Airlines CEOs Criticize Boeing CEO's Prediction

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During an interview on the “Today” show, Savannah Guthrie asked Boeing CEO David Calhoun whether a major U.S. airline might not survive because of the pandemic. Calhoun said, “Well, I don’t want to get too predictive on that subject, but yes, most likely. Something will happen when September comes around.” He also said that “we believe we will return to a growth rate similar to the past, but it might take us three, five years to get there.” 

The response angered major airline executives, who are currently negotiating for federal assistance.

Another Boeing executive defended Calhoun’s statement:

“Some weren’t keen on his sobering assessment of industry challenges ahead, but others appreciated him telling it like it is. It’s in his nature to be frank.”

Discussion:

  • What’s your view of Calhoun’s comment? One view is that, during a global pandemic, executives might need to be particularly sensitive. Another view is that this is a time for honest, direct talk.

  • What are the potential implications of his comment? Should he have avoided it?

  • What the entire interview. How did Calhoun do overall? What are his communication objectives and key messages?