On Monday, Dennis Muilenburg, CEO of Boeing was fired while the company is continuing to battle to regain the trust of the regulators following its Max 737 Max plane crash. In a statement issued by Boeing it had mentioned that the change in leadership was necessary to regain the confidence of customers, regulators, and stakeholders while the company moves forward. The Seattle-based company had stated that David Clhoun will take over as CEO on 13th January. Dennis Muilenburg will leave the company with immediate effect and Greg Smith, CFO of Boeing will serve as interim CEO. Boeing did not respond to questions regarding Muilenburg’s severance pay. Muilenburg worked at Boeing for 34 years and he was criticized for failing to address the impact of the crashes in the lives of grieving families. He was furthermore accused of misleading the aviation regulator. Second crash in march 2019 drastically slid the shares of Boeing by 22% and following the announcement made on Monday the shares rose jumped 2.7%.
The entire fleet of 737 Max planes was grounded after the second crash and the incident has sparked various investigations. David Clhoun stated that he believes in the future of Boeing and he is honored to lead this company.