Airport COO moves on to airlines

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MIKE.DEAL@FREEPRESS.MB.CA Michael Rodyniuk is the new Chief Operating Officer of the Exchange Income Corp.

WINNIPEG Airports Authority is losing its chief operating officer, but will gain an important ally in its desire to strengthen its relationship with airlines that service the North.

Michael Rodyniuk, second-in-command at Winnipeg Airports Authority for the last six years, is leaving the airport to become vice-president and chief operating officer, aviation at Exchange Income Corp., the Winnipeg-based company that owns Calm Air, Perimeter Aviation and Keewatin Air.

A spokeswoman for the WAA said they just learned of Rodyniuk's departure in the last couple of days and the process of finding his replacement has not yet begun.

"Michael will be just a stone's throw away and will still be available to talk to us," said Christine Alongi, the WAA's spokeswoman. "We think it's great for him and for us because he'll be working with a key airport tenant."

In a recent speech to the Winnipeg Chamber of Commerce about why the "Golden Boy points north", WAA chairman Arthur Mauro spoke about how development in the North will be an important focus of growth for the airport.

All of the airlines Rodyniuk will now be responsible for primarily service northern Manitoba, northwest Ontario and Nunavut. The WAA has made it clear that one of its prime development goals in the near term is to expand its business with Northern Canada to become more of a hub for the growing resource industries in the North as well as the increasing passenger traffic in the region.

As for Exchange Income Corp., the company is sitting on a war chest of about $100 million after a couple of successful equity offerings this year and has made no secret of its intention to seek further acquisitions. In addition to its portfolio of regional airlines, Exchange Income owns a number of small metals manufacturing firms across Western Canada and one in the United States.

The company has said it intends to expand into a third, as yet unknown sector, but growth in the aviation industry is also that much more likely with the addition of Rodyniuk.

"It is a major coup for us to land someone like Michael," said Exchange Income CEO Mike Pyle. "It's fair to say we wouldn't be doing this if we didn't envision opportunities for growth in the aviation sector."

Pyle pointed out that all three of the airlines already have CEOs who run them and Rodyniuk's role would be to manage them on a corporate level.

And Rodyniuk has had plenty of experience in senior management of airlines. The 45-year-old Calgary native has spent time working in the head offices of some of the largest airlines in the world, including stints at the Chicago headquarters of United Airlines, Swiss Air's Zurich head office as well as a WestJet's Calgary offices.

He also believes it is an excellent time to make a move, now that most of the development work on the new terminal is just about finished as well as the land development on the airport campus with the construction of new buildings for Canada Post, the Greyhound Bus terminal Standard Aero and plans for hotel developments.

"That was a very big challenge and it is just about finished," Rodyniuk said. "I am excited about the new challenge and I know there are opportunities for growth at Exchange."

In a research report issued just last week, Trevor Johnson, an equity analyst with National Bank Financial, said in addition to generating average total return of more than 19 per cent annually since 2004, Exchange Income has proved doubters wrong about investing in conglomerates and he believes it has excellent growth potential.

"We are bullish on continued organic growth opportunities from the aviation portfolio," Johnson said.

He also noted that the company has sufficient capital to add a business that could generate an additional $20 million-to-$25 million in cash flow.

martin.cash@freepress.mb.ca

Republished from the Winnipeg Free Press print edition July 21, 2010 B6