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Press Room

Malaysia Airlines Welcomes Publication of "Rebuilding a National Icon: The MAS Recovery Plan"

Kuala Lumpur, 29 August 2014 – The Board of Malaysia Airlines today welcomed the release by Khazanah Nasional Berhad (“Khazanah”), its majority shareholder, of "Rebuilding a National Icon: The MAS Recovery Plan” – a plan to facilitate the airline’s achievement of sustained profitability and competitiveness. It also acknowledged receipt of a letter from Khazanah relating to Khazanah’s planned investment in MAS to facilitate its delisting from the main market of Bursa Malaysia and restructuring, and the terms of such funding.

At its last Annual General meeting on 25th June, Chairman of MAS, Tan Sri Md Nor Yusof, and Managing Director and Group Chief Executive Officer, Ahmad Jauhari Yahya, made clear that even before the disappearance of MH370, radical change was already firmly on the Board’s agenda. The urgency for change, evident through our continued poor performance, was also accelerated by the loss of MH17.

The publication of the Recovery Plan follows the formal request by Khazanah to the MAS Board of Directors to undertake a Selective Capital Reduction (“SCR”) exercise made on 8th August 2014. The SCR will be put to shareholders’ vote at an Extraordinary General Meeting to be convened in due course.

In parallel, MAS’ senior leaders have been engaging with almost 2,500 staff at multiple locations across the Group, to hear their views and concerns resulting from plans to take the Company private and restructure. 

We, together with representatives of the employees’ unions, met this morning with Khazanah. We will continue this process of engagement with all parties including directly with employees and with representatives of the employees’ unions.

In the meantime, there will be no disruption to our current service. We will continue to fly, honour existing reservations, and plan future travel. The announcement on 8th August and today’s Plan will have no impact on the current fares we offer our customers and corporate accounts nor our membership in the oneworld alliance.

We are an award winning airline– including having won World’s Best Cabin Crew numerous times.   It is our duty and honour to serve and we will continue to do so with pride and care.

In his foreword to the Recovery Plan, the Prime Minister called on Malaysia Airlines, all those who work with Malaysia’s national carrier and all Malaysians to play their part in ensuring today’s Plan becomes an enduring success.  We look forward to playing our role and being a part of this effort to ensure that Malaysia Airlines becomes a profitable and sustainable national carrier of which all Malaysians can be truly proud.

Rebuilding a National Icon-The MAS Recovery Plan