Trump urges Boeing to fix, ‘rebrand’ grounded 737 Max planes

American Airlines extends Boeing 737 Max cancellations through August

Southwest Airlines have not seen a good first quarter, with the airline warning investors that they've canceled over 10,000 flights since mid-February. As for American Airlines, CNBC reports its decision will affect about 1.5% of its summertime flights.

Low-priced carrier Southwest, which unlike its rivals only flies Boeing 737s, had estimated $150 million in lost revenue between February 20 and March 31 alone due to MAX cancellations and other factors.

Boeing's 737 MAX planes remain grounded worldwide after two crashes in five months killed 346 people. Planes run fullest during June, July and August, when airlines earn the most revenue per available seat mile, according to US Bureau of Transportation Statistics.

In a letter to pilots and employees, American Airlines President Robert Isom and CEO Doug Parker said the airline is confident that Boeing and the FAA will recertify the Max jet before mid-August, at which time the airline would bring the planes back into service as spares to supplement its operations throughout the summer. American cancelled 350 out of Dallas-Fort Worth Saturday, but that had nothing to do with the Max, said spokesman Ross Feinsten. "That is why if we have to extend cancellations based on aircraft availability we will do so as far in advance as possible".

With fewer seats available for peak travel, analysts say there could be higher last-minute summer fares, especially for business class travellers.

In remarks on Thursday, Muilenburg said the company had completed 96 test flights totaling a little over 159 hours of flight time on 737 Max jets with the updated software.

A few days later, he called for the grounding of all Boeing 737 MAX planes in the USA despite Boeing and the FAA's earlier statements of confidence in the aircraft.

American explained on its website that not all flights previously scheduled on a MAX would be cancelled, because the airline planned to use other aircraft for some flights.

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