Airbus Shares Drop 9% After Revealing Major A320 Issue Update
Airbus experienced a notable decline in its shares on Monday, dropping 9.19% amid revelations of a significant software issue affecting nearly half of its operational A320 family jets. This revelation followed an extensive analysis that highlighted risks associated with “intense solar radiation.”
Details of the A320 Software Glitch
The aerospace manufacturer reported that out of approximately 6,000 A320 aircraft impacted by the glitch, most have already received fixes. Currently, Airbus is focused on delivering necessary modifications for under 100 remaining aircraft still affected by the issue.
- 85% of the impacted aircraft can be resolved with a simple software update.
- 900 older models will require hardware fixes.
Airbus’s Response and Apologies
Airbus has expressed its commitment to passenger and airline safety above all else. The firm acknowledged the inconveniences caused by the delays and any resultant disruptions faced by airlines and customers.
Impact on Airbus’s Stock Market Performance
On Monday afternoon, Airbus shares fell to €185.26 ($215.45) in trading on the Paris exchange. This marked a significant decrease since the previous Friday’s close.
The company had initially announced the software recalls on Friday, prior to the market dip, indicating their proactive approach to ensure safety and compliance within their fleet.
