CNBC reported that United Airlines Holdings, Inc. (NASDAQ:UAL) must decide what to do with hundreds of lie-flat premium seats originally ordered for the Boeing 737 Max 10, a plane whose certification has run more than six years behind its original 2020 target.
CEO Scott Kirby told CNBC, “We got a bunch of lie-flat seats that we don’t know what to do with,” and that “They don’t fit on other airplanes.”
Boeing completed the Max 10’s final certification flight on July 28 after nearly 1,000 test flights, and the smaller Max 7 already won FAA approval in early August, with Southwest expecting to fly it in the first half of 2027. United, which has 167 Max 10s on order, now expects its first delivery in summer 2027.
In the meantime, United retrofitted 20 Airbus A321neo jets, dubbed “Coastliner,” with new Polaris suites and premium economy seating for transcontinental routes, since the Airbus and Boeing seats are not interchangeable.
Bull Case
United Airlines Holdings, Inc. (NASDAQ:UAL) has already shown that it can adapt rather than simply wait on a delayed supplier. Retrofitting 20 A321neo jets with new premium seating for transcontinental routes allowed United to deploy its premium-cabin strategy years before the Max 10’s arrival. That flexibility shows management can adjust its fleet strategy when Boeing’s delays disrupt its original plans.
The broader Max family backlog also appears to be clearing, giving United greater visibility into its future fleet. The Max 10 completed its final certification flight after nearly 1,000 test flights, while the smaller Max 7 has already received approval. As the largest Max 10 customer with 167 aircraft on order, United could eventually replace aging 757-300s with newer, higher-capacity narrowbodies that offer more fleet flexibility and potentially better operating economics.
The Max 10 could also solidify United’s ability to serve high-demand domestic routes. Its larger capacity compared with smaller narrowbody aircraft would allow United to add seats on dense routes without moving to a widebody aircraft. If Boeing delivers the aircraft on schedule and United fills that extra capacity efficiently, the Max 10 could support revenue growth while helping the airline modernize its fleet.
Bear Case
More than six years of delay represents a real strategic setback, not just a scheduling inconvenience. The Max 10’s original 2020 target for premium transcontinental routes never materialized, forcing United to spend money retrofitting other aircraft with premium seating years earlier than planned. That spending created a capital and opportunity cost that on-time Max 10 deliveries could have avoided.
The Max 10’s role has also changed significantly from United’s original plans. United initially expected the aircraft to support premium transcontinental flying. But the airline now expects to use it primarily as a high-capacity domestic workhorse. That shift reduces the strategic value of the original fleet plan and raises questions about whether the aircraft’s eventual configuration will fully match United’s current needs.
United Airlines Holdings, Inc. (NASDAQ:UAL) also remains dependent on Boeing after a long history of delays on the Max 10 program. Even with certification nearing completion, the airline cannot fully plan around the aircraft until Boeing starts delivering it. Another delay beyond the expected summer 2027 arrival could force United to extend the lives of existing aircraft, modify other planes, or adjust capacity plans, adding further uncertainty to its fleet strategy.
Hedge Fund Data
Insider Monkey’s database shows United Airlines Holdings, Inc. (NASDAQ:UAL) was held by 73 hedge funds in the second quarter of 2026, up from 68 in the first quarter, with total holdings valued at $5.92 billion, up from $3.78 billion. Boeing, the supplier at the center of this delay, was held by 90 funds worth $7.00 billion, down from 99 funds a quarter earlier. United’s fund count grew even as Boeing’s declined over the same period.
Conclusion
United’s 737 MAX 10 order has fleet-renewal potential. However, Boeing’s prolonged delays have turned the aircraft into a source of uncertainty rather than an immediate growth driver. United has already shown that it can adapt its fleet strategy, which limits some of the impact, but another delay could create further costs and planning challenges.
The key question now is whether Boeing can deliver the MAX 10 on schedule and whether United can use its larger capacity to improve route economics. Until then, the aircraft remains a long-term opportunity with significant execution risk.
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