Boeing has ousted its CEO Dennis Muilenburg following a tumultuous year darkened by fatal crashes involving its 737 Max plane.
Issues with the model, which was involved in deadly crashes in Indonesia and Ethiopia, have led to intense scrutiny and industrial setbacks.
"The Board of Directors decided that a change in leadership was necessary to restore confidence in the Company moving forward as it works to repair relationships with regulators, customers, and all other stakeholders," the company announced.
The departure comes as the world's largest plane manufacturer struggles to win regulatory approvals for its grounded best-selling jetliner, while also trying to repair trust with passengers and airline customers.
The 737 MAX grounding was the biggest crisis of Mr Muilenburg's 34-year tenure at Boeing.
The company said this month it would suspend production of the MAX in January.
Mr Muilenburg started as an intern in 1985 and rised through the company's defence and services ranks to the top job in 2015.
Speculation he would be fired had been circulating in the industry for months.
This intensified in October when the board stripped him of his chairman title.
Boeing added that chairman David Calhoun will serve as CEO and president from January 13.
Board member Lawrence Kellner will become non-executive chairman of the board effective immediately, the company said. Chief Financial Officer Greg Smith will serve as interim CEO during the brief transition period.
The company's shares, which have fallen more than 20 per cent since March, rose more than two per cent to $335.24 in early trading.
