Boeing (NYSE:BA) has passed through a period of significant turbulence due to the ongoing crisis with regards to its plane safety. Shares of Boeing have plunged 31% so far in 2024 as of close on Thursday, May 30, 2024.
Meanwhile, the stock is down 15% in the year-over-year period. The top aerospace and defense company has taken a beating in the press, but it has also made progress with federal regulators.
On Thursday, May 30, 2024, Boeing presented a plan to federal regulators that is aimed at improving the safety of its aircraft. After the meeting, the head of the Federal Aviation Administration (FAA) said that the agency would meet with Boeing senior executives on a weekly basis to monitor the implementation. “That’s really the hard part,” FAA administrator Mike Whitaker said. “I don’t think it will happen in the next few months.”
A Boeing 737 plane operated by Alaska Airlines in January was plunged into crisis after an unused door fell of during a flight. That left a hole on the side of the plane, stirring fear throughout the cabin. Five years ago, Boeing faced criticism after two 737 Max aircraft crashed in separate but similar incidents. Those accidents resulted in the deaths of 346 people.
Boeing’s outgoing CEO Dave Calhoun said that many elements in the plan had already been put into action. Moreover, he stressed that Boeing was committed to the plan’s execution.
Shares of Boeing have increased 3.19% month-over-month at the time of this writing. It remains to be seen whether this commitment with regulators will regain the trust of investors going forward.