Boeing defense chief exits as new CEO shakes up top ranks

Mark Kehoe, who led Boeing's defense, space and security division, is leaving the company

Boeing Co's defense chief Mark Kehoe is leaving the company as new Chief Executive Dave Calhoun reshapes the company's top ranks.

Kehoe's departure was announced in a memo to employees on Monday.

Kehoe's departure is the latest in a series of executive changes at Boeing since Calhoun took over in January.

Calhoun has been under pressure to improve Boeing's safety record and financial performance after two fatal crashes of the company's 737 MAX jetliner.

In recent months, Calhoun has replaced the heads of Boeing's commercial airplanes and services businesses.

Kehoe's replacement has not yet been named.

Boeing said it will conduct a search for a new leader of its defense, space and security business.

Kehoe joined Boeing in 1983 and has held a variety of leadership positions in the company's defense business.

He was named president and chief executive of Boeing Defense, Space & Security in 2016.

Under Kehoe's leadership, Boeing's defense business grew to account for about a third of the company's total revenue.

Kehoe also oversaw the development of several new products, including the F-15EX fighter jet and the MQ-25 Stingray drone.

Kehoe's departure is a significant loss for Boeing.

He is a well-respected leader with a deep understanding of the defense industry.

His departure could make it more difficult for Boeing to navigate the challenges it faces, including the ongoing grounding of the 737 MAX.