Crisis for Boeing as ‘Safest Airliner' Crashes for First Time
The Boeing 787 Dreamliner that crashed Thursday in India had been plagued with engineering issues—despite being hailed as one of the world's safest commercial aircraft.
Having never previously had a fatal accident while transporting more then one billion passengers since entering service in 2011, the jetliner was praised for its safety Monday by air travel website AviationA2Z.
It said: 'The aircraft's composite construction provides enhanced durability and fatigue resistance compared to traditional aluminium structures.
'The aircraft features sophisticated health monitoring systems that continuously assess component performance and predict maintenance requirements. This proactive approach to maintenance significantly reduces the likelihood of in-flight failures that could compromise safety.'
Yet beneath the hype, the Dreamliner has had a long history of engineering concerns. In January 2013, two lithium‑ion battery fires—one in-flight with ANA and another while parked in Boston—prompted the Federal Aviation Authority (FAA) to ground the entire fleet, the first time that the FAA had grounded an airliner type since 1979.
From about 2019, quality‑control alarms began sounding. Gaps and faulty shims—fillers used to plug the gaps—in tail sections prompted grounded aircraft and a temporary halt in deliveries.
Then, in April 2024, Boeing engineer Sam Salehpour blew the whistle, claiming the company 'used shortcuts' and flagged issues such as 'drilling holes incorrectly' and forcing components into place—raising fears these defects could degrade structural integrity over time.
Boeing disputed the allegations, insisting that the jets were safe.
The company did not immediately respond to a request for comment from The Daily Beast.
Boeing's shares were down about 7.5 percent at $197.82 in premarket trading. 'It's a knee-jerk reaction (to the incident) and there's revised fears of the problems that plagued Boeing aircraft and Boeing itself in recent years,' said Chris Beauchamp, analyst at IG Group, quoted by Reuters.
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CNN
an hour ago
- CNN
India launches inspection of Boeing 787s after Air India crash
India's government is urgently inspecting all Boeing 787s after a devastating Air India crash that claimed at least 270 lives this week, the aviation minister said on Saturday, adding that the authorities were investigating all possible causes. The aviation regulator on Friday ordered Air India to conduct additional maintenance checks on its Boeing 787-8/9 aircraft equipped with GEnx engines, including assessments of certain take-off parameters, electronic engine control tests and engine fuel-related checks. 'We have also given the order to do the extended surveillance of the 787 planes. There are 34 in our Indian fleet,' aviation minister Ram Mohan Naidu told a media briefing in New Delhi. 'Eight have already been inspected and with immediate urgency, all of them are going to be done.' Air India operates 33 Boeing 787s, while rival airline IndiGo has one, according to data from Flightradar24. The planes, however, have not been grounded, but a source on Friday told Reuters the Indian government was considering that as an option. Naidu also said the government will look at all possible theories of what led to the crash. Air India and the Indian government were looking at several aspects of the crash including issues linked to its engine thrust, flaps, and why the landing gear remained open as the plane took off and then came down, Reuters has reported. The Boeing BA.N 787-8 Dreamliner with 242 people on board bound for Britain's Gatwick Airport began losing height seconds after take-off on Thursday and erupted in a fireball as it hit buildings below, in what has been the world's worst aviation disaster in a decade. At least 270 bodies have been recovered from the site of the plane crash, Dhaval Gameti, president of the Junior Doctors Association at B.J. Medical College, told reporters. Only one of the 242 passengers and crew onboard survived while others were killed as the plane struck the medical college's hostel as it came down. The crisis has cast a shadow on Air India, which has for years struggled to rebuild its reputation and revamp its fleet after the Tata Group took over the airline from the Indian government in 2022. Tata's chairman said on Friday the group wants to understand what happened, but 'we don't know right now.' Naidu said a government panel was investigating the crash and will issue a report within three months. 'We are going to improve every necessary thing that is going to come our way, to improve the safety,' he said at the briefing, declining questions from journalists. Dozens of anxious family members have been waiting outside an Ahmedabad hospital to collect bodies of loved ones killed in the crash, as doctors were working overtime to gather dental samples from the deceased to run identification checks and DNA profiling. Rafiq Abdul Hafiz Memon, who lost four relatives in the incident, said he was not getting any answers from authorities and was 'very hassled.' 