Boeing CEO Calhoun took home $5 million last year, compensation package hit by Max crisis

Outgoing


Boeing
CEO
Dave
Calhoun’s
take-home
pay
fell
to
$5
million
last
year
after
declining
a
bonus,
compared
with
$7
million
in
2022,
and
his
latest
compensation
package
is
taking
a
hit
from
the
prolonged
safety
crisis
surrounding
the
company’s
bestselling
jetliner,
the
737
Max.

Calhoun’s
total
compensation
last
year
rose
45%
to
$32.8
million,
up
from
$22.6
million
in
the
prior
year.
But
Boeing
said
the
2023
sum
is
closer
to
$23.5
million,
as
it
includes
long-term
incentives
such
as
stock.
Shares
of
the
plane-maker
are
down
almost
30%
this
year.

Total
compensation
for
Stan
Deal,
whom
Boeing
last
month
replaced
at
the
top
of
the
commercial
airplanes
division,
rose
42%
to
$12.5
million.

Calhoun
last
month

said
he
would
step
down
by
the
end
of
the
year.
His

departure
is
part
of
a
broad
shake-up
in
which
the
company
also
replaced
its
chairman
and
head
of
its
commercial
airplane
unit.
The
manufacturer
is
grappling
with
the
fallout
of
a

door
plug
panel
that
blew
out
midair
from
a
737
Max
operated
by


Alaska
Airlines
in
January.

Boeing
disclosed
the
take-home
pay,
which
did
not
include
a
2023
bonus
Calhoun
declined
that
was
valued
at
$2.8
million,
and
executive
compensation
in
a
filing
Friday.
The
company
said
it
will
now
more
closely
tie
executive
compensation
to
safety
goals.

“I
promise
that
I
personally,
and
we
as
a
Board,
will
leave
no
stone
unturned
in
our
efforts
to
get
this
company
where
it
needs
to
be,”
newly
named
Boeing
Chairman
Steve
Mollenkopf
said
in
a
message
to
shareholders
in
a
filing
Friday.

The
Jan.
5
accident
has
slowed
deliveries
of
new
jets
and
Boeing
has
said
it
will
burn
more
cash
than
it
previously
expected.
The
company
is
scheduled
to
release
first-quarter
results
April
24.

Calhoun
took
the
helm
at
Boeing
in
January
2020
after
his
predecessor
was
ousted
for
his
handling
of
the
aftermath
of
two
fatal
crashes
of
the
737
Max.
In
addition
to
the
Covid-19
pandemic’s
devastating
effect
on
the
aviation
industry,
Boeing
has
also
had
a
host
of
quality
defects
on
its
aircraft.
Those
have
slowed
deliveries
of
new
planes
to
customers
clamoring
for
fresh
jets
as
travel
snapped
back,
hurting
Boeing’s
cash
flow.

The
Alaska
Airlines
door
plug
near-catastrophe
was
the
most
serious
issue
since
the
crashes.
The
Justice
Department
is
investigating
the
Alaska
Airlines
accident
and
the
Federal
Aviation
Administration
has

capped
Boeing’s
737
Max
production
until
it
signs
off
on
Boeing’s
quality
control.

Boeing
said
on
Friday
that “operational
performance
metrics
for
all
business
units
will
be
focused
exclusively
on
quality
and
safety
goals”
this
year
and
that
long-term
executive
incentives
could
be
reduced
to
zero
if
goals
are
not
met.

Boeing
last
posted
an
annual
profit
in
2018.

Clarification:
CEO
Dave
Calhoun’s
total
2023
compensation
is
closer
to
$23.5
million.
An
earlier
version
contained
a
figure
that
was
later
updated
by
Boeing.