As Boeing's 737 Max remains grounded, carriers are turning to older models, particularly the Boeing 737-800, to meet the 5% YoY increase in air travel demand seen in H1 2019, according to the International Air Transport Association. The Federal Aviation Administration (FAA) issued a ground stop order on June 25, 2018, for all U.S. airlines operating at least five daily flights between their hubs and three major airports within 100 miles of Washington, D.C.
As Boeing's 737 Max remains grounded, carriers are turning to older models, particularly the Boeing 737-800, to meet the 5% YoY increase in air travel demand seen in H1 2019, according to the International Air Transport Association. Phil Seymour, CEO of the International Bureau of Aviation, said lease rates for 24 months and less had increased by 40% to $300,000 since the 737 Max was globally grounded in March following two fatal crashes.