Boeing removes CEO from chairman role, names replacement
This post contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. Terms apply to the offers listed on this page. For an explanation of our Advertising Policy, visit this page.
Boeing CEO Dennis Muilenburg has been removed from his role as chairman of the company after Boeing’s board of directors voted to separate the roles of CEO and chairman, the latest step in the ongoing saga of the 737 MAX that’s seen the plane grounded after two fatal crashes that claimed the lives of 346 passengers and crew.
Muilenburg will remain on Boeing’s board of directors, while lead director David Calhoun will assume the role of nonexecutive chairman. Calhoun emphasized that this decision does not reflect a loss of confidence in Muilenburg’s ability to run the company, saying in a statement that, “The board has full confidence in Dennis as CEO and believes this division of labor will enable maximum focus on running the business with the board playing an active oversight role.” In the same release, Muilenburg supported the board’s decision and said that the “entire team is laser-focused on returning the 737 MAX safely to service.”
Both MAX crashes were tied to the Maneuvering Characteristics Augmentation System (MCAS), a piece of software designed to automatically stabilize the pitch of the airplane in the event of a stall. Boeing is now the subject of multiple federal inquiries and even civil suits from the family of victims into the process by which MCAS was designed and tested.
Last month, Boeing announced the creation of a new product safety division within the company, and has announced plans to add a board member with safety experience in the near future.
Boeing has lost billions of dollars in canceled or delayed orders in the six months that the 737 MAX has been grounded, adding extra pressure as the company tries to convince regulators and passengers worldwide that its software updates are sufficient to get the plane safely flying again. The three biggest North American operators of the MAX, United Airlines, American Airlines and Southwest Airlines, have all extended their flight cancellations into 2020.
Welcome to The Points Guy!
WELCOME OFFER: 80,000 Points
TPG'S BONUS VALUATION*: $1,600
CARD HIGHLIGHTS: 3X points on dining and 2x points on travel, points transferrable to over a dozen travel partners
*Bonus value is an estimated value calculated by TPG and not the card issuer. View our latest valuations here.
- Earn 80,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $1,000 when you redeem through Chase Ultimate Rewards®.
- Enjoy benefits such as a $50 annual Ultimate Rewards Hotel Credit, 5x on travel purchased through Chase Ultimate Rewards®, 3x on dining and 2x on all other travel purchases, plus more.
- Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 80,000 points are worth $1,000 toward travel.
- With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories
- Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.