MAS and AirAsia Shares Swap

[Waiping 12]

Don't think the airlines would be bothered with the tourism industry's requests.

[alberttky 0]

Group wants new airline formed to cater to domestic flights

 

MIRI: Rationalisation apparently works for the airline companies but it certainly hampers travels in the state.

 

It is for this reason that the Chinese chambers of commerce and industry in the state are urging the Federal Government to set up an airline to specifically cover Sarawak and Sabah.

 

According to them, the current services are not up to expectation and that businesses in need of easy connectivity are feeling the effects of cancelled routes and reduced flight frequency.

 

Bintulu Chinese Chamber of Commerce and Industry president, Datuk Sia Hiong Ngie, suggested a joint venture involving Malaysia Airlines (MAS) subsidiary, MASwings, and other local aviation companies to handle the routes as well as to Brunei.

 

The immediate past president of the Sarawak Chinese Chamber of Commerce and Industry said the chambers had received many complaints about the increasingly poor air services from business folk and the public.

 

“The situation is expected to get worse because of the Malaysia Airlines (MAS) and AirAsia flight rationalisation exercise. The Chinese chambers have discussed this issue and we are very concerned. Already, we in Sarawak are feeling the impact of the poor flight connectivity between the different cities and towns in the state,” he said.

 

Sia claimed that smaller towns were badly affected by the current goings-son.

 

He claimed that in Bintulu, MASwings had cut down its flights to and from Kuching to only one a day and the return flight from the state capital is at 4.25pm with a transit in Sibu.

 

“This sort of timing is very bad for business dealings. The authorities are talking about huge projects being set up in Bintulu and in the Sarawak Corridor of Renewable Energy (SCORE), yet they cannot even get the flight problems resolved.”

 

In this respect, Sia said Sarawak and Sabah deserved to have a separate airline to cater to the increasing demand in both states.

 

“Sarawak needs air-travel extensively because our roads are in bad shape, unlike in the peninsula where roads are so good. We in the chamber hope the Federal Government would look into this immediately,” he said when interviewed.

 

“To drive from Miri to Kuching takes up to 13 hours. From Johor to Penang, it is only four or five hours at the most and the highway is so good, people can drive at night, but in Sarawak, driving at night is so risky,”

 

Sia, who was also the vice-president of the Federation of Chinese Chamber of Commerce and Industry Malaysia, said the Federal Government should understand the geographical situation of Sarawak.

 

He said the connectivity within Sarawak was also affecting the sick.

 

He pointed out that it was very difficult for a sick person in the rural areas who need emergency medical help to get to the state capital.

 

“MASwings has no space for stretchers. A bed-ridden sick person cannot use those aircrafts. I have written to the airline about this and they cannot find a solution,” he said.

 

Sia said he had heard remarks from big foreign investors that the flights in Sarawak must be improved to enable the state to develop further.

 

The Chinese chambers hope Prime Minister Datuk Seri Mohd Najib Tun Razak would announce some sort of improvement in the air service for Sarawak and Sabah when he tables the 2012 Budget on Oct 7.

 

http://thestar.com.my/news/story.asp?file=/2011/10/3/sarawak/9619554&sec=sarawak

 

If the states are so rich, why must they rely on the "Federal Government to set up an airline to specifically cover Sarawak and Sabah"?

[Isaac 0]

If the states are so rich, why must they rely on the "Federal Government to set up an airline to specifically cover Sarawak and Sabah"?

Because all the money from oils all go to the Federal's banks accounts

[Mohd Suhaimi Fariz 2]

Even if only one miserable seat per flight is made available at a RM1 fare, adverts can still shout..."from RM1"

 

Weakness of the Malaysian advertising laws. As long as you have a disclaimer in very small font size you can get away with it.

 

Try that in the UK. I've heard radio ads on UK radio with terms & conditions longer than the ad itself!

[Naim 6]

Weakness of the Malaysian advertising laws. As long as you have a disclaimer in very small font size you can get away with it.

 

Try that in the UK. I've heard radio ads on UK radio with terms & conditions longer than the ad itself!

 

In Norway, you buy any plane tix online, you have 24hrs to cancel it with no charge, in case you change your mind. Macam cooling off period pulak.

[Mushrif A 3]

In Norway, you buy any plane tix online, you have 24hrs to cancel it with no charge, in case you change your mind. Macam cooling off period pulak.

