Malaysia Airlines will have a new vision finalised by the end of this month, in particular aimed at addressing its weak financial position.
In the five years since its last major overhaul, the Oneworld alliance member has suffered from widening losses, including 1.15 billion ringgit (US$285 million) in 2015, 700 million ringgit (US$173 million) in 2016, 1.2 billion ringgit (US$297 million) in 2017, and 1.3 billion ringgit (US$322 million) in 2018, according to CH-Aviation.
The Covid-19 pandemic has added to the carrier’s peril, with three-quarters of its fleet still grounded. Malaysia Airlines has 99 aircraft, including several Airbus A380s.
A verdict has yet to be made, however, on whether Malaysia Airlines will be shut down. This will largely depend on the outcome of talks with creditors and aircraft lessors, said Malaysia’s finance minister Zafrul Aziz, according to Malay Mail.
Any decision will safeguard the interests of the airline’s employees.
“The government will hold further talks with [parent company] Khazanah to ascertain the direction of the company, especially in strengthening its financial position, and identifying the best strategic solutions,” said Abdul Rahim Bakri, Malaysia’s deputy finance minister, reported CH-Aviation.