Boeing appoints new CEO to address challenges, including 737 Max issues and cash burn

From CNBC: 2024-08-08 12:13:20

Robert K. Ortberg takes on the role of Boeing’s new president and CEO starting August 8, 2024, with a mission to restore the reputation of the U.S. manufacturing giant. The company faces significant challenges, including a cash burn of $8 billion this year, share price decline, and manufacturing defects in its popular 737 Max aircraft.

Ortberg’s initial focus is on improving safety and quality across Boeing’s production plants, starting with a visit to the Renton factory that builds the troubled 737 Max. With his background in the aerospace industry and reputation as a good listener, industry insiders are cautiously optimistic about his leadership.

Boeing must address issues not only in its commercial jet business, including delays in new aircraft certification, but also in its defense unit, which faces challenges with projects like the Air Force One aircraft and the Starliner capsule for NASA. The company is also under scrutiny for ongoing cost increases and delays in the Space Launch System rocket program.

Ortberg’s first 100 days as CEO will be critical in shaping Boeing’s future, with a focus on training the workforce, resolving labor negotiations, and restoring relationships with customers and suppliers. Boeing’s success under Ortberg’s leadership is viewed as essential for the broader aerospace industry and the company’s stakeholders.



Read more at CNBC: Boeing’s new outsider CEO Kelly Ortberg takes the helm