Truth be told: Malaysia Airlines won’t be buying any aircraft…

Prime Minister Najib Razak announced the plan to buy additional planes for the country’s flag carrier during his visit to the White House, where he told US President Donald Trump that Malaysia Airlines would buy 25 Boeing 737 jets and eight 787 Dreamliners.

https://www.themalaysianinsight.com/s/15428/

22 September 2017

We only have firm order for 25 Boeing 737, Malaysia Airlines clarifies

September 22, 2017

Everything else, the airline says, is optional, adding that the options will allow it to have flexibility in deciding which aircraft to buy.
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KUALA LUMPUR: Malaysia Airlines has clarified that it has firm orders with Boeing Co for 25 Boeing 737 aircraft only.

Everything else, it said in a statement, was optional.

It also said funding for all aircraft were planned on a sale-and-operating leaseback or simple operational lease system.

There have been reports recently about Malaysia Airlines’ intention to purchase more aircraft, especially wide-bodied aircraft, and various numbers have been mentioned.

Prime Minister Najib Razak, during his Sept 12 meeting with US President Donald Trump, told him that Malaysia Airlines would buy 25 Boeing 737 jets and eight 787 Dreamliners. Najib said it would probably add another 25 737s in the near future – a deal that would be worth more than US$10 billion within five years.

Also, the National Union of Flight Attendants Malaysia recently criticised Malaysia Airlines’ plan to purchase additional passenger aircraft, saying it would lead to more financial problems for the company.

Malaysia Airlines explained: “In 2016, we made 25 firm orders for the 737-MAX8 aircraft and 25 options.”

The aircraft were ordered as replacements for existing planes, due for replacement beginning 2019.

In June 2017, the national carrier entered into a new agreement with Boeing to allow it to choose their new larger 737-MAX10 aircraft for 10 out of the previous firm order of 25 737-MAX8.

“With this agreement, Malaysia Airlines can decide to take either the MAX8 or MAX10. The MAX10 aircraft are expected to commence delivery in early 2021.”

It said the recent memorandum of understanding to potentially add eight of the widebody Boeing 787-9 Dreamliner aircraft to its fleet from Quarter 3 in 2019 was to add capacity to the airline’s widebody fleet and provide a high level of quality on its most lucrative routes.

http://www.freemalaysiatoday.com/category/nation/2017/09/22/we-only-have-firm-order-for-25-boeing-737-malaysia-airlines-clarifies/

21 September 2017

Nufam: 3,500 ex-MAS workers still waiting after 2 years

September 21, 2017

National Union of Flight Attendants Malaysia says these workers filed cases with the human resources ministry two years ago but have not been informed of outcome.
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SUBANG JAYA: The National Union of Flight Attendants Malaysia (Nufam) today questioned the delay by the human resources ministry to refer the cases of 3,500 Malaysia Airlines (MAS) workers who were laid-off, to the Industrial Court.

Nufam president Ismail Nasaruddin said the former MAS workers had filed their cases with the ministry over two years ago but there had been no progress.

“Some might think the matter has already been resolved with the airline.

“The minister has not even referred the case.

“We demand that the ministry speed up the referral process of these 3,500 cases as they have been waiting for far too long,” he said at a press conference here today.

On June 15, MAS announced it was laying off 6,000 of its workers as part of a restructuring programme. Out of that number, 3,500 came under the union.

Ismail said Nufam had already approached the ministry but there had been no response. The most recent correspondence was on Sept 6, when Nufam sent a letter to the deputy minister and secretary-general.

“So what is the status of these cases? This is justice delayed and denying workers their rights. This is why we are not happy,” he said.

http://www.freemalaysiatoday.com/category/nation/2017/09/21/nufam-3500-ex-mas-workers-still-waiting-after-2-years/

20 September 2017

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Malaysia Airlines CEO: We won’t be footing bill for 16 new Boeings

September 20, 2017

Peter Bellew says global lessors and lenders will finance the purchase of the aircraft and then lease the planes to Malaysia Airlines.

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KUALA LUMPUR: Malaysia Airlines Bhd (MAB) will not finance and own the 16 new Boeing aircraft it is buying.

Instead, The Malaysian Reserve reported, it would sign leasing arrangements with global lessors and lenders who would foot the bill for the planes.

The deal with Boeing was inked during Prime Minister Najib Razak’s visit to the US last week.

The report quoted MAB CEO Peter Bellew as saying large global leasing firms and lenders would purchase the aircraft and then lease the planes to MAB on an operating sale and leaseback agreement.

“These aircraft will not be owned by Malaysia Airlines, but are planned to be on operating leases, which is a norm in modern airlines,” he said in an internal memo dated Sept 15 which was seen by The Malaysian Reserve.
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In a lengthy and detailed memo to the airline’s 14,000 staff, Bellew said the recent purchase of the Boeing MAX and the 787-9 Dreamliners coincided with the end of the other lease agreements.

According to the report the first of the eight wide-bodied Boeing 787-9 Dreamliners, with a list price of US$2.5 billion (RM10.5 billion), was expected in the third quarter of 2019.

Bellew said the airline’s current 48 737-800 fleet would reach the end of the lease period from early 2019.

http://www.freemalaysiatoday.com/category/nation/2017/09/20/malaysia-airlines-ceo-we-wont-be-footing-bill-for-16-new-boeings/

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MAS will lease, not own, new Boeing aircraft, says CEO


GLOBAL lessors and lenders will pay for the national carrier’s 16 new Boeing aircraft, said Malaysia Airlines Bhd (MAS) CEO Peter Bellew.

The Malaysian Reserve reported today that Bellew said MAS would not own the aircraft, but would lease it from leasing firms and lenders as was “the norm”, in a September 15 internal memo it sighted.

The first delivery of the eightwide-body Boeing 787-9 Dreamliner, with a list price of US$2.5 billion (RM10.5 billion), is expected in the third quarter of 2019.

In the memo described as “lengthy and detailed” to the 14,000 MAS employees, Bellew said the deal coincided with the end of lease agreements for some of the airline’s aircraft, and the new orders would arrive in time to replace them

He said the 16 aircraft were part of a deal to buy 25 Boeing aircraft with an option for 25 more, which was inked last year.

“In all of this, I would like to reiterate that as of now, we have a firm order of 25 Boeing 737 aircraft with everything else being optional.

https://www.themalaysianinsight.com/s/15428/

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One Response to Truth be told: Malaysia Airlines won’t be buying any aircraft…

  1. Doris Looi says:

    M.b.from.1200.

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