Air Malta to present turnaround plan to European Commission in coming days

Air Malta’s newly appointed chief executive Peter Davies gave his first public speech yesterday at the airline’s Amitex trade fair, sounding a cautious note for the belegeaured airline’s road to success.

Davies said he was aware of the “sacrifices” staff members had made in the last years, but he said there were still “major concerns” that had to be addressed before the worst was over.

“I am conscious and realise the importance of the task bestowed upon me to turnaround Air Malta. It would be premature for me to offer any concrete immediate solutions to the many problems we face, however, I am confident that there is light at the end of the tunnel and although there is not an easy way forward, through the commitment and understanding of all stakeholders, we can manage to turnaround this airline,” Davies said.

He said the airline will, in the next few days, present its turnaround plan to the European Commission. “This plan will become the new foundations of Air Malta and its revisited business model for the foreseeable future.”

Davies said he has been reviewing various internal reports and meeting staff members at their workplace this week. “I have seen a genuine desire from all layers of staff to work together to turnaround the airline and together develop the right environment to succeed. I will constantly support initiatives and management styles that breed a passenger-oriented approach.”

He added that while Air Malta had seen its fair share of turbulence, the airline had to go beyond recent events and craft a sustainable long-term future with all stakeholders.

He said Air Malta had not adapted quickly enough to “fundamental technological changes changed the way airlines do business and communicate with their customers.” But, he added, the 2004 restructuring and the rescue plan was “fundamental and a step in the right direction.”

“The recent spike in the prices of fuel which may become a plateau, the evolving situation in Libya, North Africa and the Middle East will continue to put pressure on our airline. We need to focus our attention to a quick and sustainable action plan to fulfil our EU obligations inline with the restructuring plan and return the airline to profitability.”

Air Malta is planning to deliver 1.3 million passengers this summer and operate 180 weekly scheduled flights to over 35 destinations including services to the major airports in London, Paris, Rome and Munich.