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Cathay Pacific CEO Rupert Hogg and chief customer and commercial officer Paul Loo both resigned on Friday, following a tumultuous week for the Hong Kong-based carrier. Pro-democracy demonstrations in Hong Kong that largely shuttered the Hong Kong airport earlier this week have hit the carrier from two sides. Operations-wise, Cathay canceled 272 flights over the demonstrations and has taken a hit to passenger numbers related to the ongoing protests. At the same time, Cathay is facing pressure from Mainland China in dealing with employees who participate in or even support the demonstrations; some pilots reportedly already have been suspended or fired related to the protests.
In a filing with the Stock Exchange of Hong Kong, Cathay Pacific's board said both men had "resigned to take responsibility as a leader of the company in view of recent events." Hogg, who was led Cathay Pacific Group for three years, said in a statement: "I am confident in the future of Hong Kong as the key aviation hub in Asia. However, these have been challenging weeks for the airline, and it is right that Paul and I take responsibility as leaders of the company."
Cathay's board appointed Augustus Tang, who has been CEO of Hong Kong Aircraft Engineering Co. since 2008, to succeed Hogg as CEO. HAECO is owned by the Swire Group, which also owns Cathay Pacific. Ronald Lam will take over Loo's role and will remain CEO of HK Express, a low-cost carrier subsidiary of Cathay Pacific, until the board appoints a successor.
Cathay Pacific chairman John Slosar in a statement said the appointees "have the experience and depth of knowledge of aviation and our people to be strong and effective leaders of Cathay Pacific at this sensitive time."
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