Page 90 - World Airnews Magazine February 2020 Edition

HANGAR
TALK

AIRLINE

STOCKS

DROP

Airline stocks fell after the

recent shooting down of a
Max 737. Photo by Aaron
Barnaby on Unsplash
hitting the sector hardest” given the flood of bad news.

Shares in Ryanair (RYA.L) fell 1%, shares in British Airways-owner

tocks in airlines and aerospace companies fell after another IAG (IAG.L) dropped 1.3%, and Norwegian Air (NAS.OL)’s stock fell
SBoeing (BA) aircraft crashed, the plane manufacturer made 0.7%.
concessions on its grounded 737 Max jet, and oil prices rose. Engineering group Senior (SNR.L) dropped 0.7% in London. The
The recent crash of a Boeing-737 plane with 176 people on board company has previously warned that Boeing’s 737 Max issues
in Tehran has had far reaching consequences. It was operated by a would hit margins.
Ukrainian carrier and the Ukrainian embassy in Tehran said - at first Rolls-Royce, which builds engines for Boeing, was down 0.8%.

that the crash was caused by an engine failure. Melrose Industries (MRO.L), which owns aerospace parts maker
There were no survivors. GKN, declined by 1.7%. In Paris, Safran (SAF.PA) lost 1%. The com-
This later turned out to be inaccurate as the Iranian Revolution- pany makes landing gear and other components used in the 737

ary Guard’s Aerospace Force – a unit operating inside the country Max. In Frankfurt, MTU Aero Engines (MTX.F) lost 0.8%.

- accepted responsibility. Hewson told Yahoo Finance UK Boeing’s climbdown on the flight

Separately Boeing has said it would bow to pressure and rec- simulator was potentially the biggest blow to suppliers as “there’s

not an infinite number of simulators so that will mean it’ll take a

ommend pilot training to fly its 737-Max jets to do so in a flight
THE BEST TIME TO FLY THE BEST IS NOW
hell of a lot longer to get them back in the air, assuming it is cleared
simulator. The manufacturer had resisted earlier calls for simulator

training as it would likely delay the roll-out of its new jet. to fly again at all.”

The 737 Max has been grounded globally since March 2019, after Authorities continue to investigate problems with the 737 Max.

Introducing the brand-new PC-12 NGX, the most advanced single-engine turboprop ever. Featuring
The incident has so far cost Boeing at least (US) $9.2bn (£7.1bn).
two crashes that killed hundreds of passengers.
Russ Mould, investment director at stock-
Elsewhere, rising tensions in the Middle
general aviation’s first Electronic Propeller and Engine Control System, a digital autothrottle,

East pushed oil prices higher, after Iran fired broker AJ Bell, said the Iran crash “comes at

enhanced avionics with smart touch screen controller. And all that at reduced operating costs and
a time when Boeing is already on the back

missiles at US bases in Iraq in retaliation

for the killing of general Qasem Soleimani
more speed. With the PC-12 NGX, Pilatus just made the best even better. foot thanks to the disasters associated with
the 737 Max.”
recently.

The flurry of bad news hit stocks in “This is a different, if I believe related,

airlines, which depend on oil to fly, and aircraft but it could put extra pressure on
www.pilatus-aircraft.com Boeing and potentially its supply chain,

aerospace engineers, many of which do

large amounts of business with Boeing. Mi- depending upon the findings of the investi-

chael Hewson, chief market analyst at CMC gation of the causes of the tragedy,” Mould
Markets, said it was “difficult to say which is

Contact Pilatus PC-12 Centre Southern Africa, your nearest Authorised Pilatus PC-12 told Yahoo Finance UK. Q
NGX Sales Centre for further information on World Airnews | February 2020
— 64 —
Tel: +27 11 383 0800 or Email: aircraftsales@pilatuscentre.co.za