
The American airline Southwest Airlines expects less growth than it previously expected. Among other things, the problems with Boeing 737 MAX 8 devices, which have to remain on the ground due to safety issues, put a brake on performance. Unfavorable weather is also bothering society, as is the shutdown of the American government.
In the first quarter of the year, these matters together are expected to cause nearly 10,000 canceled flights. The turnover in that period will be 150 million dollars lower as a result of the Boeing problems alone. In addition, an amount of $ 60 million will be added in the aftermath of the shutdown.
Southwest, which currently has 34 MAX 8 aircraft in its fleet, now expects capacity growth of around 1 percent in the first months of 2019 and revenue growth that will be between 2 and 3 percent. The company previously assumed a 3.5 to 4 percent increase in the number of available seats and a sales growth of 3 to 4 percent.
Southwest emphasized that it does not yet have any insight into the future impact of keeping Boeing’s relatively fuel-efficient MAX aircraft on the ground. This year the company was to receive 41 aircraft of that type. The company also takes into account that the fuel bill will be even higher than previously estimated.
Since the crash of a 737 MAX from Ethiopian Airlines recently, all over 300 aircraft of this type Boeing have landed on airlines worldwide. It was the second time in a short time that a type of aircraft of this type had crashed, following the disaster with a Lion Air aircraft in Indonesia in October last year.
A 737 MAX aircraft from Southwest made an emergency landing on Tuesday at the airport of the American Orlando after engine problems. The aircraft only had crew members on board who wanted to fly the aircraft to another airport where it would be grounded.
About the author: John Campbell
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