The blame for fires and potential mechanical failures on a large portion of the Boeing Co. (NYSE: BA) fleet has been put at the feet, for the time being, of Honeywell International Inc. (NYSE: HON), which made the beacon parts most recently in question. But since Boeing picked, vetted and tested the components, and they have been installed on its planes, the final responsibility for their functioning falls to Boeing.
One of the largest challenges for Boeing is that the beacon was installed on the much maligned 787, although the inspection of the beacons ranges to some 747, 787 and 777 aircraft. Given the broad array of the number of models, any competent group of Boeing engineers should have caught on.
The FAA already has damaged Boeing’s image through the grounding of new 787 Dreamliners, as it inspected the planes for battery fires. Just three month’s later, the FAA is back in the manufacturer’s face. According to Reuters:
The U.S. Federal Aviation Administration on Thursday instructed airlines to remove or inspect Honeywell fixed emergency beacons in the model which caught fire, the 787, but has not so far widened its mandatory checks to other models.
If the problem is universal, Boeing should worry that more groundings are likely and that the 787 could go through another bruising period in which its reputation is further damaged. There are rumors that JAL and ANA each asked for reparations for the periods that their Dreamliners were out of commission due to the battery problem.
So far, Boeing has avoided cancellations of the 787 by its carrier customers, but these carriers are anxious about the public’s reaction to what became a front page story. The problem is severe enough that Boeing has considered ways to support carrier efforts to ease the anxiety.
However, like supplier issues Boeing had with parts for the 787 early in its construction, it is the manufacturer that is ultimately at fault for its suppliers’ mistakes. And, again Boeing has failed that test.
Essential Tips for Investing (Sponsored)
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.