JULY 15th, 2006

 

The new LIAT road
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Newly appointed Chief Executive Officer (CEO) of island-hopping airline, LIAT, Mark Darby, is promising to make the cash-strapped regional carrier a more efficient, commercially oriented business to help get it out of debt and rebrand itself as a low-cost airline.

Darby was addressing members of the regional media including a contingent from Grenada who assembled last week in Antigua to hear about the new action plan. The CEO said that his first order of business was to reshape the carrier's network which is $180 million in debt in an effort to reverse its financial fortunes.

According to Darby, emphasis will be placed on revenue generation and sales and marketing rather than on cutting staff. He said that LIAT intends to adopt a new business approach based on making the airline profitable after years of losses and financial bailouts by regional governments.

The airline's new Chief Commercial Officer, Leesa Parris, who was introduced, as "The right fit to take LIAT forward", was also introduced to the media and she gave assurances that there will be number of changes in the services offered. Parris was described as one with extensive knowledge in Sales, Marketing, Promotions and airline economics.She has worked with Thompson Holiday's, a British travel company, as well as Premier Attractions Barbados and US Airways.

Chairman of the LIAT Board of Directors, Barbadian Jean Holder, referred to the new CEO as "an airline doctor", adding that, "I believe LIAT needs an airline doctor." Holder said he wants to see the airline become more commercially viable under the leadership of Darby.

He also credited LIAT's former CEO, Garry Cullen, who served for six years with the airline for stabilising the airline during a period when it came very close to bankruptcy.

Darby accepted the "airline doctor" reference, stating that he has likened his approach to the airline with open heart surgery. "We need to keep the patient alive for as long as possible, but at the same time, we need to make some important improvements to the way the business is run," he said.

Among these will be a shift in LIAT's business focus to efficient marketing and commercial viability. Darby acknowledged that some foundations for this approach were already in place, but hinted that there might be major shake-ups in the way the carrier operates.

"Everything we do, will have to stand on its own two feet. There will have to be a good business case for doing things, rather than doing things just because we have always done them," he remarked.

As it relates to the protracted negotiations with pilots, Darby said that he hope to reach an amicable settlement soon on the issue.
Although the new CEO has just joined the LIAT team, he has already met with the Prime Ministers of Antigua & Barbuda, St Vincent and the Grenadines and Barbados, all of whom, he said, have affirmed their commitment to continue supporting the airline during its business transition.

Darby joined LIAT from Unisys, where he was managing partner of their global transportation consultancy practice.

 

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