'We have lost our children … we are not understanding anything. Please help us get information about our children. Tell us when they are going to release their bodies,' Memon said. Another father was upset about not being able to get the body of his son, Harshad Patel, saying he was told by authorities it will take 72 hours for DNA profiling. 'The authorities are trying to help but our patience is running out,' he said. Most bodies in the crash were badly charred and authorities are using dental samples to run identification checks. Jaishankar Pillai, a forensic dentist, told reporters on Friday they had the dental records of 135 charred victims, which can then be matched through reference to victims' prior dental charts, radiographs or other records. Even for doctors, things are getting difficult, as the plane struck a hostel building of the B.J. Medical College, where many of the dead are undergoing identification checks. 'Most of us are struggling with our emotions and are mentally disturbed because of the loss of friends and colleagues,' said one doctor who did not wish to be named. 'The loss of so many colleagues and friends in this incident is difficult.'
CNN
an hour ago
- CNN
India launches inspection of Boeing 787s after Air India crash
India's government is urgently inspecting all Boeing 787s after a devastating Air India crash that claimed at least 270 lives this week, the aviation minister said on Saturday, adding that the authorities were investigating all possible causes. The aviation regulator on Friday ordered Air India to conduct additional maintenance checks on its Boeing 787-8/9 aircraft equipped with GEnx engines, including assessments of certain take-off parameters, electronic engine control tests and engine fuel-related checks. 'We have also given the order to do the extended surveillance of the 787 planes. There are 34 in our Indian fleet,' aviation minister Ram Mohan Naidu told a media briefing in New Delhi. 'Eight have already been inspected and with immediate urgency, all of them are going to be done.' Air India operates 33 Boeing 787s, while rival airline IndiGo has one, according to data from Flightradar24. The planes, however, have not been grounded, but a source on Friday told Reuters the Indian government was considering that as an option. Naidu also said the government will look at all possible theories of what led to the crash. Air India and the Indian government were looking at several aspects of the crash including issues linked to its engine thrust, flaps, and why the landing gear remained open as the plane took off and then came down, Reuters has reported. The Boeing BA.N 787-8 Dreamliner with 242 people on board bound for Britain's Gatwick Airport began losing height seconds after take-off on Thursday and erupted in a fireball as it hit buildings below, in what has been the world's worst aviation disaster in a decade. At least 270 bodies have been recovered from the site of the plane crash, Dhaval Gameti, president of the Junior Doctors Association at B.J. Medical College, told reporters. Only one of the 242 passengers and crew onboard survived while others were killed as the plane struck the medical college's hostel as it came down. The crisis has cast a shadow on Air India, which has for years struggled to rebuild its reputation and revamp its fleet after the Tata Group took over the airline from the Indian government in 2022. Tata's chairman said on Friday the group wants to understand what happened, but 'we don't know right now.' Naidu said a government panel was investigating the crash and will issue a report within three months. 'We are going to improve every necessary thing that is going to come our way, to improve the safety,' he said at the briefing, declining questions from journalists. Dozens of anxious family members have been waiting outside an Ahmedabad hospital to collect bodies of loved ones killed in the crash, as doctors were working overtime to gather dental samples from the deceased to run identification checks and DNA profiling. Rafiq Abdul Hafiz Memon, who lost four relatives in the incident, said he was not getting any answers from authorities and was 'very hassled.' 'We have lost our children … we are not understanding anything. Please help us get information about our children. Tell us when they are going to release their bodies,' Memon said. Another father was upset about not being able to get the body of his son, Harshad Patel, saying he was told by authorities it will take 72 hours for DNA profiling. 'The authorities are trying to help but our patience is running out,' he said. Most bodies in the crash were badly charred and authorities are using dental samples to run identification checks. Jaishankar Pillai, a forensic dentist, told reporters on Friday they had the dental records of 135 charred victims, which can then be matched through reference to victims' prior dental charts, radiographs or other records. Even for doctors, things are getting difficult, as the plane struck a hostel building of the B.J. Medical College, where many of the dead are undergoing identification checks. 'Most of us are struggling with our emotions and are mentally disturbed because of the loss of friends and colleagues,' said one doctor who did not wish to be named. 'The loss of so many colleagues and friends in this incident is difficult.'
