Boeing is frustrating the CEOs of American Airlines, Southwest, and more. They're trying to be diplomatic

A a gaggle of airline CEOs put on their best face at a conference this week to make their case to investors in the general public about the future of their respective companies.

The major issue at play: what’s been happening with Boeing’s 737 Max planes. After a door plug blew out on an Alaska Airlines flight in January, the aircraft manufacturer has had to slow down production amid increased regulatory scrutiny, which is making it harder for carriers to get the planes they had been depending on to update their fleets.

“There’s a lot of questions about, Hey, what’s your exposure to Boeing?” American Airlines CEO Robert Isom said at the J.P. Morgan Industrials Conference on Tuesday.

Trying not to follow in the foul-mouthed path of Ryanair CEO Mike O’Leary, here’s how many of his peers were answering that question. Check out the slideshow above for more.

Delta has plenty of Boeing planes, but none of them are 737 Maxes — yet. The carrier has 100 of the planes on order according to its latest annual report (pdf), and CEO Ed Bastian recently said the company doesn’t expect to take delivery of any of them until 2027 at the earliest, two years later than expected.

Choosing to look on the bright side at the J.P. Morgan conference, he emphasized a consumer spending shift towards services instead of goods as boding well for Delta’s bottom line and didn’t mention Boeing by name at all.

“The industry backdrop continues to be great,” he said. “Great for Delta and not necessarily great for the industry. Some parts of the industry, there continues to be challenges.”

A tiny portion of American’s fleet is made up of 737 Max planes, just 4% of the 1,500-plus aircraft it operates. And only 74 of the 180 planes it has on order through 2029 are 737 Maxes according to its latest annual report (pdf).

“We feel really good about where we are, we’re not dependent on any big aircraft orders going forward,” CEO Robert Isom said at the conference.

But increased regulatory scrutiny from agencies like the U.S. Federal Aviation Administration might introduce a new level of uncertainty to the airline industry.

“I’ll say that, as we look forward as an industry, I think that investment within the FAA is going to be a real driving factor consideration that we all have to take into account,” he said. “It will be great to get to a point where we are able to plan for the long run.”

The 737 Max 8 and 9 make up about 12% of United’s overall fleet according to its latest annual report (pdf). But half of the 725 planes that the company has on order through 2033 are 737 Maxes — and COO Andrew Nocella has said there is a “significant” number of older planes that need to retire before then. The airline is blaming Boeing’s safety delays for a pilot hiring freeze as its ability to plan for the future becomes more difficult. CEO Scott Kirby seemed to resign himself to the uncertainty.

“This is a two-decade issue,” he said at the conference. “And I’d rather Boeing do what they need to do. And I think they are now. I think they believe they need to, and they’re going through that. So I’m encouraged, at least at the first step. It’s a long journey. It’s one step, but I’m encouraged at that important step at Boeing.”

But he also left the door open for Airbus to help with United’s long-term planning. “That said, we are in the market,” for Airbus’s 737 Max rival, he said. “And if we get a deal that the economics work, then we’ll do something. And if we don’t, then we won’t. And we’ll wind up having more MAX 9s.”

Southwest is especially vulnerable to Boeing’s production woes. Twenty-seven percent of its 817 planes are 737 Maxes according to its latest annual report (pdf). And all of the planes it has on order are 737 Maxes. The company said that it is having to reevaluate its entire fiscal year because Boeing told it that many of the planes it had been expecting this year won’t be showing up. CEO Bob Jordan teased that he might consider giving Airbus a call, but his tone at the J.P. Morgan conference was conciliatory — and maybe a bit pleading.

“A strong Boeing is great for Southwest Airlines,” he said. “It’s great for our industry. It’s great for our country. And so, I and I know other CEOs have told Boeing, get your — get the issues understood and get the issues fixed. They’re bracing the work with the FAA, we appreciate that. This is Boeing’s view as well. Stop, take the time, understand what’s going on, fix the culture, whatever is at work here, but fix this, because we all need Boeing to be stronger, two years from now, five years from now, 10 years from now. And that takes precedent over delivery delays.”