Eugene Koh 4 Report post Posted August 18, 2008 Transmile Air is selling all 4 of its MD-11s. Anyone know who they're selling to? Perhaps MAS should buy them for MasKargo! Share this post Link to post Share on other sites
MIR 2 Report post Posted August 18, 2008 (edited) Info from The Star Tuesday August 16, 2008 However, Transmile still faces a number of uncertainties. Shareholders are still awaiting the sale of the company’s four wide-body MD-11 aircraft, reportedly to a US-based financial firm, to pare down its more than RM500mil debt. -The Star Tuesday August 19, 2008 Probe into CEN still going on Transmile MD says he is not on witch-hunt SUBANG: Transmile Group Bhd is not on a witch-hunt at CEN Sdn Bhd into which an investigative audit was made and which has become a subsidiary. Transmile managing director Liu Tai Shin said: “I am not on a witch-hunt. As far as I am concerned, the investigation has no relevance. “As professional managers, our main role is to go forward and ensure the business recovers,” he told a press briefing yesterday. However, Liu confirmed the investigation was in fact on-going. Transmile raised its stake in CEN to 57.5% last month from 37.5% previously, at a cost of RM1.5mil. This time last year during the accounting scandal that struck the air-freight firm, a special audit by Moores Rowland Risk Management Sdn Bhd revealed that a CEN subsidiary owed Transmile RM103mil and had recommended an investigation on CEN. There was also concerns of under-billing or non-billing by Transmile to CEN. As for the sale of the company’s four MD-11 wide-body aircraft, Liu said this was in progress. However, with many airlines in North America and Europe filing for bankruptcy in a weakening economic climate, the price of the sale could come “under pressure”, he added. He also confirmed that the company was committed to use the sales proceeds to repay its more than RM500mil of debts. The MD-11, with a more than 90-tonne carrying capacity, is an aircraft similar to the DC-10. Minus its MD-11s, the company is running nine Boeing-727 aircraft with a carrying capacity of 24 tonnes and two Boeing-737 aircraft with a 12-tonne capacity. Transmile has another Boeing-737 being converted for cargo use to be in service later in the year. On market talk that Pos Malaysia Bhd was considering terminating its contract with Transmile, Liu said Pos Malaysia and its Poslaju service made up about 10% of the company’s revenue. So, should Pos Malaysia terminate its contract, Liu expects a 10% drop in revenue but added that the company would look for new business to fill the cargo capacity. Currently, major overnight courier services that have contracts with Transmile are DHL and TNT, while Fed Ex and UPS were using its services on a walk-in or “spot” basis. On the company’s narrowing losses reported on Friday, Liu said, “The bad news is that we are still making losses. The good news is that we are still able to manage our (financial) position.” The company reported a net loss of RM20.89mil for the second quarter ended June 30 versus RM32.61mil in the same period last year. Quarterly revenue fell RM49.8mil compared with RM149.9mil a year ago. Despite this, the company said revenue quality was in fact improving with yield per kg much higher since it retired its MD-11 aircraft. Edited August 18, 2008 by MIR Share this post Link to post Share on other sites
