Embattled Hong Kong flag carrier Cathay Pacific today announced yet another high-level departure — this time Chairman John Slosar — as the airline reels under pressure from both the mainland and the market amid the city’s long-running protests.
In a filing to the Stock Exchange of Hong Kong, the airline said Slosar had resigned from both the board and as an executive director, and was being replaced in both capacities by Patrick Healy.
According to the filing, Slosar “confirmed that his resignation is due to his retirement and that he is not aware of any disagreement with the Board of the Company.”
Slosar’s departure, however, comes amid a turbulent time for the airline, which saw both its CEO and another C-suite executive resign last month.
The resignations came after Beijing’s aviation regulator slapped Cathay with new rules forbidding its staffers who had taken part in Hong Kong’s protest movement from manning flights traveling to the mainland, or through its airspace. Cathay responded by warning its staff against participating in “illegal” gatherings, and firing several employees for protest-related reasons.
The firings, and the airline’s quick about-face on its staff’s participation in protests in the face of mainland pressure, were credited with creating a culture of fear and mistrust within the company.
Cathay’s share prices, which had been declining since a peak in April, plummeted in the wake of the rule change. Though they recovered slightly, they still remained well below the already-lower share prices of June and July.
Today, however, the airline’s shares soared 8 percent amid news reports that Hong Kong Chief Executive Carrie Lam was expected to withdraw the controversial extradition bill that kicked off the city’s long-running protest movement.
However, since the news of Slosar’s resignation was filed after the market closed for the day, it remains to be seen whether Cathay can hold onto the gains when trading reopens in the morning.
