Editorial 2024
Dear ladies and gentlemen,
As expected, the 2024 business year was extremely intense for RUAG. The challenges identified in previous years, notably the remediation of numerous legacy issues and the cultural development of the company, played a major role in this. Despite these difficult framework conditions, RUAG was largely able to fulfill its overarching strategic mandate and ensure the availability of the systems of the Swiss Armed Forces. Moreover, RUAG has developed positively as a company and is now much more transparent, structured and efficient than it was in 2020, at the time of the unbundling. This demanding simultaneity, i.e. dealing with past events
while at the same time establishing new structures and actively shaping the future, has only been possible thanks to highly competent employees who are willing to go the extra mile and act with integrity. We would like to take this opportunity to explicitly thank them all for their unstinting commitment.
New insights into past events
Over the course of the 2024 business year, both federal authorities such as the Swiss Federal Audit Office (SFAO) and, commissioned by the RUAG Board of Directors, a renowned law firm thoroughly investigated various past business activities. RUAG proactively and transparently supported all investigations and ensured independence in consultation with the SFAO.
The findings available at the time of completion of the 2024 annual report have, on the one hand, confirmed the inconsistencies in business transactions of the former RUAG Defence division that had already been anticipated. On the other hand, they provided new facts regarding further past business activities that were not consistently carried out in accordance with binding requirements. Furthermore, the reports made it clear that processes as well as responsibilities within the company and the coordination between RUAG and the superordinate political bodies must be improved.
RUAG takes the findings of all reports very seriously. Consequently, the company will use them to thoroughly
and factually address the legacy issues and to shape the future organization of the company accordingly. The
primary focus will be on deriving effective consequences and further improving internal rules, processes and structures. RUAG has long worked intensively towards establishing a company culture that prioritizes openness, transparency as well as an appropriate approach to dealing with mistakes.
Personnel changes on Board of Directors and stabilization of operative management
The chairman of the Board of Directors of RUAG MRO Holding Ltd, Nicolas Perrin, decided in the year under review to step down after five intensive years in this role. During his time as chairman, he made a significant contribution to reorganizing RUAG and setting it up for the future.
At the Extraordinary General Assembly on 10 December 2024, the RUAG MRO Holding Ltd Board of Directors elected Jürg Rötheli as Chairman of the Board of Directors and successor to Nicolas Perrin. The assembly also settled the succession of Heinz Liechti, who had resigned from the Board of Directors in May of the year under review, and elected Roland Leuenberger as a new member of the Board of Directors.
On 1 March 2024, Ralf Müller was appointed as the new CEO of RUAG MRO Holding Ltd and thus took over overall operational responsibility for the company. The interim co-CEOs responsible up to this point, Thomas Kipfer and Christian Priller, returned to their original positions. During his first months in the company, Ralf Müller already implemented many important stabilization measures and was able to achieve strategically important milestones in key projects. Moreover, he has been actively promoting the further development towards the envisioned company culture.
Focus on the further development of the company
RUAG MRO Holding Ltd started its operations in 2020 with an insufficient structural foundation and the corresponding framework conditions have proven to be inadequate. In addition, challenges with the IT infrastructure required additional effort and the individual business areas were not managed and organized according to uniform principles.