Boeing CEO Dave Calhoun Steps Down Amid Mounting Safety Issues: "The Eyes of the World Are On Us"

Boeing's CEO, Dave Calhoun, has stepped down from the company amid growing concerns over safety incidents and manufacturing challenges.

"Board Chair Larry Kellner has informed the board that he does not intend to stand for re-election at the upcoming Annual Shareholder meeting.

The board has elected Steve Mollenkopf to succeed Kellner as independent board chair. In this role, Mollenkopf will lead the board's process of selecting Boeing's next CEO," Boeing said in an official statement.

Boeing CEO Dave Calhoun Steps Down from the Company

Calhoun, who will continue in his role until the end of 2024, emphasized his commitment to guiding Boeing through its current challenges and positioning the company for the future. Alongside Calhoun's departure, Boeing revealed two other key leadership adjustments.

"It has been the greatest privilege of my life to serve Boeing," said Calhoun in a letter to employees. "The eyes of the world are on us, and I know that we will come through this moment a better company. We will remain squarely focused on completing the work we have done together to return our company to stability after the extraordinary challenges of the past five years, with safety and quality at the forefront of everything that we do."

Larry Kellner, the current Board Chair, has opted not to seek re-election at the upcoming Annual Shareholder meeting. In his place, Steve Mollenkopf has been elected as the new independent board chair, tasked with leading the process of selecting Boeing's next CEO.

Additionally, Stan Deal, the President and CEO of Boeing Commercial Airplanes (BCA), will retire from the company, with Stephanie Pope appointed to succeed him in leading BCA effective immediately.

Calhoun expressed gratitude for the opportunity to serve Boeing, acknowledging the company's challenges and reaffirming his commitment to ensuring safety and quality remain paramount in all endeavors.

Boeing's Safety Issues

This comes after Boeing directed its employees to promptly take corrective measures to tackle operational issues following a report by the Federal Aviation Administration (FAA) that unveiled significant production deficiencies within the company.

Stan Deal, the leader of Boeing's commercial aviation division, communicated this instruction to the company's workforce in response to findings from an FAA audit triggered by a safety incident on an Alaska Airlines flight earlier this year.

"As we conduct quality stand downs across our company, your improvement ideas have been invaluable. We have used your feedback, and those from our regulator and customers, to take immediate actions to strengthen our safety and quality. These actions are central to a comprehensive plan we will soon deliver to the FAA," Deal said in an official statement.