According to Boeing, Ortberg will begin in the position on August 8. He replaces Dave Calhoun, who earlier this year announced he was retiring. Calhoun had served as president and CEO since January 2020 and been on the Boeing board of directors since 2009.

Ortberg, 64, comes to the position with more than 35 years of experience in the aerospace industry. He recently served as president and CEO of Rockwell Collins, a position he held since 2013.

Ortberg was instrumental in the company’s integration with United Technologies and RTX. He holds a bachelor’s degree in mechanical engineering from the University of Iowa, has held numerous leadership positions in the aerospace industry, and is the former chair of the Aerospace Industries Association (AIA) board of governors.

• READ MORE: FAA Head Vows Increase in Boeing Oversight

“The board conducted a thorough and extensive search process over the last several months to select the next CEO of Boeing, and Kelly has the right skills and experience to lead Boeing in its next chapter,” said Steven Mollenkopf, chair of the board. “Kelly is an experienced leader who is deeply respected in the aerospace industry, with a well-earned reputation for building strong teams and running complex engineering and manufacturing companies. We look forward to working with him as he leads Boeing through this consequential period in its long history.”

The board also thanked Calhoun for his services, noting the past few years have been challenging for Boeing, beginning with the two 737 Max crashes in 2018 and 2019, respectively, resulting in the deaths of 346 people. The FAA ordered the grounding of the aircraft while the accidents were investigated. Boeing’s manufacturing and certification processes were called into question.

• READ MORE: Boeing Presents Quality Control Improvement Plan to FAA

The aerospace company announced it had worked through the issues and made changes to its manufacturing procedures to mitigate them. Then in January a 737 Max 9 operated by Alaska Airlines lost a door plug shortly after takeoff from Portland, Oregon, resulting in rapid decompression and minor injuries.

Next week the National Transportation Safety Board (NTSB) is scheduled to conduct an investigative hearing on the door plug loss.

In the meantime, the families of those killed in the crashes are campaigning for Boeing to face criminal prosecution and the U.S. Department of Justice to fine the company $24 billion, alleging criminal negligence and violating the 2021 agreement that allowed the company to previously avoid criminal charges.

The post Boeing Names New CEO to Lead Through ‘Consequential Period’ appeared first on FLYING Magazine.

United Technologies Corp (UTC) plans to acquire Raytheon Company and combine its aerospace business with Raytheon to create an enormous company expected to be worth $120 billion—the largest merger to take place to date within the aerospace sector. The deal was announced on Sunday.

United Technologies’ aerospace segment has focused on supplying commercial aircraft manufacturers with a wide variety of avionics and communications equipment, including a plethora of avionics systems installed through its UTC Aerospace Systems unit, which launched when UTC acquired Rockwell Collins last year.

Raytheon does most of its business with the United States government, delivering missile systems—such as the Patriot missile—and fixtures such as multiple-intelligence systems installed on military aircraft. Raytheon will consolidate its current businesses into Intelligence, Space & Airborne Systems and Integrated Defense & Missile Systems.

Review of the merger by the U.S. entities that rule on antitrust laws, including the Federal Trade Commission and the U.S. Justice Department, will look at any areas of overlap that might indicate the formation of a monopoly—while competitors like Boeing will surely weigh in as they see a potential reduction in competition amongst their major suppliers—a group to which United Technologies and Raytheon belong.

UTC didn’t move forward in a deal with Honeywell International in 2016 in part based on concerns over Boeing’s reaction. Its acquisition of Rockwell Collins went ahead in November 2018 after approval from China’s market regulation administration was granted.

UTC will be spinning off its Carrier and Otis business units to focus on aerospace following these actions. Raytheon’s two new business units will combine with Pratt & Whitney and Collins Aerospace to create the new entity, Raytheon Technologies Corp. It’s estimated that the resulting company will see $1 billion in cost advantages over the next four years—but the deal isn’t about job reduction. According to a report in the Washington Post, the company expects to hire roughly 20,000 people in the next year.

UTC expects to close the deal in the first two quarters of 2020. A webcast on the merger is available.

The post United Technologies To Acquire Raytheon In Massive Aero Merger appeared first on FLYING Magazine.