News Column

REFILING: Beleaguered Malaysia Airlines announces radical restructuring plan

August 29, 2014

Malaysia Airlines System, which has been struggling in the wake of two recent disasters, on Friday announced far-reaching restructuring measures that include cutting some 6,000 staff and slashing of unprofitable long-haul routes.

Its main shareholder Khazanah Nasional announced earlier this month that the airline will be taken private.

In the first quarter of this year, its net loss widened to 443 million ringgit (about $140 million) against a net loss of 279 million ringgit in the same quarter last year.

To add to the airlines woes, it was hit by the twin tragedies of flights MH370 and MH17. MH370 disappeared from radar March 8 while en route to Beijing with 239 on board and until now no wreckage has been found despite a massive international search.

Four months later, MH17 was shot down over conflict-ridden eastern Ukraine on July 17, killing all 298 people on board.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: Japan Economic Newswire

Story Tools Facebook Linkedin Twitter RSS Feed Email Alerts & Newsletters