Former Virgin Boss Gets Tiger Airways Top Post
Singapore-based Tiger Airways is quickly picking up from the close to six-week ban on its Australian operations as it tapped former Virgin Blue CEO Andrew David to run the airline following the scheduled departure of chief executive Tony Davis on Nov. 1.
Tiger said on Monday that David, who also handled executive roles in Air New Zealand, will take on Davis' duties by Oct. 17.
Davis was appointed Tiger Australia CEO on January 2005 but was sent into a floating status following a ruling issued by Australia's Civil Aviation Safety Authority on July 2 that prohibited the company from flying its entire fleet of 10 Airbus A320s within Australia due to safety concerns.
After his relief, Singapore Airlines executive Chin Yau Seng was sent to Australia to resolve the company's problem with the country's aviation regulator and immediately assumed the post as acting CEO.
Singapore Airlines is a majority owner of the budget carrier, with a 32.8 percent stakes in the company.
Weeks after its was prevented from operating, Tiger was given the green light to fly again but the company admitted that the grounding already resulted to a weekly loss of more than $1.6 million.
The low-fare airline also revealed that the whole episode will negatively impact its full-year results, which in a recent report by The Australian, were already reeling from the pressures of net loss that surged past the $20 million during the first quarter of the current year.
In contrast, Tiger Airways posted a net profit of close to $2 million in the same period last year, also according to The Australian report.
In a statement sent to the Singapore Stock Exchange on Monday, Chin said that the entry of David into Tiger Airways should pave the way for the realisation of new heights for the struggling company.
"He brings with him a wealth of experience in the airline business and a proven track record as a leader and manager," Chin was quoted as saying by BusinessDay.