Au revoir Forgeard?

[Al E. Vator]

Possible that Noel Forgeard about to fall on his sword?

[HF-Tuner]

Already replaced by Gallois - Humbert had to go too.

http://www.spiegel.de/wirtschaft/0,1518,424686,00.html (sorry - in german)

[Kalium Chloride]

Forgeard and Humbert resigned.

Christian Streiff nominated as new Airbus CEO. Previously deputy chief of Saint-Gobain Group.

Tom Enders to stay on as EADS CEO, joined by Louis Gallois, previously head of French rail company SNCF.

[Grandpa]

Media didn't say a word about it..............too busy waving the flag after soccer victory yesterday?

[HowlingWind]

Here the story from the Beeb (http://news.bbc.co.uk/2/hi/business/5138840.stm), in English.

I know this is more a business matter than aviation, to whatever extent those can be separated when an aeroplane builder is involved, but just wondering what ramifications, if any, this might have for the future of the A380, A350, et al?

[wince]

Grandpa:
There was actually something similar on "The Observer" last Sunday...In the business section I think...
W

[BEagle]

From the BBC:

"EADS and Airbus bosses both quit

The embattled co-chief executive of Airbus parent company EADS, Noel Forgeard, has resigned.

The announcement comes after intense pressure on Mr Forgeard to quit in the wake of an insider trading scandal.

Mr Forgeard, who denies wrongdoing, was accused of deliberately selling shares in EADS before the firm announced a delay to the Airbus A380 superjumbo.

It was also announced that Airbus chief Gustav Humbert has resigned over the A380 delays.

"The recently announced delay on the A380 production and delivery programme has been a major disappointment for our customers, our shareholders and our employees," said Mr Humbert.

"As president and chief executive of Airbus, I must take responsibility for this setback and feel the right course of action is to offer my resignation to our shareholders."

Mr Humbert, a German, is being succeeded by Christian Streiff, a former executive of French building materials group Saint-Gobain.

Angry shareholders

Mr Forgeard is being replaced by fellow Frenchman Louis Gallois, head of French state railway company SNCF.

Co-chief executive of Airbus since last year, Mr Forgeard has continually denied any wrongdoing over his selling of EADS shares.

He said he sold the shares in question in March of this year, and that he did not know of delays in the production of the A380 until April.

When the delays were announced last month, Airbus's share price slumped 26%.

Mr Forgeard's protestations of innocence were not enough to calm shareholder anger, and he has now paid the price.

Yet he initially refused to stand down, telling a French parliamentary committee last week that such a move was "out of the question".

Possible compensation

Following the scandal, there were also calls for EADS to end its dual management structure.

A Franco-German firm, it has two chief executives and two chairmen, one from each country. It looks as if this structure will continue.

The delays to the A380 have been caused by wiring problems.

EADS now says that only nine of the planes, instead of the previously expected 20 to 25 will be delivered next year.

As a result, Airbus is to hold talks on compensation with those airlines who have already ordered the plane. "

Make no mistake, this is an even bigger scandal than the Boeing 767 tanker programe.

Time for Airbus to root out the halt, lame, lazy and dishonest, roll up its sleeves and sell aeroplanes again!

Frankly, I am appalled. It was clear that there were some problems at Airbus, but I didn't realise that things were this bad.

[ATC Watcher]

Media didn't say a word about it..............too busy waving the flag after soccer victory yesterday?

Not quite true, it made the headline of Le Monde today...http://www.lemonde.fr/
Re your remark :
I wonder how Zidane would do as salesperson for Airbus...I understand he will be available after July 8 .:D

[FougaMagister]

As a Frenchman, I would much rather Airbus was managed by German CEOs - they are typically much less arrogant than their French counterparts. At least Gustav Humbert (who was not suspected of insider trading) did the honourable thing and took responsibility for the A380 delays. Too many CEOs these days are too busy pocketing their share-options and conveniently forgetting that with authority and responsibility comes accountability. If they can't deliver, they should be shown the door by their shareholders - which is what has (belatedly) happened in this case.

Cheers :cool:

[Ignition Override]

FougaMagister:
"... too many CEOs......accountability...".

Could this concept somehow also spread to the US airline industry, and even an airline's Board of Directors? What responsibilities are accepted by most US airline Boards of Directors? Maybe some Boards over here do not want leaders who have people skills. They might be unwilling to stomp on their staff when they are already down, and strangle more cash out of many pilots who already qualify for US Government food stamps/free coupons. How about their demand, since December, that Mesaba Airline Avro and SF-340 FOs (salary only about US $1800/month) accept a 20% pay cut and also pay part of their medical insurance premiums? Words can not describe such attempts by Mesaba's "corporate leadership".

Or do most Board Members simply count their money and benefits? I have no idea. The founder/CEO of JetBlue doesn't pay pilots a good salary, but at least the CEO's salary is only $400,000/year. That sets at least a good example, but has no influence upon very typical, arrogant CEOs, Chief Financial Officers (who plead ignorance about basic finacial situations during Manhattan [NY] Bankruptcy Court hearings etc).
The co-founder of the gigantic, profitable COSTCO discount store chain also grosses only $400,000/year.

About thousand years ago, many would have been forced to become indentured serfs. Many pilots older pilots, for whose seniority and salary can never be replaced at a different airline for very many years, prefer to be tied to "their soggy serf farmland", as a figure of speech, if they see any incentives by their company to improve their situation in the near-term, instead of trying to grind them under their heels and force them to live in an even "more miserable, leaking hut", so to speak. Unrestrained capitalism encourages and pays more incentives to the perfumed princes with MBAs or law degrees who can reach even lower levels of ruthlessness and contempt (Verachtung) :cool:. The moral difference between these types and child molestors/predators? There is none. :E

A poster on another thread has a nickname or uses slang: "don't think!" (don't sink). Some companies only want us to do our job, but not to think about the company's scorn for their own staff and total lack of leadership/people skills. Mon Dieu! Gott im Himmel!

[vapilot2004]

Mr. Forgeard and Mr. Humbert are certainly two entirely different individuals.

While Forgeard's stock sale may or may not land him in a French jail (imagine that), it was certainly bad form. Humbert was reported not to exersize his sale options in March for that very reason.

Something not widely reported in the media (again imagine that) is the fact that the opportunity to sell company stock is only once a year according to the charter. The timing of Forgeard's (and other execs) was not a free choice - but to go through with the sale without regard to appearances both personal and corporate - seems to have been a poor (?) choice.

It has been said that without Forgeard at the helm of Airbus in years past, there would have been no A380. This is his legacy.

As for Mr. Humbert, he honourably admitted mistakes were made on the A380 and apologized for them. His candor was refreshing.