This archive report was first published on 30 August 2019.
Kenya Airways has kicked off the search for a new CEO, with the current CEO, Sebastian Mikosz, set to leave the firm in December. Mikosz had submitted his resignation letter in May, citing personal reasons.
The airline's board chairman has emphasized the need to start the replacement process before the December deadline, when the CEO seat will be vacant. The board will soon announce the recruitment criteria for the new CEO.
Sebastian Mikosz's tenure, which was initially set to end in June 2020, has seen significant achievements, including the launch of direct flights to New York, Mauritius, Libreville, and Mogadishu, resulting in a 12 percent revenue growth to KSh58 billion. He also oversaw a plan to convert bank debt into equity.
However, the airline is facing financial challenges, including cash strain and losses amounting to KSh8.5 billion in the first half of 2019. Flight cancellations and delays have led to significant expenses, with the airline spending KSh118 million from January to July to cater for accommodation. Additionally, crew mismanagement has resulted in crew shortages and cancellations of 182 flights.
The airline is also facing competition from Ethiopian Airlines and Qatar Airways, posing a threat to its operations.
