Boeing shares jump as company says 737 MAX should resume commercial flights in January

Boeing said it was possible resumption of MAX deliveries to airlines could begin in December but said getting approval for training changes would take more time

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Dozens of grounded Boeing 737 MAX aircraft are seen parked at Boeing Field in Seattle in July. Photo: Reuters

Published: 2:44am, 12 Nov 2019Updated: 5:46am, 12 Nov 2019

Boeing on Monday said it expected US regulators to approve the return to commercial service of its grounded 737 MAX jet in the coming weeks, and its shares jumped as investors grew more hopeful the plane maker had addressed software problems at the heart of two fatal crashes.

Boeing said it expected the US Federal Aviation Administration (FAA) to issue an order approving the plane’s return to service next month, but added it now expected commercial service to resume in January. Boeing shares rose 5 per cent on the company’s outlook.

On Friday, the FAA told US lawmakers a preliminary review by a blue-ribbon panel found Boeing’s design changes to a key safety system to be safe and compliant with regulations. The next step will be a multi-day simulator session with airline pilots from the around the world. Photo: AFP

As recently as last week, Boeing said it expected flights could resume by the end of December. On Monday, the company said it was possible that resumption of MAX deliveries to airline customers could begin in December but said getting approval for training changes would take more time.

American Airlines and Southwest Airlines said Friday they were pushing back resumption of 737 MAX flights until early March. Major airlines have said they will need at least a month to complete training and install revised software before flights can resume.

“We expect the Max to be certified, airworthiness directive issued, ungrounded in mid-December. We expect pilot training requirements to be approved in January,” said Boeing spokesman Gordon Johndroe.