in

Boeing taps former Collins Aerospace CEO Kelly Ortberg to replace Dave Calhoun

  • Boeing has named Robert “Kelly” Ortberg to succeed Dave Calhoun.
  • Ortberg, 64, previously led major aerospace supplier Rockwell Collins and has more than three decades of experience in the industry.
  • Boeing announced in March that Calhoun would step down by year’s end, part of a broader company shake-up following a door plug blowout in January.

Boeing has named Robert “Kelly” Ortberg to succeed CEO Dave Calhoun, picking a longtime aerospace veteran from outside the company as the manufacturer scrambles to regain its footing from safety and manufacturing crises. He will start Aug. 8.

Ortberg, 64, previously led major aerospace supplier Rockwell Collins, which later became Collins Aerospace, and the business is now part of industry behemoth RTX. He retired in 2021.

Ortberg, who has a mechanical engineering degree, will face a host of challenges as Boeing’s CEO: persistent losses, heightened regulator scrutiny, a crisis of confidence from airline customers whose planes are delayed, and tense labor talks that now include the threat of a strike.

His appointment Wednesday came alongside Boeing’s second-quarter results, which revealed a wider-than-expected loss and a 15% drop in sales.

Boeing announced in March that Calhoun would step down by year’s end, part of a broader company shake-up that also included the departure of its then-chairman and the replacement of its head of commercial aircraft. The changes came after a door plug blew out of a nearly new 737 Max 9, reigniting federal scrutiny over Boeing just as it was trying to move on from two fatal crashes of its bestselling plane.

“The Board conducted a thorough and extensive search process over the last several months to select the next CEO of Boeing and Kelly has the right skills and experience to lead Boeing in its next chapter,” Boeing’s chairman, Steven Mollenkopf, said in note to employees on Wednesday. “Kelly is an experienced leader who is deeply respected in the aerospace industry, with a well-earned reputation for building strong teams and running complex engineering and manufacturing companies.”

Ortberg will also join Boeing’s board.

Don’t miss these insights from CNBC PRO

Source: Business - cnbc.com

Private payroll growth slowed to 122,000 in July, less than expected, ADP says

Fed expected to hold rates steady, set stage for September cut