David Calhoun, Boeing CEO, steps down in management reshuffle

Boeing announced Monday that its chief executive, David Calhoun, will step down at the end of 2024 as part of a broader management shakeup, as the planemaker faces its most significant safety crisis in years.

Stan Diehl, head of the division that makes aircraft for commercial customers, will retire effective immediately and will be replaced by the company's chief executive officer, Stephanie Pope.

The company also announced that its chairman, Larry Kellner, would not seek re-election.

The management overhaul comes less than three months after a panel known as a door plug exploded on an Alaska Airlines flight on Jan. 5. The incident left the company in crisis after the crash of its Max in 2018 and 2019. 8 planes that killed 350 people.

The Alaska incident renewed questions about Boeing's commitment to the safety and quality of MAX planes. Airline chief executives publicly expressed frustration with the manufacturer. The Federal Aviation Administration, which regulates the plane maker, has grounded similar planes across the United States. It also put limits on Boeing's planned production ramp-up of MAX planes, thwarting the company's latest bid to compete with its European rival Airbus while allowing planes to fly again.

In recent weeks, Boeing has come under increasing scrutiny. An FAA audit of Boeing's Max product found dozens of defects. The agency gave Boeing 90 days to resolve its issues.

In a memo to employees announcing the leadership changes on Monday, Mr. Calhoun said.

“The eyes of the world are on us, and as we've worked together over the past several years to rebuild Boeing, I know we'll build on all the learnings we've gathered and create a better company this time around,” he said.

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His predecessor, Dennis A., who led the company during the 2018 and 2019 crashes. After firing Muilenburg, Boeing's board appointed Mr. Appointed Calhoun as chief executive. Taking over the leadership of the company in January 2020, Mr. Calhoun has been a member of the manufacturer's team since 2009. He spent most of his career at General Electric, where he was once a vice president and head of the company's infrastructure division.

Ms Pope has seen a relatively rapid rise in recent years. In early 2022, he was promoted from chief financial officer of the company's commercial aircraft division to president of Boeing Global Services, which provides aftermarket support to customers. In December, he was named Boeing's chief operating officer, which Mr. He was thought to have been set up to take over for Calhoun.

Since the door plug incident in January, Mr. Calhoun has confirmed it over and over again. But the pressure on him and Boeing continued to mount. The company announced in February that the head of its 737 Max program was leaving the company, doing little to address the growing criticism.

The chief executives of major airlines in the United States this week Mr. Kellner and other board members are set to meet, a person familiar with the plans said. Mr. Calhoun supported the meetings but would not attend them.

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