Boeing CEO to step down in major reshuffle at embattled plane maker
Boeing abruptly said on Monday that it was overhauling its leadership amid its most significant safety crisis in years, announcing sweeping changes that included the departure of its CE, Dave Calhoun, at the end of the year. The aircraft maker has been under mounting pressure from regulators, airlines and passengers as the company struggled to respond to the fallout from an incident in early January in which a panel blew off a Boeing 737 Max 9 plane midair during an Alaska Airlines flight. The incident has roiled the company, considered by many to be a prized American institution, and renewed concerns about its commitment to safety and quality five years after two crashes of 737 Max 8 planes killed a total of nearly 350 people. In addition to Calhoun’s departure, Boeing announced that Stan Deal, the head of the division that makes planes for airlines and other commercial customers, would retire immediately. He will be replaced by Stephanie Pope, Boeing’s COO, the company said in a statement. Boeing also said that its chairman, Larry Kellner, would not stand for re-election. This weekend, the board elected Steve Mollenkopf, an electrical engineer by training and the former CE of Qualcomm, as its new chairman. In that role, he will lead the process of choosing Boeing’s next CE. The FAA, which regulates the company, grounded 737 Max 9 planes across the United States after the Alaska Airlines incident. When the agency cleared the planes to fly again in late January, it also imposed limits on Boeing’s planned production increase of Max planes, foiling the company’s latest attempt to better compete with its European rival Airbus. A recent FAA audit of Boeing’s Max production found dozens of lapses. The agency gave Boeing 90 days, or until about late May, to address its issues. The Justice Department has also reached out to passengers of the Alaska Airlines flight, informing them that they may be a “possible victim of a crime,” according to a copy of one such notification. In a note to employees on Monday announcing the changes, Calhoun said that the Jan. 5 incident involving Alaska Airlines Flight 1282 “was a watershed moment for Boeing.” “The eyes of the world are on us, and I know we will come through this moment a better company, building on all the learnings we accumulated as we worked together to rebuild Boeing over the last number of years,” he said.<br/>
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Boeing CEO to step down in major reshuffle at embattled plane maker
Boeing abruptly said on Monday that it was overhauling its leadership amid its most significant safety crisis in years, announcing sweeping changes that included the departure of its CE, Dave Calhoun, at the end of the year. The aircraft maker has been under mounting pressure from regulators, airlines and passengers as the company struggled to respond to the fallout from an incident in early January in which a panel blew off a Boeing 737 Max 9 plane midair during an Alaska Airlines flight. The incident has roiled the company, considered by many to be a prized American institution, and renewed concerns about its commitment to safety and quality five years after two crashes of 737 Max 8 planes killed a total of nearly 350 people. In addition to Calhoun’s departure, Boeing announced that Stan Deal, the head of the division that makes planes for airlines and other commercial customers, would retire immediately. He will be replaced by Stephanie Pope, Boeing’s COO, the company said in a statement. Boeing also said that its chairman, Larry Kellner, would not stand for re-election. This weekend, the board elected Steve Mollenkopf, an electrical engineer by training and the former CE of Qualcomm, as its new chairman. In that role, he will lead the process of choosing Boeing’s next CE. The FAA, which regulates the company, grounded 737 Max 9 planes across the United States after the Alaska Airlines incident. When the agency cleared the planes to fly again in late January, it also imposed limits on Boeing’s planned production increase of Max planes, foiling the company’s latest attempt to better compete with its European rival Airbus. A recent FAA audit of Boeing’s Max production found dozens of lapses. The agency gave Boeing 90 days, or until about late May, to address its issues. The Justice Department has also reached out to passengers of the Alaska Airlines flight, informing them that they may be a “possible victim of a crime,” according to a copy of one such notification. In a note to employees on Monday announcing the changes, Calhoun said that the Jan. 5 incident involving Alaska Airlines Flight 1282 “was a watershed moment for Boeing.” “The eyes of the world are on us, and I know we will come through this moment a better company, building on all the learnings we accumulated as we worked together to rebuild Boeing over the last number of years,” he said.<br/>
