Embattled Boeing Shakes Up Its Leadership

A string of Boeing controversies has caught up with CEO Dave Calhoun—he will step down from his role at the end of the year, reports the AP. "The eyes of the world are on us, and I know that we will come through this moment a better company," Calhoun wrote in a companywide memo on Monday, per the Wall Street Journal.

• Short tenure: Calhoun became CEO three years ago with promises to turn the company around following two major crashes involving Boeing 737 Max jets. "Instead, he becomes the second Boeing boss to exit amid quality concerns and production problems," per the Journal. The most high-profile issue of late is the Alaska Airlines jet that lost a door plug mid-flight.

• Other changes: Stan Deal, head of Boeing's commercial aircraft division, will resign immediately and be replaced by COO Stephanie Pope, and board chairman Larry Kellner said he will not stand for reelection.
• Context: The Alaska Airlines incident in particular "renewed questions about the safety of Max planes and Boeing's commitment to quality," per the New York Times. Airline execs have criticized the company, and the FAA has been ramping up pressure to improve quality control. The agency "also imposed limits on Boeing's planned production increase of Max planes, foiling the company's latest attempt to compete with its European rival Airbus."

(More Boeing stories.)