Virgin Blue CFO steps down

[Horatio Leafblower]

From the ABC: (http://www.abc.net.au/news/stories/2010/12/21/3098264.htm?section=justin)

Virgin Blue CFO steps down

Posted 12 minutes ago

The chief financial officer of Virgin Blue, Keith Neate has resigned after 7 years at the company.

He says personal reasons are behind his decision to step down.

"The aviation industry is relentless and whilst I have thoroughly enjoyed my time in the role I am ready to give some time back to my family before pursuing other opportunities," he said in a letter.

"I believe the group is tremendously well positioned to deliver on its strategy and prosper under John's strategic direction."

Virgin chief executive officer and managing director John Borghetti says Mr Neate has played an integral role in the management of the company, and has been there during some extremely difficult times.

"I would personally like to thank Keith for his commitment and contribution to Virgin Blue throughout his time with the Group," he said in a statement.

A new CFO has not been named.

[Mr. Hat]

For those in the know was Keith a good guy or not? I have no idea so I wont comment.

There have been a lot of resignations at the top end of town at VB.

[air command]

Well, was expecting more razor work , but not this one. Does help explain why KN did not show for the BNE Roadshow last week that he was rostered to do (new COO fronted instead).
On a slightly different note, VUY has arrived at the BNE Hangar over the weekend... clean skin as everyone suspected.

[psycho joe]

So has the CFO from QANTAS been hired yet? :E

[Keg]

Who was the CFO that resigned from QF 6-12 months ago. I wonder if he will feature in the mix somewhere?

[Cactusjack]

For those in the know was Keith a good guy or not? I have no idea so I wont comment.
Look at the state of DJ up until when JB commenced. There is where you will find the answer to your question ?

Who was the CFO that resigned from QF 6-12 months ago. I wonder if he will feature in the mix somewhere?
Colin Storrie. Actually he is a good bloke, nice guy and switched on. He resigned due to personal reasons which I will not air for privacy reasons and out of respect. If his arm was twisted and he was coaxed by JB to join DJ that would be a huge coup and a very very good addition.

[inandout]

KN was a very nice man and a good CFO

[Mr. Hat]

More detail from todays Australian:



Virgin's finance boss heads for the departure gate | The Australian (http://www.theaustralian.com.au/business/virgins-finance-boss-heads-for-the-departure-gate/story-e6frg8zx-1225974677755)

Steve Creedy From: The Australian December 22, 2010 12:00AM

VIRGIN Blue expects to announce a new chief financial officer early next year after Keith Neate announced his resignation yesterday.

His departure will complete the exodus of Brett Godfrey's original senior management team.

Mr Neate cited the relentless nature of the aviation industry and a desire to spend more time with his family as reasons for leaving after more than seven years at the carrier.

A Virgin source said Mr Neate's departure was amicable.

It is understood the airline already has a short list of possible candidates to replace Mr Neate, who will remain until March.

The CFO is the latest in a series of high-profile management departures since the arrival in may of new chief executive John Borghetti.

Others include head of corporate affairs Heather Jeffery, operations chief Andrew David, V Australia general manager Scott Swift and former head of government relations Tony Wheelen.

Group executive commercial and former EasyJet executive Liz Savage, who joined the airline in the months before Mr Godfrey's departure, remains.

New faces include former Qantas executives Will Owens (yield management), Jane McKeon (group executive government relations) and Roger Lindeman (head of service experience) as well as group executive operations Sean Donohue, who was formerly with United Airlines.

Mr Neate's departure did not surprise analysts who said he was closely aligned with the airline's previous strategy.

There was speculation he may not have been comfortable with the pace of reform as Virgin tries to snare more corporate customers.

"While Keith's corporate knowledge and experience may be missed, we do not expect the announcement to be taken negatively by the market, given the new direction VBA is heading in and the fresh perspective that a new CFO is likely to bring," RBS analyst Mark Williams said.

"The CFO's resignation gives CEO John Borghetti the opportunity to further build his own core management team."

Thanking Mr Neate for agreeing to stay for a seamless handover, Mr Borghetti said he had played an integral role in the management of the company, "successfully steering it through some extremely difficult times, including most recently the global financial crisis".

[Cactusjack]

Others include head of corporate affairs Heather Jeffery, operations chief Andrew David, V Australia general manager Scott Swift
And not a tear has been shed.


Mr Neate's departure did not surprise analysts who said he was closely aligned with the airline's previous strategy.
Agreed. The share price shoud rise $0.02 on this announcement alone.


There was speculation he may not have been comfortable with the pace of reform as Virgin tries to snare more corporate customers.
Exactly the reason why Borghetti is one of a very few airline executives who can turn DJ around quickly. Years of foolish tampering with products and business strategy (which failed) means JB has to move very fast to make up on lost time and to make quick decisions about future movements. They should call him the steamroller becasuese once this bloke gets moving anything in his path gets bumped out of the way.

