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Boeing Discovers A Third Production Issue That Prematurely Fatigues Most Dreamliners

The Boeing Co (NYSE: BA) said Tuesday that the tail sections of 787 Dreamliner planes made at its Salt Lake City facility were joined together improperly, the Wall Street Journal reported.

· 09/09/2020 01:18

The Boeing Co (NYSE:BA) said Tuesday that the tail sections of 787 Dreamliner planes made at its Salt Lake City facility were joined together improperly, the Wall Street Journal reported.

What Happened: The disclosure makes it the third quality-control issue associated with the long-haul plane, according to the Journal.

The aerospace manufacturer said that the problem doesn't cause “immediate safety of flight issue,” but could lead to premature material fatigue of carbon-composite structures in the horizontal stabilizer. According to Boeing, the tail section issue affects nearly 893 out of the nearly 1,000 Dreamliner jets produced to-date. 

The Chicago-headquartered aircraft maker said the issue will be fixed on planes that haven't yet been delivered, while it assesses if enhanced inspections are required on planes already in service, as per the Journal.

Why It Matters: Boeing faces scrutiny from the United States Federal Aviation Administration for non-compliance with its own manufacturing standards on the Dreamliner.

Other lapses have led to grounding in August of eight Dreamliners, which are under repair, the Journal reported earlier.

Boeing has notified United Airlines Holdings Inc (NASDAQ:UAL) and other international carriers about the need for repair on the planes.

FAA’s investigations into the three manufacturing flaws have been combined into one single probe, people familiar with the matter told the Journal.

The company has reportedly admitted that quality issues will affect its deliveries in the “near term.”

In August, the company reported 13 aircraft deliveries, the highest since March, as per the Journal.

Price Action: Boeing shares closed nearly 5.8% lower at $161.08 and fell almost 0.7% in the after-hours session.

Photo courtesy: Adam Moreira via Wikimedia