 

This, I assume, applies if the travel takes places > 24hrs after purchase of ticket....otherwise, I wouldnt mind changing my mind about the purchase (though not necessarily the travelling)

[Naim 6]

This, I assume, applies if the travel takes places > 24hrs after purchase of ticket....otherwise, I wouldnt mind changing my mind about the purchase (though not necessarily the travelling)

 

Of course, was booking for flights in 2 weeks' time and was surprised to get this notice. My debit card was charged some 2 days later.

[BC Tam 2]

If the states are so rich, why must they rely on the "Federal Government to set up an airline to specifically cover Sarawak and Sabah"?

Point to note - it's the state of Sarawak you should be specific about

They are rich (so it seem)

We Sabahans have been pleading poverty for quite sometime already

Any bit of help, financial or otherwise, we are grateful

[Waiping 12]

Point to note - it's the state of Sarawak you should be specific about

They are rich (so it seem)

We Sabahans have been pleading poverty for quite sometime already

Any bit of help, financial or otherwise, we are grateful

 

Well we do have a convoy of Volvo to boot, and they are relatively new too!

[BC Tam 2]

Well we do have a convoy of Volvo to boot, and they are relatively new too!

Sums it up quite well, don't you think ?!

[Mike P 0]

So if the strike held in early December, it would be doomed for those flying with MH in early December...

[BC Tam 2]

Government says MAS-AirAsia share swap only option left

By Shannon Teoh

October 04, 2011

 

KUALA LUMPUR, Oct 4 — Putrajaya insisted today it had “no choice” but to implement the controversial share swap with AirAsia to avoid having to bail out Malaysia Airlines (MAS) after Barisan Nasional (BN) lawmakers questioned the deal in Parliament today.

 

The Finance Ministry told Parliament that efforts to turn around MAS had only been “moderately successful” as seen from the flag carrier’s loss of RM770 million in the first half of the year.

 

“We had no choice. If it continues to make losses and the government has to inject funds, then there will be even more anger,” said Deputy Finance Minister Datuk Awang Adek Hussin.

 

He said this in response to a question by Arau MP Datuk Ismail Kasim who said there was no reason for the 64-year-old airline to “learn from a chief executive officer from the music industry,” referring to AirAsia boss Tan Sri Tony Fernandes.

 

“Who is using who?” the Umno lawmaker asked.

 

His BN colleague Datuk Dr Marcus Majigoh also called on the government to explain how MAS had racked up such massive losses.

 

“MAS used to be a great company. Whoever has abused power must be punished,” the Putatan MP said.

 

Fernandes, who now sits on the MAS board to ostensibly help turn it around, has faced strong opposition from the right-wing Malay ground and Malaysia Airlines (MAS) staff since the swap was agreed two months ago.

 

Critics have accused the budget carrier’s ambitious boss of taking advantage of the loss-making national airline to fuel his personal ambitions, the latest being the acquisition of English Premier League club, Queens Park Rangers.

 

The national carrier will sponsor QPR’s home jersey for the next two seasons, while AirAsia’s logo will be emblazoned on the team’s away and third kits in a “multi-million pound” deal.

 

The August 9 deal allowed state investment arm Khazanah Nasional to swap a 20.5 per cent stake in MAS for 10 per cent in Asia’s top money-making budget carrier.

 

Awang was forced to repeatedly assure Parliament today that the deal “is based on the guiding principle that no one loses out and it will benefit all parties.”

 

The share swap is part of a Comprehensive Collaborative Framework between MAS, AirAsia and also low-cost international airline, AirAsia X, which will last for five years with an option to double the time span.

 

Awang also said that Khazanah was currently undertaking due diligence before deciding whether to take a stake in AirAsia X

 

from here

"Only option" and "no choice" eh ?

[Mike P 0]

“MAS used to be a great company. Whoever has abused power must be punished,” the Putatan MP said.

 

Who else??? Sigh...

[Cheng Long 0]

“MAS used to be a great company. Whoever has abused power must be punished,” the Putatan MP said.

 

Who else??? Sigh...

 

Sometimes answers are so obvious and so big that people can't see it because it's too big (or choose to ignore).

[Naim 6]

My conjecture: the bigger the grin, the less trustworthy it is.

