Originally Posted by
Speed of Sound
As an engineer, not a businessman can anyone who knows about the contractual side of aircraft fleet purchases tell us whether the requirement to provide and pay for additional sim training for the ungrounded MAX be enough for existing customers to cancel orders without penalty? After all, one of the big selling points of the MAX was that further training wasn’t required for any current 737 pilot.
If so, could we see Boeing ending up having to foot the bill for that further training?
At this point, I think Boeing would be delighted to put this debacle behind it at any price, even if it costs multiple billions.to resolve.
The schedule was to build 60 737 MAXs a month, at near $100mm a copy. Current deliveries are zero and no resumption is as yet scheduled. So the locked in revenue shortfall is already tens of billions, ignoring the reputational impact and the competitive humiliation.
Any pilot training expense incurred will be petty change.
Hopefully this punch in the face from reality will wake up Boeing senior management, which seems to have lost sight of the priority need for quality, even ahead of low cost.