Boeing picks aerospace executive Kelly Ortberg as its next CEO

Attorney weighs in after Boeing agrees to plead guilty in deadly 737 case

Boeing said it has tapped aerospace executive Robert K. "Kelly" Ortberg as its next president and chief executive, replacing outgoing CEO Dave Calhoun in the wake of increased regulatory scrutiny sparked by the aircraft manufacturer's production problems. 

Ortberg, 64, is the former CEO of Rockwell Collins, an aerospace company that was a supplier of avionics systems for Boeing. Ortberg served as the head of Rockwell Collins from 2013 through its integration with United Technologies and RTX, until he retired from RTX in 2021. 

Ortberg's appointment will be effective as of August 8, Boeing said Wednesday in a statement. .

The appointment comes four months after Calhoun announced he would be stepping down as the CEO of Boeing following a mid-air blowout of a door panel on one of its Boeing 737 Max 9 planes, which spurred scrutiny from regulators and lawmakers. Calhoun had joined the company with the mandate to steady the business following two deadly crashes of Boeing aircraft in 2018 and 2019, to which Boeing earlier this month agreed to plead guilty to a criminal fraud charge. 

In a statement, Ortberg said the company is facing "much work to be done." He added he is committed to working with the company's 170,000 employees "with safety and quality at the forefront."

Separately, Boeing reported that it lost more than $1.4 billion in the second quarter, a wider loss than expected by Wall Street. Revenue also fell short of expectations, dipping 15% from a year earlier.

The disappointing results come at a tumultuous time for Boeing. The Federal Aviation Administration has increased its oversight of the company following mistakes including the blowout of a panel on an Alaska Airlines jet. It is is pushing back against whistleblower allegations of manufacturing shortcuts that crimp on safety.

The company is also dealing with supply-chain problems that are hindering production, which it hopes to fix in part by re-acquiring Spirit AeroSystems, a key contractor. It is still trying to persuade regulators to approve two new models of the Max and a bigger version of its two-aisle 777 jetliner. And it faces a multibillion-dollar decision on when to design a new single-aisle plane to replace the Max.

Shares rose more than 3% before the opening bell Wednesday.

—With reporting by the Associated Press.

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