 

[Raymund Yeoh 1]

Alamak...jialat....all of them grinning like the cheshire cat

[Naim 6]

Alamak...jialat....all of them grinning like the cheshire cat

 

LOL x3. Laughing at us, poor suckers!

Edited October 4, 2011 by Naim

[Nuriman Ahmad 2]

Laughing all the way to the bank...that's for sure..

[CH Teo 0]

Only real fact: Looks like this thread gonna be real long before this "drama" ends...

[CH Teo 0]

Some more updates from BERNAMA:

 

Parliament: CCF Is Part Of MAS Turnaround Plan - Awang Adek

October 04, 2011 17:46 PM

 

KUALA LUMPUR, Oct 4 (Bernama) -- The Comprehensive Collaborative Framework (CCF) entered into by Malaysia Airline, AirAsia and AirAsia X is part of the turnaround plan for the national carrier, the Dewan Rakyat was told Tuesday.

 

Deputy Finance Minister Datuk Dr Awang Adek Hussin said Malaysia Airlines would continue effort to improve operations and strengthen its finance in the effort to become a viable airline.

 

"MAS has started discussion with the trade union to explain the CCF in detail. CCF is expected to benefit three groups -- the shareholders, staff and the public," he said in reply to Saifudin Nasution Ismail (PKR-Machang).

 

Saifudin wanted to know about the deal and its effect on the national air transportation industry.

 

Dr Awang Adek said the CCF was a framework which outlined guiding principles which must be followed by the three parties and it involved three main items namely collaborative agreement, shareholders agreement and supervision.

 

He said the CCF was for a five-year period with option to extend for a further five years.

 

The CCF would help upgrade the quality of products and services to clients and firm up the environment of the national airline industry, he added.

 

It would also explore areas of cooperation such as purchase of aircraft, engineering, support service, cargo service, catering and training.

 

Dr Awang Adek said up to Sept 20, the primary shareholders of MAS were Khazanah Nasional Bhd (48.87 per cent), Tune Air Sdn Bhd (20.5 per cent) and the Employees Provident Fund (10.54 per cent).

 

Meanwhile, the primary shareholders of AirAsia as of Sept 23 were Tune Air Sdn Bhd (13.1 per cent), EPF (10.35 per cent), Khazanah Nasional Bhd (10 per cent), Genesis Smaller Companies (5.43 per cent) and Wellington Management Company (5.04 per cent), he said.

 

-- BERNAMA

[Raymund Yeoh 1]

Some more updates from BERNAMA:

 

Parliament: CCF Is Part Of MAS Turnaround Plan - Awang Adek

October 04, 2011 17:46 PM

 

KUALA LUMPUR, Oct 4 (Bernama) -- The Comprehensive Collaborative Framework (CCF) entered into by Malaysia Airline, AirAsia and AirAsia X is part of the turnaround plan for the national carrier, the Dewan Rakyat was told Tuesday.

 

Deputy Finance Minister Datuk Dr Awang Adek Hussin said Malaysia Airlines would continue effort to improve operations and strengthen its finance in the effort to become a viable airline.

 

"MAS has started discussion with the trade union to explain the CCF in detail. CCF is expected to benefit three groups -- the shareholders, staff and the public," he said in reply to Saifudin Nasution Ismail (PKR-Machang).

 

Saifudin wanted to know about the deal and its effect on the national air transportation industry.

 

Dr Awang Adek said the CCF was a framework which outlined guiding principles which must be followed by the three parties and it involved three main items namely collaborative agreement, shareholders agreement and supervision.

 

He said the CCF was for a five-year period with option to extend for a further five years.

 

The CCF would help upgrade the quality of products and services to clients and firm up the environment of the national airline industry, he added.

 

It would also explore areas of cooperation such as purchase of aircraft, engineering, support service, cargo service, catering and training.

 

Dr Awang Adek said up to Sept 20, the primary shareholders of MAS were Khazanah Nasional Bhd (48.87 per cent), Tune Air Sdn Bhd (20.5 per cent) and the Employees Provident Fund (10.54 per cent).

 

Meanwhile, the primary shareholders of AirAsia as of Sept 23 were Tune Air Sdn Bhd (13.1 per cent), EPF (10.35 per cent), Khazanah Nasional Bhd (10 per cent), Genesis Smaller Companies (5.43 per cent) and Wellington Management Company (5.04 per cent), he said.

