Boeing to rethink proposals for new mid-market jet

Boeing CEO David Calhoun says will “start with a clean sheet of paper” on a decision whether to launch a new midsize airplane seating 220-270 passengers, effectively halting current plans worth $15B-20B that had been overtaken by the 737 MAX crisis.

Calhoun “has asked the team to do an assessment of the future market and what kind of airplane is needed to meet the future market,” according to a company spokesperson.

Also hinting at a change of pace, a meeting between Boeing and a major potential supplier that originally was scheduled for next week was abruptly canceled with no new date set, Reuters reports.

The NMA had been designed to address a gap between single-aisle workhorse jets such as the 737 MAX and long-haul wide-body jets such as the 787, but Boeing has fallen behind in sales for the largest category of single-aisle planes, such as the 200-240-seat Airbus A321neo.

Analysts also have questioned whether Boeing, facing costs equivalent to a new program to fix the MAX crisis as well as delays on its large new 777X jet, would have the appetite for such a costly project at this time. seekingalpha.com