Singapore Airlines shows clout with new CEO at troubled Tiger Air
Published on May 7, 2014 1:37 PM
SINGAPORE (Reuters) - Tiger Airways is replacing its chief executive officer with a Singapore Airlines' board member, in a sign that its largest shareholder will wield greater influence at the troubled budget carrier.
Wednesday's move comes less than a week after Tiger reported losses ballooned in its last financial year and as Singapore Airlines, which owns 40 per cent of Tiger, pushes a strategy of expanding its exposure to the fast-growing Asia Pacific market and the low-cost segment.
"They'll try to see where Tiger fits into all this and make better sense of what is happening and how different they can go forward in that particular segment," said Sagar Ashok, an aerospace consultant at Frost & Sullivan.
Lee Lik Hsin, a 20-year veteran of Singapore Airlines, will become chief executive from May 12, Tiger said in a statement on Monday. He will replace Koay Peng Yen, who joined Tiger from the shipping industry less than two years ago.
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