MIAMI – Following the recent departure of the CEO of the American aerospace manufacturing giant, Boeing, Dennis A. Muilenburg has left with $62 million in compensation and pension benefits.
However, according to a note released by Boeing, Muilenburg did not receive any severance pay from the Boeing 737 MAX crisis.
These compensation figures were disclosed in a regulatory filing on 10th January 2020.
Muilenburg’s replacement, David L. Calhoun, takes over as CEO of Boeing from Interim CEO, Greg Smith, on 13th January 2020. See our latest here.
U.S. Senator, Elizabeth Warren slammed Boeing and Muilenburg. “346 people died, and yet, Dennis Muilenburg pressured regulators and put profits ahead of the safety of the passengers, pilots and flight attendants. He’ll walk away with an additional $62.2 million. This is corruption, plain and simple,” she said.
In addition to the $62 million in compensation, Muilenburg still also holds stock options in Boeing that he obtained back in 2013. These stock options would be worth $18.5 million.
Boeing explained in a statement that “upon his departure, Dennis received the benefits to which he was contractually entitled, and he did not receive any severance pay or a 2019 annual bonus.”
It has also been released that Muilenburg’s replacement, Calhoun, will receive a base salary of $1.4 million per annum (annually) and is also eligible for $26.5 million in long-term incentive compensation.
Also in the past week, Boeing had released in a statement that it now recommends full simulator for 737 MAX pilots following the two fatal Boeing 737 MAX crashes, that claimed the lives of 346 people. The two accidents—Ethiopian flight 302 and Lion Air flight 610—were blamed on faulty MCAS (Maneuvering Characteristics Augmentation System). See the article here.