Boeing CEO to exit as safety concerns mount

NEW YORK – Boeing announced on Monday a leadership shakeup headlined by the departure of CEO Dave Calhoun as the aviation giant faces heavy scrutiny following safety incidents and manufacturing issues.

Calhoun will depart at the end of 2024. Stan Deal, Boeing’s head of commercial airlines since 2019, will exit immediately, while the company’s chairman, Larry Kellner, a former airline CEO, will depart after the company’s annual meeting this spring.

Replacing Deal will be longtime Boeing executive Stephanie Pope, while former Qualcomm CEO Steve Mollenkopf will serve as the new chairman.

The sweeping personnel changes come in the wake of Boeing’s near-catastrophic incident in January when a fuselage panel on a Boeing 737 MAX 9 Alaska Airlines jet blew off mid-flight.

Calhoun called the Alaska Airlines incident a “watershed moment” for the company in a letter to employees, predicting the aviation giant would ultimately emerge as “a better company.”

Several analysts greeted the action, but cautioned that it would take time for Boeing to turn itself around.

Shares advanced on the announcement, which follows criticism of Boeing’s manufacturing and quality control practices from the Federal Aviation Administration.

Boeing has also faced heavy questioning from airlines, who had requested a meeting with the Boeing board in a move seen as a sign of restiveness among carriers.