Boeing Co. rose after U.S. aviation regulators said the company is making progress in its work to fix the 737 Max, stirring hopes that the grounded plane is closer to flying again.
The Federal Aviation Administration “is pleased with Boeing’s progress in recent weeks toward achieving key milestones,” the agency said in a statement Friday. The FAA commented after its leader, Steve Dickson, spoke with U.S. airlines.
Boeing said earlier this week that it expects the Max to return to service in mid-2020, months later than earlier projections by the company. The single-aisle jet has been grounded worldwide since March 13, three days after the second of two deadly crashes linked to a flight-control system.
Dickson told U.S. airlines that Boeing’s latest estimate is conservative, said people familiar with the matter. Without providing a specific time frame, the FAA chief said the plane could be re-certified before midyear, said the people, who asked not to be named because the conversation was private.
Boeing jumped 1.6% to $322.85 at 3:44 p.m. in New York, reversing losses sparked by a Bloomberg News report that the company is considering another cut to production of its 787 Dreamliner.
Reuters reported earlier on the FAA’s communications with airlines.