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CARL AZUZ, CNN 10 ANCHOR: As the summer travel season gets closer, airfares could be climbing along with the planes themselves. The likely reasons why are our first topic today on CNN 10. I'm Carl Azuz. Welcome to the show.
U.S. economy is strong. Unemployment is near a record low point, so more people will be looking to travel this summer. Jet-fuel prices have increased and they're expected to get higher. That can limit the routes the airlines will want to take since some won't be as profitable, and that can increase ticket prices. And then there are issues with Boeing. One of the world’s biggest airplane manufacturers has had its best selling passenger jet grounded around the world.
371 planes, all of them in Boeing 737 Max series were taken out of service last month. That happened after two catastrophic crashes, one near Indonesia in October and one in Ethiopia in March. Everyone aboard those flights was killed. Boeing's been working to improve the safety of its 737 Max series planes. After they were grounded, the company had to temporarily stop delivering them to the airlines that ordered them. That hurt Boeing significantly because most of the money for a plane is paid when it's actually delivered.
Those deliveries are expected to pick back up later this year when the 737 Max aircraft are approved to fly again. The impact on Boeing's finances could become clearer on Wednesday when it releases its latest financial report. The impact on Boeing's reputation is harder to measure, and it's difficult to say when either of these challenges will be overcome.
