Boeing Saw a Drop in Deliveries in May for This Reason

As 737 Max planes remain on the ground, Boeing announced that its deliveries had seen a 56% drop in May.

The company announced on Tuesday that it handed over 56% fewer airplanes in May compared with a year earlier. The 737 Max jet has remained suspended since March when an Ethiopian Airlines 737 Max plane crashed and killed everyone on board.

Boeing revealed that total deliveries fell to 30 planes, compared with 68 in 2018. Net orders for the first five months also remained in negative territory, with a total of minus 125 net orders.

According to an announcement from the U.S. Federal Aviation Administration earlier this month, more than 300 of the 737 Max jet and the prior generation 737 may contain improperly manufactured parts and that the agency will require these parts to be quickly replaced.

Boeing has said that it is working with global regulators to certify a software update for the jet as well as related training and education material to safely return the plane to service.

Delta’s CEO Ed Bastian recently said the Boeing 737 Max 8 scandal was “unthinkable” for the aviation industry but he stands by Boeing.

“Honestly, it’s somewhat unthinkable what’s happened, and I think … we’ve been traumatized as an industry,” Bastian said. “We’re still wrapping our minds around what happened.”

“Sixty percent of our airplanes that we fly are Boeing,” said Bastian to Recode’s Kara Swisher and Jason Del Rey at the 2019 Code Conference this week. “Boeing has been the most successful aviation company in the world.”

Bastian has also said that he has the “utmost confidence” that Boeing will fix the problem.

Disclaimer: We have no position in Boeing Co. (NYSE: BA) and have not been compensated for this article.