WASHINGTON, March 21 (Reuters) - Major airline chiefs
plan to hold discussions with Boeing ( BA ) board chair Larry
Kellner in meetings that will not include CEO David Calhoun
after raising concerns over an Alaska Airlines mid-air emergency
and ongoing production issues, sources said.
A group of U.S. airline CEOs sought meetings with Boeing ( BA )
directors to raise express concern over the Alaska Airlines
737 MAX 9 accident, the Wall Street Journal reported
earlier, saying it was an unusual sign of frustration with the
manufacturer's problems and its leader Calhoun.
An airline source familiar with the meetings told Reuters
the carriers wanted to raise concerns directly with Kellner, who
previously served as the CEO of Continental Airlines, and
understands their frustration with ongoing delays and quality
issues.
In the U.S., the CEOs of American Airlines ( AAL ), United
Airlines, Southwest Airlines ( LUV ) and Alaska Airlines
plan to hold meetings with the Kellner, according to a separate
airline source.
The discussions, expected to include at least one other
Boeing ( BA ) director, will also include some large foreign airline
customers, the sources with knowledge of the matter said on
condition of anonymity. Boeing ( BA ) CEO Dave Calhoun supports the
meetings but will not attend, a company official said.
A Wall Street analyst said the decision to hold meetings
without Calhoun did not appear to be a good sign for the CEO's
longevity at the company. The analyst declined to be named due
to the sensitivity of the matter.
Boeing ( BA ) said it had been actively focused on listening to its
customers at all levels of its company.
American, United and Alaska Airlines declined to comment.
Southwest ( LUV ) did not respond to a request for comment.
Calhoun took over as CEO in 2020 after two fatal 737 MAX 8
crashes after a decade on Boeing's ( BA ) board. He has vowed to fix
quality problems and must ensure accident like the mid-air
Alaska Airlines panel blowout "can never happen again."
Michael O'Leary, CEO of Boeing's ( BA ) biggest European 737 MAX
customer Ryanair, told Reuters on Wednesday he was
meeting with senior company executives in Dublin to discuss
prolonged delivery delays.
The order backlogs and delays in getting planes are
frustrating airline executives, who have started to cut routes
and are trying to acquire additional aircraft to meet passenger
demand that is set to hit record levels this spring.
Federal Aviation Administration chief Michael Whitaker said
on Tuesday Boeing must improve safety culture and address
quality issues before the agency will allow the planemaker to
boost 737 MAX production.
The FAA in late January took the unprecedented step of
telling Boeing ( BA ) it would not allow the company to expand 737 MAX
production in the wake of the Alaska Airlines mid-air emergency.
The FAA will only permit an increase when Boeing ( BA ) is
running a quality system safely, Whitaker said, adding he has
the tools to hold Boeing ( BA ) accountable and fully intend to use
them.
Whitaker said Boeing ( BA ) is allowed to produce 38 of the 737
planes per month, but actual current production is lower than
that.
Boeing ( BA ) Chief Financial Officer Brian West said on Wednesday:
"We are the ones who made the decision to constrain rates on the
737 program... and we'll feel the impact of that over the next
several months."
The Justice Department has opened a criminal probe into the
January mid-air MAX 9 cabin panel blowout. The National
Transportation Safety Board has said the plane that lost the
cabin panel was missing four key bolts.