing engineer and whistleblower Sam Salehpour had earlier raised alarms in the US media, alleging that the company took manufacturing shortcuts on both the 777 and 787 Dreamliner models. Salehpour warned that such compromises could pose catastrophic risks as these aircraft age. Also Read | Air India plane crash: One survivor found in seat 11A, currently under treatment Boeing's mega order pipelineIn recent years, Indian airlines have placed significant orders for Boeing aircraft, in response to the country's burgeoning aviation market. These acquisitions are pivotal in shaping the future of air travel in India, aligning with both domestic growth and international expansion substantial Boeing aircraft orders by Indian airlines are driven by the need for fleet modernization, network expansion and enhanced operational efficiency. As the Indian aviation sector continues to grow, these investments position airlines to meet future demands and maintain competitiveness in a rapidly evolving 2023, Air India ordered 220 jets from Boeing to revive its appeal with an all-new fleet. The airline also signed options to buy an additional 70 planes from Boeing, including 50 737 MAXs and 20 787 Dreamliners. Air India is said to be in discussions with Airbus and Boeing for a significant new aircraft order that may include around 200 additional single-aisle jets, industry sources told Reuters recently. Akasa Air, a low-cost airline which started operations about three years ago, has 226 Boeing 737 MAX jets on order. While Indigo operates a few Boeing jets, it has ordered over 900 planes from recent years Boeing has grappled with internal and external production problems and constraints. A strike last year at its plants in Washington and Oregon shut down production of the popular single-aisle woes have hit airlines globally. Delayed deliveries are frustrating airlines. At Akasa Air, hundreds of anxious pilots remain idle without work due to delayed deliveries. Air India's expansion plans can face challenges due to aircraft delivery delays. US budget carrier Southwest Airlines, which operates an all-Boeing fleet, had to lay off workers company-wide for the first time in its history, in part due to delivery the Ahmedabad plane crash probe reveals a production problem with Boeing 787-8 Dreamliner, it will be another Boeing aircraft to come under controversy after Boeing 737 MAX 8 and 9. Air India and Akasa, which have together ordered more than a thousand Boeing jets, might feel further pressure. Further scrutiny and regulatory pressure can impact production schedules. Air India has placed orders for 20 Boeing 787-9 Dreamliner aircraft too besides other Boeing jets. Last month, Qatar Airways signed a mega deal with Boeing which included 130 Dreamliners during US President Donald Trump's visit to the country. (With inputs from agencies)
Yahoo
12-06-2025
- Business
- Yahoo
India crash is fresh setback in Boeing's bid to restore its reputation
As hundreds lie dead following the latest tragedy to beset a Boeing passenger plane, is is too early to determine blame. Pilot error, engine failure and bird strikes are among the theories all being banded about. Only the recovery of flight AI171's black box flight recorders are likely to provide the concrete answers. What is inescapable though is that this is an air disaster the plane's maker, Boeing, could well do without. Plane crash latest: It sounds petty, in the midst of such a catastrophe, to be talking about the impact on a company but this has been an civil aviation giant left deeply scarred, in the public eye, through its attitude to safety in recent years. While the 787 Dreamliner's record had been impressive up until today, the same can not be said for the company's 737 MAX planes. The entire fleet was grounded globally for almost two years following the demise of Ethiopian Airlines Flight 302 outside Addis Ababa in March 2019. All 157 people aboard were killed. Six months earlier, a Lion Air 737 MAX, carrying 189 passengers and crew, crashed in Indonesia. At fault was flight control software that has since been rectified. That recent past continues to haunt Boeing. It took those crashes to uncover a culture of cover-up. It amounted to not only a corporate failure but one of regulation and justice too, according to critics, as relatives were denied their days in court due to plea bargains. Just last month, the US Justice Department and Boeing agreed a non-prosecution agreement over those two fatal crashes in return for $1.1bn in fines and an admission that it obstructed the investigation. It raises several questions over the US legal system and its ability to police corporate activity and incentivise playing by the rules. Would a British manufacturer have been offered such a deal by US prosecutors? As for regulation, we're told oversight has been stepped up and the number of planes that Boeing makes is still subject to controls in a bid to boost quality. Read more: The company has long denied putting profit before safety but that is what almost every whistleblower to have come forward to date has alleged. The production limits were implemented after a mid-air door plug blowout aboard an Alaska Airlines Boeing 737 MAX 9 flight in January last year. They are hampering Boeing's efforts to restore profitability. A 5% fall in its share price at the market open on Wall Street goes to the heart of Boeing's problem. That is every time a Boeing plane is involved in an accident or failure, investors' first instincts are to run for the hills. Boeing says it is seeking more information on the nature of the Air India crash. But no matter whether Boeing's plane is at fault for the loss of AI171, or not, it's clear the company has a long way to go to restore trust.
