Despite the continuous grounding of Boeing 737 Max planes in the wake of two recent deadly crashes, Southwest Airlines has no plans to cancel its order for hundreds.
“Obviously, at this point in time, we don’t have any plans to change there,” said Gary Kelly, chairman and chief executive, Southwest Airlines. “But like anyone, we’ll have to constantly evaluate what’s available in the marketplace. And we’ve been a Boeing customer all these years, and I think chances are we’ll continue to be a Boeing customer.
“It’s a very good airplane, but Boeing has acknowledged that they’ve got some things they need to address with the software in that airplane. It seems like it’s a relatively straight-forward modification. We’re obviously anxious to get the airplane back in service.”
Southwest and American Airlines canceled hundreds of Boeing 737 Max flights into August because the planes continue to be out of service. Southwest, which has a large fleet of the plane, lost about $150 million in the first quarter — some attributed to the grounding. Still, Kelly praised Boeing and didn’t indicate it would ask the plane manufacturer to cover any of those losses.
“There are definitely significant damages. I think it’s a little premature to say exactly how we’ll proceed, but we’ve had a wonderful partnership, if you will, with Boeing Co.,” he said. “Boeing is one of America’s great companies going back over a century, so I have every reason to believe that they’ll continue to be a good partner for Southwest.”
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