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Emirates boss says Boeing needs strong CEO to end crisis
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Emirates boss says Boeing needs strong CEO to end crisis
Jun 2, 2024 10:59 AM

DUBAI (Reuters) - The head of Dubai airline Emirates urged Boeing to pick an engineering and business heavyweight to lead a deep overhaul of the U.S. aerospace giant and said the task of ending the planemaker's recent confidence crisis "must get done".

"Is it fixable and salvageable? Yes it is. Will it get things back to where it needs to? It must. And you'll only do that with very strong leadership, who are fixated on doing the right thing," Emirates' President Tim Clark told reporters on the sidelines of a major airlines summit.

Turning round the manufacturer after a series of safety and industrial problems, to the point where it can meet existing and new demand smoothly, may take five years, he said.

"How long will that take? I think we have a five-year hiatus on our hands," he said.

Boeing is looking for a new CEO after announcing that Dave Calhoun would step down by the end of the year following back-to-back crises exacerbated by the blowout of a loose door plug on an Alaska Airlines 737 MAX 9 jet in January.

Asked what he would like to see in a new Boeing CEO, Clark said: "I think that people who have got a really broad aerospace engineering capability, who are good business managers as well, are the people that you need to bring back and sort this one out. Whether Stephanie Pope is going to be able to step up and do that (as well as) as anybody, time will tell".

He added: "But we need airplanes, we cannot face constant delays. We've got a business to run and if we're having to foot the bill for refurbishing all these (existing) airplanes it should be put at Boeing's door."

Emirates is carrying out what it calls the largest cabin refurbishment on existing planes as it awaits the first delivery of the Boeing 777X, so far delayed to 2025 from 2020.

Boeing had no immediate comment.

Emirates said he planned to meet Pope in her capacity as Boeing's recently appointed planemaking chief on the sidelines of the annual meeting of the International Air Transport Association being held in Dubai over the next two days.

In December, Boeing named Pope to the newly created position of group-wide chief operating officer in a move seen at the time as positioning her as a leading contender to take over from CEO Calhoun at some point in the next few years.

The unit she previously led, Global Services, was Boeing's only profitable division in the first nine months of 2023.

In March, as Boeing wrestled with a severe new corporate and regulatory crisis in the wake of the blowout incident, it announced Calhoun's earlier-than-expected planned departure and named Pope as head of its Commercial Airplanes division, replacing Stan Deal who was fired as part of the same shake-up.

Analysts say moving Pope again so quickly may be challenging but note she continues to be cited in some quarters as a contender for the CEO role alongside several outside contenders including Spirit AeroSystems CEO Pat Shanahan.

(Editing by Hugh Lawson and Susan Fenton)

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