JAKARTA: In a blow for Boeing, Indonesia’s flag carrier is seeking the cancellation of a multibillion dollar order for 49 of the manufacturer’s 737 Max 8 jets, citing a loss of confidence after two crashes in the past six months.
It is the first announcement of a cancellation since Boeing’s new model aircraft were grounded following fatal crashes in Indonesia and Ethiopia.
PT Garuda Indonesia, which had ordered 50 Max 8 jets in 2014 and had received just one plane last year, has sent a letter to Boeing last week requesting to cancel the order worth $4.9 billion, the company’s spokesman Ikhsan Rosan said Friday. The carrier has so far paid Boeing about $26 million for the order.
