Resumption of MAS's Previously Axed Routes, Launch of New Routes + Wishlist

[Yang Zulhilmi 0]

i guess MH just cant use 777 for CPT-EZE due to ETOPS restriction over South Atlantic ocean?

[flee 5]

Its not just the fuel costs that are high on the KUL-EZE route.

 

They need to station crew both in Argentina and South Africa since both sectors will use up the flying hours before needing rest. So the overheads are very high.

 

It might be better for MH to just fly to CPE/JNB and then code share to EZE in future.

Edited January 4, 2013 by flee

[Johan Z 0]

i guess MH just cant use 777 for CPT-EZE due to ETOPS restriction over South Atlantic ocean?

They have to fly slightly longer than 747, keeping closer to nearby airports in case of one-engine out emergency.

Edited January 4, 2013 by Johan Z

[filipeseda 0]

This is just based on my own analysis. MAS needs to stop thinking about point to point traffic. It needs to see the larger picture and operate a network that is comprehensive for KUL to become a viable hub for passengers in the region. It needs to see that demand will grow but it can't act then, it has to act now.

 

New routes:

 

Kuala Lumpur - Surabaya

 

Daily services. The Indonesian economy is set to grow and Surabaya as a major city in Indonesia is set to grow with it. There are many LCCs plying this route, but again, MH needs to think about transit pax rather than end on pax.

 

Kuala Lumpur - Palembang

 

4x weekly. MH can capture business traffic on this flight. Again, after Java, Sumatra is expected follow on a similar path of economic growth and currently the city is not well connected apart from via SIN or CGK.

 

These ones are a bit more iffy.

 

 

Kuala Lumpur - Siem Reap - Da Nang

 

MH can increase frequencies from current 2x daily to 4/5x daily. As the only OW carrier to REP, MH already has a "niche" destination. Tourism to REP is increasing exponentially. To further boosts loads and aircraft utilization, a tag to Da Nang is possible, similar to the former MI route.

 

Kuala Lumpur - Munich - New York JFK

 

The German economy is still fairly strong despite European financial woes. Granted, the American economy is not in the best of conditions. Nonetheless, the advent of the weak US dollar has brought some advantages with increasing traffic from Asia as the region continues to grow. From a strategic point of view, this route does make sense as both Munich and JFK are hubs for other OW carriers. Munich is a hub for AirBerlin that can feed passengers onto both MUC-JFK and KUL-MUC sectors. AA and AE operates a hub in JFK allowing for passengers to connect to flights spanning the US East Coast.

 

Increase in services

 

Kuala Lumpur - Perth (2 daily)

 

Kuala Lumpur - Brisbane (Daily)

 

Kuala Lumpur - Auckland (Daily)

 

Kuala Lumpur - Frankfurt (Daily)

[flee 5]

Agree that MH needs to expand its network, now that it has more fuel efficient aircraft to operate new services. However, it has to keep a lid on its headcount and other fixed costs while expanding.

 

It can learn a lot of lessons from JAL's bankruptcy and recovery.

[Lock SH 0]

They have to fly slightly longer than 747, keeping closer to nearby airports in case of one-engine out emergency.

 

 

Could you please quote an airfield or airfields that could be used to support ETOPS operation (based on rule time of 180 min) along CPT-EZE route?

 

 

[Walter Sim 1]

 

 

Could you please quote an airfield or airfields that could be used to support ETOPS operation (based on rule time of 180 min) along CPT-EZE route?

 

 

There's RAF Ascension Island FHAW/ASI smack in the middle of the southern Atlantic. Probable can use JNB/ASI/EZE but this involves flying a more northerly route to keep within the 180min circle to ASI as compared to more direct routing to EZE

Edited January 5, 2013 by Walter Sim

[filipeseda 0]

Economically speaking, South African routes are definitely not high yielding and its further compounded by the rough patch the SA economy is going through now. Even SQ is struggling to fill its SIN-JNB-CPT service. It ended its direct SIN-CPT route.

 

MH needs to get its basics right. Establishing itself in the Asia-pacific region is a pre-requisite before it starts expanding outwards.

[Desmond Loo 0]

MAS should think about restarting its KUL to MAN operations. Maybe with a brief stop over in the middle east or somewhere in Europe enroute. Lots of people are flying from MAN and other UK destinations to South East Asia and beyond with airlines from the middle east as it avoids the tricky transit in LHR.

[Izanee 0]

Leaving MAN is another stupid decision. As Desmond said, many people hate LHR/LGW and are keen to fly out from their regional airports. MAN covers a huge area in the north of England.

