Transportation

Alaska Air Cites ‘Challenging’ Start to 2024 With Boeing Max Grounding

  • Carrier sees $150 million impact from flight disruptions
  • Company’s fourth-quarter earnings beat analysts’ estimates
An Alaska Airlines Boeing 737 Max-9 aircraft.Photographer: David Ryder/Bloomberg
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Alaska Air Group Inc. expects slower growth this year and a financial hit of $150 million after a midair accident led to the grounding of a portion of its Boeing Co. 737 planes.

Flight capacity in 2024 will be at or below the low end of its prior expectation for 3% to 5% growth, the Seattle-based airline said Thursday in a regulatory filingBloomberg Terminal. Including the negative financial impact, adjusted earnings will be $3 to $5 a share, while analysts expected $5 on average.