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Bernstein sees likely engine issue in Air India crash

Bernstein analyst Douglas Harned says the flight path after takeoff of the Air India Boeing (BA) 787-8 destined for London Gatwick shows a slow rate of climb, before a rapid descent, suggesting a loss of power on takeoff, which would most likely be traced to the engines. The planed was powered by GE Aerospace’s (GE) GEnx-1B engines, the analyst tells investors in a research note. The adds that the GEnx engine has a strong record of reliability. “Maintenance performance is always a possibility in situations like this – airframe or engine,” adds Bernstein. The firm has an Outperform rating on both Boeing and GE Aerospace.

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