Turkish Airlines, Boeing reach deal on compensation for 737 Max

Turkish Airlines and US aircraft maker Boeing have agreed on a compensation deal over undelivered aircraft and the grounding of the Boeing 737 Max following two fatal crashes, the carrier said on Tuesday.

"Boeing will cover some of our loss and the revenue that we cannot generate because our grounded aircraft are not used in operations," said the flagship carrier of Turkey in a statement published on the Public Disclosure Platform (KAP).

The statement did not specify the value of the deal, but local media reported that it was worth U$225 million including US$150 million in compensation and US$75 million covering spare parts and training.

In December, the carrier announced it aimed to bring a lawsuit against Boeing due to the uncertainty of issues about Boeing's top-selling aircraft model.

The Boeing 737 Max model was grounded worldwide after two crashes killed hundreds of people and cost the aircraft maker billions of dollars.