Boeing facing huge payouts after pair of fatal crashes
BOEING is facing billions of pounds in compensation claims after investigators suggested two crashes were caused by its faulty technology.
Two Boeing 737 Max aircraft have crashed in the past six months, with no survivors.
Earlier this month, an Ethiopian Airlines flight crashed soon after take-off, killing all 157 on board.
Local authorities have blamed the plane’s anti-stalling system, the Wall Street Journal reported, mirroring the findings after a Lion Air plane crash in Indonesia last October which killed 189 passengers and crew.
On Thursday a lawsuit was filed against Boeing in Chicago by the family of Jackson Musoni who died in the second crash.
Boeing could also face claims from airlines around the world who have been forced to ground their 737 Max aircraft.
British travel firm TUI warned it will be saddled with a bill of up to £ 257milllion unless authorities provide clarity within the next few weeks that the aircraft will be cleared to fly before the middle of July.
Boeing declined to comment.
THE Boeing safety crisis that grounded its 737 Max planes across the world could cost travel firm Tui £259m in profits.
It owns 15 of the planes and has a further eight due by the end of May, and would take the hit from the cost of replacing the aircraft, higher fuel bills and other related expenses.
The planes were grounded after an Ethiopian Airlines flight crashed this month, killing all 157 passengers and crew.
If the disruption lasts until July, it is expected to cost Tui £173m. But this could swell to £259m if it does not become clear in the coming weeks that the planes will resume flying by mid-July.
Russ Mould, investment director at broker AJ Bell, said: ‘As if Tui needed another headache. Doubts about the economy and disruption from Brexit bubble away in the background.
‘After 2018 saw the wrong weather – Europeans sunning themselves at home – executives could be forgiven for brushing up on a rain dance to force sunseekers on beach holidays.’
Shares fell 4.4pc, or 34.2p, to 735.6p last night.