 

-- BERNAMA

 

In simple english, what a load of bull s*#% ........I can assure this Dep Min is reading fr a written script.......

[BC Tam 2]

In simple english, what a load of bull s*#% ........I can assure this Dep Min is reading fr a written script.......

The Compr.....

The Comprehen.....

The Comprehensive Coll.....

The Comprehensive Colla.....

Stuff it, dia orang berpakat-pakat sajalah

[GeO 0]

"Only option" and "no choice" eh ?

 

really ar no choice? they have other option to save MAS. Bring back Datuk Idris Jala as MD or get some one as skillful and capable and as honest as Datuk Idris Jala.

[alberttky 0]

Tourism players to petition for Sarawakians to be directors of MAS, AirAsia

 

KUCHING: Sarawakians should be placed on both Malaysia Airlines (MAS) and AirAsia’s boards of directors to ensure that the state’s interests are represented and protected. Presently, no Sarawa-kian sits on either airlines’ boards.

 

This, Sarawak Tourism Federation (STF) believes, is one of the reasons why routes to Sarawak were the first to be cancelled nationally in the airlines’ flight rationalisation exercise.

 

The point is one of more than 10 that will be included in three separate memorandums that STF and other organisations will present to MAS, the state and federal governments tomorrow (Wednesday).

 

The memorandums are to be unveiled at the Malaysian Association of Tour and Travel Agents state headquarters at Jalan Tabuan here at 11am tomorrow.

 

Aside from STF, the memorandums will also be supported by the Sarawak Chamber of Commerce and Industry, Kuching Chinese General Chamber of Commerce and Industry, Dayak Chamber of Commerce and Industry, and the Bumiputra Entrepreneurs Chamber.

 

The Malaysian Associations of Hotels also backs the memorandums.

 

STF president Audry Wan Ullok told The Star the content of the memorandums would be hard-hitting. She said questions were supported by present confusions over flight schedules, while suggestions were backed by past experiences.

 

“In the memorandum to MAS, we ask it and its subsidiaries to explain and clarify its flight schedule. To date, we have received complaints that Firefly flights have been cancelled on short notice , even up to just two hours before departure,” Audry said yesterday.

 

“The situation creates uncertainty and lack of confidence in the market. The scenario does not augur well for investors or tourists. STF is requesting that a formal statement be issued by MAS and AirAsia to prevent speculation.”

 

On the memorandum to the state government, STF will ask about Sarawak’s aviation policy, if any.

 

“If there is no such policy, then why not? If they want to create one now, then STF wants to be represented and have our feedback heard,” Audry said.

 

It is in this memorandum that STF will urge the state government to lobby for Sarawakians to sit on each airline’s board.

 

The last Sarawakian to sit on MAS’s board was ex-State Secretary Datuk Amar Wilson Baya Dandot.

 

In the past, Audry added, Sarawak’s aviation sector was protected not only by Wilson’s presence, but also by Datuk Seri Idris Jala, when he helmed MAS.

 

“Since we’ve now learnt how important it is for Sarawakians to be on the boards, it is our suggestion to the state government to lobby on our behalf without delay,” the STF president said.

 

As for the memorandum to the Federal Government, STF would enquire about measures taken to ensure that the rationalisation would not lead to a monopoly.

 

Point two of this memorandum would ask the government how the Competition Act — which will take effect on Jan 1 next year — will protect consumers affected by the rationalisation exercise.

 

“To be honest, we are no longer questioning the rationale of the rationalisation.

 

“All we want are answers, clarifications and for this level of confusion and setback never to happen again,” Audry said.

 

The rationalisation began after MAS and AirAsia announced a share swap in August.

 

The first route cancelled by MAS’s subsidiary Firefly was between Kuching and Johor. That was on Sept 15

 

Since last week, Firefly has also started cancelling its Kuching-Kuala Lumpur flights.

 

There were no official statements from the airline, aside from confirmations on its Facebook Firefly fan page.

 

http://thestar.com.my/news/story.asp?file=/2011/10/4/sarawak/9624957&sec=sarawak

[Mike P 0]

No point too, Idris Jala is a Sarawakian and during the business turnaround plan, he cut lots of international routes from Kuching.