Khazanah Nasional Bhd will come up with a plan to restructure troubled Malaysia Airlines (MAS) within a year, said Managing Director Tan Sri Azman Mokhtar Tuesday.

Speaking to reporters here, he said all options were being considered at the moment, reflecting the seriousness of the current situation and the importance of MAS to the country.

"At this moment, we are not prepared to say which option yet. But suffice to say, a lot of work has been done," he said on the sidelines of Invest Malaysia 2014 here.

Azman said a sustained turnaround of MAS would need a strong improvement in its internal work culture and discipline, external support, as well as leadership and management.

"All three areas obviously need to be consolidated. Where the question of leadership and management is concerned, this area too we will seek to improve over time," said Azman.

He also said there is a possibility of the national carrier downsizing its flights in the near-term until a restructuring plan is formulated, given that MAS has a reasonable leeway in making choices over its network plan.

"Last year, despite losses, MAS' load factor breached 81 pct due to the One World alliance, which gave more options in terms of connectivity," he added.

Azman said Khazanah Nasional's divestment program was still ongoing, whereby, it would divest its stake in companies that are non-core, nor competitive.

When asked where MAS would fit into this picture, he said the airline is a core business as it is the national carrier and part of the national development agenda.

However, he added, the dilemma lay in its struggle to be competitive, which is a similar story with most airlines today.

Azman said on the question of whether Khazanah Nasional would still be the major shareholder of MAS would ultimately depend on the airlines' special shareholder, the Malaysian government.

"The final decision will be made by the government.Our job is to give proper advice on what needs to be done," he added.

Khazanah Nasional has injected RM5 billion into MAS to date and asked if this money has been effectively used, he said: "Looking at the way it has been spent, the short answer is 'no', because from the financial standpoint, MAS continues to make losses.

"However, from the national viewpoint, the answer to this is less obvious as MAS, like all carriers, brings other economic impact and intangibles to the country, as in terms of connectivity and bringing the world to our shores."

On the recent resignation of MASKargo chief Mohd Yunus Idris and if this is the start of more heads rolling at the national carrier, Azman emphasised that it was normal for perople to come and go in the industry.

On Khazanah's semi-conductor wafer maker, SilTerra Malaysia, Azman said in the last nine to 10 years, earnings before interest, taxes, depreciation, and amortisation (EBITDA) and operating profit had been mildly profitable.

"We have always stated that the viability of the company required it to be part of a bigger strategic alliance. We have also been working to ensure there is no bleeding new money at the EBITDA level," he added.