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Mohd Suhaimi Fariz

MAS Privatisation

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1 minute ago, flee said:

Yes, but the irony is that the aviation industry is not able to plan for short term events.

To do so may mean ending all non-stop long haul services. Just deploy 100-200 seat narrow bodies in the fleet and adapt them for short haul or medium haul flights. Long haul flights will need 1 or 2 stops for refuelling.

That is why this industry need more regulation. The impact of covid-19 will effect airlines until 2021 is anyone gonna help with that i think no. Governments are too scared to adjust demands vying for any entrepreneur folks to take things  their own way for a competitive market. Businesses are closing down, people lose jobs, folks arent getting refunded appropriately.

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12 minutes ago, jahur said:

That is why this industry need more regulation. The impact of covid-19 will effect airlines until 2021 is anyone gonna help with that i think no. Governments are too scared to adjust demands vying for any entrepreneur folks to take things  their own way for a competitive market. Businesses are closing down, people lose jobs, folks arent getting refunded appropriately.

I think Malaysia does badly need bankruptcy protection laws like Chapter 11 in the US. We already have Mavcom as an additional regulatory body and they were also not able to help in this Covid-19 crisis. The Malaysian aviation is pretty much acting on their own to try to navigate this worldwide pandemic.

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Malaysia Airlines staff told to take unpaid leave as Covid-19 outbreak strains financials

KUALA LUMPUR (March 12): Malaysia Airlines Bhd (MAS) is the latest airline to ask its 13,000 employees to take voluntary unpaid leave as the spread of coronavirus (Covid-19) takes a heavy toll on airlines' bottom line.

According to documents seen by theedgemarkets.com, the national carrier is offering all employees the option of taking three months no-pay leave or five days no-pay leave per month for at least three months, starting April. The voluntary unpaid leave programme is extended to employees employed by subsidiaries of Malaysia Aviation Group (MAG) such as MAB Kargo, MAB Engineering, Firefly and MASwings.

More: https://www.theedgemarkets.com/article/malaysia-airlines-asks-staff-take-three-months-unpaid-leave 

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On 3/9/2020 at 5:37 PM, flee said:

Malaysia Airlines' parent cuts 10 pct salary of senior management team

KUALA LUMPUR: Malaysia Airlines Bhd parent Malaysia Aviation Group (MAG) will cut 10 per cent of its senior management salary as well as reduce their allowances, effective from this month.

Group chief executive officer Captain Izham Ismail said the cost-cutting was to cope with the impact of the Covid-19 outbreak.

Full report: https://www.nst.com.my/business/2020/03/573123/malaysia-airlines-parent-cuts-10-pct-salary-senior-management-team

 

1 hour ago, flee said:

Malaysia Airlines staff told to take unpaid leave as Covid-19 outbreak strains financials

KUALA LUMPUR (March 12): Malaysia Airlines Bhd (MAS) is the latest airline to ask its 13,000 employees to take voluntary unpaid leave as the spread of coronavirus (Covid-19) takes a heavy toll on airlines' bottom line.

According to documents seen by theedgemarkets.com, the national carrier is offering all employees the option of taking three months no-pay leave or five days no-pay leave per month for at least three months, starting April. The voluntary unpaid leave programme is extended to employees employed by subsidiaries of Malaysia Aviation Group (MAG) such as MAB Kargo, MAB Engineering, Firefly and MASwings.

More: https://www.theedgemarkets.com/article/malaysia-airlines-asks-staff-take-three-months-unpaid-leave 

3 months no-pay leave or 5 days of no pay leave per month is more than 10% pay cut.

 

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2 hours ago, jahur said:

That is why this industry need more regulation. The impact of covid-19 will effect airlines until 2021 is anyone gonna help with that i think no. Governments are too scared to adjust demands vying for any entrepreneur folks to take things  their own way for a competitive market. Businesses are closing down, people lose jobs, folks arent getting refunded appropriately.

