Boeing Reports Initial $1B Hit From 737 MAX Grounding

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Boeing Reports Initial $1B Hit From 737 MAX Grounding
According to Boeing's first-quarter results, the company saw an initial $1 billion increase in production costs connected to the jet's grounding.
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Boeing has taken a significant financial hit since its bestselling 737 MAX plane was grounded around the world.

According to Boeing's first-quarter results, the company saw an initial $1 billion increase in production costs connected to the jet's grounding, which regulators ordered following two deadly crashes.

As ABC notes, that $1 billion increase includes lower production and lost or delayed deliveries. But it doesn't cover things like software upgrades or the liability of pending lawsuits. 

The total cost of the 737 MAX grounding is still unclear, and the company withdrew its full-year financial outlook as it continues to deal with the fallout.

Boeing's CEO said the company is getting closer to finishing a software update that will help prevent the events investigators believe led to the Lion Air crash in Indonesia and the Ethiopian Airlines crash. He didn't say when 737 MAX flights or deliveries are expected to resume.