KUALA LUMPUR: Khazanah Nasional Bhd has announced the appointment of Christoph R. Mueller, the current chief executive officer (CEO) of Ireland's Aer Lingus Plc as CEO-designate of Malaysia Airlines (MAS) NewCo, which will be operational by July 1.
Under the line-up of key leaderships in the NewCo, the current Celcom Axiata Bhd CEO Datuk Seri Shazalli Ramly will be appointed as non-executive director and Malaysia Airport Holdings Bhd advisor Tan Sri Bashir Ahmad Abdul Majid as chairman of the Corporate Reskilling Centre.
Khazanah said the appointments were deliberated and resolved at the meeting of the Khazanah Board of Directors, chaired by Prime Minister Datuk Seri Najib Razak today.
“The appointments announced today are part of efforts by the government and Khazanah to lay strong foundations for the future success of our national carrier.
“It is imperative that we have the best available talent with the expertise and experience to help drive the progress of the restructuring effort further forward, lead the airline to profitability, and groom a Malaysian successor to assume the leadership of the airline in the future.
“The Government is committed to seeing through the complete overhaul of MAS to its successful conclusion,” Najib said in a statement issued by Khazanah.
Khazanah said it has conducted an extensive global leadership search from among suitable and available talent, with a rigorous assessment of numerous Malaysian and foreign candidates from within and outside of the aviation industry.
Khazanah managing director Tan Sri Azman Mokhtar said the Board, in its deliberations, took into consideration the critical nature of the MAS restructuring, which requires absolutely the best aviation management expertise, and in particular, those with a strong track record of turning around national flag carriers.
“Christoph is the best candidate, and he has two equally important tasks: to lead the turnaround of our national carrier and to build local succession,” he said in the statement.
A German citizen, Mueller has been CEO of Aer Lingus since 2009. He brings more than 25 years of relevant experience in the aviation, logistics and tourism sectors to MAS.
Khazanah said Mueller has a strong record of transformation and turnarounds in the aviation industry.
“At Aer Lingus, in the last four-and-half years, Mueller turned around the loss-making airline within a year, in a declining Irish market and tepid European market conditions.
“Aer Lingus’ sustainable profitability and cash generation are built on a new strategy and business model that has enabled the 78-year-old carrier to compete in a difficult market environment with both traditional legacy airlines and low-cost carriers.
“It has also developed Dublin to become one of the leading hubs for North Atlantic long-haul traffic,” it said.
Aer Lingus has overall, ventured into new markets and business models, and successfully repositioned itself from primarily a business-to-business model to a business-to-consumer Model, with a 90 per cent online distribution.
Khazanah said Mueller’s appointment as MAS CEO-designate and non-executive director will take effect on Januari 1. His contract as CEO of Aer Lingus, the national airline of Ireland, ends on May 1 2015.
“Discussions are on-going for Mueller to assume the post of MAS NewCo CEO at a date prior to 1 May 2015, but no earlier than 1 March 2015,” Khazanah said.
Shazalli’s appointment will also be effective January 1.
“At the same time, Shazalli will remain as CEO and director of Celcom Axiata.”
Khazanah said the Corporate Reskilling Centre (CRC), together with the Outplacement Centre, is intended to collectively provide reskilling, job creation and redeployment opportunities for employees not migrating to MAS NewCo. The CRC is scheduled to be launched by 1 April 2015.
The MAS Board, effective 1 January 2015, will comprise:
* Tan Sri Md Nor Yusof (Non-Independent Non-Executive Chairman)
* Ahmad Jauhari Yahya (Managing Director/Group Chief Executive Officer)
* Christoph R. Mueller (Non-Executive Director/CEO-designate of MAS NewCo)
* David Lau Nai Pek (Senior Independent Non-Executive Director)
* Tan Sri Dr. Mohd Irwan Serigar Abdullah (Non-Independent Non-Executive Director)
* Mohd Shahazwan Mohd Harris (Non-Independent Non-Executive Director)
* Tan Sri Krishnan Tan Boon Seng (Independent Non-Executive Director)
* Tan Sri Datuk Amar Haji Mohamad Morshidi Abdul Ghani (Independent Non-Executive Director)
* Tan Sri Sukarti Wakiman (Independent Non-Executive Director)
* Dr. Mohamadon Abdullah (Independent Non-Executive Director)
* Mohd Izani Ashari (Non-Independent Non-Executive Director)
* Datuk Sri Mohammed Shazalli Ramly (Non-Executive Director)
* Datuk Fauziah Yaacob (Alternate Director to Tan Sri Dr. Mohd Irwan Serigar Abdullah /Non-Independent Non-Executive Director)
