* Mika Vehvilainen to start in March at Cargotec
* Cargotec shares up 2.6 pct, Finnair down 1 pct
(Recasts with market reaction, analysts' comments)
HELSINKI Jan 28 Finland's Cargotec
has hired Finnair boss Mika Vehvilainen as its new
chief executive, hoping he can replicate his successful
turnaround of the airline at the cargo-handling equipment maker.
Cargotec, which has struggled in recent years as shipping
companies and ports cut back on investment, announced the
appointment on Monday.
Last year, Cargotec demoted CEO Mikael Makinen to head the
company's marine unit, which plans to list on a stock market in
Shares in Cargotec were up 2.6 percent to 21.96 euros by
1114 GMT on investors' hopes that Vehvilainen, who is due to
start his new job in early March, will increase the pace of
change at the company.
"He has done a good job at Finnair and that raises
expectations on Cargotec shifting into new gear," said Pohjola
Bank analyst Pekka Spolander.
"The company must step up efforts to expand in growing
markets," Pareto analyst Jari Harjunpaa said.
Job cuts at Cargotec and a shift in production to countries
such as Poland from Finland and Sweden have done little to
Shares in Finnair fell 1.0 percent to 2.95 euros.
Under Vehvilainen's leadership from 2010, Finnair has
significantly cut costs and focused on expanding more profitable
Asian routes. The carrier expects to have made a profit last
year for the first time since 2008.
Last year Vehvilainen made headlines when he was the target
of a police investigation for suspected bribe-taking related to
a real estate deal. He was found innocent, but said he regretted
making the arrangement.
Vehvilainen has also worked at Nokia and its
telecoms equipment joint venture Nokia Siemens Networks
(Reporting By Jussi Rosendahl and Terhi Kinnunen; Editing by