WASHINGTON --- Boeing Co’s new Chief Executive David Calhoun assumes the job Monday as the U.S. planemaker battles to recover from two fatal crashes of 737 MAX planes that killed 346 people in five months and led to the model’s worldwide grounding in March.
Calhoun, 62, a long-time Boeing director named chairman in October after the board stripped Dennis Muilenburg of the title, was named chief executive on Dec. 23 following the board’s firing of Muilenburg amid growing concerns about the company’s relationship with regulators and its handling of the MAX.
Boeing has estimated costs of the MAX grounding at more than $9 billion to date and is expected to disclose significant additional costs during its fourth-quarter earnings release on Jan. 29. Boeing faces rising costs from halting production of the MAX this month, compensating airlines for lost flights and assisting its supply chain. It is also considering raising more debt.
Calhoun, a longtime executive at Blackstone private equity group and corporate crisis manager, is already working to repair the company’s relationships with regulators, airlines and lawmakers. He previously headed a General Electric (GE.N) division that included airplane engines. (end of excerpt)
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