US: ‘What did he just say?’: Boeing CEO’s prediction irks airlines

Boeing CE David Calhoun’s prediction of a major US airline’s demise has prompted complaints from some of the plane maker’s biggest customers as they grapple with fallout from the coronavirus pandemic, people familiar with the matter said. American Airlines Group CEO Doug Parker called the Boeing chief this week to express surprise and disappointment after Calhoun said that a major US airline would most likely go out of business by this fall, one of these people said. Calhoun’s comments weren’t well-received at United Airlines either, people familiar with the matter said. United also conveyed displeasure to Boeing over Calhoun’s remarks. Calhoun said he expected demand for air travel to bounce back to 2019 levels in three to five years. Asked if he thought a major U.S. carrier might go out of business, Mr. Calhoun said: “Well, I don’t want to get too predictive on that subject, but yes, most likely. Something will happen when September comes around.” “What did he just say?” is how one person described the initial reaction among some executives at American. Some industry leaders said Calhoun’s comments left them wondering why the plane maker’s CEO would speculate about a customer’s potential failure while carriers are negotiating financing deals, including with the US Treasury for taxpayer stimulus.<br/>