Mueller's stewardship to propel MAS restructuring
Astro Awani
May 4, 2015 20:32 MYT
May 4, 2015 20:32 MYT
Muellers said long haul sectors' viability, fleet options are being explored and added, "as such, recent speculations on the airline offering some of its fleet for sale or lease is too premature when nothing concrete has been achieved". - File Photo
Christoph Mueller has been appointed as the new Malaysia Airlines chief-in-command effective May 1, following the decision taken by Khazanah Nasional Berhad.
The sole shareholder of Malaysia Airlines Group, Khazanah decided to accelerate change in the command of stewardship to enable Mueller to be in the executive capacity to lead the overall restructuring of MAS.
Mueller said to upgrade the viability of long haul sectors, the fleet options are being explored and added, “as such, recent speculations on the airline offering some of its fleet for sale or lease is too premature when nothing concrete has been achieved.”
“MAS needs to operate and utilize its fleet at an optimum level besides maximizing revenue on the route it flies. The market needs to give Malaysia Airlines room to explore various options in determining the most viable strategy,” said Mueller.
Muller’s crucial task on hand is to drive the design and implementation of the business plan for the new Malaysia Airlines, to turn the national carrier to sustainable profitability.
MAS has been in the red for the last four financial years and the latest turnaround announced by Khazanah on Aug 29 last year, involving an injection of RM6 billion and the reduction of 6 thousand jobs.
MAS currently has a cash burn rate of RM5 million per day according to a report by Maybank IB.
MAS recorded a net loss of RM935 million for FY2013 and Maybank estimates its losses to balloon to RM1.2 billion for FY14.