Dave Calhoun

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Dave Calhoun
David Calhoun (cropped).png
Calhoun in 2023
Born
David L. Calhoun

(1957-04-18) April 18, 1957 (age 66)
Philadelphia, Pennsylvania, U.S.
Education Virginia Tech (BS)
TitlePresident and CEO, Boeing
TermJanuary 2020 – 2024
Predecessor Dennis Muilenburg
Signature
David L. Calhoun signature.png

David L. Calhoun (born April 18, 1957) is an American business executive who has been the president and chief executive of Boeing since January 2020. In March 2024, Boeing announced Calhoun will step down as chief executive at the end of 2024. [1] [2]

Contents

He was previously Boeing's chairman and was appointed CEO after his predecessor Dennis Muilenburg was fired amid safety concerns with the Boeing 737 MAX following two fatal crashes that claimed the lives of 346 passengers and crew on board. [3] [4]

Early life and education

Calhoun was born April 18, 1957, in Philadelphia [5] and grew up in Allentown, Pennsylvania. He attended Parkland High School in South Whitehall Township, Pennsylvania, graduating in 1975. In high school, Calhoun was one of three captains of the varsity basketball team and played golf. [6] He attended Virginia Tech, graduating in 1979 with a degree in accounting. [5] [6]

Career

After graduating from college, Calhoun was hired by General Electric (GE). He decided to join GE in part because he would be working in Lehigh Valley in eastern Pennsylvania, where he grew up. [5] He worked at GE for 26 years, overseeing transportation, aircraft engines, reinsurance, lighting and other GE units, before being appointed vice chairman and a member of GE's Board of Directors in 2005. [7]

Calhoun left GE to join privately held global information services firm VNU as CEO in 2006. Under his leadership, the company rebranded itself as Nielsen Holdings, returned to the public markets in 2011, and was added to the S&P 500 Index in 2013. [8] In 2014, Calhoun became executive chairman of Nielsen, and also joined The Blackstone Group as a Senior Managing Director and head of Private Equity Portfolio Operations. [9] He also became a member of Blackstone's management committee.

At Boeing, Calhoun was a director, starting in 2009, and was named lead independent director in 2018. [10] [6] The company separated the roles of chairman and chief executive officer in the fall of 2019 so that Muilenburg could "implement changes to sharpen Boeing's focus on product and services safety," according to a press release. [11] At the same time, the board named Calhoun non-executive chairman.

Public comments on accidents involving Boeing aircraft

In a March 2020 interview with The New York Times , Calhoun discussed the 737 MAX's MCAS software, saying that Boeing had made a "fatal mistake" in expecting that pilots could immediately correct the software problems. He went on to explain that "pilots [in Ethiopia and Indonesia] don't have anywhere near the experience that they have here in the U.S." He unsuccessfully requested to go off the record after being asked whether American pilots would have been able to control the situation, and then replied, "[f]orget it, you can guess the answer." [12]

On January 5, 2024, a door plug on a Boeing 737 MAX 9 aircraft operated by Alaska Airlines (Alaska Airlines Flight 1282) blew out, causing an uncontrolled decompression. The aircraft returned to Portland, Oregon, for an emergency landing. There were no fatalities. The National Transportation Safety Board and the FAA announced investigations. [13] At a staff meeting on January 9, Calhoun acknowledged Boeing's responsibility. “We are gonna approach this—No. 1—acknowledging our mistake," he told employees. Calhoun added he had been "shaken to the bone" by the accident. [14] [15]

Boeing compensation

In 2022, Calhoun received $22.5 million from Boeing. Most of his 2022 compensation was in the form of estimated value of stock and option awards. He received the same $1.4 million salary as in 2021. [16] [17]

Boeing announced in March 2023 that Calhoun would not receive a $7 million performance-based bonus, which had been tied to getting the new widebody 777X into service by the end of 2023. [16] [18]

