Taking flight: PIA MD replaced as airline gears up for sell-off
Director corporate planning appointed as new MD.
KARACHI:
The government on Monday replaced Pakistan International Airlines (PIA) Managing Director Junaid Yunus with another senior airline official, ending days of speculation about possible changes at the top management level.
Director Corporate Planning Shahnawaz Rehman has been appointed as MD of the national flag carrier at a time when it is losing billions of rupees every year and the government has come under increasing pressure from the International Monetary Fund (IMF) to resolve the airline’s longstanding issues.
Yunus, a senior PIA pilot, was appointed in October 2012 by the former Pakistan Peoples Party (PPP) government. Those within the industry say it is a ‘miracle’ that he has survived so many months under the present government as head of the airline. Last week, Yunus proceeded on a long leave that raised eyebrows as his absence comes at a time when PIA is making the crucial decision to lease at least 10 aircraft.
A PIA spokesperson said the government is considering another important assignment for Yunus as adviser to PIA Chairman Muhammad Ali Gardezi. “This is basically part of the government’s plan to sell off the airline,” an official told The Express Tribune.
It is widely believed that Yunus is part of a group of senior PIA officials who are against distribution of the airline’s assets and its sale. He has consistently maintained that the airline can come out of the red if it has the right mix of aircraft.
After successive quarters of heavy losses, the airline saw improvement in its January-March 2014 quarter as net losses came down 77 per cent to Rs1.98 billion against Rs8.62 billion in the comparative period in 2013. The national carrier posted its highest loss in 2013. Total liabilities also surged to Rs306 billion from Rs272 billion, mainly because of interest payments and other dues. Rehman has over 38 years of service in PIA, most of which were spent in the corporate planning department.
People who have worked closely with him say Rehman has mostly remained under the radar, especially because of his hesitance in taking key decisions. “He is very indecisive. He will talk to 10 people before taking a decision,” said a former colleague.
Published in The Express Tribune, July 15th, 2014.
The government on Monday replaced Pakistan International Airlines (PIA) Managing Director Junaid Yunus with another senior airline official, ending days of speculation about possible changes at the top management level.
Director Corporate Planning Shahnawaz Rehman has been appointed as MD of the national flag carrier at a time when it is losing billions of rupees every year and the government has come under increasing pressure from the International Monetary Fund (IMF) to resolve the airline’s longstanding issues.
Yunus, a senior PIA pilot, was appointed in October 2012 by the former Pakistan Peoples Party (PPP) government. Those within the industry say it is a ‘miracle’ that he has survived so many months under the present government as head of the airline. Last week, Yunus proceeded on a long leave that raised eyebrows as his absence comes at a time when PIA is making the crucial decision to lease at least 10 aircraft.
A PIA spokesperson said the government is considering another important assignment for Yunus as adviser to PIA Chairman Muhammad Ali Gardezi. “This is basically part of the government’s plan to sell off the airline,” an official told The Express Tribune.
It is widely believed that Yunus is part of a group of senior PIA officials who are against distribution of the airline’s assets and its sale. He has consistently maintained that the airline can come out of the red if it has the right mix of aircraft.
After successive quarters of heavy losses, the airline saw improvement in its January-March 2014 quarter as net losses came down 77 per cent to Rs1.98 billion against Rs8.62 billion in the comparative period in 2013. The national carrier posted its highest loss in 2013. Total liabilities also surged to Rs306 billion from Rs272 billion, mainly because of interest payments and other dues. Rehman has over 38 years of service in PIA, most of which were spent in the corporate planning department.
People who have worked closely with him say Rehman has mostly remained under the radar, especially because of his hesitance in taking key decisions. “He is very indecisive. He will talk to 10 people before taking a decision,” said a former colleague.
Published in The Express Tribune, July 15th, 2014.