Boeing Co said on Wednesday, May 10 it had temporarily halted test flights of its new 737 MAX aircraft due to an issue with the engine, which is jointly made by General Electric Co and Safran SA of France, Reuters reports.
The grounding comes days before Boeing was due to deliver its first 737 MAX to an airline and marks a high-profile delay in a program that Boeing had said was ahead of schedule.
It poses no safety concerns for travelers because no airlines are yet flying the 737 MAX but it could mean a costly disruption if the problem persists. Timely delivery is important to planemakers as they get most of the payment for a plane when it is handed to the buyer.
Boeing and engine maker CFM said they do not know how long the delay will last.
Boeing shares fell 1.3 percent to $183.15 in afternoon trading on the New York Stock Exchange. GE shares were down 0.9 percent at $28.67.
The 737 MAX replaces an older version of Boeing's best-selling single-aisle aircraft, a key moneymaker for the aerospace company. The 737 MAX 8, the first version of the plane to be built, seats 162 passengers in a typical two-class configuration. It carries a list price of $110 million but airlines typically receive steep discounts.
Separately, Airbus said it was continuing flights with its A320neo, which is powered by the similar LEAP-1A engine and is flying customers.
