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Boeing CEO Resigns Amid Ongoing 737 Max Problems

dennis_muilenberg.jpg
Courtest of Boeing.com
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Dennis Muilenburg

Dennis Muilenburg, the embattled CEO of Boeing, is resigning from his post, the aerospace giant announced Monday.

The company says its board of directors has named David Calhoun, the current chairman, as successor.

Boeing has been under intense scrutiny in recent months as it has tried to move beyond a major crisis prompted by deadly accidents involving its 737 Max series planes that threatens the stability of the company. Officials worldwide ordered the grounding of its aircraft type following two crashes that killed 346 people.

Muilenburg's departure from the company is effective immediately, the company said in a statement.

"The Board of Directors decided that a change in leadership was necessary to restore confidence in the Company moving forward as it works to repair relationships with regulators, customers, and all other stakeholders," Boeing said in a press release.

It continued: "Under the Company's new leadership, Boeing will operate with a renewed commitment to full transparency, including effective and proactive communication with the [Federal Aviation Administration], other global regulators and its customers."

The company announced Calhoun will take over the top executive post in mid-January. He will also remain part of Boeing's board.

"I strongly believe in the future of Boeing and the 737 MAX," Calhoun said in a statement. "I am honored to lead this great company and the 150,000 dedicated employees who are working hard to create the future of aviation."

The FAA grounded the Max series in March, several days after several countries issued similar mandates following the deadly Ethiopian Airlines 737 Max 8 crash. All 157 people on that flight died.

That crash took place less than five months after another 737 Max 8 plane, this one operated by Lion Air, crashed off the coast of Indonesia in October 2018, killing all 189 passengers and crew members.

The problems with the plane have ensnared Wichita's Spirit Aerosystems, which makes 70 percent of every 737 Boeing produces. Spirit, the city's largest private employer, announced last week it was temporarily suspending 737 production at the request of Boeing.

Brakkton Booker is a National Desk reporter based in Washington, DC.