Shares of Boeing Co (NYSE:BA) tumbled on Monday after one of its passenger planes was forced to make an emergency landing in Madrid due to engine issues.
Although the emergency landing was described as routine by people familiar with the matter , the news undermines Boeing’s efforts to clean up its image following the MAX 737 disasters [Global News].
Boeing’s stock price tumbled by as much as 1.1% on Monday, reaching an intraday low of $314.90. The Dow blue-chip fell 1.6% on Friday as part of a wider market selloff.
The stock would eventually close down 0.7% at $316.00. At current values, Boeing has a total market capitalization of $178.2 billion.
BA is down 29% from its 52-week high as the drama involving the grounded 737 MAX continues to unfold. In addition to regulatory scrutiny at home, Boeing is being asked by European aviation authorities to overhaul the wiring of its 737 planes. The edict could cost the company billions and rattle its extensive supply chain.
A Boeing 767-300 airplane operated by Air Canada had to abort its flight shortly after take off Monday due to a technical issue.
The airplane, which took off from Adolfo Suarez Madrid-Barajas airport in Madrid, had to circle back after part of its landing gear fell off and went into one of the engines [Reuters].
In an official statement, Air Canada said:
The aircraft, a Boeing 767-300, is designed to operate on one engine and our pilots are fully trained for this eventuality. Nonetheless, an emergency was declared in order to obtain landing priority. [Reuters]
The Toronto-bound plane was carrying 128 passengers.
The mishap is the latest in a string of controversies involving Boeing’s airplanes. Although the technical issue doesn’t appear to be related to Boeing’s manufacturing guidelines, it has once again brought negative attention to the company.
Air Canada joined its international counterparts in grounding Boeing’s 737 MAX jets last year but was prepared to let the plane resume flying in February [CBC]. Those plans were scrapped last month after Canada’s transport agency said Canadian airspace will remain closed to all MAX 737 aircraft.
In a Jan. 23 statement , Air Canada said it
has grounded its 24 737 MAX aircraft until further notice [Air Canada].