Emirates and Qatar and SQ seem to make money, only MH failed miserably. In fact, EK flies from Dublin, Birmingham, Manchester, LHR/LGW, Newcastle and Glasgow...don't tell me you can't make money.

[flee 5]

MAS should think about restarting its KUL to MAN operations. Maybe with a brief stop over in the middle east or somewhere in Europe enroute. Lots of people are flying from MAN and other UK destinations to South East Asia and beyond with airlines from the middle east as it avoids the tricky transit in LHR.

Perhaps a KUL-MAN-EWR routing might be preferable.

 

Traffic between KUL-MAN is probably too thin as we may not have enough high yield pax on this route. Furthermore, there may be some cannibalisation of traffic from the KUL-LHR route.

[KK Lee 5]

Perhaps a KUL-MAN-EWR routing might be preferable.

 

Traffic between KUL-MAN is probably too thin as we may not have enough high yield pax on this route. Furthermore, there may be some cannibalisation of traffic from the KUL-LHR route.

 

To MH, high yield pax means GLC and gomen travel warrants.

[flee 5]

KUALA LUMPUR, Feb 14 (Bernama) -- Malaysia Airlines (MAS) will strengthen it presence in the Asian region this year in order to further grow its business and revenue in the aviation sector.

 

Group Chief Executive Ahmad Jauhari Yahya said while MAS was located in the centre of the aviation industry's future growth hub, the airline remained cautiously optimistic of a challenging operating environment in years to come.

 

"Although increased demand will be driven by emerging markets, a host of low-cost carriers now offer value-for-money travel and increased competition, thereby putting pressure on yields of all airline players.

 

"In addition, rising fuel costs, demand shocks and seat over-capacity continue to bring challenges," he told Bernama.

 

Against this backdrop, Ahmad Jauhari said Malaysia Airlines continued to accelerate implementation of its business plan.

 

"Our corporate turnaround is premised on a recovery plan, implementing game-changers and building on its strong foundation to ensure sustainable profits for the future.

 

"Turnaround initiatives are focused on increasing revenue and yields through aggressive marketing and promotions, and better capacity management," he added.

 

Simultaneously, he said, the airline group was actively lowering its costs through improved cost management and driving productivity for better efficiencies system-wide.

 

"We have suspended our non-profit routes like Buenos Aires, Argentina, and replaced it by adding our frequency to our popular routes like China and Philippines.

 

"We have also expanded our direct flight destinations and to date, the Los Angeles route is the only destination in MAS that transits in Tokyo," Ahmad Jauhari said.

 

A key element in Malaysia Airlines' turnaround is a funding plan designed to strengthen its balance sheet, increase working capital and provide a solid funding platform for delivery of new, fuel efficient aircraft, he said.

 

The airline has embarked on a fleet renewal plan, so essential, to maintain its relevance in a competitive market.

 

"The more technologically efficient aircraft reduces the fuel bill (currently equivalent to 38 per cent monthly) and enables Malaysia Airlines to offer a heightened level of products and services to guests at better yields," he added.

 

The growth of the world aviation sector is expected to come from the Asian region in line with strong annual Gross Domestic Product growth prospects from the countries of South Asia, China and Asia Pacific between 2011 - 2030.

 

A reflection of the positive growth of the Asia Pacific market can be seen in the new aircraft orders.

The International Air Transport Association projected the outlook for 2013 to be moderately better than 2012.

 

It said economic growth and world trade growth is expected to increase at a slightly faster pace in 2013.

 

Air traffic volume in Asia Pacific is expected to see strong growth in 2013 as the cargo business recovers.

 

For MAS, its first A380 aircraft entered service in July 2012 marking the start of the airline's change, Ahmad Jauhari said.

 

"Customer response in all three classes (first, business and economy) to the 5-star product and service onboard the A380 service on the Kuala Lumpur-London route has been very encouraging," he said.

 

Average passenger load from July to October was 88 per cent with passengers commenting positively on the wider seats, quieter aircraft interior and overall more comfortable and enjoyable travel experience.

[Raymund Yeoh 1]

I want to see PEN - SIN sector resumed.....ain't that difficult to do it rite....

[Desmond Loo 0]

I want to see PEN - SIN sector resumed.....ain't that difficult to do it rite....

Agree with you. Basic flight from PEN-SIN and vv should be MAS's bread and butter stuff rather than having to transit up to 4 hours in KUL.

[Raymund Yeoh 1]

Agree with you. Basic flight from PEN-SIN and vv should be MAS's bread and butter stuff rather than having to transit up to 4 hours in KUL.

