Boeing’s Fired CEO Muilenburg Will Receive More Than $60 Million in Pension Benefits

© REUTERS / Sarah SilbigerBoeing Chief Executive Dennis Muilenburg testifies before the House Transportation and Infrastructure Committee during a hearing on the grounded 737 MAX in the wake of deadly crashes, on Capitol Hill in Washington, U.S., October 30, 2019
Boeing Chief Executive Dennis Muilenburg testifies before the House Transportation and Infrastructure Committee during a hearing on the grounded 737 MAX in the wake of deadly crashes, on Capitol Hill in Washington, U.S., October 30, 2019 - Sputnik International
Subscribe
US
India
Global
Despite the fact that Boeing denied former CEO Dennis Muilenburg severance when he was fired for his handling of the 737 Max crisis, he will receive from the company more than $60 million in pension benefits and stock.

Boeing fired Muilenburg last month amid the poor handling of the crisis around its 737 Max jets in the wake of two fatal crashes that killed 346 people back in 2018. The investigation revealed that errors in the functioning of the Manoeuvring Characteristics Augmentation System were the likely cause of the crashes. The Federal Aviation Administration grounded all 737 Max models almost a year ago, with Boeing losing more than $1 billion because of the halted new sales of the jets, prompting Boeing to temporarily shut down production of the planes.

“Mr. Muilenburg is not entitled to — and did not receive — any severance or separation payments in connection with his retirement after more than 30 years with the Company,” Boeing said in the filing, adding that Muilenburg will lose the stock worth $14.6 million, yet he is still entitled to pension and stock benefits of about $62 million.

Muilenburg was criticized for exacerbating Boeing’s 737 Max problems by repeatedly issuing forecasts about when the planes would return to service, as well as taking too long to accept blame in the crashes and for failing to spot safety risks before the plane, which came to market in 2017

Longtime board member Dave Calhoun will be taking his place as the company’s new CEO on January 13. According to Boeing’s filing, Calhoun would receive a $1.4 million-base salary and a $7 million bonus payable on the “achievement of several key business milestones, including full safe return to service” of the planes.

Newsfeed
0
To participate in the discussion
log in or register
loader
Chats
Заголовок открываемого материала