Live data from Hacker News

Boeing to Suspend 737 Max Production in January

wsj.com

251–260 of 273 posts

Re: Boeing to Suspend 737 Max Production in January

#251
post #228

Earlier quoted context omitted.

> Indeed. Though personally I feel perhaps Boeing should be left to fail, I'm considering going long if the stock slides further in the short term because I anticipate some form of bailout/buyout. I don't want to see it wind down as a going concern, but I wouldn't mind a bankruptcy and seeing the executives and board of directors fired with their compensation clawed back.

The only people that would suffer in a Chapter 11 would be the pensioners of Boeing. If anything, the executives would get bonuses to keep them in place during the restructuring. The already perilous union jobs, with good benefits etc, in Seattle would be lost and there would be a race to the bottom by other states to claim the production facilities.

>a race to the bottom by other states to claim the production facilities.

Instead of a race to the top where people can just say five infinity dollars?

Re: Boeing to Suspend 737 Max Production in January

#252

Earlier quoted context omitted.

> Indeed. Though personally I feel perhaps Boeing should be left to fail, I'm considering going long if the stock slides further in the short term because I anticipate some form of bailout/buyout. I don't want to see it wind down as a going concern, but I wouldn't mind a bankruptcy and seeing the executives and board of directors fired with their compensation clawed back.

It's unbelievable that the CEO still has his job.

Instead of being fired with $50 mil severance package?

Re: Boeing to Suspend 737 Max Production in January

#253
post #60

Earlier quoted context omitted.

The 737 Max is doomed without the MCAS, the entire reason it exists is to keep the same type rating the same to keep pilots from needing to re-certify. Airlines will have serious reason to consider other manufacturers if they can’t just throw pilots behind the stick with minimal training.

> The 737 Max is doomed without the MCAS, the entire reason it exists is to keep the same type rating the same to keep pilots from needing to re-certify. That's what Boeing wanted, but that doesn't mean they should get it. Anyway, I think "doomed" is overstating it. I would assume whatever training an existing 737 pilot would need to fly and MCAS-less MAX would be far less that what they would need to fly an Airbus.

Differences training only applies to aircraft that have the same type rating, there’s not any wiggle room in FAA rules for planes with different ones AFAIK (I’m not a pilot, so don’t quote me - just my cursory research).

Re: Boeing to Suspend 737 Max Production in January

#254

Earlier quoted context omitted.

The MAX can't be certified for civil air transport without MCAS. That's the rub. If Boeing could have built and certified the plane without it, they would have.

Are you sure? There's been a lot written about the reasons for MCAS and this is the first time I've seen anyone claim that the MAX couldn't be certified without it. Everyone else has stated that the reason for MCAS is so that MAX could be certified as a previous generation of 737 and therefore not require training for an established 737 pilot to fly.

I am.

https://www.seattletimes.com/seattle-news/times-watchdog/the...

Yes, you are correct in that part of the reason for it was to mimic the control forces of older 737's for avoiding the burden of simulator training.

However, you have to look at why it was a manufacturer would take the risk to make such a boneheaded implementation in the first place. Nothing goes into a mass-produced highly complex system without being very carefully thought through. It wasn't some "accident". It was a calculated act of value engineering. On the one hand, someone had wind tunnel results that said there would be a divergence from the old 737 force curves. On the other, you had a pile of solutions capable of fixing the problem, each with varying degrees of cooperation with regulators, time taken, and a price tag attached.

The FAA (if provided with the benefit of a doubt that they aren't covering their asses which I'm not necessarily willing to give given reports from the IG) has signalled that if they'd known what MCAS was, they'd have demanded more intense scrutiny and testing.

There was whistleblower testimony alleged in the 60 Minutes expose on the MAX, that Boeing intentionally engineered the system in such a way as to minimize outside scrutiny of the system (I.e. regulator attention) in order to get development done, and planes out the door.

What this signals is that there was pressure from management to get things done, which meant minimizing external exposure and exploiting every trick they knew to get a rubber stamp out of the regulator.

Now in terms of not being certifiable, I offer a brief bit of Boeing history. The D.P. Davies interview w.r.t the the certification of the 727 by the U.K. CAA. As a well-known test pilot, Davies goes into great detail to describe how the U.K. regulator was very particular about control forces on approach to stall for that aircraft; to the point that the 727 only got conditional airworthyness certification for civil transport via the addition of a stick pusher; a device intended to make it very clear the pilot was approaching a stall.

https://www.aerosociety.com/news/audio-the-d-p-davies-interv...

