Boeing Blocked from Delivering Planes to Airlines During Shutdown

by Burke Speaker | October 9, 2013 9:47 am

Boeing (BA[1]) and Airbus are being blocked from delivering some 140 new U.S. planes to airlines during the government shutdown — due to registration delays by the Federal Aviation Administration.

From Reuters:[2]

While recalls by the Federal Aviation Administration will allow aircraft made by Boeing to be certified, they will not allow plane makers to perform a final step, registration.

The FAA registry in Oklahoma City, Oklahoma, remains closed, the FAA said on Tuesday. The office issues registration numbers for planes and pilots, much like registration for automobiles and drivers, the agency said.

“The airlines have been unable to get U.S. registrations for those aircraft, so unfortunately, the aircraft they need for operations remain outside of the U.S.,” an Airbus spokeswoman said.

Airbus reported that the closure prevented the delivery of jets to JetBlue Airways (JBLU) and US Airways Group (LCC[3]).

Endnotes:
  1. BA: http://studio-5.financialcontent.com/investplace/quote?Symbol=BA
  2. From Reuters:: http://www.reuters.com/article/2013/10/08/us-faa-furlough-idUSBRE9970ML20131008
  3. LCC: http://studio-5.financialcontent.com/investplace/quote?Symbol=LCC

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