Business Standard

Boeing fined $3.9 mn for defective parts in 130 planes

- DAVID SHEPARDSON

The Federal Aviation Administra­tion (FAA) said on Friday it seeks to impose a $3.9 million fine on Boeing Co, alleging it failed to prevent the installati­on of defective parts on about 130 737 NG airplanes.

The FAA alleged that Boeing “failed to adequately oversee its suppliers to ensure they complied with the company’s quality assurance system ... Boeing knowingly submitted aircraft for final FAA airworthin­ess certificat­ion after determinin­g that the parts could not be used due to a failed strength test.”

In a statement on Friday, Boeing did not admit liability but said they were aware of the FAA’S concerns.

“We are working closely with our customers to take the appropriat­e corrective actions,” spokesman Charles Bickers said.

The company has 30 days to respond either by paying the fine or challengin­g it; Boeing said it would review the penalty.

The FAA disclosed in June that 300 NG and 737 MAX airplanes could contain improperly manufactur­ed parts and said it would require these parts to be quickly replaced. The fine announced on Friday only relates to NG airplane components, the FAA said, but it is continuing to review the issue as it relates to the

MAX.

The parts at issue are tracks on the leading edge of the wings used to guide the movement of slats that provide additional lift during takeoff and landing, the FAA said. The issue could result in a slat striking an airplane, potentiall­y resulting in injury to passengers or preventing a safe landing.

The FAA said Boeing’s oversight failure “resulted in the installati­on of slat tracks that were weakened by a condition known as hydrogen embrittlem­ent that occurred during cadmium-titanium plating.”

Boeing reiterated on Friday it had not been informed of any in-service issues related to the batch of slat tracks in question. It added that “all affected 737 NGS have been inspected and all slat track installati­ons determined to be required have been completed on the NGS.”

The NG is the third-generation 737 that the company began building in 1997.

Boeing’s safety record has come under criticism from some in Congress, as has the FAA’S certificat­ion of the 737 MAX, which has been grounded since March after two fatal crashes killed 346 people. Boeing said it will ensure “all inspection­s and any necessary part replacemen­ts are performed on all 737 MAXS before they return to service.”

The company has 30 days to respond either by paying the fine or challengin­g it; Boeing said it would review the penalty

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