UAE. The Etihad Aviation Group Board of Directors today announced that James Hogan will step down as President and Chief Executive Officer in the second half of 2017. The news had been widely telegraphed in local UAE media over recent weeks.
Hogan will join an investment company along with Etihad Aviation Group CFO James Rigney, who will also leave the company later this year. A global search for a new Group CEO and Group CFO is underway.
The Board said that it and Hogan first initiated a transition process last year with the formation in May of the Etihad Aviation Group, a diversified global aviation and travel organisation.
Etihad Aviation Group Chairman of the Board H.E. Mohamed Mubarak Fadhel Al Mazrouei said: “We are very grateful to James. In just ten years, he has overseen the growth of the company from a 22-plane regional carrier into a 120 aircraft global airline and aviation group, with seven airline equity partnerships which together serve more than 120 million guests every year.
“It is a business which has set new benchmarks for service and innovation. Under his leadership, the company has provided new opportunities for thousands of Emiratis and has been a critical element in the remarkable progress of Abu Dhabi and the UAE. We look forward to James’ continued association with Abu Dhabi in new ways.”
Hogan commented: “Along with the Board and my 26,000 colleagues, I am very proud of what we have built together at Etihad and of the company’s substantial contribution to the UAE and to the development of Abu Dhabi. The last decade has seen incredible results but this only represents a first chapter in the story of Etihad.”
“We must continue to improve cost efficiency, productivity and revenue. We must progress and adjust our airline equity partnerships even as we remain committed to the strategy.” – Etihad Aviation Group Chairman of the Board H.E. Mohamed Mubarak Fadhel Al Mazrouei
Commenting on current priorities for the business, H.E. Mazrouei said: “To position the company for continued success in a challenging market, the Board and management team will continue an ongoing, company-wide strategic review. We must ensure that the airline is the right size and the right shape.
“We must continue to improve cost efficiency, productivity and revenue. We must progress and adjust our airline equity partnerships even as we remain committed to the strategy.”
Last month, Etihad Airways unveiled plans to create a new European leisure airline group in a joint venture with TUI AG. A new codeshare agreement with Lufthansa and an aircraft leasing agreement between airberlin and Lufthansa were also announced. As a minority shareholder, Etihad is actively participating in the next phase of Alitalia’s restructuring plan, the group said.
H.E. Mazrouei added: “Etihad is a great business with strong fundamentals and a deeply experienced aviation and airline management team. These assets, along with a realigned organisation, provide more agility and added focus as Etihad enters the next phase of its development.”
