EasyJet chief executive flies into British TV company top job
AFP
AFP, LONDON: British airline EasyJet yesterday said that its chief executive Carolyn McCall will step down at the end of the year to become head of television channel ITV.
After seven years, the opportunity from ITV felt like the right one to take, McCall said in a company statement of her switch to the British independent channel.
It is a fantastic company in a dynamic and stimulating sector, she added.
The announcement comes just a few days after the no-frills airline said it would create EasyJet Europe, based in Vienna, in order to keep flying unhindered across the European Union after Brexit.
EasyJet said a search for McCalls successor had begun.
Carolyn built and led the management team that has transformed EasyJets performance in every respect since 2010, company chairman John Barton said in the statement.
Having first built a solid operational performance, she redefined the customer experience not just at EasyJet but across short-haul Europe and has seen both the number and loyalty of EasyJets passengers grow as a result, he added.
On her appointment at ITV, the broadcasters chairman Peter Bazalgette said in a statement: In a very impressive field of high calibre candidates, Carolyn stood out for her track record in media, experience of an international operation, clear strategic acumen and strong record of delivering value to shareholders.
Prior to becoming CEO of EasyJet, McCall had been chief executive of Guardian Media Group. From January, she will replace Adam Crozier at ITV, who stepped down from his role in June.
McCalls annual salary will be 900,000 ($1.18 million, 1.0 million euros) alongside a sizeable pension, other long-term incentives and bonuses.
She will also receive awards to compensate for remuneration arrangements forfeited on leaving her previous employer, ITV said.
In morning trades, EasyJet shares were down 0.3 per cent at 14.07, while ITV jumped 3.0 per cent to 180.2 pence.
Londons benchmark FTSE 100 index, on which both companies are listed, was up 0.3 per cent at 7,398.50 points compared with the close on Friday. McCall is one of only seven women heading a FTSE company following her switch.
Tougher times -
McCall has understanding of the commercial side of the (ITV) business, which complements a creative chairman...and (she) has weathered some tougher times at EasyJet while trebling the share price, said Jefferies equity analyst Tamsin Garrity.
Despite increasing profits massively during her time at EasyJet, McCall has faced much tougher times recently.
EasyJets losses grew significantly during the first half of its financial year owing to the Brexit-fuelled slump in the pound and a later timing of Easter.
The collapsing value of the pound weighs on EasyJets performance because it makes dollar-priced jet fuel more expensive, ramping up the cost of running aircraft.
EasyJet last week said it had applied for a new air operators certificate in Austria to continue flying across Europe regardless of the final Brexit deal between Brussels and London.
Britains airline industry has soared over the last two decades under the Single European Sky system, which lifted trade restrictions on EU airlines.
Unless British negotiators manage to secure preferential conditions, British airlines could lose this status once the country leaves the European Union.
