By Dhirendra Tripathi
Investing.com – Boeing (NYSE:BA) shares fell 4% Tuesday after its chief financial officer, aged 54, decided to retire from the company even as the world’s largest maker of commercial planes extended the CEO’s retirement age to accommodate the incumbent.
CFO Gregory Smith will leave after a decade in the role. Vertical Research Partners analyst Robert Stallard described the news as “odd” and a “surprise development,” according to StreetInsider.
“While a Boeing outsider as CFO could bring a new perspective, this is a company that has tended to promote internally in the past,” StreetInsider quoted the analyst as saying.
Boeing also announced that it was extending the retirement age for its CEO by five years to 70, thus extending the run of David Calhou, 64.
Calhou and Smith have run Boeing through one of its most turbulent times, including two crashes involving its 737 Max planes that raised questions over its safety norms and cost it several billions of dollars in revenue.
Traders ignored the day's $1.8 billion order win by Boeing for 15 units of 737 Max 8 from Dubai Aerospace Enterprise. Last two months have seen Boeing win several orders for its 737 Max series of planes, perhaps a sign these issues are behind it.