Boeing CEO Dave Calhoun will resign in 2024 amid jet safety problems

Boeing CEO Dave Calhoun will step down at the end of 2024 as part of a broad management shakeup at the embattled aerospace giant, according to a report published by CNN.

Board Chairman Larry Kellner will also resign and leave the board at Boeing's annual meeting in May. He will be replaced by Steve Mollenkopf, who has been head of Boeing since 2020.

The company also announced that Stan Deal, CEO of Boeing Commercial Airplanes, will retire. His place will be taken by Stephanie Pope, Boeing's chief operating officer since January.

Over the past five years, Boeing has been hit by problems with its planes, including two fatal 737 Max crashes in 2018 and 2019 that killed 346 people. Recently, the company has been in the spotlight for the incident in which the door plug of an Alaska Airlines 737 Max flew off in mid-flight.

The problems have caused multiple shutdowns due to safety issues and more than $31 billion in accumulated losses.

“As you all know, the accident of Alaska Airlines Flight 1282 was a watershed moment for Boeing,” Calhoun wrote in a letter to employees. “We must continue to respond to this accident with humility and complete transparency. “We must also instill a total commitment to safety and quality at all levels of our company.”

“The eyes of the world are on us and I know that we will emerge from this moment a better company, taking advantage of all the learnings we accumulated as we worked together to rebuild Boeing over the past few years,” he added.

Boeing shares rose more than 3% in premarket trading after Calhoun's announcement.