Topline
Airbus shares fell sharply on Monday after the planemaker had to resolve a major software glitch impacting nearly half of all operational A320 family of jets over the weekend, with the company noting that a majority of the almost 6,000 planes affected by the issue have received a fix.
A JetBlue Airways Airbus A320 jet is serviced at a gate at Ronald Reagan Washington National Airport in Washington, D.C.
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Key Facts
Airbus said out of the nearly 6,000 aircraft affected by the glitch, “the vast majority have now received the necessary modifications.”
The planemaker added that it was working with airlines to deliver the necessary modifications to the “less than 100 remaining aircraft” still affected by the issue.
Airbus apologized for the delays “caused to passengers and airlines” due to the issue, but said it wanted to put “safety above all other considerations.”
The planemaker had announced the recall on Friday, saying an analysis had found that “intense solar radiation” may “corrupt data critical to the functioning of flight controls” on A320 planes.
Citing analysts, the Wall Street Journal reported that 85% of the impacted planes could be fixed with a simple software update, while 900 older aircraft would need hardware fixes.
How Has The Stock Been Impacted?
Airbus’s shares fell to €185.26 ($215.45) in afternoon trading on Monday in Paris, down 9.19% from Friday’s closing.