Ryanair Cuts Planned Capacity And Jobs Due To 737 MAX Delays
Ryanair has trimmed its passenger traffic forecast and said that it will cut summer capacity as well as an unspecified number of jobs as a result of further delays to Boeing's grounded 737 Max aircraft's return to service.
Ryanair has scrapped planned summer operations from bases in Nuremberg and Stockholm Skavsta, as well as some flights from other bases, "solely due to delivery delays" to MAX jets on order from Boeing, the company said in a statement.
"We are continuing to work with Boeing, our people, our unions and our affected airports to minimise these capacity cuts and job losses," Ryanair added.
A spokeswoman said that the company had no further comment.
The 737 MAX, Boeing's fastest-selling aircraft, was grounded in March after two crashes attributed to anti-stall software in which a total of 346 people died. US airlines have so far cancelled planned MAX flights until March and a return to service is likely to take longer in Europe.
Ryanair, which is one of the biggest MAX customers with 210 planes on order, is working with "a steadily declining number" of deliveries expected by summer, the group's chief executive, Michael O'Leary, said.
The group now anticipates that it will receive 10 MAX aircraft in time for the summer season, having previously reduced its expectations to 20 from the 60 originally scheduled.
It has also cut its traffic forecast from 157 million passengers to 156 million for the year to March 31, 2021.
Boeing took a $4.9 billion charge in the second quarter to cover anticipated compensation for its airline customers' lost business.
O'Leary previously said that MAX compensation could only be assessed once final delivery dates were known.
Last month, Ryanair said that it expected further delays to its MAX jets and could still be without them altogether next summer.