[Jack Ranga]

Just a view point from a punter that has been 'burnt' by the Virgin 'flair'

JB appears to be a no bull**** type of fella, more about actual service than perceived 'flair'

The type of 'service' they offered prior to his arrival makes a certain segment of customers want to vomit (this segment have the money to spend on an airfare, wear deodorant when they travel in confined spaces and were taught manners and consideration from their parents)

I see a real change in focus, tie ups with ANZ, Etihad etc and smaller but important to me AMEX etc.

Personally I hope to see an end to the juvenile crap that goes on in the cabin and at the gate.

Interesting times indeed!

[Cactusjack]

Ranga, I agree.

All the 'fun, frivolity, silliness and prancing around like a bunch of Kansas city fa#*ots worked well in the early days. With the duopoly of Qantas and Ansett any new entrant had to offer something a little different excluding cheaper fares, hence the introduction of a wacky playful DJ.
But times have changed, Ansett is gone and Qantas has lost it's mojo. Businessmen want a professional value for money service. Holidayer's want to travel from point A to B as quickly as possible, on time and at a reasonable rate. Nobody gives a toss about face painting or onboard aerobics or at the other end of the scale nobody wants to be served my a miserable old cow who spends her time gossiping about the good ol days when she worked 10 hours per week and had only one chin and one a#s !

I personally think that domestic fares are still too cheap, and the airlines (without coercion) need to have some sort of a benchmark price range in which safety, service, affordability, profit (for ongoing and future investing), professionalism and a return on investment for shareholders rules the day. Alliances, synergies and a smart business ethic are the way of the future....

[KittyBlue]

Cactus Jack,

May I please ask you to reread the pprune rules and adjust your post.

Yours kindly
Kb

[worked to death]

Sir Jack,
:D
wonderful sentiment. don't alter a word. The truth isn't any less brutal because it hurts. But lets not worry about feelings - everyone knows looks sell, & return money to shareholders.

[psycho joe]

When was the last time that face painting or onboard aerobics were carried out on a Virgin flight? :rolleyes:

On the other hand they could lose the idiotic signage. Love the one about the emotional baggage at the carousel :D Yeah, that never gets tired. :yuk:

[Mr. Hat]

One of the best posts I've read in a while Cactus. You haven't lost your touch. Too much do-gooding in this country scared to say this do that and the end result is sh!t service everywhere and a woeful crime rate. Tell it like it is.

I think 'flair' is what you have when you haven't invested in training for service so you come up with a quick and cheap alternative. Anyone that has travelled business or first class on an Asian carrier will know what service means. Its a radical experience indeed. At the gate, in the cabin and everywhere else is down right seamless and immaculate. There's no loutish laughing or jokes and at the other end no bitter twisted yesteryear 'staff members'.

I have my doubts that any Airline in Australia can even get within a stones throw of this level of service. We just don't have the disciplined service culture here. The opposite is also true and other cultures lack in some areas. This is reality. Having said all that Virgin Australia wont have to try too hard to trump QF as I found their business pretty darn sad (looks nothing like the angelic-enya carry on I've seen in the ads).

You'd have to introduce shock therapy or something the like to change it.

[KittyBlue]

You pay for great service, its a paid privelege isnt it?
Australian culture and service standards are polar to asian countries. We will never accept such service unless we change our cultural ethos.

BTW. I dont approve of the use of 'fa#*ots' unless you are terming a pile of stick, the rest i agree with what Cactus said.

[neville_nobody]

Australian culture and service standards are polar to asian countries. We will never accept such service unless we change our cultural ethos.

I think that part of that problem is that in Australia customer service rolls are generally poorly paid so you do not get the best talent around. Mind you I have noticed that it improves dramatically in top end shops, where people probably get paid what they ought.

You can train all you want but if you want good people to hang around you have to paid well which in Australia is usually cost prohibitive.

[KittyBlue]

totally agree n_n

[Cactusjack]

Cactus Jack,
May I please ask you to reread the PPRuNe rules and adjust your post.

No.

BTW. I dont approve of the use of 'fa#*ots' unless you are terming a pile of stick
Exactly what I was calling them, a bunch of sticks !

[stubby jumbo]

Enter Colin Storrie:D

Il Duce's first lieutenant @ Rat HQ/9

[coaldemon]

Doesn't Colin Storrie start with AMP in 3 weeks as deputy CFO?

[Cactusjack]

Doesn't Colin Storrie start with AMP in 3 weeks as deputy CFO?
Correct. The role is Deputy CFO and Group Treasurer, starts Jan 27, 2011.