Alitalia, the loss-making carrier part-owned by Etihad Airways, has appointed Cramer Ball as its new chief executive.
The 48-year-old replaced Silvano Cassano, who resigned in September, Alitalia said. He previously served as the chief executive of India’s Jet Airways and Air Seychelles. Etihad holds stakes in both carriers, which are part of its equity alliance. His appointment is effective as of March next year.
Etihad has acquired several minority stakes in struggling airlines.
The airlines include Airberlin, Air Serbia and Etihad Regional, previously known as Darwin.
Last year, it invested €560 million (Dh2.3 billion) in the form of equity, asset purchases and other funding arrangements as part of a €1.76bn restructure of Alitalia in return for a 49 per cent stake in the airline. Alitalia reported a net loss of €130m for the first half of this year.
“I believe Cramer is the right person to continue leading the development and implementation of our industrial plan, which is now well in motion, with a target to make the company profitable in 2017,” said Luca Cordero di Montezemolo, Alitalia’s chairman. “His proven abilities with transforming companies to success made him, among the many excellent candidates, the right choice for us.”
Alitalia’s turnaround strategy includes adding new routes, cutting costs and boosting its image. Earlier this year it said it would focus on its long-haul routes to North and South America and also use Abu Dhabi as a hub to fly to Asia.
Alitalia, which previously suffered decades of losses and multiple bailouts from governments, underwent a complete change to its management, and some former Etihad executives have come on-board.
Etihad’s chief executive James Hogan has joined Alitalia as its vice chairman. Duncan Naysmith of Etihad has become the new chief financial officer. John Shepley, formerly a planning executive at Etihad and airberlin – in which Etihad also has a stake – was appointed the head of strategy at Alitalia, and Aubrey Tiedt, the former head of Etihad’s guest services, is now handling Alitalia’s customer service.
selgazzar@thenational.ae
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