(from the Evening Standard)
Britain's flag carrier - which also announced the departure of chairman Lord Marshall after 20 years - reported pre-tax profits of just £60m for the six months to the end of September, against £310m for the same period last year. Marshall, aged 70, will be replaced by Martin Broughton, 56, executive chairman of cigarettes giant BAT.
But the succession to the chairmanship of the highly regarded Martin Broughton, it is hoped, will usher in a new commercial epoch with no ties to the carrier's pre-privatisation days.
The rise of Broughton, 56, who is giving up his career at cigarettes giant BAT, will give BA chief executive Rod Eddington a chairman not only of a similar age but also one who does not have the baggage of a leader who has fought many battles - not least that against Sir Richard Branson's Virgin Atlantic.
Broughton's appointment is likely to be well-received. His departure after 30 years at BAT comes only two weeks after he pulled off the substantial coup of merging its US interests with RJ Reynolds.
Broughton will be taking a substantial pay cut. Last year he earned £1.9m at BAT. The chairman's job at BA comes with a £250,000-a-year tag.
Broughton is currently BA's senior independent director. In preparation for this change, the board of British Airways has appointed him deputy chairman, with immediate effect.
Martin Broughton, currently chairman of British American Tobacco, joined the airline’s Board in 2000 and chairs its audit committee, as well as serving on the nominations, remuneration and safety review committees.
Last edited by Cahlibahn; 10th Nov 2003 at 19:47.