Boeing CEO and Senior Executives Step Down Amidst Safety Scandal
In a shocking turn of events, Boeing CEO Dave Calhoun and two other senior executives have announced their resignation amidst an ongoing safety scandal. Stan Deal, CEO of Boeing Commercial Airplanes, has also chosen to retire immediately, while Larry Kellner, chair of Boeing’s board of directors, will not seek re-election.
Former Qualcomm CEO Steve Mollenkopf has been chosen to succeed Kellner, with Calhoun set to step down as CEO at the end of 2024. The decision comes after a series of negative stories about Boeing following an incident involving Alaska Airlines in January.
Calhoun has acknowledged the need for changes at Boeing in the wake of the Alaska Airlines incident, admitting to ongoing challenges at the company, including production pressures that have affected quality. The FBI is currently investigating a possible crime in relation to the Alaska Airlines incident.
Boeing has faced significant challenges in the last five years, including past air disasters attributed to failures at the company. In 2021, Boeing paid a $2.5 billion settlement over the 737 Max scandal and admitted to deceiving the FAA. The FAA administrator has since stated that Boeing must improve its culture and practices to meet safety standards.
Wall Street analysts have called for a drastic cultural overhaul at Boeing and its parts supplier, Spirit AeroSystems. With the resignation of key executives and ongoing investigations, the future of Boeing remains uncertain as the company works to regain trust and address safety concerns.
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