US Government Watchdog To Review FAA's Oversight Of Two Safety Features On Boeing 737 MAX

The Transportation Department's Office of Inspector General (OIG) will audit the Federal Aviation Administration's oversight of including MCAS in Boeing Co's BA 737 MAX.
MCAS is a key airplane software feature in the 737 MAX design that was cited as a contributing factor in two fatal MAX crashes in Indonesia and Ethiopia, killing 346 people.
The watchdog will also review FAA oversight of the inoperability of Angle of Attack (AOA) disagree alerts on most of the MAX fleet in 2019.
Boeing, in 2017 identified that not all 737 MAX 8 aircraft were equipped with AOA disagreement alerts but did not directly notify the FAA of the issue.
It will be the fourth review of the MAX by the OIG. Reuters reported that in April 2021, the agency opened a review of the FAA's oversight of the Boeing 737 MAX returns to service in late 2020.
Peter DeFazio's committee in 2020 issued a report on the MAX crashes, saying Boeing withheld "crucial information from the FAA, its customers, and 737 MAX pilots," including "concealing the very existence of MCAS from 737 MAX pilots."
Boeing is seeking a waiver of a December deadline imposing a new safety standard for modern cockpit alerts for the MAX 7 and MAX 10. Only Congress can extend the certification deadline if the FAA does not certify the two MAX variants before the end of the year.
Price Action: BA shares are up 0.14% at $178 during the premarket session on the last check Friday.
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