Shareholder turbulence
For months, tension has been mounting between the Treasury Ministry and the two other shareholder groups in Poland's national airline, PLL Lot - the trustee in bankruptcy for defunct Swissair (which holds a 25-percent stake) and the worker's union (with a seven-percent stake). The conflict concerns disagreement over solutions to the airline's financial woes, which have resulted in a 25-percent loss in market share and the selloff of stock and real-estate assets.
Treasury Minister Wojciech Jasiński declared that "the national carrier cannot be allowed to fall into decline," voicing concern over the frequent overruling of the Ministry's decisions by the minority shareholders.
In an effort to recoup its influence, the government recently tried to convince copper-mining firm KGHM, in which it also has a majority stake, to buy out the Swissair trustee's shares in Lot. The proposal was rejected, although the rumor had already affected share prices.
Finally, three-party talks were held last week, resulting in dismissals from Lot's supervisory board, which the Treasury (with a 68-percent stake in the airline) claims were necessary to give the company a fighting chance. The Treasury replaced the board members with individuals who would, presumably, be more sympathetic to the Treasury's interests, including Rafał Pasieka, a former aide to Lech Kaczyński during his tenure as Mayor of Warsaw. The new board has six months to make changes and create a new strategy.
In the meantime, the airline has been trying to make progress on the logistical end, in the shape of its recent purchase of eight Boeing Dreamliner aircraft and plans for a partnership with carrier Direct Fly, which would expand its regional flights, reduce prices and increase competitiveness.
In another twist, Adam Glapiński, an economics professor and one of the Kaczyńskis' most trusted advisers, was last week appointed chairman of the supervisory board of Centralwings, Lot's low-cost arm. It is speculated that he may soon become the CEO of the entire company.
