MAS and AirAsia Shares Swap

[Sandeep G 1]

A big problem has been spiralling costs associated with the aged fleet - which should now come under some control with the new aircraft. However, despite this - I still think they have the wrong mix of aircraft for their intended operations.

 

The B787 seems like a perfectly sized aircraft for medium haul destinations with multiple daily freq. (See JAL/ANA planned ops)

 

As oppose to the A330 which can be used for more long-haul routes such as Japan/Northern China/Australia-NZ.

 

The B77W seems the obvious choice for Long haul europes and USA flights - Clearly not the A380 for now.

 

The B738 is perfect for regional flights, but they should add in B739ERs to the mix for lean medium haul destinations..

 

 

Furthermore - would love to see some revolutionary product from MAS for EY/J/F. Is it possible?

[flee 5]

With the CCF in place, you have to add in the joint procurement factor into the equation.

 

I think that with AirAsia's influence, MH will be advised to minimise aircraft types they operate in order to minimise maintenance and spare part inventory costs. As such, MH could possibly adopt this kind of strategy:

 

A380 - replace current B744s (as originally planned)

B787-8 - lease some to replace the B772 now, order some B787-8's and B787-9's to replace the older A333s for delivery after 2020

A333 - deployed for Asian regional routes, order A350 (along with D7) for longer term replacement

B738 - for domestic and regional routes, order A320 NEO (along with AK) for longer term replacement.

 

This will mean that that the B787-8 and B787-9 will be used for both Asian regional and thin long haul routes into Europe/US. This will allow MH to operate those routes with added frequency should demand increase. With the A350 also in the fleet, this could be deployed too, if frequency increase means putting too much capacity on the route.

 

Narrow bodies will be operated by the new airline to be launched in 2012 and since its focus is on routes under 4 hours, the B739 will probably not fit into the route plans that well. Besides the B787-8, configured to low density seating, is more suitable for routes that are between 4 to 10 hours flying time. They should also be more economic to operate and more comfortable for pax.

Edited December 13, 2011 by flee

[Johan Z 0]

Some newly ordered MH aircraft are reported will be used to set-up QF offshoot airlines, which more likely to be A330. MH need to order 787-8/-9 for a proper A330 replacement anyhow.

[Mohd Suhaimi Fariz 2]

Some newly ordered MH aircraft are reported will be used to set-up QF offshoot airlines, which more likely to be A330. MH need to order 787-8/-9 for a proper A330 replacement anyhow.

 

QF offshoot airline?

[reezal 0]

Some newly ordered MH aircraft are reported will be used to set-up QF offshoot airlines, which more likely to be A330...

 

 

I read this news too, and thought there were some mistakes on the report. As far as i know and there were a lot of mentions in the news, that RedQ will be using A320neo with sharklets for its fleet. But then if the news is true, and with the never ending on-going talks with MAS/AirAsia, perhaps there is a change of plans, who knows!

[Johan Z 0]

QF offshoot airline?

 

It is an airline. My mistake for putting an 's'. Thanks for nitpicking that. Only you can do it.

[Mohd Suhaimi Fariz 2]

It is an airline. My mistake for putting an 's'. Thanks for nitpicking that. Only you can do it.

 

You misunderstood me. I thought it was not a sure bet that QF's offshoot airline would involve MH.

[Naim 6]

Read this blog entry, reproducing text from Parliament's Hansard.

 

http://weechookeong.wordpress.com/2011/12/07/teks-ucapan-di-parlimen-terhadap-gang-of-two/

[S V Choong 4]

Some newly ordered MH aircraft are reported will be used to set-up QF offshoot airlines, which more likely to be A330. MH need to order 787-8/-9 for a proper A330 replacement anyhow.

Can they provide a better name for the new airline than "sapphire"?

Edited December 13, 2011 by S V Choong

[BC Tam 2]

Can they provide a better name for the new airline than "sapphire"?

Yeah, the mandarin variation on that name may actually be serh-pai-ah - sort of like damning it to failure from day one

[Johan Z 0]

Found the article:

 

Damage to Qantas only temporary, says Alan Joyce

 

DAMAGE to the Qantas brand from the decision to ground the fleet is neither extensive nor permanent, chief executive Alan Joyce assured investors and analysts yesterday.

