MAS Air Asia Story - Why MAS losing?

WAU! AJ briefed PAC: Firefly loss RM89 mil & CCF

WEE CHOO KEONG

• Unfortunately, AJ only informed PAC of the KL-Cape Town – Beuenos Aires, KL Johannesburg, KL – Dubai – Dammam, KK – Seoul, KK – Perth, KK – Tokyo and KK – Osaka are the 8 routes that do not cover variable costs. How about the remaining 29 routes?
• Other airlines like SIA, Cathay Pacific and other airlines are not exempted from high cost of fuel and yet they are not in the same financial health as MAS. Citing high cost of fuel was just a weak excuse to justify the secret share swap and CCF!
• On the way back from KK, yours truly saw two Firefly jet aircraft were parked on the tarmac in KLIA, which will no doubt contribute to more losses daily i.e. cost of rentals and loss of revenue. This must be part of CCF / NEw Business Plans to turn around MAS!
• Plugging of LEAKAGES is of immediate concerns to AJ. If AJ were to plug 10% of the LEAKAGES, MAS would have made an immediate profit of RM140 million from its revenue of RM14 billion without having to do anything else like taking the trouble to sponsor QPR within QPR stadium and thereafter to in great pains to justify it! If there is no attempt to plug the LEAKAGES/KEBOCORAN, we will see endless exercise to save MAS until it is finished.
• Now AJ told PAC that Firefly has made a loss of RM89 million as at October 2011. Who was telling the truth, AJ or the previous management? Hopefully someone within MAS/Firefly can shed some light on this matter because AJ was relying on the losses to justify the termination of Firefly jet operations.
• After a week of inking the secret share swap agreement , on 16-8-2011 Rashdan had to London to sign the QPR sponsorship agreement costing MAS RM18 million when he was supposed to manage the problems in MAS.
• From the comments received in this Blog, the members of staff of MAS are in the dark with regards to the developments in MAS after the secret share swap.