Indonesian airline wants to cancel 49 Boeing Max8 order after crash
JAKARTA, Indonesia (AP) — In a blow for Boeing, Indonesia’s flag carrier is seeking the cancellation of a multibillion dollar order for 49 of the manufacturer’s 737 Max 8 jets, citing a loss of confidence after two crashes in the past six months.
It is the first announcement of a cancellation since Boeing’s new model aircraft were grounded following fatal crashes in Indonesia and Ethiopia.
PT Garuda Indonesia, which had ordered 50 Max 8 jets in 2014 and had received just one plane last year, has sent a letter to Boeing last week requesting to cancel the order worth $4.9 billion, the company’s spokesman Ikhsan Rosan said Friday.
The carrier has so far paid Boeing about $26 million for the order.
Garuda joined other airlines worldwide in grounding its one Max 8 jet after the crash of an Ethiopian Airlines flight this month which killed all 157 people aboard.
It came less than five months after 189 people died in the October 29 crash of another Max 8, operated by Indonesian private carrier Lion Air.