Vinalines gets new CEO

Wednesday, Mar 19, 2014 16:29

Le Anh Son speaks at a conference in Ha Noi.— Photo
HA NOI (Biz Hub) — Minister of Transport Dinh La Thang has appointed Le Anh Son as the CEO of the Viet Nam National Shipping Lines (Vinalines).

In 2003, Prime Minister Nguyen Tan Dung approved the restructuring of four state-owned corporations under the Ministry of Transport for the 2012-15 period. These were the Vietnam Airlines, Viet Nam Shipbuilding Industry Group (Vinashin), Viet Nam Railways and Viet Nam National Shipping Lines (Vinalines).

The ministry, however, explained that the restructuring of some corporations was falling behind schedule as they were encountering a lot of difficulties during the implementation. At the beginning of 2013, though the relevant authorities strove to complete the tasks, the process missed the deadline. Recently, Transport Minister Dinh La Thang told local newspapers that the restructuring of the State-owned corporations under the ministry would be completed in 2014.—VNS

Son, 43, will officially take over on March 20 from Nguyen Canh Viet who has been appointed as the deputy head of the ministry's flood and storm control department.

The new CEO, who is also a member of the managing board of Vinalines, faces two important tasks of resolving the company's bad debts and completing the equitisation of Vinalines' parent and subsidiary companies.

Last year, Vinalines had set the target of equitising seven units, but only two have been equitised so far. They are Quy Nhon Port and Khuyen Luong Port. Son told Dau Tu newspaper that the other units would not be equitised before June 2014.

At the same time, Vinalines was asked to make an initial public offering for its eight companies which have been targeted for equitisation this year. These are Sai Gon Port, Cam Ranh Port, Nghe Tinh Port, Can Tho Port, Nam Can Port, Vinalines Hai Phong, Vinalines Shipping Company and Vinalines Container Shipping Company.

Vinalines was also urged to let two subsidiaries of Vinashin -- Ocean Shipping Company and the Viet Nam Oil and Gas Transportation Company -- go bankrupt as they were unable to repay their massive debts.

Along with these unfinished tasks, Vinalines has to finish its divestment from the Maritime Bank and other insurance companies. An economist told the newspaper that the financial burden would make the restructuring process of Vinalines very difficult. — VNS

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