Boeing CEO admits mistakes were made in 737 Max’s development

Boeing Company President and Chief Executive Officer Dennis Muilenburg speaks to the families sitting in the audience on Capitol Hill in Washington Tuesday Oct. 29 2019 as he begins his opening remarks before a Senate Committee on Commerce Science

Boeing CEO faces another grilling on Capitol Hill over Max

Boeing CEO Dennis Muilenburg on Wednesday continued to face questions from lawmakers about whether the company failed to ensure the 737 Max aircraft was safe and pilots were properly trained before two devastating crashes that killed 346 people.

Muilenburg said that he hasn't offered to resign, and that it's up to the company's board to decide whether to dock his pay.

In a hearing before the U.S. Senate Committee on Commerce, Science, and Transportation, Boeing officials admitted that there were insufficiencies in the company's safety assessments of the 737 Max. What does accountability mean, are you taking a cut in pay? Are you working for free from now on til you can cure this problem? These people's relatives are not coming back, they're gone. "Your salary is still on", he said, gesturing to family members of crash victims attending the hearing.

"As I sit here today my anger has only grown", said Blumenthal.

"You're not accountable, then, you're saying the board's accountable", Cohen said. "I am accountable and my company is accountable".

DeFazio and Rep. Steve Cohen, D-Tenn., also hammered CEO Dennis Muilenburg over his compensation, which rose previous year to $23.4 million, including more than $13 million in extra incentive pay, according to a regulatory filing. He said the company's "board will make those determinations".

Muilenburg said the company was asking themselves that same question.

"You say you are being accountable", said House Transportation Committee Chairman Peter DeFazio, who is leading the committee's probe. "You are pushing profits over quality and safety". He later added that he and other executives would not receive bonuses this year.

Boeing's shares were down almost 2 percent in afternoon trading.

The hearing, the highest-profile congressional scrutiny of commercial aviation safety in years, heaps pressure on a newly rejiggered Boeing senior management team fighting to fix trust with airline customers and passengers shaken by an eight-month safety ban on its 737 Max following two crashes that killed 346 people near Indonesia and in Ethiopia. Another Boeing document warned that if a pilot failed to respond in more than 10 seconds to the software, activation could lead to a "catastrophic" failure.

Specifically, Muilenburg was repeatedly grilled at the hearing about delays in turning over internal messages that described erratic behavior of the flight control software in a simulator. Boeing has since redesigned MCAS to prevent a repeat of such a failure, in part by incorporating readings from both angle-of-attack sensors.

The 737 MAX, when regulators lift the safety ban, will have a number of new safeguards.

Tuesday's Senate appearance was his first public testimony since the two jets crashed in October 2018 and in March.

For months, Boeing had largely failed to acknowledge blame, instead vowing to make a "safe plane safer".

"As additional reviews are complete, we'll take additional actions", Muilenburg said.

"I guess we're going to have to start building airplanes to the lowest common denominator. if we're going to export" planes, Graves said. And at last he mentioned the corporate ought to have been extra "efficient and comprehensive" in its communications and documentation "across all of our shareholders".

DeFazio requested why Boeing permitted MCAS when it was susceptible to a single level of failure. Boeing never told pilots about it, and there were no instructions in the operating manuals.

"I've talked to a lot of pissed off pilots", DeFazio mentioned. "We need reforms on how commercial aircraft are certified", and how regulators "watch" companies like Boeing.

On Tuesday, Senators focused their questions on Boeing's knowledge of problems with the MCAS sensor. Sen.

Muilenburg informed reporters on Wednesday he believes the allegation was in response to considerations a few change within the improve of the manufacturing price. They listened as the Boeing CEO apologized and then faced withering questioning from upset lawmakers like Tammy Duckworth of IL and Roger Wicker of Mississippi.

In his opening statement on Wednesday he once again apologized to the families.

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