financetom
Business
financetom
/
Business
/
flydubai says expansion plans hindered by Boeing delays
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
flydubai says expansion plans hindered by Boeing delays
Jul 22, 2024 3:30 AM

DUBAI (Reuters) - Budget carrier flydubai's fleet expansion plans have been hit by delays to Boeing's ( BA ) aircraft delivery schedule, the Dubai airline said on Monday.

Flydubai, the sister low-cost airline of flagship carrier Emirates, said it was "evaluating its route development plans and potential frequency revision across the network due to a lack of new aircraft deliveries over the next few months".

Demand for air travel has rebounded since the pandemic, but planemakers are struggling to boost production levels due to disrupted supply chains and a safety crisis at Boeing ( BA ).

Flydubai said Boeing's ( BA ) delivery delays in recent years have placed substantial pressure on the airline and its ability to plan for its projected growth in the wake of strong post-pandemic demand for travel.

The carrier said that due to revisions of the delivery schedule for 2024, Boeing ( BA ) was not expected to hand over 14 Boeing 737 MAX aircraft originally scheduled for the year.

Flydubai, which has more than 125 Boeing 737 MAX jets on order to be delivered over the next decade, urged the U.S. manufacturer to "honour and renew its commitment" to meet its delivery obligations.

It also said it was exploring options to reduce the impact of the delays, adding it had entered aircraft, crew, maintenance and insurance (ACMI) deals, without elaborating.

The carrier also flagged it had incurred additional costs as it had to extend the lease on some aircrafts it was planning to return under sale and leaseback agreements.

Flydubai says it is the largest operator of Boeing 737 MAX aircraft in the Middle East and Gulf Cooperation Council (GCC) region.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Coinbase Shares Tumble With Bitcoin: What's Going On With The Stock?
Coinbase Shares Tumble With Bitcoin: What's Going On With The Stock?
Jun 24, 2024
Coinbase Global, Inc. ( COIN ) shares are trading lower Monday after the price of Bitcoin fell below $62,000.  The Details: Bitcoin is down by nearly 5% over the past 24 hours, and Coinbase shares are moving lower as bitcoin retreats.  Investors are looking to the possible approval of a spot Ethereum (CRYPTO: ETH) ETF as the next potential cryptocurrency...
Green Shift Commodities Closes Private Placement, Sells Argentina Lithium Assets
Green Shift Commodities Closes Private Placement, Sells Argentina Lithium Assets
Jun 24, 2024
11:12 AM EDT, 06/24/2024 (MT Newswires) -- Green Shift Commodities ( GRCMF ) on Monday said it closed the final tranche of a private placement of share units, raising $2.1 million, and reached a deal to sell its lithium assets in Argentina. Under the second tranche of the offering, Green Shift issued 18.6-million units at $0.05 each, with each unit...
US Supreme Court rejects challenge to $2.7 bln Blue Cross settlement
US Supreme Court rejects challenge to $2.7 bln Blue Cross settlement
Jun 24, 2024
June 24 (Reuters) - The U.S. Supreme Court on Monday declined to hear a challenge to a $2.7 billion nationwide class action settlement with Blue Cross Blue Shield over allegations that the insurance giant overcharged commercial and individual subscribers for years. The justices without comment denied a petition from home improvement retailer Home Depot ( HD ) objecting to the...
Market Chatter: Carlyle, Goldman Sachs Lend $1.1 Billion Payment-in-Kind Note to Apex Group
Market Chatter: Carlyle, Goldman Sachs Lend $1.1 Billion Payment-in-Kind Note to Apex Group
Jun 24, 2024
11:05 AM EDT, 06/24/2024 (MT Newswires) -- Carlyle Group ( CG ) and Goldman Sachs' ( GS ) private credit platform have lent a $1.1 billion payment-in-kind note to Apex Group, Bloomberg News reported Monday, citing a statement from the firm. The funding is expected to support growth, the report added, citing the statement. Carlyle, Goldman Sachs ( GS )...
Copyright 2023-2026 - www.financetom.com All Rights Reserved