MAS drops eight lossmaking routes

first_imgMalaysia Airlines drops eight routes Source = e-Travel Blackboard: S.P In an attempt to cut further losses Malaysia Airlines as part of its ‘route rationalisation exercise’ plans to withdraw eight loss-making routes beginning 06 January next year. The national carriers affected routes are Kuala Lumpur-Surabaya, Kuala Lumpur-Dubai, Kuala Lumpur-Karachi-Dubai, Kuala Lumpur-Dubai-Damman, Langkawi-Penang-Singapore, Kuala Lumpur- Johannesburg, Kuala Lumpur-Cape Town-Buenos Aires and Kuala Lumpur to Rome.Malaysia Airlines Group Chief Executive Officer Ahmad Jauhari Yahya said the eight routes account for almost 12 percent of passenger capacity and expects the withdrawal will improve loads, increase yields and have a profit impact of RM220 to RM302 million next year.“The above route rationalisation is expected to have minimal impact on Malaysia’s position as a top tourist destination in Asia as we will work with our code share partners,” Ahmad Jauhari said.   “Through our existing arrangements with them, we will continue to promote connectivity between Malaysia and key international destinations as well as contribute towards the overall efforts by the various authorities to increase tourist arrivals to Malaysia.”Mr Ahmad Jauhari added the carrier expects to return to these markets after the company’s financial status is stabilised.In a written statement, Malaysia Airlines said it regrets any inconvenience caused to its passengers and assured customers that it will honor all forward bookings ticketed to date on the affected routes.Malaysia Airlines claims the impact on its Cargo division will be minimal as the carrier continues to maintain its key cargo destinations in Australia, Europe, UK, Orient, Middle East, South Africa and the US.last_img

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