Boeing replaces executive who oversaw 737 Max, other planes

Kevin McAllister is being replaced by Stanley Deal, leader of Boeing’s services division

Boeing Commercial Airplanes CEO Kevin McAllister is shown here at a delivery ceremony for a Boeing 747-8 freighter to Qatar Airways on Sept. 25, 2017, at Boeing’s delivery center in Everett. (AP Photo/Elaine Thompson)

Boeing is replacing the head of its commercial-airplanes division as it struggles with a crisis created by two deadly crashes of its newest airliner.

Boeing said Tuesday that Kevin McAllister is out as chief executive of Boeing Commercial Airplanes. He is being replaced by Stanley Deal, leader of Boeing’s services division.

The shake-up in Boeing’s top ranks comes just days after the release of internal communications that showed a senior test pilot experienced serious problems while testing flight-control software for the 737 Max on a simulator.

That software, called MCAS, is at the centre of investigations into two crashes that killed 346 people and led to grounding of the Max. Boeing is taking much longer than executives expected to change the software and get the plane flying again.

Boeing announced two other promotions, including a replacement for Deal, who has led Boeing Global Services since the division was created in 2016.

McAllister was recruited from General Electric Co.’s jet-engine operation to run Boeing’s biggest division in 2016, just months before the 737 Max went into service. Boeing did not specify whether he quit or was fired.

READ MORE: Boeing, FAA both faulted in certification of the 737 Max

“The Boeing board fully supports these leadership moves,” Chairman David Calhoun said in a prepared statement.

Calhoun himself is new in his position. CEO Dennis Muilenburg also served as company chairman until the board stripped him of that job and elevated Calhoun two weeks ago.

In a statement, Muilenburg thanked McAllister for his service “during a challenging time, and for his commitment to support this transition.”

Boeing took a $5.6 billion pretax charge this summer to cover its estimate for compensating airlines that have cancelled thousands of flights because of grounded planes. It has disclosed nearly $3 billion in other additional costs related to the grounding.

The company faces dozens of lawsuits by families of passengers killed in the Max crashes in Indonesia and Ethiopia. It is also the subject of investigations by the Justice Department and Congress.

Chicago-based Boeing Co. is scheduled to report its latest financial results on Wednesday.

David Koenig, The Associated Press

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

VIA Rail lays off 1,000 unionized workers across the country

Northern B.C. route Jasper to Prince George to Prince Rupert is not affected by VIA Rail layoffs

Sunflower Highway, art initiative to connect Fraser Valley, Thompson-Nicola and Okanagan

Sunflowers made out of reclaimed materials will be installed on public art trails

Residents warned to stay away from flooded Cache Creek park

Water might look shallow, but is several feet deep in places

Ashcroft receives grants to get new hot tub and lift station

‘The hot tub is a major benefit for many residents’

Cache Creek gets funding for improvements on Old Cariboo Road

Work will help to mitigate damage from water and debris flows during flooding

B.C. sees 25 new COVID-19 cases, community exposure tracked

One death, outbreaks remain in two long-term care facilities

BREAKING: Amber Alert for two Quebec girls cancelled after bodies found

Romy Carpentier, 6, Norah Carpentier, 11, and their father, Martin Carpentier, missing since Wednesday

B.C. man prepares to be first to receive double-hand transplant in Canada

After the surgery, transplant patients face a long recovery

Grocers appear before MPs to explain decision to cut pandemic pay

Executives from three of Canada’s largest grocery chains have defended their decision to end temporary wage increases

Bringing support to Indigenous students and communities, while fulfilling a dream

Mitacs is a nonprofit organization that operates research and training programs

Northern B.C. First Nations call for reversal of grizzly bear hunting ban

Growing grizzly populations have led to fewer ungulates and increased fear of attacks says Chad Day

RCMP ‘disappointed’ by talk that race a factor in quiet Rideau Hall arrest

Corey Hurren, who is from Manitoba, is facing 22 charges

NHL’s Canadian hubs offer little economic benefit, but morale boost is valuable: experts

Games are slated to start Aug. 1 with six Canadian teams qualifying for the 24-team resumption of play

‘Made in the Cowichan Valley’ coming to a wine bottle near you

Cowichan Valley has the honour of being the first sub-GI outside of the Okanagan

Most Read