Air France-KLM’s board of directors appointed Air Canada COO Ben Smith as its new CE, the first non-French national to head the group. The announcement comes after a months-long search to find a successor to former CE Jean-Marc Janaillac, who resigned in May over a labour conflict with Air France’s workforce that had sparked 15 strike days between February and June and snowballed into a management crisis. Smith resigned his position as president, airlines and COO at Air Canada Thursday and is expected to take up his duties by no later than Sept 30. He will be charged with revitalising Air France, giving a new strategic impulse to the group and working on a new leadership approach with all Air France-KLM’s teams, the company said. <br/>
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Air France-KLM Group directors haven’t even voted on hiring Ben Smith as the company’s CE and already its French unions are preparing a lively welcome for the Canadian executive. Recruiting a foreign boss is “inconceivable,” 9 unions said Thursday before a board meeting at which Smith probably will be chosen as CE. Labour groups will meet Aug 27 to decide next steps in a long-running dispute over pay that’s led to 15 days of strikes and lost flights this year. Smith, the No. 2 executive at Air Canada, will have to pursue cost cuts and operational improvements in a highly competitive industry while trying to rein in disgruntled unions, all with the French state looking over his shoulder. The poisonous atmosphere should come as no surprise. <br/>
A Xiamen Air aircraft with 165 people on board veered off an airport runway in the Philippines capital of Manila shortly before midnight Thursday, but there were no casualties. The Boeing 737-800, landing after a flight from Xiamen "went off the runway during a heavy downpour", said the officer in charge of Manila International Airport Authority's public affairs office. "We are still determining how it happened." "All 157 passengers and eight crew were evacuated without injuries, according to Xiamen Air," Boeing said, adding it was closely monitoring the situation. Still images of the aircraft carried by local media on Twitter showed the left wing of the Xiamen Air 737 touching the ground. Due to the incident, NAIA's international runway will be closed until 12 pm local time Friday. <br/>
Vietnam Airlines Corporation earned a pre-tax profit of nearly VND1.92t (US$82.4m) in the first half of 2018, a year-on-year increase of 87%. Parent company Vietnam Airlines made a pre-tax profit of more than VND1.39t more than double its target. According to a Vietnam Airlines’ representative, the airline maintained its remarkable performance due to increased operational flexibility in the transportation of passengers and cargo, despite stagnation in the development of air transport markets and rising fuel prices. During the first half, Vietnam Airlines operated 72,800 flights with its rate of On Time Performance reaching 90%. The airline transported 13.7m passengers – a rise of 4% compared to the same period last year. Cargo reached 167,000 tonnes, a year-on-year increase of 8.5%,. <br/>