Boeing Co.’s (BA) stock is down 5% after the commercial aircraft manufacturer halted deliveries of some 737 MAX airplanes due to technical issues.
Specifically, Boeing said that it has run into quality problems with the parts of the 737 MAX aircraft that are manufactured by Spirit AeroSystems (SPR).
Spirit makes fuselage, thrust reversers, engine pylons and wing components for the 737 MAX airplanes. Its stock is down 15% on news of deliveries being halted.
Boeing said the issue pertains to aft fuselage fittings supplied by Spirit that date back to 2019.
Boeing warned that the problem will likely affect a significant number of undelivered 737 MAX airplanes both in production and in storage and could result in lower deliveries worldwide.
The problem impacts a portion of the 737 MAX family of airplanes, including the MAX 7, MAX 8, and MAX 8200 aircraft.
In February of this year, Boeing had to temporarily halt deliveries of its 787 Dreamliner aircraft to conduct additional analysis on a fuselage component issue.
The Boeing 737 MAX aircraft were grounded worldwide between March 2019 and December 2020 after 346 people died in two crashes of the airplanes.
Boeing’s stock is up 17% in the last 12 months at $213.59 U.S. per share.