Boeing CEO to step down as plane maker undergoes management reshuffle

investing.com:

(Updated — March 25, 2024 9:32 AM EDT)

Boeing (NYSE:BA) announced significant management changes on Monday, with Dave Calhoun to step down as CEO at the end of 2024.

Furthermore, Board Chair Larry Kellner has informed the company he does not intend to stand for re-election at the upcoming Boeing annual shareholder meeting, with the board electing Steve Mollenkopf to succeed Kellner as independent board chair. Mollenkopf has served on the Boeing board since 2020. He was previously CEO of Qualcomm.

Meanwhile, Stan Deal, Boeing Commercial Airplanes President and CEO, will retire from the company, with Stephanie Pope appointed to lead the unit, effective today. Kellner has served on the Boeing board for 13 years and served as its chair since late 2019

Boeing shares jumped 3.8% at the open on Monday, climbing above the $196 per share mark before retreating slightly.

The management changes come amid a difficult time for the company which has come under significant scrutiny due to incidents and issues that have raised concerns about the company's quality control, safety standards, and overall governance.

Calhoun will continue to lead Boeing through the year to «complete the critical work underway to stabilize and position the company for the future,» said Boeing.

In a letter to employees, Calhoun stated: «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.»

Reacting to the news, analysts at Vertical Research Partners said that «while someone