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Boeing top boss Kelly Ortberg shows promise with tentative labor deal
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Boeing top boss Kelly Ortberg shows promise with tentative labor deal
Sep 8, 2024 3:53 PM

Sept 8 (Reuters) -

Boeing ( BA ) has reached a tentative deal with a union

representing more than 32,000 workers in the U.S. Pacific

Northwest, an early win for new Boeing ( BA ) CEO Kelly Ortberg that

could help avert a possible crippling strike as the troubled

planemaker looks to restore confidence with regulators, the

industry and the public.

Boeing ( BA ), one of two global planemaking giants, has faced

a reputational and safety crisis after a Jan. 5 mid-air panel

blowout on a 737 MAX 9 jet, that led to the eventual resignation

of CEO Dave Calhoun.

Here is a timeline of recent issues surrounding Boeing ( BA ):

OCTOBER 2018: A Lion Air MAX plane crashes in Indonesia,

killing all 189 people on board.

NOVEMBER 2018: The FAA and Boeing ( BA ) say they are evaluating

the need for software or design changes to 737 MAX jets

following the Lion Air crash.

MARCH 2019: An Ethiopian Airlines MAX crashes, killing all

157 people on board. China's aviation regulator becomes the

first in the world to ground the MAX, followed by others

including the U.S. Federal Aviation Administration.

APRIL 2019: The FAA forms an international team to review

the safety of the 737 MAX. Boeing ( BA ) cuts monthly production by

nearly 20%.

JULY 2019: Boeing ( BA ) posts its largest ever quarterly loss.

SEPTEMBER 2019: Boeing's ( BA ) board of directors creates a

permanent safety committee to oversee development, manufacturing

and operation of its aircraft.

OCTOBER 2019: Boeing ( BA ) fires Kevin McAllister, the top

executive of its commercial airplanes division.

DECEMBER 2020: The company fires CEO Dennis Muilenburg in

the wake of the twin crashes.

JANUARY 2020: Boeing ( BA ) suspends 737 production, its biggest

assembly-line halt in more than 20 years.

MAY 2020: Boeing ( BA ) resumes 737 MAX production at a "low

rate."

JUNE 2020: Boeing ( BA ) begins a series of long-delayed flight

tests of its redesigned 737 MAX with regulators at the controls.

SEPTEMBER 2020: An 18-month investigation by a U.S. House of

Representatives panel finds Boeing ( BA ) failed in its design and

development of the MAX as well as its transparency with the FAA,

and that the FAA failed in oversight and certification.

NOVEMBER 2020: The U.S. FAA lifts the grounding order,

allowing the 737 MAX to fly again.

DECEMBER 2020: Congress passes legislation to reform how the

FAA certifies new airplanes, including requiring manufacturers

to disclose certain safety-critical information to the FAA.

JANUARY 2021: The European Union Aviation Safety Agency

approves the MAX's return to service in Europe.

MARCH 2021: China's aviation regulator says major safety

concerns with the MAX needed to be "properly addressed" before

conducting flight tests.

APRIL 2021: Boeing ( BA ) halts 737 MAX deliveries after electrical

problems re-ground part of the fleet.

NOVEMBER 2021: Current and former Boeing company directors

reach a $237.5 million settlement with shareholders to settle

lawsuits over safety oversight of the 737 MAX.

OCTOBER 2022: The FAA tells Boeing ( BA ) that some key documents

submitted as part of the certification review of the 737 MAX 7

are incomplete and others need a reassessment.

DECEMBER 2022: Congress agrees to extend a deadline for new

standards for modern cockpit alerts stemming from the 2020

legislation after intense lobbying from Boeing ( BA ).

APRIL 2023: Boeing ( BA ) pauses deliveries of some 737 MAXs to

deal with a new supplier quality problem involving non-compliant

fittings.

JULY 2023: Boeing's ( BA ) first delivery of the 737 MAX 7 is

delayed to 2024.

AUGUST 2023: Boeing ( BA ) identifies a new 737 MAX supplier

quality problem involving improperly drilled holes on the aft

pressure bulkhead.

SEPTEMBER 2023: Boeing 737 MAX deliveries fall to their

lowest levels since August 2021.

DECEMBER 2023: Boeing ( BA ) makes its first direct delivery of a

787 Dreamliner to China since 2019, seen as a precursor to China

potentially unfreezing deliveries of the 737 MAX.

JANUARY 2024: A mid-air cabin blowout compels Alaska Air ( ALK ) to

perform an emergency landing of its recently acquired 737 MAX 9

aircraft, prompting the FAA to ground 171 of these jets and

initiate an investigation. The FAA also bars Boeing ( BA ) from

increasing MAX output, but lifts the grounding of MAX-9s once

inspections were completed.

FEBRUARY 2024: The U.S. National Transportation Safety Board

(NTSB) published its preliminary report on the Alaska Air ( ALK )

incident involving a Boeing 737 MAX jet. According to the

investigation, the door panel that flew off the jet mid-flight

appeared to be missing four key bolts.

MARCH 2024:

** The FAA's 737 MAX production audit finds multiple

instances where Boeing ( BA ) and Spirit AeroSystems ( SPR ) allegedly

failed to comply with manufacturing quality control

requirements. This comes days after Boeing ( BA ) said it was in

preliminary talks to buy Spirit.

** The ongoing crisis may mean Boeing ( BA ) will need more time to

hit key financial targets for coming years, its CFO warns.

** Airbus clinches orders for 65 jets from two of

Boeing's ( BA ) key Asian customers, Japan Airlines ( JPNRF ) and Korean

Air.

** The U.S. planemaker says CEO Dave Calhoun will step down

and announces that Stan Deal, Boeing Commercial Airplanes

President and CEO, will be succeeded by Stephanie Pope.

MAY 2024

** The U.S. Department of Justice says Boeing ( BA ) breached its

obligations in a 2021 agreement that shielded it from criminal

prosecution over 737 MAX crashes in 2018 and 2019.

JULY 2024:

** Boeing ( BA ) acquires Spirit AeroSystems ( SPR ) back in an all-stock

deal for $4.7 billion in equity value. The deal comes as Boeing ( BA ),

which had sold Spirit in 2005 to cut costs, attempts to solve

its quality hurdles and accelerate jet deliveries.

** Boeing ( BA ) agrees to plead guilty to a criminal fraud

conspiracy charge and pay a fine of $243.6 million to resolve

the U.S. Justice Department investigation into the two 737 MAX

fatal crashes in 2018 and 2019.

** Boeing ( BA ) names former Rockwell Collins executive Kelly

Ortberg as its new president and CEO after a months-long search.

AUGUST 2024:

**Reuters reports Boeing ( BA ) and Lockheed Martin ( LMT ) are

in talks to sell their rocket-launching join venture United

Launch Alliance to Sierra Space, a deal that could value ULA at

around $2 billion to $3 billion, sources said.

SEPTEMBER 2024:

**Boeing's ( BA ) Starliner spacecraft lands uncrewed in a New

Mexico desert after technical issues left two astronauts it

ferried to the International Space Station marooned there until

February 2025, when a SpaceX vehicle is expected to return them

to Earth.

**Boeing ( BA ) said it had reached a tentative agreement with

a union representing more than 32,000 workers in the U.S.

Pacific Northwest, in a deal that could help avert a possible

crippling strike as early as Sept. 13. The proposed four-year

agreement must still be approved by union members.

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