Budget Taps Continental's Siegel; BA Names Commercial Director

<B> Budget Taps Continental's Siegel; BA Names Commercial Director</B>

As president of Continental Express, David N. Siegel more than doubled the commuter carrier's revenues and increased its profit contribution to parent corporation Continental Airlines by $250 million annually. But now Siegel is switching jobs--and industry segments.

Beginning Nov. 15, the 38-year-old executive will begin serving as president and COO at Budget Group Inc. Reporting to him will be Mark Sotir, president of North American vehicle operations, CFO Michael Claver and Jean-Claude Ghiotti, president of Budget International.

The announcement of the newly created position could not have come at a more opportune time for the car rental firm, whose financial performance has been lackluster: Its third-quarter net income fell 39 percent, and its stock has declined approximately 73 percent in the past year.

Analysts have attributed some of Budget's woes to its lack of a strong operations person at the helm. Siegel seems to be the perfect man for the job. "The kind of experience and work he's done is closely associated with the challenges he'll face in developing Budget's airport and local markets," said Neil Abrams, president of Abrams Consulting Group in Purchase, N.Y. "It's a very good fit."

Siegel began his career working for Bain & Company, an international strategy consulting firm specializing in business turnarounds. Prior to becoming president of Continental Express in 1995, he developed and implemented the route and fleet restructuring plan that helped get CO back on its feet as senior vice president of planning. He joined Continental in 1993 as vice president of corporate development and before that served as director of corporate planning for Northwest Airlines.

Meanwhile, British Airways has appointed Carl Michel its new commercial director, worldwide, reporting directly to CEO Robert Ayling. Michel is responsible for worldwide sales, marketing, alliances, franchises, airline subsidiaries and cargo activity.

Michel first joined BA in 1995 as head of business development. In 1997, he took over as CEO at Munich-based Deutsche BA, the German component of BA's network. Michel also is on British Airways' 10-member senior management leadership team.