From an ex RMC old boy and MAS Chief Pilot:
Salam sejahtera semua.
MASA DEPAN MALAYSIA AIRLINES
For the past few days Malaysia Airlines is very much in the news… with comments coming from many people as for its future.
Firstly let us all get this clear…MAS- for Malaysia Airline System, is no more in existence. It was at one time a public listed Company on KLSE. It has been delisted following the Malaysia Airlines Act.
In its place, a new Company was formed- Malaysia Airlines Berhad- MAB, now fully own by Khazanah.
So for all intent and purposes, let’s now call the company.. Malaysia Airlines.
Secondly, l personally don’t know nor have l heard about those so called “AVIATION EXPERTS”
One thing for sure they are not involved in Airline industry, have never flown an aircraft before what more being in the management.
Having said that, let it be understood that the present situation we are facing- the Covic 19 Pandemic, affects ALL of us, not only the Airline Industry but also ALL ASSOCIATED AND RELATED SERVICES:
. DUTY FREE
. AIRCRAFT MANUFACTURING .. you name it.
With the borders closed, aircraft cannot fly, people cannot travel… there is nothing one can do about it…no matter how expert one is….. EXCEPT to keep the Company afloat…. IF ONE HAS LOTS AND LOTS OF MONEY.
But for how long?
The worse affected are the countries that rely a lot on tourism… Thailand, Maldives, Turkey, Indonesia and countries without domestic market for air travel, like Singapore, Brunei and the Gulf States.
The bigger the Airline, the worse one would be affected.
Under the present state, even the known Aviation Experts:
. Jan Carlson
. Freddie Laker
. Richard Brandson
. Christoph Mueller
. Peter Bellew
and the local ones- Tony Fernandes and Rusdi Kirana, will be up in arms.
THEY CANNOT DO ANYTHING EXCEPT TO RESTRUCTURE, CUT DOWN ON SERVICES, REDUCE THE NUMBER OF STAFF.
That is: CUT THE LOSSES.
Failing which, SHUT DOWN THE AIRLINE AND DECLARE BANKRUPT.
This is the reality Malaysia Airlines is facing now.
They have to service the loans.
They have to pay the lessors.
They have to pay the staff.
If the Government or Khazanah were to pump in more money…. most of that will go to the creditors and lessors…….more money to be spent with no or little revenue generated.
So under the present circumstances, the best option if the Creditors and Lessors cannot agree to the airline’s restructuring plan…SHUT IT DOWN.
Khazanah or the Government should then channel the” Rescue Package” to Flyfire to eventually be the new National Airline.
If would be easier to get it started…. unlike in 1971 when MAS was established.
Now we have the expertise.
We can still have our national identity by adding Malaysia to Firefly… becoming :
If that were to be opted, in my humble opinion amongst the list of things that need to be done:
. Transfer all the assets to Firefly.
. Absorb all the essential staff- especially the Technical staff- pilots, engineers, even cabin crew.
A lot of money and time are spent to train them.
. Reduce the number of staff.
. End the contract of expatriate employees.
.Get rid of the non performers and dead woods.
. Retire all those above 60.
. If necessary, those retained to go on indefinite unpaid leave.
. Start small. Focus on B 737 services on domestic routes, especially to East Malaysia.
. To give choice to travelling public, have low cost B737 services operating from Subang mainly to East Malaysia destinations – like what it once did.
. Slowly spread on to major cities of Asean countries- Singapore, Jakarta, Bangkok, Hong Kong, Manila Tokyo, Taipei etc.
. Utilise the A 350 aircraft to London and Australian destinations, starting with Sydney and Melbourne.
. Since there are no buyers for A380 find ways to utilise them to the maximum- Haj and Umrah charters when they are open again; deploy to London route.
. Be more aggressive in cargo operations.
Acquire more freighter aircraft.
In a nut shell…start afresh.
Notwithstanding all the above, let us give the chance to the present MAB CEO, Capt. Izham Ismail to do what he knows best which l believe he is doing.
I think he is still the right person to handle the “crisis.”
Though educated up to Form 5 level, he has been in the industry since he was 19 years old and had been sent not only to Oxford but also to Harvard to prepare for the job.
More importantly, he’s intelligent, hard-working and sincere with no hidden agenda.
Let’s wish him well.
15 Oct 2020”