KUALA LUMPUR, 15 JULY: Malaysia Aviation Group Bhd (MAG) has announced a tender for the sale of its six Airbus A380-800 superjumbos through its wholly-owned subsidiary MAB Pesawat Sdn Bhd. Interested parties have until August 12 to submit offers, according to the procurement notice seen by The Edge.
Following the completion of its debt restructuring, MAG chief executive officer Captain Izham Ismail said in May that the national airline would retire the A380s.
“We recognize the difficulties in selling this plane, but we are still exploring for methods to get rid of our 380 fleet. The management is currently certain that the 380 does not fit into the long-term plan “According to Reuters, he said.
Izham had told a press conference that MAG is repositioning itself as a worldwide travel group and expanding beyond the airline market.
Izham also stated that MAG would begin receiving its Boeing 737 MAX airplane orders in 2024, spanning a three- to four-year period.
The planes were supposed to be delivered in July, but after the 737 MAX was grounded globally following two crashes, several airlines and lessors withdrew their orders for the plane.
MAG was claimed to have saved RM15 billion in liabilities and saved RM4.2 billion through network cuts and cost-cutting as part of its financial restructuring procedure.
According to Izham, the company will put the majority of an RM3.6 billion capital injection from its largest shareholder, Khazanah Nasional, towards the airline’s growth, including its digital operations, maintenance, repair, overhaul, and aircraft deliveries.
Malaysia Airlines’ capacity is expected to be around 63 percent of pre-crisis levels by the end of this year, with the company aiming to break even and become cash flow positive by 2023, according to the CEO./n
