Lion Air co-founder lashes out at Boeing, Latest World News - The New Paper

Lion Air co-founder lashes out at Boeing

This article is more than 12 months old

He says the plane maker 'looks down' on his airline and country

PARIS: The co-founder of Indonesia's Lion Air, one of two airlines that lost passengers and crew in recent crashes involving the 737 Max 8, has lashed out at Boeing's handling of the accidents as the potential business fallout from the jet's grounding intensifies.

Mr Rusdi Kirana said a recent apology by Boeing over the 346 lives lost in the two disasters, firstly at Lion Air in October and then at Ethiopian Airlines last month, stood in contrast to what he viewed as hasty earlier criticism of Lion Air's pilots.

In a telephone interview, Mr Rusdi also accused Boeing of treating him as a "piggy bank". Lion Air has spent tens of billions of dollars on plane orders with Boeing to become one of Asia's largest budget carriers.

The Indonesian entrepreneur is the figurehead for what is now one of the planemaker's largest customers, with 187 jets on order and 200 already delivered.

Lion Air threatened in December to axe those orders, but has given no further update.

Boeing has embarked on a campaign to restore faith in its best-selling jet and pledged to remove any risk that anti-stall software, suspected of pushing the two crashed planes downwards, could be activated by erroneous data.

In November, following an interim report on the Lion Air crash, Boeing voiced questions over whether pilots had used correct procedures.

Mr Rusdi said the contrasting reactions demonstrated that Boeing was taking fast-growing carriers such as his for granted.

"They look down on my airline and my country even though relations are always handled in a proper way. They treat us as Third World," Mr Rusdi told Reuters.

"They also look down on me. They look at me as their piggy bank," he said, in his first interview since the Ethiopian crash.

Mr Rusdi's comments - by far the strongest since the crash off Indonesia on Oct 29 - underscore the depth of a recent rift between Boeing and Lion Air, which has been balking at taking delivery of Boeing jets worth US$21 billion (S$28.5 billion) at list prices.

His voice also carries weight in Indonesia where he serves as the country's ambassador to Malaysia, handling relations between two Muslim-majority states with important ties.

In a statement to Reuters regarding the comments, Boeing chief executive Dennis Muilenburg said: "We remain heartbroken over the tragic loss of Lion Air Flight 610. We're sorry for the lives lost and deeply regret the devastating impact on the families, friends and colleagues of the passengers and crew."

"Rusdi Kirana has been a leader and a pioneer in Asian aviation," he said, adding that Mr Rusdi and his team "remain highly valued partners to Boeing".

Indonesia has 236 Boeing commercial passenger planes on order.

Flag carrier Garuda joined Lion Air last month in threatening to cancel 49 Max orders. Analysts have questioned how easily either airline can fund deliveries as competition grows and have cautioned that both face lengthy negotiations. - REUTERS