Some rather good news - engine issues with Boeing 737 Max-8Although the Max-8 is not a direct competitor to the C-series, it is not unhelpful to Bombardier that Boeing is also experiencing engine challenges. It may also provide helpful perspective to future buyers..... see article below, from the Financial Times:
https://www.ft.com/content/b218148c-35b7-11e7-99bd-13beb0903fa3 5 HOURS AGO by: Peggy Hollinger in London and Patti Waldmeir in Chicago
Boeing on Wednesday suspended test flights of its new 737 Max-8 single-aisle passenger jet after discovering problems with the engine. The US aircraft maker said it was taking the precaution after CFM, a 50/50 joint venture between General Electric of the US and Safran of France, reported anomalies in the manufacturing of the Leap 1B engine that powers the new-generation jet. Both Boeing and CFM insisted that the suspension was only temporary and a cautionary measure. Delivery of the first 737 Max-8 remained on schedule for later this month, they said. Boeing shares initially edged back on the news as investors reacted to the possibility of a troubled entry into service of the short-haul aircraft. Boeing is fighting to regain market share in the booming single-aisle market, where its 737 Max has fallen behind Airbus’s A320 family. Although rival Airbus is also facing delays in deliveries of its A320neo single-aisle because of problems with its Pratt & Whitney geared turbofan engine, the most recent difficulties highlight the risks facing the two manufacturers as they race to step up production of a range of new-generation engines and aircraft. One analyst suggested that if the anomalies proved more difficult to resolve than expected, Boeing might have to replace 737 Max deliveries by ramping up production of the existing generation single-aisle, the 737 NG. “Unfortunately for Boeing, this could mean selling these extra 737 NGs at below average prices, and probably leads to unhelpful inventory build on the Max as planes essentially sit waiting for engines,” said Rob Stallard of Vertical Research Partners. However, another analyst suggested that the problem would be resolved quickly. “This doesn’t look like a serious concern because Boeing says it still expects to deliver the first 737 Max this month and the engine ‘problem’ is not a design shortfall but what appears to be an easily fixable sub-tier supplier component issue,” said Cai von Rumohr of Cowen.