Yahoo
an hour ago
- Yahoo
The Weekend: Shrinking economy casts a pall over Reeves' ambitious spending plan
It's been a week of big international headlines, mostly bad. A London-bound aeroplane came down barely a minute after take-off in Ahmedabad, India, killing all but one of the 242 passengers on board. The tragedy is a major setback for Boeing (BA), maker of the 787 Dreamliner involved, whose shares had been on a tear this year as its new boss tried to turn things around after a string of safety-related incidents. The plane maker's stock price took an immediate hit, falling almost 5%. On Friday the world woke up to news that Israel had launched a co-ordinated assault on Iranian nuclear sites and military facilities, killing two of the country's most senior commanders in the process. The attacks – the first of many to come according to Israel's prime minister, Benjamin Netanyahu – sparked immediate threats of retaliation from Iran. Oil prices shot up as traders pondered the possibility of Iran disrupting the flow of crude through the Strait of Hormuz or striking its Gulf neighbours' oilfields as it has done in the past. Unsurprisingly, gold prices benefited too, while stock markets didn't fare so well. Closer to home, finance minister Rachel Reeves delivered her eagerly awaited spending review, promising to put Britain on the path to "national renewal". Healthcare and defence were at the heart of the plan, with the NHS getting a £29 billion annual boost and the defence budget set to rise to 2.6% of GDP from the current 2.3%. There was an ambitious commitment of £39 billion to social housing, a £14.2bn investment pledged to the Sizewell C nuclear plant and a host of transport and infrastructure projects in cities outside London. But the optimistic tone of the announcements was undermined somewhat the very next day when official figures revealed the UK economy had shrunk by 3% in April, far more than the contraction expected by analysts. Reeves admitted it was a blow, as the government banks on spurring economic growth to fund its bold spending plans. Let's take a closer look at these and other stories from an eventful few days. Boeing stock slumps after deadly Air India plane crash It was reportedly the first deadly crash involving a Boeing 787 Dreamliner since its launch 14 years ago. Boeing's shares had gained more than 20% this year on the heels of a massive company turnaround following a brutal 2024 sparked by a "door plug" incident on an Alaska Airlines (ALK) flight. Five years prior to that the plane maker had suffered a serious crisis when two fatal crashes exposed critical flaws in the 737 Max 8 jet's software, leading to a 20-month global grounding of the aircraft. UK economy shrinks by 0.3% in April The shock reading for April came a day after chancellor Rachel Reeves unveiled a raft of pledges in the government spending review. The biggest contributor to the fall in GDP was a 0.4% drop in services output, while production output slumped 0.6%. The contraction came as an increase in employer national insurance contributions and the national minimum wage, which were announced in the autumn budget, came into place in early April. Professor Joe Nellis, economic adviser to accountancy and advisory firm MHA, said: "This is not an ideal scenario for the chancellor. The sustainability of her spending promises is critically dependent on changing this — kickstarting the economy to grow GDP and collect more revenue through tax receipts. "Without this, the chancellor may be forced into unwanted – and unpopular – tax increases in the autumn budget to keep public finances on track." Oil prices surge as Israel strikes Iran Iran has threatened to hit US assets in the region as part of its retaliation, even as secretary of state Marco Rubio warned against such a move. Rubio claims Israel took "unilateral action" and the US was not involved in Friday morning's strikes. Iran is the third-largest oil producer within the Organisation of the Petroleum Exporting Countries (OPEC), trailing only Saudi Arabia and Iraq, with output exceeding 3 million barrels per day. 