A scrappy Boeing president and CEO Harry Stonecipher outlined Boeing's recovery plan here Monday, promising the company would get back on track by slimming down and focusing on the customer.

He said last week's dismissal of Boeing Commercial president Ron Woodard and key members of his team was due to their inability "to focus with the intensity" he and chairman Phil Condit need to reach double-figure, company-wide profit margin goals. Woodard and his team "did not perform [nor] showed no evidence they had [problems] under control," Stonecipher said.

Increased cost at the company's Wichita factory helped trigger the replacements, which included vice president and head of new aircraft development Harry Arnold.

Stonecipher described Woodard's replacement, Alan Mulally, as "a superb leader." Mulally is best known for heading Boeing's successful 777 development program. He had since been elevated to head Boeing's Space, Information Systems and Defense division.

Much of the commercial aircraft division's problem remains cost, not low prices precipitated by the competition with Europe's Airbus industry, Stonecipher said. "We did it to ourselves," he said. The remarks likely mean another round of cost cutting throughout the Seattle-based aerospace manufacturer. Boeing already has plans to slash up to 23,000 jobs company-wide by 2000. Stonecipher also said the company would shed some "smaller" assets to focus on its core businesses.

Bruce Dennis, vice president of marketing for Boeing Commercial Airplane Group, said that launch of the 777-200X and 777-300X is "near," but would not set a date. Separately, the company on Monday disclosed orders for 21 new transports worth $1.3 billion from KLM and leasing company ILFC.

By Paul Proctor