Transportation

Boeing Falls as Parts Issue Stifles 737 Max Deliveries

  • Tail-fittings flaw in popular single-aisle jet spurs pause
  • US airlines see no short-term impact but counting on 737 Max

A Boeing 737 Max

Photographer: Jason Alden/Bloomberg
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Boeing Co. is pausing deliveries of some 737 Max jets to address a production issue on the rear end of some aircraft, dealing a setback to the US manufacturer just as it ramps up production of the model that’s a major cash cow for the company.

The shares fell 6.1% to $200.49 as of 9:37 a.m. in New York Friday after Boeing said late Thursday it expects deliveries to decline in the near-term as it inspects affected aircraft. Spirit AeroSystems Holdings Inc., which supplies the faulty part, declined 18% — its biggest drop in more than three years — to $29.18.