Aerolineas Argentinas’ New Hope?

With the announcement of a new CEO for the state run Aerolineas Argentinas, comes new hope that the airline will now be run as an actual business instead of a state owned money pit.

Este artículo se encuentra disponible en español aquí.

Isela Costantini, who has been President and Managing Director for General Motors Argentina, Uruguay and Paraguay since March 2012, has a BS in Communication and Advertising from the Pontificia Universidade Catolica do Parana in Brazil and received an MBA in Marketing and International Business from Quinlan School of Business at Loyola University Chicago.

Isela Costantini

Isela Costantini

She has been deemed a very effective manager and successful negotiator, skills that will prove very useful when running the highly mismanaged airline and dealing with the various unions that group the airline industry workers in Argentina. Costantini is also faced with the $1 million per day deficit the company has been reporting since it was expropriated seven years ago. It is estimated that since it became a state run company, it has received $5 billion from the state in subsidies. It’s also worth noting the airline fully owns 4 out of the more than 70 planes it operates as part of their fleet.

Other issues the company faces are, when compared to other airlines in the region, according to an internal audit performed by Oliver Wyman by request of Aerolineas:

aerolineas

Here’s to hoping the new CEO will be able to use her expertise to get the airline out of the water, and turn it into a profitable venture, and possibly stop advertising the on board fax machines as part of their amenities, their ‘audio system with 12 channels with the most varied musical genders’ and maybe even hire a professional translator to do their English content online.

Author: Ben Nickel-D'Andrea

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