After Scott Kirby, the CEO of United Airlines, hinted the carrier would reconsider its Boeing 737 Max 10 on order earlier this year, the airline has now confirmed that it will adjust its fleet strategy.
The airline announced on its quarterly investment call that it plans to convert some of its Boeing Max 10 into Boeing Max 9 on order between 2025 and 2027 due to certification delays. United also said it “maintained the right to convert more Boeing Max 10 into Max 8 or Max 9 as needed.” With these aircraft delays, United also plans to lease 35 new Airbus A321neos to be delivered in 2026 and 2027.
“We’ve adjusted our fleet plan to better reflect the reality of what the manufacturers are able to deliver,” Kirby added in a statement.
The news comes as United estimated that it took a $200 million loss due to delays following the mid-air blowout of a door on an Alaska Airlines plane, resulting in the emergency grounding of the Boeing 737 Max 9 plane. For Q1 of 2024, United posted a net loss of $124 million, as it was forced to cancel thousands of flights amid the ongoing Federal Aviation Administration (FAA) investigation.
Despite the net loss, United remains optimistic for the rest of the year as revenue is up by 9.1%, and passenger demand continues to be strong. Currently, United has nearly 80 737 Max 9 aircraft that are back in service after thorough safety investigations.
Just last week, United postponed two new international flights to Faro in Portugal and Cebu, Philippines, that were slated to begin this summer. The airline also cited delays in FAA certification following recent safety incidents. A spokesperson for United told T+L passengers, “can receive full refunds or we will rebook their travel on one of our partner airlines without a fee.”