Top Execs Out Amid Quality Control And  Safety Crisis

Boeing CEO Dave Calhoun will step down from his position at the end of the year, according to a statement released by the company. 

Calhoun was hired four years ago to address critical problems at Boeing, but the manufacturer is still mired in a crisis over the quality of its planes. The decision to step down comes after a Jan. 5 midair blowout and sweeping production problems that have angered airlines and regulators.

Calhoun’s departure is part of a broader executive shake-up at Boeing. The company’s chairman will also be replaced. Boeing is struggling with production problems and a mid-air blowout of a door panel that have spurred regulatory scrutiny.

Board chairman Larry Kellner will be replaced by Steve Mellenkopf, the former CEO of Qualcomm. Stan Deal, head of Boeing Commercial Airplanes has retired effective immediately.

Calhoun was hired to fix Boeing, but instead, the company has become an embarrassment. The decision to leave was “100%” his choice, Calhoun said in an interview on CNBC. His departure also comes in the face of widespread criticism of the company by CEOs of many of the world’s major airlines Boeing depends upon to buy its planes. The company says that it is committed to fixing what isn’t working and getting back on track towards recovery and stability.

FMI: www.boeing.com