Some people at Boeing knew, or were in a position to know the behavior they were dealing with was of a type previously uncertifiable. Someone knew that if they could sneak the plane past the FAA, that reciprocity would shield the plane from further scrutiny unless something catastrophic happened.

I don't know who it was, nor do I know whether the paper trail will be enough to bear it out. American management nowadays tends to go out of their way to minimize paper trail and maximize "fill-in-the-blank" style communication to facilitate plausible deniability.

Re: Boeing to Suspend 737 Max Production in January

#255

Earlier quoted context omitted.

Also let’s be clear if the C919 actually works out they will be a serious competitor. The market for wide body aircraft is the one that captures all the imagination and attention but the narrow body sales are the bread and butter. That's a pretty large if. Head west a bit to Russia and see how they're doing in the international market. The Sukhoi SuperJet is, by most accounts, a great plane. Sukhoi managed to sell to…

The difference here is that China has a rich (and growing) internal market.

Yep! Which means it doesn’t even have to be better to win orders. It just has to be vaguely sufficient. Which is legitimately a tall order. But!

Let’s also remember there’s a government entirely willing to subsidize the growth of a native product. Russia already has an 80 year history of taking wildly diverse and frankly oddball aircraft designs and turning them into things that actually fly. Anyone who thinks that them partnering with a Chinese company can’t build a widebody isn’t paying attention. Who knows if it’ll be any good, it may not be competitive. But will they be able to make something that flies?

I’d happily bet on it.

Re: Boeing to Suspend 737 Max Production in January

#256

Earlier quoted context omitted.

Yes yes yes. But even if everything plays out like you say I don’t think you can say there’s no foreseeable future in which this happens. Please engage with the actual plans and state the technical details you know rather than saying that China has no roadmap do a thing they have a roadmap to do. Also let’s be clear if the C919 actually works out they will be a serious competitor. The market for wide body aircraft is…

Also let’s be clear if the C919 actually works out they will be a serious competitor. The market for wide body aircraft is the one that captures all the imagination and attention but the narrow body sales are the bread and butter. That's a pretty large if. Head west a bit to Russia and see how they're doing in the international market. The Sukhoi SuperJet is, by most accounts, a great plane. Sukhoi managed to sell to…

Sukhoi and Comac are still hugely dependent on the west to build these planes. Avionics and engines especially.

Boeing and Airbus don’t build their own engines. I don’t expect COMAC to try that in their first rodeo.

The metallurgy required to build a modern turbofan engine is incredibly exotic — outside of France, England, and the US it's simply not there.

If you’re betting on metallurgy to be the barrier to keep western technological advantage alive I think you’re in for a surprise.

Comac abandoned carbon fiber for the wings in favor of aluminum.

So they have gone back to using the material used to build every other narrow body plane on the market in this size category. I admit, a new design should use carbon fiber, but given that no one else is yet...

Sure they do. Network effects are huge with airliners. If your Embraer breaks down away from your maintenance base chances are you can buy / borrow parts from another airline. If you're the only one around flying, you're entirely reliant on the manufacturer — and Comac doesn't have any sort of international support network.

First off, airlines have purchased a ton of E175 family aircraft.

Second off, while a large international distribution is important, you don’t need to compete in the wide body market to get it.

Third off, COMAC can focus on the Chinese market to start and take it region at a time slowly expanding across Asia. From there South Asia and SEA is easy and both are big markets, Russia would welcome it with open arms and then they can take a whack at the middle eastern market and also be competitive anywhere Airbus and Boeing aren’t really playing that hard anyway. (Africa, etc.) All this well before getting around to Europe or North America.

If Boeing can deliver on a MAX replacement it's doubtful that Comac will move the needle much in the next 10-15 years.

Let’s see Boeing deliver the MAX again first.

I think it would be easy to win a bet that COMAC delivers C919 to commercial airline customers before Boeing delivers a new narrow body design to replace the 737 family.

Re: Boeing to Suspend 737 Max Production in January

#257
post #60

Earlier quoted context omitted.

