Boeing is weighing a debt raise as it faces new complications over the return of its 737 Max.
Full coverage: Boeing 737 Max planes grounded in U.S. and around the world following 2 deadly crashesMeanwhile, American Airlines Group Inc. said it has reached a settlement with Boeing over the financial blow from the 737 Max grounding. The carrier said it would share about $30 million of the proceeds with employees.
American is the second U.S. carrier after Southwest Airlines Co. to negotiate 2019 compensation with Boeing. American said it expects “substantially all” of the settlement to be in the form of reduced aircraft costs for grounded planes and future deliveries. Employees will receive their payment through the airline’s profit-sharing program in March.
The company said, however, that it is too soon to know whether it will need to make any design changes, such as moving the wiring bundles farther apart. Boeing says it believes that other safeguards, including circuit breakers and insulation around the wiring, could be sufficient to prevent a short circuit from leading to another crash.
Boeing has been working for more than a year to fix MCAS, which was designed partly to save the plane from aerodynamic stalls that could cause it to fall from the sky. Boeing is making the system less powerful and linking it to two sensors instead of one for extra protection against the kind of sensor failures that occurred before the crashes in Indonesia and Ethiopia.before they can operate the Max again, the Journal reported Sunday.
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