Boeing to compensate Polish airline for 787s

WARSAW, Poland — Boeing will offer compensation to Poland’s national airline for the months-long grounding of its 787 planes, a Polish government official said Monday.

The world’s fleet of 50 Boeing 787s was grounded in January after batteries smoldered on two planes owned by two Japanese airlines. Two among the grounded planes were owned by Poland’s LOT airline. They have all resumed flying since Boeing fitted all 787s with redesigned batteries.

Deputy Treasury Minister Rafal Baniak said that the grounding of LOT’s planes, which lasted until June, had cost over 100 million zlotys ($ 30 million) in lost business alone. Among other costs, LOT had to extend the lease on its 767s to carry out scheduled flights.

Talking to Radio PiN, Baniak would not estimate the total cost of the grounding, but said Boeing promised to make a compensation offer in July.

The manufacturer is still trying to identify the root cause of the battery problem.

LOT currently has four 787 planes, dubbed “Dreamliner” by Boeing. It took delivery of another two since the grounding was announced and is due to receive one more next year.

The carrier is struggling financially and had hoped that the fuel-efficient aircraft would improve its earnings.

Meanwhile, the airline has asked the European Commission’s approval for its restructuring and development plan that calls for layoffs and some 380 million zlotys ($ 110 million) in government aid.

If the Commission determines that the government aid hinders competition, it can demand concessions from the company.

Last year, with the EU Commission’s conditional consent, LOT received 400 million zlotys in government aid that helped it pay old debts.

More in Herald Business Journal

Boeing marks the start of 777X production at Paine Field

The new jetliner combines “the best of the 777 and the best of the 787.” Test flights begin in 2019.

Amazon says it received 238 proposals for 2nd headquarters

Forty-three U.S. states, D.C., Puerto Rico, three Mexican states and six Canadian provinces want HQ2.

Amazon leases a southwest Everett warehouse for deliveries

The Seaway Center building is not as big as one of the company’s more typical fulfillment centers.

Health-care consumers need to take the lead, so get smart

David Russian, CEO of Western Washington Medical Group, writes our third essay about fixing health care.

JCPenney partners with EvCC, WSU to assist students

Earlier this month, JCPenney partnered with the Career Service Centers at Everett… Continue reading

Re/Max Elite adds two agents in Lynnwood

Jenelle Dent and Lori DaSilva have joined Re/Max Elite as agents at… Continue reading

Register for Marysville Tulalip Business Before Hours event

The Greater Marysville Tulalip Chamber of Commerce holds its next Business Before… Continue reading

Wells Fargo donates $2,500 to Edmonds Center for the Arts

Edmonds Center for the Arts has received a grant of $2,500 from… Continue reading

More business, more competition for Everett kidney dialysis center

Nonprofit Puget Sound Kidney Centers sees large for-profit competitors enter state market.

Most Read