> Ban the aircraft. Criminally charge everyone involved in suppressing it's serious issues and forcing it through approval. That's going a bit too far. Banning MCAS and requiring pilots to undergo MAX-specific training and certification seems more reasonable (and less wasteful) response to the issues. I would support criminal charges against the chief decision-makers that led Boeing into this mess, going all the way…

The 737 Max is doomed without the MCAS, the entire reason it exists is to keep the same type rating the same to keep pilots from needing to re-certify. Airlines will have serious reason to consider other manufacturers if they can’t just throw pilots behind the stick with minimal training.

> The 737 Max is doomed without the MCAS, the entire reason it exists is to keep the same type rating the same to keep pilots from needing to re-certify.

I would suggest at this point, the ...creative documentation... that Boeing's been doing to keep the "737" a "737" has reached the end of the line.

Re: Boeing to Suspend 737 Max Production in January

#258

Earlier quoted context omitted.

Also let’s be clear if the C919 actually works out they will be a serious competitor. The market for wide body aircraft is the one that captures all the imagination and attention but the narrow body sales are the bread and butter. That's a pretty large if. Head west a bit to Russia and see how they're doing in the international market. The Sukhoi SuperJet is, by most accounts, a great plane. Sukhoi managed to sell to…

> both nearly went bankrupt, and both were eventually acquired Nitpick: in Bombardier's case at least, these were separate events. The acquisition wasn't to deal with bankruptcy (they got a Canadian government bailout for that), but rather to gain access to Airbus's US manufacturing facilities to avoid import tariffs on US deliveries, which became necessary following a Boeing anti-dumping complaint that would have ma…

Nitpick: in Bombardier's case at least, these were separate events. The acquisition wasn't to deal with bankruptcy (they got a Canadian government bailout for that), but rather to gain access to Airbus's US manufacturing facilities to avoid import tariffs on US deliveries, which became necessary following a Boeing anti-dumping complaint that would have made the C-Series prohibitively expensive to US carriers.

My recollection is that Bombardier made (rejected) overtures in Boeing's direction before the trade spat. In either case BBD has gotten out of the commercial aircraft business completely, in large part due to the cost of developing the C-series.

Re: Boeing to Suspend 737 Max Production in January

#259

Earlier quoted context omitted.

The difference here is that China has a rich (and growing) internal market.

Yep! Which means it doesn’t even have to be better to win orders. It just has to be vaguely sufficient. Which is legitimately a tall order. But! Let’s also remember there’s a government entirely willing to subsidize the growth of a native product. Russia already has an 80 year history of taking wildly diverse and frankly oddball aircraft designs and turning them into things that actually fly. Anyone who thinks that t…

Russia already has an 80 year history of taking wildly diverse and frankly oddball aircraft designs and turning them into things that actually fly. Anyone who thinks that them partnering with a Chinese company can’t build a widebody isn’t paying attention.

Well that's changing the goalposts just a bit. It's likely that the Chinese can churn out a widebody, but Comac couldn't even pull off a warmed over DC-9. They've got less experience than any of the Russian companies and it's pretty much a given at this point that they won't be successful.

Re: Boeing to Suspend 737 Max Production in January

#260

Earlier quoted context omitted.

Yes yes yes. But even if everything plays out like you say I don’t think you can say there’s no foreseeable future in which this happens. Please engage with the actual plans and state the technical details you know rather than saying that China has no roadmap do a thing they have a roadmap to do. Also let’s be clear if the C919 actually works out they will be a serious competitor. The market for wide body aircraft is…

Also let’s be clear if the C919 actually works out they will be a serious competitor. The market for wide body aircraft is the one that captures all the imagination and attention but the narrow body sales are the bread and butter. That's a pretty large if. Head west a bit to Russia and see how they're doing in the international market. The Sukhoi SuperJet is, by most accounts, a great plane. Sukhoi managed to sell to…

I expect Comac to do a much better job on supply chain support than Sukhoi did. Russia in general has always been troublesome for parts supplies for its exported equipment, whereas China has a much more consumer-friendly culture and is likely to invest heavily in making the C919 a success there.

The bigger issues I expect for the C919 will be fuel-efficiency, and trust that it is a safe plane. The fact that they're building it from scratch when the main competitors are using refreshed old designs of the 737 and A320 might help it achieve competitive fuel-efficiency, but it remains to be seen. Safety trust will be hard to make up, but a possible pathway would be to have Chinese airliners and cargo companies use it first to establish a track record free of major accidents before getting sales to international airliners.

Post reply on HN