I wonder when this will happen.....ppl say this route is bleeding for MH which I disagree. Other ppl said MH do not have enought planes ?.....I wonder what was the actual reason of MH terminating this route back then

[flee 5]

SQ also abandoned this route and closed their PEN sales office. Now Silkair flies the route with smaller aircraft. So there may be some truth to the route being unprofitable.

[Mohd Azizul Ramli 2]

Related but not about PEN-SIN.

 

From the MH Rumour Department, regarding the suspension of the then 9 weekly KUL-SUB flight:

 

Surabaya being Indonesia's second largest city, highly industrialized, logically should be a good regional business route. CX serves SUB directly with a widebody aircraft from HKG.

 

I was told that the actual reason of the suspension of the route is a fraud done by the station head. The person basically ran away with millions from MH's coffer. And there is a legal oppression on the MH's side because the station head happens to be an offspring of a very high ranked government official (Director Jeneral something) in Indonesia.

 

A lot of my spies who are MH employees seem to be singing the same tune about this matter (Surabaya tutup sebab station head songlap duit), so there could be some truth to it.

[Izanee 0]

Malaysia, Indonesia, philippines, thailand all the same

[Mushrif A 3]

SQ also abandoned this route and closed their PEN sales office. Now Silkair flies the route with smaller aircraft. So there may be some truth to the route being unprofitable.

 

 

It so "unprofitable" that it is now a virtual monopoly by MI operating 4x daily and soon 5x daily.

[BC Tam 2]

SQ also abandoned this route and closed their PEN sales office. Now Silkair flies the route with smaller aircraft

I believe SQ quit cause they don't have the appropriately sized (smaller) aircraft, which MI does

MH had and still have MI-sized birds (some lying idle too mind you)

Hence unprofitabilityness of route for MH probably lies elsewhere

[Raymund Yeoh 1]

I believe SQ quit cause they don't have the appropriately sized (smaller) aircraft, which MI does

MH had and still have MI-sized birds (some lying idle too mind you)

Hence unprofitabilityness of route for MH probably lies elsewhere

 

Fully agree......even 3K & AK have several flights a day between PEN-SIN...so if it is unprofitable, then the LCCs will not continue...

For now everytime I travel to SIN for work its on MI and almost every time I fly MI, the flight is at least 80% full in Y class

 

Related but not about PEN-SIN.

 

From the MH Rumour Department, regarding the suspension of the then 9 weekly KUL-SUB flight:

 

Surabaya being Indonesia's second largest city, highly industrialized, logically should be a good regional business route. CX serves SUB directly with a widebody aircraft from HKG.

 

I was told that the actual reason of the suspension of the route is a fraud done by the station head. The person basically ran away with millions from MH's coffer. And there is a legal oppression on the MH's side because the station head happens to be an offspring of a very high ranked government official (Director Jeneral something) in Indonesia.

 

A lot of my spies who are MH employees seem to be singing the same tune about this matter (Surabaya tutup sebab station head songlap duit), so there could be some truth to it.

Wow...I wonder how the duit is songlap ?......

[Alif A. F. 0]

How pity of MH regarding the KUL- SUB route. They should screen the background of these people before appointing them as station managers next time. Embezzlement can be costly for companies if not unchecked.

 

SUB in a way is similar to PEN, CX is able to send in widebody daily to PEN. And how I miss those SQ B777.

[flee 5]

I believe SQ quit cause they don't have the appropriately sized (smaller) aircraft, which MI does

MH had and still have MI-sized birds (some lying idle too mind you)

Hence unprofitabilityness of route for MH probably lies elsewhere

Of course, we can only speculate. At the time it is the economics of the A319/320 vs the economics of the B734. Perhaps it is time for MH to revisit this route with B738s when more of these aircraft are delivered.

 

As for LCCs, AK has 3 daily flights and 3K has 2. It would appear that demand is not that strong for low cost carriers either.

 

For now everytime I travel to SIN for work its on MI and almost every time I fly MI, the flight is at least 80% full in Y class

Usually, the popular schedules for business travel (e.g. flights arriving in SIN between 8 to 10 am and flights leaving around 7 pm) have high loads. However, as we have seen discussed here many times, high loads does not mean high yields.

 

I think that if MH resume the route, they should have a minimum of two daily flights to be able to sustain the interest of travellers.

[BC Tam 2]

Does MH still codeshare on MI flights to/from PEN, KCH & BKI ?

If so, maybe easier to let others do the work and still have a piece of the action ?