Business | Aviation

Gulf Air’s new board forms restructure panels

Company says some tough decisions will have to be made

  • By Habib Toumi, Bureau Chief
  • Published: 14:01 November 22, 2012
  • Gulf News

Manama: Gulf Air has started a new phase in its 62-year-old history with a new board of directors that started its work by passing a resolution to form three executive implementation committees.

“Gulf Air’s recently appointed board of directors led by Shaikh Khalid Bin Abdullah Al Khalifa, Deputy Prime Minister, met to discuss the rapid implementation of an accelerated strategy designed to put the airline on a path towards long-term sustainability,” the company said in a statement late on Wednesday.

“The board reinforced the airline’s position as the National Carrier for the Kingdom of Bahrain and gave their full support to the restructuring plans. It stressed the importance of Gulf Air as a key national infrastructure asset helping to maintain an independent destination status for Bahrain by providing links to key regional and global markets, playing a key role in supporting the Kingdom’s economy and helping attract investment.”

The company said that the board passed a resolution to form an Executive Restructuring Committee to oversee the implementation of the restructuring plan led by the airline’s management, “recognising that some tough decisions and choices would have to be made in the short term to ensure the long-term sustainability of the airline.”

The committee, made up of board members, will also monitor the spending of the funding granted by King Hamad Bin Eisa Al Khalifa.

Audit and Governance committees were also formed.

“Following the issue of Decree-Law 54/ 2012 by His Majesty King Hamad Bin Eisa Al Khalifa on October 11, pursuant to which funds of BD185 million [Dh1.8 billion] were allocated to the restructuring of Gulf Air, we have appointed three committees — the Executive Restructuring Committee, the Audit Committee and the Governance Committee,” Shaikh Khalid said. “The formation of these committees demonstrates our commitment to support Gulf Air and transform it into an airline that serves the people and economy of Bahrain, contributing to its growth and diversity.”

Gulf Air said that the Board of Directors of Mumtalakat, Bahrain’s sovereign wealth fund, was appointed as the airline’s board of directors to facilitate decision-making and the implementation of the restructuring plan.

The new board members are Shaikh Ahmad Bin Mohammad Al Khalifa, the finance minister, Shaikh Mohammad Bin Eisa Al Khalifa, Political and Economic Adviser at the Crown Prince’s Court, Kamal Bin Ahmad Mohammad, the transport minister, Essam Abdullah Khalaf, the works minister, Mahmood Hashim Al Kooheji, Mumtalakt CEO, Esam Abdullah Fakhro, Samer Al Jishi, and Ridha Abdullah Faraj.

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