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Madagascar Airlines Renews CEO’s Contract to Ensure Continuity

Madagascar Airlines Renews CEO’s Contract to Ensure Continuity
Madagascar Airlines has officially extended the mandate of its Chief Executive Officer, Thierry de Bailleul, in a move designed to preserve stability and continuity as the airline advances its ambitious “Phenix 2030” transformation plan, supported by the World Bank. The airline underscored the critical importance of sustained leadership during this pivotal phase of restructuring in an official statement.
At the request of the Malagasy State and the Board of Directors, de Bailleul agreed to prolong his tenure, emphasizing that the extension is not merely a contractual formality but a strategic decision to maintain momentum in ongoing initiatives. He stated, “This extension is not about a title or a contract—it is about ensuring continuity in the work already underway, under the stewardship of the board and the government. And just as importantly, it is about making sure that we have the means to secure that continuity.”
Navigating a Challenging Operating Environment
The renewal of de Bailleul’s leadership comes as Madagascar Airlines contends with a complex and evolving operating environment characterized by heightened competition, shifting market dynamics, and potential regulatory challenges. Industry analysts suggest that retaining the current CEO may reassure investors and stakeholders, signaling a commitment to stability amid significant organizational changes. Meanwhile, competitors are likely to intensify their strategic efforts to safeguard their market positions in response.
The airline’s transformation is underpinned by a World Bank financing package totaling USD 65 million, with USD 25 million already disbursed. Negotiations are ongoing for an additional USD 80 million, which would be allocated equally between the airline and aviation infrastructure projects. The release of these funds depends on several critical conditions, including the approval by the Commercial Court in Antananarivo of Madagascar Airlines’ April 18, 2025, offer to acquire the assets of the former Air Madagascar and its subsidiary Tsaradia. Furthermore, the exemption of import duties on aircraft and equipment, although approved by Malagasy authorities, remains pending implementation.
Strategic Asset Acquisition and Operational Streamlining
The planned acquisition of assets aims to terminate the existing lease-management agreement between Madagascar Airlines and the former entities, thereby streamlining operations and enhancing the carrier’s long-term sustainability. According to ch-aviation data, Madagascar Airlines currently operates a fleet of five aircraft, comprising four ATR72-500s and one ATR72-600.
This announcement follows recent media speculation regarding de Bailleul’s departure, which the airline promptly refuted. The extension of his mandate is expected to provide essential continuity as Madagascar Airlines pursues its comprehensive turnaround strategy amid ongoing industry challenges.

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