WestJet CEO says Boeing 737 Max grounding a ‘substantial loss’ ahead of buyout – Global News

By Staff The Canadian Press WestJet chief executive Ed Sims says the grounding of the Boeing 737 Max is having a “substantial negative impact” on the airline, even as the company reported robust earnings in its first full quarter without the fuel-efficient jetliner and on the cusp of its acquisition by Onex Corp.In a phone…

WestJet CEO says Boeing 737 Max grounding a ‘substantial loss’ ahead of buyout – Global News

By
Staff
The Canadian Press

WestJet chief executive Ed Sims says the grounding of the Boeing 737 Max is having a “substantial negative impact” on the airline, even as the company reported robust earnings in its first full quarter without the fuel-efficient jetliner and on the cusp of its acquisition by Onex Corp.In a phone interview, Sims said the grounding — now expected to continue at least through November — has forced WestJet to increase spending on fuel and cut its routes.

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Sims declined to quantify the financial hit, saying he is in discussions with Boeing about the “substantial loss” of WestJet’s 13 Max 8s, which comprise about 10 per cent of the carrier’s seat capacity.WestJet nonetheless beat analysts’ expectations with a 380 per cent profit increase year over year to $44.3 million last quarter, as a boost in passengers bumped up revenue 11 per ce
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