If professionals couldn't get it right, could gomen servants fare better? for years, mab and glc board of directors were filled with gomen servants. 

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41 minutes ago, KK Lee said:

If professionals couldn't get it right, could gomen servants fare better? for years, mab and glc board of directors were filled with gomen servants. 

This is not restricted to msia itself. Look at middle east plying to many spanking a380 with dirt rate fares on j that QF and SQ shrunk on the kangaroo routes. Nobody checks on that cause yea fares are cheaper. While rich countries get to play around with their airlines cause hey free market open skies no signs of regulation anywhere.

LCC launching so many frequencies aggressively then cop out when loads arent good. Tickets are not flexible anymore giving you credit transfers only  theres no hotline instead your chating with an ai bot or a staff who will just issue u nonstop of different case numbers to prolong your case until you forget to push them. Cant go to fsc cause they're also pressured by market share to go the lcc route for volume. No control what so ever

Cars as well. Brand new car with so called lower fuel emission that just breaks down after 2 years of usage due to ecs and transmission issue. 

Hotels going green now. Using non lasting  upholstery materials in rooms for the narrative that it helps the environment. Then dismantling the room for refurbishing the room way quickly isn't that more deadly to the environment.

Efficiency and quantity prioritized over quality seems to be motto nowadays. Cant help also that the younger generation are also dumb in their travelling methods and purchasing behaviour.

Edited by jahur

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people nowadays looking at how fast that thing can be deployed and fielded, they no longer looking at how long that thing will last. we are now into short life cycle and economical solution (as compared to long life cycle and pricey solution), an example, old CRT TV vs new LED TV.

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6 hours ago, jahur said:

This is not restricted to msia itself. Look at middle east plying to many spanking a380 with dirt rate fares on j that QF and SQ shrunk on the kangaroo routes. Nobody checks on that cause yea fares are cheaper. While rich countries get to play around with their airlines cause hey free market open skies no signs of regulation anywhere.

LCC launching so many frequencies aggressively then cop out when loads arent good. Tickets are not flexible anymore giving you credit transfers only  theres no hotline instead your chating with an ai bot or a staff who will just issue u nonstop of different case numbers to prolong your case until you forget to push them. Cant go to fsc cause they're also pressured by market share to go the lcc route for volume. No control what so ever

Cars as well. Brand new car with so called lower fuel emission that just breaks down after 2 years of usage due to ecs and transmission issue. 

Hotels going green now. Using non lasting  upholstery materials in rooms for the narrative that it helps the environment. Then dismantling the room for refurbishing the room way quickly isn't that more deadly to the environment.

Efficiency and quantity prioritized over quality seems to be motto nowadays. Cant help also that the younger generation are also dumb in their travelling methods and purchasing behaviour.

Like many business, some airlines accept lower profit margin/price, some insist higher profit margin/price; It is up to consumers to decide. I trust none of us wanted to pay KUL-BKI more than KUL-BKK before LCC existence.

From day one, LCC ticket is known to be restricted and expensive to change. I experienced a FSC charge more than return flights ticket for a sector date change.

In free market, one could ditch poor quality car and don't have to put up with almost always faulty automatic window.

Some hotels and most airbnb use cheap materials in the name of environment. But established hotels tend to choose higher quality and more long lasting products. However, there is a trend to reduce and remove single use plastic in hotel trade.

Many consumers forgo quality for cheaper price. Hence, cheaper products volume is higher than better quality and higher price products.

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42 minutes ago, KK Lee said:

Some hotels and most airbnb use cheap materials in the name of environment. But established hotels tend to choose higher quality and more long lasting products. However, there is a trend to reduce and remove single use plastic in hotel trade.

Many consumers forgo quality for cheaper price. Hence, cheaper products volume is higher than better quality and higher price products.

I was in shang ri la and jw marriott it aint luxury no more with the silly reduction in room quality. Its like whats happening to aircraft seats becoming thinner.

