Boeing has appointed Robert “Kelly” Ortberg as its new CEO, effective August 8, following a reported core operating loss of $1.4 billion in the second quarter, more than triple the loss from the previous year. Ortberg, the former CEO of Rockwell Collins, replaces Dave Calhoun, who is retiring amid increasing scrutiny over the safety and quality of Boeing’s aircraft, which has hindered the company’s ability to return to profitability.
Ortberg, with a background in mechanical engineering, expressed his commitment to prioritizing safety and quality at Boeing. His appointment comes as a potential reassurance to critics who felt the company had become too finance-focused under previous leadership. Ortberg’s career in aviation began in 1983, and he has significant experience in the industry, including serving as CEO of Rockwell Collins.
Despite Ortberg’s engineering background, similar to previous Boeing CEO Dennis Muilenburg, who oversaw the troubled 737 Max program, challenges remain. Boeing has not been profitable since 2019, with accumulated core operating losses of $33.3 billion. The company’s path to profitability hinges on resolving safety and quality concerns to regain regulatory confidence.
