CNBC's LeBeau: 'No Indication' Boeing's Board Will Fire CEO

Boeing Co (NYSE: BA) CEO Dennis Muilenburg was "hammered" by lawmakers during two days of Congressional testimony, with lots of pressure to resign, according to CNBC's auto and airline industry reporter Phil LeBeau.

What Happened

Sen. Ted Cruz (R-Texas) was among the very small handful of lawmakers questioning why Muilenburg isn't resigning during a Tuesday testimony, LeBeau said on Wednesday's "Closing Bell."

By Wednesday, the topic of resignation was not only raised multiple times, but the CEO faced new questions on why he accepts his salary, which could rise to as much as $30 million when factoring in stock compensation.

Why It's Important

At a bare minimum, the families of people who died on the two fatal Boeing 737 Max crashes want to hear that Muilenburg is waiving his salary, LeBeau said.

The topic of compensation raises questions for the company's board amid public pressure from lawmakers, he said. 

"I'm not sure they will take action, but clearly this message rang out loud and clear over the last couple of days," LeBeau said, adding there is "no indication" that the board is considering replacing him.

What's Next

Muilenburg's two-day testimony is complete, and the focus for many people will shift back to the return of the 737 Max to the skies, LeBeau said up on "Squawk Box" Thursday morning.

The company previously hoped to complete a certification flight in November and turn over relevant material to regulators. Failure to do so would likely imply the grounded jet won't return to service by the end of 2019.

The Federal Aviation Administration will come under scrutiny of its own to ensure the body isn't merely "rubber stamping" any approval, LeBeau said. 

Boeing shares were down 0.9% at $342.90 at the time of publication. 

Related Links:

Boeing CEO Muilenburg Grilled On 737 Max Crashes, Apologizes To Victim Families In Senate Hearing

Has Pain From Boeing's 737 MAX Issues Been Pleasure For Other Aerospace Stocks?