Consumers are sometimes very oblivious to whats going on behind the scenes or too caught up with the sjw social media fad. Android devices and iphones now costing RM4K but with only OS support for 2 years and yet masses would queue up to buy it. Benz and Bms that would break down on the highway cause of some electrical faults that their authorised technician could not solve heck even Jeremy Clarkson has complained about cars today. This fad has already creeped into hondas and toyotas.

 

Now even your average planes are designed poorly and is too digitalised. A350 no coffeezone in the flight deck because of oversized conputerised fms that is too digital, did they even think of making the entire central quadrant waterproof and now the A350 panels are touchscreen pretty sure those panel will breakdown more than the conventional ones.

 

Now with this little covid bug  scare hopefully all of these consumer behavior nonsense would be trimmed down.

 

Edited by jahur

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16 hours ago, KK Lee said:

If professionals couldn't get it right, could gomen servants fare better? for years, mab and glc board of directors were filled with gomen servants. 

Professionals are driven by greed.

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Looking at MH Board of Directors line up, they are very experienced and capable staff. However, one would wonder why they are unable to deliver the KPI set by Khazanah Nasional.

https://www.malaysiaairlines.com/my/en/about-us/leadership/board-of-directors.html

Actually what is wrong with Malaysia Airlines Group? AirAsia is one of the factors, but not the main factor tbh.

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22 minutes ago, JuliusWong said:

Looking at MH Board of Directors line up, they are very experienced and capable staff. However, one would wonder why they are unable to deliver the KPI set by Khazanah Nasional.

https://www.malaysiaairlines.com/my/en/about-us/leadership/board-of-directors.html

Actually what is wrong with Malaysia Airlines Group? AirAsia is one of the factors, but not the main factor tbh.

Most Malaysian GLCs are jaguh kampungs because they are afforded a great deal of protection against competition by the government in the Malaysian market. MAG is just not able to compete because aviation is an international business and competition is fierce. Government protection and subsidy is generally not acceptable under international trade agreements.

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15 hours ago, jahur said:

I was in shang ri la and jw marriott it aint luxury no more with the silly reduction in room quality. Its like whats happening to aircraft seats becoming thinner.

Consumers are sometimes very oblivious to whats going on behind the scenes or too caught up with the sjw social media fad. Android devices and iphones now costing RM4K but with only OS support for 2 years and yet masses would queue up to buy it. Benz and Bms that would break down on the highway cause of some electrical faults that their authorised technician could not solve heck even Jeremy Clarkson has complained about cars today. This fad has already creeped into hondas and toyotas.

 

Now even your average planes are designed poorly and is too digitalised. A350 no coffeezone in the flight deck because of oversized conputerised fms that is too digital, did they even think of making the entire central quadrant waterproof and now the A350 panels are touchscreen pretty sure those panel will breakdown more than the conventional ones.

 

Now with this little covid bug  scare hopefully all of these consumer behavior nonsense would be trimmed down.

 

For international chain hotel, they have specifications for everything e.g towels, bed sheet, mattress, etc. As I am not JW or Shangri-la regular, can't comment.

Due to competition from Tesla, Chinese, etc many innovation were pushed into production before thorough testing is completed. Hence, many problems occurred.

 

7 hours ago, Mohd Suhaimi Fariz said:

Professionals are driven by greed.

Capitalism is driven by greed.

 

3 hours ago, JuliusWong said:

Looking at MH Board of Directors line up, they are very experienced and capable staff. However, one would wonder why they are unable to deliver the KPI set by Khazanah Nasional.

https://www.malaysiaairlines.com/my/en/about-us/leadership/board-of-directors.html

Actually what is wrong with Malaysia Airlines Group? AirAsia is one of the factors, but not the main factor tbh.

Many GLC board members hardly speak or relevant, will support whatever the chairman proposed.

 

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Malaysia Airlines eases booking restrictions amid Covid-19 outbreak

KUALA LUMPUR (March 13): In response to the novel coronavirus (Covid-19) outbreak, airlines like Malaysia Airlines Bhd (MAS) are easing their booking restrictions by allowing passengers to change their flight dates and destinations with no penalty.

