Boeing shares fell 8 per cent before the bell on Monday as its aircraft belonging to China Eastern Airlines, with 132 people on board, crashed in the mountains of southern China.
The cause of the crash was not immediately known and media reported that rescue workers had found no sign of survivors. Boeing said it was working to gather more information.
"Can confirm the plane has crashed," China Eastern Airlines said in a statement. Its U.S.-listed shares plunged 15.8%.
The jet involved in the accident was a six-year-old Boeing 737-800 aircraft, according to Flightradar24, a predecessor to the 737 MAX model.
The popular 737-800 variant has a maximum seating capacity of 189 and is equipped with CFM-56 engine, according to the planemaker's website.
The engines are made by a joint venture between General Electric Co GE.N and France's Safran SA.
The crash comes at a time when Boeing is inching toward a regulatory approval in China for 737 MAX aircraft, its cash cow, after two fatal crashes in Indonesia and Ethiopia led to its grounding in the world's largest domestic aviation market. Read full story
The plane is integral to the health and recovery of Boeing, which is ramping up production amid a rebound in travel demand.
Shares of Boeing were trading lower at $177.40, while China Eastern's American Depositary Receipts were down at US$15.89.
(Reporting by Abhijith Ganapavaram in Bengaluru; Editing by Arun Koyyur)
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