China National Aviation (CNAC) has moved to consolidate its control of Air Macau by appointing a key Civil Aviation Administration of China (CAAC) official to the position of chief executive at the airline.
The appointment of Li Keli, formerly CAAC deputy director of international affairs, was initially made with virtually no reference to Air Macau's other shareholders. The Portuguese in particular, are understood to be upset by the Chinese move to appoint a "Beijing insider" to head the airline.
CNAC has a 51% stake in the airline, with Portuguese flag carrier TAP holding 25% and STDM, a local gambling concern, another 14%. The Macau Government and individual private investors hold the rest. Following objections by the Portuguese, the appointment of Li was delayed until after the airline's board had met.
According to a local source, "-TAP insisted that the nomination be confirmed by the full board of directors. They were trying to demonstrate that their 25% constituted a voice in the on-going affairs of the airline".
It is suggested that China's appointment of Li was intended as a tit-for-tat measure against TAP's control of the technical evaluation and selection of aircraft for Air Macau. "The CAAC resented the way the Portuguese forced through the selection of the Airbus A320/321," adds an observer.
Li replaces Ng Kian-wah, who has returned to Singapore Airlines at the end of his contract.
Source: Flight International
