Boeing, Kuwait’s Aircraft Provider Reach Settlement
Kuwait’s aircraft leasing company Alafco announced on Tuesday it would drop its $336 million lawsuit against Boeing after reaching an agreement with the aircraft manufacturer. Alafco had sued the mammoth United States-based corporation after the latter had allegedly refused to return the leasing company’s advance payments on an order of 40 737 MAX jets that was later canceled. In return for dropping charges, Alafco will now be able to amend its original order to only 20 planes. The leasing company, which provides aircraft services to the Gulf Investment Corporation and Kuwait Airways, among others, is “looking forward to a long-lasting and mutually beneficial relationship with Boeing,” a statement released by the company read. Early last year, Boeing was forced to suspend global delivery of all 737 MAX jets, following two deadly crashes in Indonesia and Ethiopia that killed 346 people and a decision by the Federal Aviation Administration to ground all such aircraft pending further investigation and inspection.