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Boeing: Ryanair boss Michael O'Leary taunts David Calhoun

2022-05-17T20:38:35.170Z


Ryanair boss Michael O'Leary verbally attacks the management of his most important supplier Boeing, increasing the pressure on CEO David Calhoun. He failed to initiate the urgently needed cultural change away from the old GE mentality at the US aircraft manufacturer.


Enlarge image

Little enthusiasm for reform: David Calhoun

, CEO of the American aircraft manufacturer Boeing

Photo: Christopher Goodney/Bloomberg via Getty Images

Such harsh statements as are currently being poured into Boeing boss

David Calhoun

(65) and his management team are seldom heard in the aviation industry: The top management of Boeing's commercial aircraft business is "not up to the task", teased Irish Ryanair boss

Michael O 'Leary

(61) on Monday.

"The company has lost its way" were the critical words of

Domhnal Slattery

(55), CEO of Avolon, the second largest lessor in the world.

Things are currently anything but smooth at Boeing, the large American manufacturer of aerospace technology.

After the resignation of the then CEO

Dennis Muilenburg

(58) at the end of 2019, many observers still hoped that Boeing would break away from its role model General Electric (GE).

The industrial group – which has since also failed – had shaped Boeing for a long time with numerous managers who had switched to the aircraft manufacturer.

Apparently it was too one-sided to get the market value as high as possible, while the actual business was being hollowed out.

The obvious lack of enthusiasm for reform also appeals to Muilenburg's successor, Calhoun

lie, who himself spent most of his career at GE.

The consequences are now becoming increasingly clear: Boeing is currently missing some practical answers as to how the company should proceed.

It is still unclear whether and in what form the group wants to build a new, medium-sized aircraft with 240 to 260 seats and suitability for long-haul routes.

The continuing quality problems of the Dreamliner 787 and the uncertainties about the approval of an extended 737 Max, which Ryanair boss O'Leary is currently insisting on, are still unresolved.

Boeing moves headquarters to Arlington

This had recently in a TV interview with the American news channel

CNBC complained about Boeing and called for a fresh start in management.

If Boeing continues to lose market share, then there may need to be major management changes, O'Leary said.

He was particularly disappointed with late deliveries and poor communication.

After the aborted negotiations in September last year, the manufacturer apparently no longer reported deliveries of Ryanair's standard jets - Ryanair had ordered 210 copies of the modernized Boeing 737 Max model.

Other Boeing customers have also expressed their dissatisfaction with production delays.

Further pressure on the Boeing leadership comes from US trade unionists, who attest to a hostile attitude towards the management.

The critics agree that CEO Calhoun has not been able to rebuild trust in recent years.

The price of Boeing shares has also fallen from over 210 US dollars to under 130 US dollars since the beginning of the year.

Before the outbreak of the corona pandemic, the stock was even regularly quoted above 350 US dollars.

However, a significant change is now in sight: the company's headquarters are to be relocated from Chicago to Arlington in the state of Virginia.

This brings the group closer to the US capital Washington.

This could not only result in advantages for the Boeing armaments division, but also the American aviation authority "Federal Aviation Administration" (FAA), which is responsible for the business with civil aircraft, is based in Washington - for the sluggish approval of new models this could mean significantly more impetus.

Source: spiegel

All news articles on 2022-05-17

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