From CNBC: 2024-07-31 16:04:07

Boeing has appointed Robert “Kelly” Ortberg, former CEO of Rockwell Collins, to replace Dave Calhoun as CEO starting Aug. 8. Ortberg, a longtime aerospace veteran, faces challenges including persistent losses, regulator scrutiny, and supply chain issues. Ortberg will receive an annual base salary of $1.5 million and incentives for next year valued at $20.5 million.

Ortberg, with a mechanical engineering degree, retired in 2021, though he was on the board of RTX. Boeing seeks Ortberg’s industry expertise as an outsider to navigate challenges such as delays, cost overruns, and labor talks. The company’s stock rose after Ortberg’s appointment, signaling investor relief and confidence in his leadership.

Boeing’s prior struggles include safety crises and production issues, including a federal fraud charge related to misleading regulators about Max planes. Ortberg must ensure product quality, manage a strained supply chain, and address manufacturing flaws. Boeing aims for FAA certification on its new 777 jetliner and Max models while Ortberg leads the company.



Read more at CNBC: Boeing taps Kelly Ortberg as new CEO to replace Dave Calhoun