Ryanair Passengers Reportedly Unshaken By Boeing Safety Drama, CEO O’Leary Says “We See No Indication Of Any Passenger Concern” – Ryanair Hldgs (NASDAQ:RYAAY)

Passengers of Ryanair Holdings Plc (RYAAY) are reportedly unfazed about flying on Boeing Company (BA) 737 aircraft, despite the recent grounding of several 737 MAX jets following a cabin panel blowout incident on an Alaska Air Group, Inc. (ALK) flight.

Chief Executive Michael O’Leary stated in an interview with Reuters that there is no indication of passenger concern regarding the Boeing 737 aircraft. He acknowledged that the MAX model faced significant challenges due to its two-year grounding in 2019 following two major crashes. However, O’Leary assured that the recent incident involving the MAX 9 model does not extend to the MAX 8 model, which Ryanair operates, or the MAX 10 model that the airline has on order.

While O’Leary acknowledged that Boeing has made improvements in production quality over the past two years, he also stated that there is still room for improvement. He expressed concerns about minor issues found in aircraft deliveries and emphasized the need for better quality control at Boeing and its supplier, Spirit Aerosystems Holdings, Inc. (SPR). O’Leary mentioned that changes in management have been made at Spirit Aerosystems’ facilities in Wichita, but more needs to be done in terms of day-to-day management in Seattle.

Despite these concerns, O’Leary expressed his unwavering commitment to Boeing for future orders and conveyed his confidence in Boeing’s CEO Dave Calhoun and Finance Chief Brian West.

The recent grounding of the MAX 9 airplanes by the U.S. Federal Aviation Administration (FAA) was a precautionary measure following the incident involving an Alaska Airlines flight. The FAA is working closely with regulators to investigate the issue and ensure the safety of passengers.

Overall, Ryanair passengers have shown confidence in flying on Boeing 737 aircraft despite the recent incident. The airline remains committed to its partnership with Boeing but has highlighted the need for ongoing improvements in production quality and management.

RYAAY shares are trading higher in premarket on Thursday, reflecting the positive sentiment among passengers and investors.

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