An Airbus A380. For any potential replacement, stepping into Airbus sales veteran John Leahy's shoes will be a big challenge. Pascal Rossignol/Reuters
An Airbus A380. For any potential replacement, stepping into Airbus sales veteran John Leahy's shoes will be a big challenge. Pascal Rossignol/Reuters

Potential new Airbus sales chief has plenty of self-belief



Christian Scherer’s pitch as a successor to Airbus’ legendary sales supremo John Leahy goes like this: he is even better.

Speaking at the Dubai Airshow, Mr Scherer took at light-hearted swipe at Mr Leahy’s legacy, saying the Airbus executive has built a sales operation that is second in the world only to that of ATR, the Airbus turboprop partnership that Mr Scherer now runs.

He said he “grew up” at Airbus, having gone to school in the company’s home town of Toulouse and rising through the ranks of the plane maker over 35 years. As Airbus scans for suitable candidates to follow Mr Leahy, his name has come up as a possible candidate.

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Read more:

Airbus veteran sales chief 'set to retire this year'

Airbus needs some lift as Boeing flies high at Dubai Airshow

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“I am an Airbus employee, so if Airbus makes a decision to recall me then it’s their decision,” said Mr Scherer. He declined to comment further on his intentions or any conversations taking place with Airbus.

Mr Leahy’s succession is one of the most closely watched personnel decisions in the civil aviation world. The Airbus executive is credited with elevating the European manufacturer over the past decades to the status of Boeing’s fiercest rival, building an order book of thousands of aircraft that span the A320 family to the giant A380 superjumbo. The post has also become politically sensitive after Mr Leahy’s designated replacement Kiran Rao was counted out of the running, as Airbus endures an investigation into possible bribery allegations.

The company wants to firm up the decision on Mr Leahy’s succession, probably around the end of the year or early in 2018. Another possible candidate to succeed Mr Leahy is Eric Schulz, according to people familiar with the deliberations. Mr Schulz is the head of civil aviation at Rolls-Royce, the UK engine maker that has fostered closer ties with Airbus over the years and supplies power plants for its A350 or A380 aircraft.

Rolls-Royce declined to comment.

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Creator: Jenna Lamia

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Profile of Hala Insurance

Date Started: September 2018

Founders: Walid and Karim Dib

Based: Abu Dhabi

Employees: Nine

Amount raised: $1.2 million

Funders: Oman Technology Fund, AB Accelerator, 500 Startups, private backers

 

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Mission to Seafarers is one of the largest port-based welfare operators in the world.

It provided services to around 200 ports across 50 countries.

They also provide port chaplains to help them deliver professional welfare services.

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How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.

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Rating: 4 stars

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The specs
Engine: 77.4kW all-wheel-drive dual motor
Power: 320bhp
Torque: 605Nm
Transmission: Single-speed automatic
Price: From Dh219,000
On sale: Now
Our legal consultant

Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants

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Key changes

Commission caps

For life insurance products with a savings component, Peter Hodgins of Clyde & Co said different caps apply to the saving and protection elements:

• For the saving component, a cap of 4.5 per cent of the annualised premium per year (which may not exceed 90 per cent of the annualised premium over the policy term). 

• On the protection component, there is a cap  of 10 per cent of the annualised premium per year (which may not exceed 160 per cent of the annualised premium over the policy term).

• Indemnity commission, the amount of commission that can be advanced to a product salesperson, can be 50 per cent of the annualised premium for the first year or 50 per cent of the total commissions on the policy calculated. 

• The remaining commission after deduction of the indemnity commission is paid equally over the premium payment term.

• For pure protection products, which only offer a life insurance component, the maximum commission will be 10 per cent of the annualised premium multiplied by the length of the policy in years.

Disclosure

Customers must now be provided with a full illustration of the product they are buying to ensure they understand the potential returns on savings products as well as the effects of any charges. There is also a “free-look” period of 30 days, where insurers must provide a full refund if the buyer wishes to cancel the policy.

“The illustration should provide for at least two scenarios to illustrate the performance of the product,” said Mr Hodgins. “All illustrations are required to be signed by the customer.”

Another illustration must outline surrender charges to ensure they understand the costs of exiting a fixed-term product early.

Illustrations must also be kept updatedand insurers must provide information on the top five investment funds available annually, including at least five years' performance data.

“This may be segregated based on the risk appetite of the customer (in which case, the top five funds for each segment must be provided),” said Mr Hodgins.

Product providers must also disclose the ratio of protection benefit to savings benefits. If a protection benefit ratio is less than 10 per cent "the product must carry a warning stating that it has limited or no protection benefit" Mr Hodgins added.


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