In a statement today, the national carrier is introducing an ultimate flexibility ticket change policy, which allows its passengers unlimited changes to the date of their flights at no extra cost.

"Passengers travelling on MAS with tickets issued before March 31 will be able to change their flight dates for free. They will also be able to make changes to their destination but any difference in fare will apply," said MAS.

More: https://www.theedgemarkets.com/article/malaysia-airlines-eases-booking-restrictions-amid-covid19-outbreak

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On 3/13/2020 at 2:35 PM, KK Lee said:

For international chain hotel, they have specifications for everything e.g towels, bed sheet, mattress, etc. As I am not JW or Shangri-la regular, can't comment.

Due to competition from Tesla, Chinese, etc many innovation were pushed into production before thorough testing is completed. Hence, many problems occurred.

 

 

10 years ago i could get a decent buffet. Nowadays selection is pretty much tuned down in quality even at JW Mumbai. Toiletries brands were downgraded etc, check over the hotelier forum and its confirm many luxury hotel chains have been cost cutting. While all of the quality downgrade is occurring the price per night did not go down. Whats worse you have third party booking app like Agoda and traveloka filling up the rooms at lower cost is also partially involve for driving the services towards the downtrend.

Edited by jahur

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I think the luxury hotel is now battling airbnb and cheap frills business hotel to fill up their rooms. Also as jahur has noted, in order to expand their distribution channel they have put their name up with booking.com, Agoda, hotel.com, etc to expand their reach rather than solely relying on their main website. In order to entice customers to book with them, they need to cut their price aggressively to clear their inventories. Those days when big MNCs will put their exec and CEO up in luxury properties are long gone. Also let's not forget video call, con call now eliminate unnecessary travel for meeting.

Let's get back on track with the topic.

 

Edited by JuliusWong

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Malaysia Airlines risks bankruptcy amid travel ban over Covid-19, says CFO

 

KUALA LUMPUR, March 16 — Malaysia Airlines Bhd said travel bans and plummeting demand around the world due to the Covid-19 pandemic have put the loss-making national carrier at risk of bankruptcy.

According to financial daily The Edge, Malaysia Aviation Group (MAG) group chief financial officer Boo Hui Yee reportedly told Malaysian Airlines' 13,000 staff that the national carrier was no different than many airlines globally now at risk.

“The situation has deteriorated rapidly over the weekend forcing stricter travel restrictions by governments around the world, hence posing greater challenges in our operations.

“Demand has plummeted and passengers are jamming our global contact centre and social media accounts to cancel bookings, putting us in a critical situation. Many airlines are now at the risk of going bankrupt and Malaysia Airlines is no different,” she was quoted saying.

More: https://www.malaymail.com/news/malaysia/2020/03/16/malaysia-airlines-risks-bankruptcy-amid-travel-ban-over-covid-19-says-cfo/1847012

 

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Aviation industry is in tailspin now. Only the fittest will survive. Even BA and QF which have record profit is now entering survival mode.......

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On 4/17/2020 at 11:34 AM, jani said:

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so keeping the A380 while the major operators are letting them go ?

wonder if the "skid marks" represent hesitation or even braking efforts from an intellectual 🤣

Livery wise, it's a good combo as gold goes well with dark or red. not too sure if coloring around the door edges will last as long ... or if wings are even allowed to be painted ? missing a marketing opportunity leaving those engine nacelles blank. Athough if coloring them black with gold wau, may just be too close of a reminder to petroleum oil ?

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One business model Khazanah could adopt to incubate MH replacement. Khazanah could sublease aircraft to this new airlines and subsidize RM100m, RM150m, RM250m, RM200m and RM100m in aircraft lease from year 1 to 5.  Investors to responsible for opex and the rest.

With this model, only competent and resourceful investors will undertake, and airlines could expand fairly rapidly with minimum capex. And Khazanah exposure is limited.

 

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