Ryanair demands compensation from Boeing for aircraft delivery delays

Ryanair is demanding compensation from Boeing for worsening aircraft delivery delays that have forced the airline to lower its forecasts for passenger numbers and warn it is on the cusp of cancelling some flights this summer. Michael O’Leary, Ryanair’s CE, said he was “genuinely not sure” how many 737 Max aircraft Boeing will deliver in time for the peak summer months, noting the US aerospace company was plunged into a manufacturing “shit show” after the fuselage blowout on an Alaska Airlines flight in January.  Boeing has encountered intense scrutiny over the incident, and the US aviation regulator has blocked it from expanding production of the 737 Max, its most popular plane. Alaska Airlines and Panama’s Copa Airlines have called for Boeing to compensate for the losses caused by the accident and the subsequent grounding of planes. O’Leary’s comments show Boeing could face more compensation claims for the delays across its production process. “There is a debate with Boeing as to whether we’re entitled to some compensation for these delayed deliveries,” O’Leary said at a press conference on Friday. He said the discussions centred on whether the production issues constituted “excusable delays”, which would not be liable for compensation as laid out in the contract with Boeing. “We’ve been very firm with the view it’s inexcusable,” he adding: “Our growth has been constrained because at this point in time we don’t really know how many aircraft we are going to get . . . there is a shit show going on in [Boeing’s main production line] Seattle,” he said.  Ryanair had expected to receive 57 737 Max-8 aircraft by June to deploy over the peak summer months, but has been regularly revising down its estimates as manufacturing issues have gripped Boeing.<br/>
Financial Times
https://www.ft.com/content/a00a1875-a3ee-4c38-aee8-8267cc1459fe
2/26/24