Boeing announced today it has named former Rockwell Collins executive Kelly Ortberg as its new president and CEO. The appointment follows a monthslong search to replace Dave Calhoun, who announced earlier this year he would step down by year-end. Board Chair Larry Kellner also stated he would not stand for reelection.
Both departures are linked to Boeing’s challenges following multiple high-profile issues related to transparency, quality control, and corporate culture.
Ortberg, assuming his role on August 8, must address financial losses and rebuild trust with the aerospace industry, the public, regulators in the U.S. and abroad, and investors. According to a Reuters report, Boeing aims to increase production of its single-aisle 737 line from 25 jets per month in June to 38 aircraft per month. Chief Financial Officer Brian West informed analysts that cash drain is expected to continue through the third quarter and annual spending will exceed projections.