 

Mr Joyce told a strategy day in Sydney that domestic bookings, including those from corporate accounts, had recovered particularly well and were now back to normal levels.

 

Regional, intra-Western Australia and east-west routes were particularly strong, he said.

 

International bookings were recovering more slowly for the period through to January but were expected to be "essentially in line with levels prior to the industrial action" beyond this.

 

"This is a strong and rapid rebound," he said. "We developed a generous recovery plan in recognition of the inconvenience to some customers and the temporary impact on the brand.

 

"I say temporary because all the signs are that the damage is neither extensive nor permanent.

 

 

"To the contrary, we've had overwhelming support from our most valued frequent flyers and the business community."

 

Qantas and unions representing pilots, engineers and ground handlers are heading to arbitration after Fair Work Australia terminated industrial action in the wake of the grounding at the end of October.

 

While this ended the immediate industrial strife, a presentation accompanying addresses by senior executives showed Qantas still has a problem with staff engagement.

 

The company's engagement score for this year was 70 per cent, dogged by lower scores from groups such as pilots and engineers, compared with a national average of 82 per cent.

 

"Ultimately, the best thing we can do for staff engagement and productivity in the Qantas Group is deliver success as a business and generate long-term career opportunities -- and that is what we are all about," Mr Joyce said.

 

Noting that management was "resolutely focused on improving returns to shareholders", Mr Joyce warned that the gloomy global economic prognosis meant the airline expected challenges over the next five years.

 

But he said the business was "highly adaptive, scalable and capable of moving quickly to respond to changing circumstances".

 

Mr Joyce expected further competitive pressures from Middle Eastern carriers on international routes as well as increased competition from Chinese airlines.

 

"At home, we will see continuing attempts to erode our domestic dominance," he said. "We are well positioned to respond effectively to those challenges while continuing our focus on lowering costs and improving productivity."

 

Mr Joyce reiterated statements over the past two weeks that talks to establish a premium airline in Asia continued, but said it was premature to make any announcements.

 

Qantas has looked at both Singapore and Kuala Lumpur as potential hubs and is currently favouring the latter. It had originally planned to use its own aircraft to operate the carrier but is discussing the possibility of using Malaysian aircraft.

 

Mr Joyce said the aim was to position Qantas within the Southeast Asian marketplace in advance of planned aviation liberalisation.

 

"We want to capture those premium customers who have been frustrated with our lack of frequencies and limited flight options into Asia and do this through leveraging our aviation skill base without huge capital risk," he said.

 

"In five years, we plan to have a hub in the world's fastest-growing aviation region, feeding traffic into both our Qantas and Jetstar networks. This is how we will end the disadvantage of being an end-of-the-line carrier."

 

Qantas was also focused on the next wave of initiatives to reduce costs and improve productivity, including a simplified fleet of flexible, next-generation aircraft.

 

"As our fleet modernises, we will put in place the systems and processes that support that fleet most efficiently across engineering, airports and catering," he said.

 

"In five years' time, the Qantas flying businesses, domestic and international combined, will exceed the cost of capital on a sustainable basis."

 

Source

 

I don't think QF will get their 787 anytime soon, if the plan goes on, they need some aircraft sooner than later.

[S V Choong 4]

Yeah, the mandarin variation on that name may actually be serh-pai-ah - sort of like damning it to failure from day one

Haha, "shi bai a" 失敗啊. Good one Mr. Tam

[Naim 6]

Yeah, the mandarin variation on that name may actually be serh-pai-ah - sort of like damning it to failure from day one

 

That reminds ... my first company was called First Asia International Ltd, incorporated in the Bahamas in '93. Ambitious but best forgotten, epic FAIL.

[Waiping 12]

Yeah, the mandarin variation on that name may actually be serh-pai-ah - sort of like damning it to failure from day one

 

For all the jokes surrounding the name I think we/they will proceed with the name, no?

[Nik H. 3]

Sapphire to MH staff means plainly as So-fired........

