For the first time in its history, Malaysia Airlines (MAS) will have a foreigner as its chief executive officer, who will be given the mandate to chart the restructuring of the company as well as see through its results over the next five years.
In what is seen as a move to send a signal to the various stakeholders that the Government is not leaving any stone unturned in its efforts to put MAS on a proper footing amid keen competition in the airline industry, it is learnt that Khazanah Nasional Bhd, MAS’ major shareholder, has given its tacit agreement to the candidate.
Last month, Khazanah unveiled a restructuring plan for MAS that would see its assets being moved to a new company by mid-next year. The plan involved job cuts of 6,000 from the present staff strength of 20,000, and would see MAS being privatised by Khazanah. It would involve Khazanah pumping in RM6bil more into the ailing airline.
Khazanah managing director Tan Sri Azman Mokhtar expected the restructuring of the airline to be carried out over three years and for it to be listed beyond 2018.
The new CEO will take over from Ahmad Jauhari Yahya, whose contract has been extended until September next year.
The restructuring of MAS is being undertaken by a specially established committee that comprises several board members. Last week, MAS appointed Mohd Nadziruddin Mohd Basri as the chief restructuring officer (CRO) in charge of the Restructuring Management Office.
It is learnt that the contract terms for the new appointments will be based on a three-year period, with a two-year extension period.
“The first three years are to fix the problems and put the structure in place. The subsequent two years are to make sure they deliver the results for MAS.