It was a challengig period, we sailed through ~ Michael Joseph

Chairman and former Safaricom CEO Michael Joseph  yesterday praised  the kenya Airways group Managing Director and CEO, Mbuvi Ngunze.Athe board has seen the dedication and selfless approach to work that Mr Mbuvi has had.

Joseph said that the board saw the dedication and selfless approach to work that Mr Mbuvi has had.

“Mbuvi has led KQ during a challenging period, but brought his unique leadership skills to bear, ensuring that the airline stayed afloat, leading from the front in negotiations with financiers and critical partners, and launching the turnaround which has achieved key milestones,” Mr Joseph said.

He said during this period of turbulence, Mbuvi and the team were able to analyse and articulate the challenges facing the airline  for various stakeholders to understand and support.

“The challenges faced by KQ over the last few years are not unique to it, as aviation is a cyclical business. What is critical is that these challenges have been faced with measured responses that are now clearly bearing fruit,” he noted.

These actions, Michael Joseph said, have included negotiating bridge financing for the business successfully, revisiting the commercial offer of KQ and organisation.

Others included, monetising assets to keep the business in operation, fleet rationalisation and improved utilisation, reducing costs and improving productivity.

He said that during Mbuvi’s tenure, operational losses of the business have reduced substantially and KQ more than broke-even at the half year period. Operation Pride will clearly place KQ on a stronger footing and provide a stable base for long term growth.

“As we look to the future, the operational turnaround must stay in focus, but so too the financial stability of the business,” he explained.

Michael Joseph said the key outcomes desired during this phase of the turnaround are an improvement in liquidity and the reduction of the overall debt.

He observed that Mr Mbuvi is fully committed to the course and will remain focused on delivering this before his departure and in ensuring a successful transition.

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