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Boeing (NYSE:BA) may be at risk of losing customers amid the Alaska Airlines door debacle and delays of his Max 10, but it may have a new fan in Latam Airlines (OTCPK:LTMAY).
The Santiago-based carrier currently operates no Boeings, but is eyeing up to 25 737s operated by rival Gol Linhas Aereas Inteligentes (OTCPK:GOLLQ), which filed for Chapter 11 in New York last week.
Gol operates 737-700, 737-800, 737-8 MAX and 737-800 BCF aircraft. Latam reached out to Gol saying that it was interested in discussing the possibility of leasing 20 to 25 airplanes amid “recent events,” Valor Economico reported, citing people familiar with the matter.
With a resurgence in international traffic and domestic air travel back to pre-pandemic levels,
Boeing last year projected global demand for 42,595 new commercial jets by 2042, valued at $8T amid a resurgence in international traffic and domestic demand. Passenger traffic is outpacing global economic growth of 2.6% and the global fleet is expanding 3.5% per year.
Gol filed for Chapter 11 as Brazilian airlines received no financial support during the pandemic and have struggled to stage a comeback as its U.S. peers have.
Boeing this week said it suspended its financial forecast for the year amid safety issues facing the 737 Max jetliner. The planemaker reported revenue of $22B on Wednesday, better than the $21.1B expected by Wall Street analysts, and an adjusted loss per share of $0.47 the beat the estimated loss of $0.79.
In early January, a panel on a 737 Max 9 flown by Alaska Airlines (ALK) blew out minutes after takeoff from Portland, Oregon, forcing an emergency landing. The Federal Aviation Administration grounded 171 Max 9 planes, which are now back in service.
United Airlines (UAL) said last month it may ditch the 737 Max 10 amid delays of the model and the grounding of the jets. Chief Executive Officer Scott Kirby said the Max 10 is at least five years delayed.
