SMRT Corp. (MRT) Chief Executive Officer Saw Phaik Hwa stepped down after Singapore’s worst subway disruptions on record led to calls for her resignation.
Saw, 57, resigned to “pursue personal interests,” the company said in an exchange filing (MRT) today. Tan Ek Kia, former chairman for Northeast Asia at Royal Dutch Shell Plc, who has been on the SMRT board since 2009, will be interim CEO, the company said in a separate statement.
Two breakdowns on lines servicing the central Orchard Road shopping strip affected about 222,400 commuters on the last weekend before the Christmas holiday, based on data compiled by SMRT and the Straits Times. About 80 people held a public rally on Dec. 17 to call for Saw’s resignation over the worst failures since the subway system started operations in 1987, and protest against higher fares by cab operators including SMRT, the Straits Times reported Dec. 18.
“SMRT is signaling its intention to refocus on its core rail operations and assure the public that all efforts are made to ensure the smooth operation of its rail transport system,” Toh Yongrui, an analyst from UOB Kay Hian Pte, said in an e- mailed note. “In contrast to Ms Saw’s background in the retail industry, Mr Tan has experience in engineering, construction and operations through his previous appointments.”
Saw earned a total of S$1.85 million ($1.4 million) in the year ended March 2010, according to last year’s annual report. She was previously regional president of luxury retailer DFS Venture Singapore Pte, according to data compiled by Bloomberg. SMRT named Tan as the interim head for his “diverse experience in engineering and construction, safety, operations and business management,” it said in the statement.
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