Ryanair CEO Michael O'Leary warned that airfares could rise by up to 10% this summer due to delays in the delivery of new Boeing 737 Max aircraft. Ryanair had expected to receive 57 Boeing 737 Max 8200 aircraft by March but now estimates only 40-45 may arrive in time for the peak season. The delays will constrain Ryanair's capacity and force it to carry fewer passengers this year, with forecasts revised down from 205 million to around 200 million. Boeing is facing scrutiny over quality control issues following an in-flight incident in January, and production has slowed as regulators inspect plans more closely.
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00:00 It's Benzinga and here's what's on the block. Ryanair CEO Michael O'Leary warned that airfares
00:05 could rise by up to 10% this summer due to delays in the delivery of the new Boeing 737 MAX aircraft.
00:10 Ryanair had expected to receive 57 Boeing 737 MAX 8200 aircraft by March,
00:15 but now estimates only 40 to 45 may arrive in time for the peak season.
00:19 The delays will constrain Ryanair's capacity and force it to carry fewer passengers this year,
00:24 with forecasts revised down from 205 million to around 200.
00:27 Boeing is facing scrutiny over quality control issues following an in-flight incident in January,
00:32 and production has slowed as regulators inspect plans more closely.
00:35 Analysts said the delays will tighten capacity across Europe's aviation sector,
00:39 pushing average fares up 3 to 7 percent.
00:41 For all things money, visit Benzinga.com.