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Leadership woes at Malaysia Airlines could undermine recovery plan

Published Tue, Jul 12, 2016 · 09:50 PM

BELEAGUERED carrier Malaysia Airlines has been restructured into a new entity called Malaysia Airlines Berhad (MAB) to unshackle the firm from legacy issues (bloated workforce and lopsided contracts) but it remains bogged down by one big affliction - the ever-revolving door of its C-suite.

Effective this month, the struggling airline has a new boss, Peter Bellew, who was with Irish budget airline RyanAir for nine years till he joined Malaysia Airlines as chief operating officer in September 2015. He succeeds Christoph Mueller, a turnaround veteran from Irish carrier Aer Lingus handpicked to turn around the airline that had been beset by two tragedies and has suffered staggering losses since 2011.

Sadly, Mr Mueller - regarded as the struggling airline's best shot and who has cut 6,000 jobs, axed unprofitable routes and sharpened its business model - has quit way ahead of his three-year contract due to a "change in personal circumstances".

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