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Boeing CDR (CAD Hedged)
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Globe/wire say IATA sounds off against Boeing suppliers

2024-12-11 08:24 ET - In the News

The Globe and Mail reports in its Wednesday edition that global airlines lobby group International Air Transport Association (IATA) forecast industry-wide 2025 revenue of more than $1-trillion (U.S.) and record passenger numbers, despite what its chief Willie Walsh said on Tuesday were "unacceptable" difficulties in securing new planes. A Reuters dispatch to The Globe says that airlines around the world have seen their growth hampered by delays in jet deliveries stemming from problems at Boeing and Airbus SE as well as their suppliers. Without newer, more efficient planes, airlines say they cannot cut back fuel costs while flying more people. "We've given them time. I think our patience has run out. The situation is unacceptable," the IATA director-general told reporters in Geneva. Mr. Walsh said suppliers were acting like "quasi-monopolies" and appeared to be benefiting from the problems they had caused. Critics say the delays have pushed up prices of spare parts, creating a windfall for suppliers at the expense of airlines. Airbus, the world's largest plane maker, cut delivery targets in July and Boeing has slowed production because of a strike and increased regulatory attention following a safety crisis.

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