Malaysia Airlines (MAS) has confirmed it has been placed in voluntary administration.
The carrier has appointed Dato’ Mohammad Faiz Azmi as administrator, whose job is to assist in the “transfer of selected assets and liabilities from MAS to the new company Malaysia Airlines Berhad (“MAB”)”.
MAB will begin operations on September 1, assuming control of all the airline’s businesses. In the meantime, MAS will continue to operate as normal.
MAS’ new chief executive Christoph Mueller, who is also the CEO-designate of MAB, has stressed normal flight operations will continue to run during the transition.
“[The] appointment [of Dato’ Mohammad Faiz Azmi] does not affect our daily operations or existing reservations. You can continue to make reservations in full confidence that our flights and schedules are operating as normal, that tickets sold will be honoured, and that our Enrich frequent flyer programme continues with Miles and status preserved,” confirmed Mueller.
It is going to be a difficult week for MAS as it continues to pursue a restructuring plan that could set it on a path towards sustainable profitability.
Reuters and The Star have reported that the airline will be terminating about a third of its 20,000-strong workforce in the coming days. The remaining two-thirds will be re-employed under new working conditions.
For more information, visit malaysiaairlines.com