CEO of Israel's El Al Airlines resigns

CEO of Israel's El Al Airlines Eliezer Shkedy has resigned, the flag carrier announced to the Tel Aviv Stock Exchange on Sunday.

 Shkedy said he will step down after his successor assumes his office.

 The airline has not cited any reason for the move, nor did it disclose the date, in which Shkedy's resignation will take effect.

 The surprising resignation comes less than a week after El Al launched UP, its low cost airline to Europe. The low cost carrier is part of an effort led by Shkedy to increase the competitiveness of El Al in the wake of the government's Open Skies reform.

 Due to come into effect in 2014, the Israel-European Union (EU) Open Skies agreement set lower landing rates for EU airlines in order to boost competition in the flights market.

 Released last month, El Al's third quarter financial report for 2013 showed a record profit of 57.9 million U.S. dollars, which reflects a 55 percent raise compared to the third quarter of 2012.

 However, during Shkedy's first three years in office, El Al lost 17.4 million dollars, and its share dropped by 38 percent.