[BC Tam 2]

For all the jokes surrounding the name I think we/they will proceed with the name, no?

I suspect much will depend on QF's eventual decision on her Asian premium venture

[Kee Hooi Yen 0]

Yeah, the mandarin variation on that name may actually be serh-pai-ah - sort of like damning it to failure from day one

 

That also reminds me All Nippon Airways 全日空. In mandarin it means "empty all day"

 

But at least now they have B787

[BC Tam 2]

Malaysia Airlines System in cantonese goes someting like

'mah-loi-sei-ah' (obviously Malaysia)

'hong-hung' (airline)

'hie-thung' (system)

Apparently CX ground agents in HKG abbreviated it to 'mah-thung' (toilet seat)

 

Sorry, OT !

Edited December 13, 2011 by BC Tam

[Ruiz Razy 1]

Malaysia Airlines System in cantonese goes someting like

'mah-loi-sei-ah' (obviously Malaysia)

'hong-hung' (airline)

'hie-thung' (system)

Apparently CX ground agents in HKG abbreviated it to 'mah-thung' (toilet seat)

 

Sorry, OT !

..... And MH is Man Hole in built environment .

[S V Choong 4]

That also reminds me All Nippon Airways 全日空. In mandarin it means "empty all day"

 

But at least now they have B787

That is until they went to China and the Chinese translated for the Japanese as "empty all day long", deemed a bad omen for the airline.

 

So they have gotten rid of all Chinese characters on ANA's jet. Pretty sad actually. I would rather see more different character's on the fuselage than just plain English.

 

Malaysia Airlines System in cantonese goes someting like

'mah-loi-sei-ah' (obviously Malaysia)

'hong-hung' (airline)

'hie-thung' (system)

Apparently CX ground agents in HKG abbreviated it to 'mah-thung' (toilet seat)

 

Sorry, OT !

Actually "Mah tung" is the toilet, not the seat! It should be "Mah-hong". Abbreviation is the mainlander's thing though!

 

What justice is going to do with the name "Sapphire", what will it do to the national identity? Seems like a random name or some sort, the nation does not even have any sapphire mine for the record!

Edited December 14, 2011 by S V Choong

[flee 5]

MASGold might have been more appropriate than Sapphire.

 

Like many have said, the word "Sapphire" is not a familiar word for the average Malaysian in the street. So the marketing battle is already an uphill struggle!

[Isaac 0]

Malaysia Airlines System in cantonese goes someting like

'mah-loi-sei-ah' (obviously Malaysia)

'hong-hung' (airline)

'hie-thung' (system)

Apparently CX ground agents in HKG abbreviated it to 'mah-thung' (toilet seat)

 

Sorry, OT !

LOL. Really ? Anyway, the MAS BKI/HKG/BKI flights are handled by KA ground staffs in HKG and they always refer MAS as what SV Choong said > "Mah-Hoong".

Edited December 14, 2011 by Isaac

[Izanee 0]

maybe they should change the name to 'bauxite' or 'tin' ...that will reflect our mining activities

[Mohd Suhaimi Fariz 2]

MASGold might have been more appropriate than Sapphire.

 

Like many have said, the word "Sapphire" is not a familiar word for the average Malaysian in the street. So the marketing battle is already an uphill struggle!

 

According to AJ & Danny - no, Sapphire won't be the name, just the project codeword.

[Mohd Azizul Ramli 2]

Breaking news from the MH Rumour Department!!!

 

A new set of routes have been announced as bye bye! KUL-FCO is out, so does KUL-SUB and SIN-PEN-LGK.

 

This is on top of KUL-KHI-DXB, KUL-DXB-DMM, KUL-DXB which have been identified and KUL-JNB and KUL-CPT-EZE which have been officially announced.

 

Date of last service of those routes:

 

DXB/DMM - 12 January 2012

KHI/DXB - 13 January 2012

JNB - 31 January 2012

LGK-PEN-SIN - 7 January 2012

SUB - 30 January 2012

FCO - 2 February 2012

CPT-EZE - 1 February 2012

 

This is of highly credible source as the info was embargoed from MH's internal email.