'We can probably expect a temporary slowdown in oil tanker traffic through the Strait of Hormuz,' Ed Hirs, senior fellow at the University of Houston, said in an interview with Yahoo Finance. Tehran has repeatedly threatened to block the strait, a vital chokepoint through which as many as 20 million barrels of oil pass each day. Gold hits nearly two-month high as Israel attack spurs demand Gold prices shot up as the massive escalation of Middle East conflict spurred demand for traditional safe-haven assets. "Gold surged past resistance around $3,400 on news of the airstrikes, and further upside could be in-store should the escalation continue," said Tim Waterer, chief market analyst at KCM Trade. The rally has been further underpinned by growing expectations of monetary policy easing in the US. Recent data showing elevated jobless claims and muted producer price inflation have increased speculation that the Federal Reserve could cut interest rates, making non-yielding assets such as gold more attractive to investors. The UK's rental boom is over Rental price growth has slowed significantly, according to the latest figures from Zoopla, with the average rents for new lets agreed 2.8% higher in April than the same time a year ago. That's less than half of the average rental growth in April 2024, which stood at 6.4%, and the lowest growth in nearly four years. The slowdown is a result of weaker rental demand and growing affordability pressures, rather than an increase in supply, Zoopla said. The chancellor is determined that Wednesday's spending review won't come with a tax sting in the tail. Unfortunately, that pledge is resting on some very fine margins. If the government achieves the growth it wants and a potential funding gap emerges, taxes are likely to be in the frame. Columnist Sarah Coles, a personal finance analyst at Hargreaves Lansdown, examined the possibilities: Why Rachel Reeves' spending review may lead to tax rises Recent industry studies put the cost of a "moderate" retirement at £31,700 per year and a "comfortable" retirement at an eye-popping £43,900 per year. But before you throw your hands up in despair, take time to think about what you want or need from your post-career years – is it lots of travelling or something more sedate? You may find that what you need differs massively from these figures: How far will your pension go as retirement costs soar? Find more personal finance gems here UK inflation and interest rates will be the main focus in terms of economic data. Markets will be watching Wednesday's UK inflation reading for any signs of a cool off after April's jump to 3.5%, later revised to 3.4% due to an error in car tax data. The higher-than-expected figure was driven mainly by large increases in household bills. With that in mind, the Bank of England is expected to keep interest rates on hold at 4.25% on Thursday as it tries to keep price increases in check. The US Federal Reserve is due to announce its next interest rate decision next week too. The Fed is expected to keep rates on hold once again at its meeting on Wednesday, maintaining the 4.25%-4.50% range. On the company earnings front, investors will be keeping an eye on the latest results from US-listed consultancy firm Accenture (ACN), given the company narrowed its revenue growth guidance for the year and warned of the impact of federal spending cuts in its previous quarterly update. On the London market, Berkeley (BKG.L) is due to report, with focus expected to be on whether the housebuilder has any updates cash return plans. Premier Inn-owner Whitbread is another FTSE 100 (^FTSE) company due to update on its performance, following a slower start to year for its UK business. The Beach Boys frontman, widely regarded as a genius, left a gaping hole in the rock royalty family this week when he passed away at the age of 82. The troubled songwriter, who formed the band with his brothers, cousin and a friend in 1961, will always be remembered for his ability to craft sublime melodies, his innate gift for soaring harmonies and his relentless drive for studio perfection. The Beach Boys' 1966 Pet Sounds is frequently cited as one of the greatest albums ever made. Here's one of the best songs ever made, from that very album. Farewell Brian!
