Alaska agrees initial Boeing payout
- BTN News
- Friday, 05 April 2024
As the cost of its B737 MAX 9 'door plug blowout' on a January 5 flight filters through, Alaska Airlines has agreed an initial US$160 million compensation payout with Boeing.
It expects more will be paid later.
The payment covers a pre-tax loss related to the accident, including lost revenue and the cost of returning its MAX 9 fleet to service after all US MAX 9s were grounded for three weeks.
The Alaska Air payout may foreshadow Boeing payments to other customers over the grounding and delays in production and delivery of new aircraft.
Boeing has not yet revealed the incident's impact on its own financials.
The US Federal Aviation Administration (FAA) and the National Transportation Safety Board (NTSB) are still investigating the incident's cause.
