Boeing at X-Roads?

[WillowRun 6-3]

Earlier today I watched the interview Dave Calhoun gave to CNBC Squawk Box autos and aviation reporter. Some interesting points.

But first, about so-called golden parachutes. Any severance or similar types of payments certainly are determined by the executive employment agreements these high-level positions always entail, and even more certainly in a company of Boeing's size. The terms of bonus payments, deferred compensation, stock options, ad well as payments upon termination of employment under various (legally, more or less standardized) categories of situations will have been spelled out, in plenty of detail, from the start of the position. Perhaps high-level executive talent could be recruited for such positions with such heavy responsibilities (and public presence) without severance arrangements under standard categories of termination, but I seriously doubt it. (Whether any so-called "clawbacks" of various types of executive comp could result from, for example, shareholder derivative litigation, I'm not guessing.)

Also relating to the next CEO, Calhoun in the CNBC interview this morning emphasized that the aircraft business is one that runs on very long term development cycles; that he will participate in the executive search and will be looking for significant aviation experience in the context of very long development cycles, and noted specifically that the next aircraft program will require an investment of 50 billion dollars and the next CEO must have a track record on that order of magnitude or scale if you prefer. I'm not posting this because anyone wouldn't already know these parameters or wouldn't expect them to apply - instead this SLF/attorney found those remarks a further step in the right direction. Time will tell.

As for the continuing elevation of Stephanie Pope, it would seem extraordinary for Ms. Pope or anyone in the same roles she has held until now to be pushed forward to the top executive job in so rapid a rise as January 2025. And without piling on, please not an accountant no matter how fantastic. Get an engineer.