Boeing and AA settlement?

[Longtimer]

Posted just now

American Airlines reaches deal with Boeing over 737 Max grounding, will share $30 million with employees

https://www.cnbc.com/2020/01/06/amer...employees.html

[OldnGrounded]

Originally Posted by Longtimer

Posted just now

American Airlines reaches deal with Boeing over 737 Max grounding, will share $30 million with employees

https://www.cnbc.com/2020/01/06/amer...employees.html

I've watched this develop over the past few days. I wonder what the total settlement amount is (so far).

[etudiant]

Originally Posted by OldnGrounded

I've watched this develop over the past few days. I wonder what the total settlement amount is (so far).

Turkish reportedly settled for about $225MM, roughly $10MM per plane. https://www.channelnewsasia.com/news...7-max-12222776

Based on the deliveries to date, the $10B guesstimate seems reasonable.

[marchino61]

I'm surprised these settlements have been made before the Max is back in the air.

Do you think they will be revisited if the grounding is further extended?

[Twitter]

Probably there will be a clause that this is a full and final settlement to limit further damage.

[marchino61]

Originally Posted by Twitter

Probably there will be a clause that this is a full and final settlement to limit further damage.

Which is why I am surprised any airline would sign such a deal right now. For all they know, it could still be years before the Max is in the air again.

[Twitter]

It‘s probably a compromise. The airlines need their compensation now - Boeing settles early and loses less than in a harder future settlement.

[appleACE]

$30 million is only the portion with they are adding to the employee profit share, the total amount is greater than that and wasn't specified in the article.