Money: Boeing shares tumble again as 737 MAX crisis deepens - - PressFrom - Canada
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Money Boeing shares tumble again as 737 MAX crisis deepens

18:06  21 october  2019
18:06  21 october  2019 Source:   msn.com

Boeing CEO, Removed as Chairman, Near Last Chance on 737 Max

  Boeing CEO, Removed as Chairman, Near Last Chance on 737 Max The clock is ticking ever more loudly for Boeing Chief Executive Officer Dennis Muilenburg as the grounding of the 737 Max hits the seven-month mark. The board removed him as chairman Oct. 11 after the close of the workweek, saying the change would enable Muilenburg to focus on returning Boeing Co.’s best-selling jet to service. The directors expressed support for Muilenburg but pledged “active oversight” as they handed his chairman’s post to lead director David Calhoun, who has been mentioned in years past as a potential Boeing CEO.

Senior Boeing executives are due to hold a second day of meetings tomorrow after new messages, published late on Friday, deepened the crisis surrounding the company’s 737 MAX jet. Boeing ’s board of directors and top staff from its commercial airplanes division were due to meet in Texas on Sunday

Boeing 's shares fell 2% to 7.20 in premarket trading on Monday, adding to their 18% decline since the Walton cut his target price on Boeing 's shares by to 5, citing an increase in "likelihood of a pause on the 737 MAX production system" Please wait a minute before you try to comment again .

a airplane that is on display: Shares of Boeing tumbled again over its handling of the 737 MAX crisis after US aviation regulators criticized it for witholding key documents for months© David Ryder Shares of Boeing tumbled again over its handling of the 737 MAX crisis after US aviation regulators criticized it for witholding key documents for months

Shares of Boeing tumbled again on Monday over its handling of the 737 MAX crisis after US aviation regulators criticized it for withholding key documents for months.

Both UBS and Credit Suisse downgraded the company following Friday's statement by the Federal Aviation Administration that called Boeing's handling of the documents "disappointing."

The criticism comes as Boeing's efforts to get the FAA to certify the plane to return to service have dragged on. The jets were grounded in March following two crashes that killed 346 people.

Will 737 MAX crisis take down Boeing CEO?

  Will 737 MAX crisis take down Boeing CEO? The crisis over the 737 MAX that has tarnished Boeing's image has finally cost Dennis Muilenburg his title as chairman. But Boeing's move last week to strip Muilenburg of his chairmanship -- even as he remains chief executive -- could be a prelude to his eventual departure, as the aviation giant faces pressure to prove its culture is changing, aviation experts said Monday. Boeing, which has been in crisis mode since March following the grounding of its top-selling 737 MAX plane after two deadly crashes, announced late Friday that Muilenburg, 55, would remain CEO and on the board but would be replaced as chairman by lead independent director David Calhoun.

A text exchange in 2016 between the two lead technical pilots on the Boeing 737 MAX program revealed that the MCAS flight control system was behaving aggressively and strangely

Previous Boeing 737 MAX Chief Technical Pilot, Mark Forkner. Gustavsson responded to Forkner’s message by saying that he had experienced similar issues during his approach. Considering Boeing said that MCAS only activates when flaps are retracted, Gustavsson’s response indicates a potential

The document is an instant message conversation between Boeing's chief technical pilot for the 737, Mark Forkner, who told a colleague that the performance of Maneuvering Characteristics Augmentation System during a simulation was "egregious" and that he had "basically lied" to regulators inadvertently.

The MCAS is a flight-handling mechanism believed to be at the center of two MAX crashes that killed 346 people, which led to the plane's grounding since mid-March.

Forkner's lawyer, David Gerger, said the conversation concerned the MCAS simulator that "was not reading right" and that Forkner "thought the real plane was safe."

Boeing offered a more detailed explanation of the documents on Sunday, saying "we understand and regret the concern" generated by the messages from Forkner, who was involved in developing training and manuals for the MAX.

Boeing said it had not been able to speak to Forkner directly, but pointed to his explanation that his comments concerned a "simulator program that was not functioning properly and was still undergoing testing."

The disclosures come ahead of Boeing's earnings release scheduled for October 23 and of a congressional hearing with Chief Executive Dennis Muilenburg at the end of the month.

Earlier this month, Boeing stripped Muilenburg of his title as chairman, sparking speculation that he could soon be ousted from the company.

Shares of Boeing were down 4.2 percent at $329.88 at mid-morning.

Canadian airlines plan for grounded Boeing jet to fly again, travelers still leery .
Canadian airlines plan for grounded Boeing jet to fly again, travelers still leery"There is a very major job to be done...to remind our guests of the previous safe track record and to give people confidence that the changes that have been made will make this the safest narrowbody domestic aircraft that has ever flown," he said in an interview.

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