Boeing (NYSE:) said it moved 141 of its jet orders into accounting limbo because of geopolitical tensions and international sanctions due to Russia’s invasion of Ukraine.

According to the aircraft manufacturer, it had made adjustments in its backlog of orders for monthly deliveries and orders. This also indicated that 41 jets were delivered last month.

The data showed that Boeing had delivered 34 single-aisle 737 MAX aircraft and two 767 freighters to FedEx (NYSE) as well as one 777 freighter to China Airlines.

Boeing’s March deliveries almost double the 22 the company delivered in February and 29 in the year-ago period, suggesting a sharp recovery in travel and cargo demand. Since the beginning of 2022, 95 aircraft have been delivered by Boeing.

On the other hand, Boeing’s deliveries of its 787 Dreamliner model are still suspended as the company continues to examine and repair the twin-aisle jetliners that were grounded due to production issues.

Boeing stated that the number of orders increased to 167 in three months, up from 114. The number of orders increased by 145 from 107, excluding deliveries that were cancelled or switched.

The net order total for the third quarter was 76. That’s down from 179. Ultimately, Boeing’s official order backlog stood at 4,231, down from 4,375 overall.

Also included were 141 Boeing aircraft that had been placed in accounting limbo because of the invasion Ukraine and subsequent global sanctions against Russia.

It was noted that the most questionable orders consisted of jets ordered by Russian and Ukrainian airlines. Most of these were 737 MAX models, with some widebody units of 777 and 787.

Customers cancelled 15 orders for Boeing aircraft on March 1, including a 737 MAX from Aviation Capital Group, eleven 737 MAXs units for an undisclosed seller, and two 787-9 Dreamliner Jets for Air China.

Noah Poponak from Goldman Sachs has been positive about the report and expects delivery to increase over the following months, as air travel recovers.

“Boeing continues to deliver no 787 aircraft, reflecting the ongoing temporary halt following the FAA requesting more information about Boeing’s proposed solution to the previous quality issues. Boeing may need to provide additional insight. The FAA continues their dialogue with Boeing at several stages. Boeing is confident that it has found a fix to every issue currently on the plane and will not be able to identify any additional issues. We expect deliveries to resume in 2Q22,” Poponak said in a client note.

Mike Maugeri, Wolfe Research Analyst is less cautious than Poponak.

“We continue to see the fundamental demand backdrop for commercial OEM deliveries as favorable, particularly for narrowbody aircraft, but BA still has idiosyncratic issues to work through. BA seems to be the most polarizing name in our A&D coverage based on our conversations and the results of our quarterly survey of investors published this morning. BA was voted both top long/overweight and top short/underweight in our survey,” the analyst said in a client note.

Yesterday’s closing price of Boeing stock was $176.28

By Senad Karaahmetovic