In February 2023, Boeing awarded Calhoun an incentive of about $5.29 million in restricted stock units to "induce him to stay throughout the company's recovery." In March 2023, Boeing announced Calhoun was being given shares worth $15 million that will vest in installments over three years. [19] [20]

Personal life

Calhoun and his wife, Barbara, have four children. [5]

Philanthropy

In 2018, Calhoun gave $20 million to Virginia Tech to create the Calhoun Honors Discovery Program. [21]

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References

  1. ↑ "CEO Message to Employees". MediaRoom. Retrieved March 25, 2024.
  2. ↑ Ember, Sydney (March 25, 2024). "Boeing C.E.O. to Step Down in Major Reshuffle at Embattled Plane Maker". The New York Times. Retrieved March 25, 2024.
  3. ↑ Yaffe-Bellany, David (December 23, 2019). "Boeing Taps David Calhoun as C.E.O. to Stem 737 Max Crisis". The New York Times.
  4. ↑ "The Boeing Company, December 22, 2019, SEC Form 8-K".
  5. 1 2 3 4 Lovegrove, Richard (March 20, 2018). "David Calhoun: Finding a meaningful balance of success, family, and giving back". Virginia Tech Daily. Virginia Polytechnic Institute and State University. Retrieved October 12, 2019.
  6. 1 2 3 Salamone, Anthony (December 24, 2019). "Amid scandal, Boeing names Parkland High School grad its next CEO". The Morning Call.
  7. ↑ Deutsch, Claudia H. (August 23, 2006). "Executive Leaves G.E. to Become VNU's Chief". The New York Times.
  8. ↑ "Nielsen Joins S&P 500". News Center (Press release). Nielson Holdings. Retrieved January 13, 2024.
  9. ↑ "Executive Biography of David Calhoun". Boeing (Press release). Boeing. Retrieved January 13, 2024.
  10. ↑ Edwards, Jane (March 19, 2018). "David Calhoun Named Boeing Lead Director". GovconWire. Retrieved January 14, 2024.
  11. ↑ "Boeing Board of Directors Separates CEO and Chairman Roles". MediaRoom (boeing.mediaroom.com) (Press release). October 11, 2019.
  12. ↑ Kitroeff, Natalie; Gelles, David (March 5, 2020). "'It's More Than I Imagined': Boeing's New C.E.O. Confronts Its Challenges". The New York Times . Retrieved March 5, 2020.
  13. ↑ Lee, Anne Marie (January 11, 2024). "FAA says it is investigating Boeing over Alaska Airlines mid-air door plug blowout". CBS News. Retrieved January 14, 2024.
  14. ↑ Tangel, Andrew (January 9, 2024). "Boeing CEO Says Company Needs to Acknowledge 'Our Mistake'". The Wall Street Journal. Retrieved January 13, 2024.
  15. ↑ Shepardson, David (January 9, 2024). "Boeing CEO admits error, says mid-air blowout 'can never happen again'". Washington, D.C.: Reuters. Retrieved January 13, 2024.
  16. 1 2 Insinna, Valerie (March 3, 2023). "Boeing denies CEO Calhoun $7 million bonus due to 777X delays". Reuters. Retrieved January 13, 2024.
  17. ↑ "Boeing CEO loses $7M bonus, keeps $22.5 million compensation". Associated Press. March 3, 2023. Retrieved January 13, 2024.
  18. ↑ Anselmo, Joe (June 16, 2023). "Podcast: On The Record With Boeing's CEO". Aviation Week Network. Retrieved January 14, 2024.
  19. ↑ Johnsson, Julie (February 17, 2023). "Boeing Gives Its CEO a $5.3 Million Perk to Stick Around Longer". Bloomberg News. Retrieved January 13, 2024.
  20. ↑ Insinna, Valerie (February 22, 2023). "Boeing offers CEO $5.3 million incentive to stay through recovery". Reuters. Retrieved January 13, 2024.
  21. ↑ Lorin, Janet (March 19, 2018). "Blackstone's David Calhoun Gives $20 Million to Virginia Tech". Bloomberg News.
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