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The chief operating officer of BAA, who was promoted to the role “to put passengers’ interests first” just five weeks ago, yesterday left the troubled UK airports operator.
BAA, acquired for £10.1 billion last year by Grupo Ferrovial, the Spanish construction group, said Stephen Baxter had left to become chief executive of Peel Ports, the owner of Mersey Docks, Clydeport and the Manchester Ship Canal.
The company, whose clutch of UK airports includes Heathrow, Gatwick and Stansted, has been plagued by an exodus of top executives since its takeover. Mr Baxter’s departuure comes as the group faces fierce criticism from holidaymakers, business groups and regulators over the miserable conditions endured at its airports.
Earlier this week, the woes deepened when it emerged that BAA, acquired through a highly leveraged bid, is so indebted that the Competition Commission will investigate whether the situation has become a threat to passengers and airlines. The investigation could lead to the group being forced to sell one or more of its seven UK airports.
BAA described the timing of Mr Baxter’s departure as “unfortunate” and said it was searching for a new chief operating officer. Mr Baxter, who had been at BAA for five years and took the chief operating role on August 31, had previously headed the group’s operations in Scotland.
In August, the group also parted company with Donal Dowds, the former director of safety, security and services, and a member of BAA’s executive committee. His departure came a week after it emerged that Duncan Bonfield, director of corporate affairs, and Mark Mann, head of media relations, had resigned in protest over interference from Ferrovial.
In July, Tony Douglas shocked the transport industry by stepping down as chief executive of Heathrow. A raft of senior staff also left in the immediate wake of Ferrovial’s bid. Mike Clasper stepped down as chief executive when the deal was completed in June 2006. Marcus Agius, the chairman, also left. So, too, did Margaret Ewing, finance director, and Tony Ward, who was in charge of security.
BAA, under fire from some in the City who said that the group’s poor service standards go as far as to threaten London’s standing as a financial capital, recently appointed Sir Nigel Rudd, the former Alliance Boots chairman, as its nonexecutive chairman in an attempt to rehabilitate its image.
Mr Baxter said: “BAA is a company with an exciting future and I am sorry to leave . . . but the lure of this opportunity was too great.”
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