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Sakmongkol ak 47

Friday, 12 August 2011

MAS, AirAsia and the Dealmaker

The issue is this. MAS is a nationally owned asset. Any changes as to the nature of it ownership must be done with all the indicators that the changes were done in a very transparent manner. Otherwise, it shows the government doesn’t know how to manage and handle assets belonging to the country. Otherwise it also goes to show, those people you trust to handle public asset can do whatever they want without giving proper and due consideration to non-commercial objectives. It’s a public asset not a private one.

So, you want AA to transfer his managing talent to MAS. You want to subject MAS to the TF touch, stroke or fondling or whatever. Or you actually want to put MAS under the knife of Surgeon General, TF. We have had SG in the persons of Tajudin Ramli, MOhd Noor YUsof the man credited with implementing the slash and burn job at MAS the first time around and now back with MAS a second time around( apa, first time wasn’t good enough eh?, premature ejaculation ka? ), Jala, T Azmil. All didn’t do justice with their appointments.

Yes, but none have the savvy and skills like dear TF. We want those special skills and because we want that, no, we must have them, we have to pay. So, why do it through share swap NOW? Ask him to do the job first and reward him later. Otherwise people will ask how come you give Jala and Tengku Azmil MAS shares AFTER they do some job not BEFORE. Why with TF, you are giving him BEFORE?  Where are the results of his management on MAS?  He hasn’t done anything yet.

So, it raises the suspicions that you people in Khazanah, TF and people from CIMB acting as the common advisor (which is dubious in itself), huddle up together in some watering hole somewhere, and ‘pakat pakat ’ let’s do a sting.
But then I remember, this has always been the modus operandi of the government. Perimekar for example, the notorious service provider, was paid over RM 500 million for support services. They were paid BEFORE completing their support services.

Another thing; Now, I never said, the sole purpose of Khazanah is to oversee the implementation of policies favoring ONLY bumi interests. I did say however, chief among the social and political adjustment policies are those concerning wealth adjustments for Bumiputeras. Meaning the money KHazanah has, can be put to several uses and not ONLY one. If one reader now wishes to dispute that observation, by patronizingly insisting that Khazanah carries out race blind policies, insisting that the application of Khazanah money is for ALL, angry at me for pointing out some connection with pro bumi policies, that is his liberty. It goes to show that reader is willing to dismiss the social and political realities and care only about winning ‘on paper’ arguments. But don’t worry man- yours is a typical response from a shocked officious person, discovering people under your care, can actually talk and write back! Me excuse you, master!

So that, being a collectively owned asset, placed under trust at Khazanah, all the proper care must be taken to avoid its handling as being free from manipulations or even impropriety. In this case, its sudden announcement with the usual cloak and dagger prior teasers,  does raise so many concerns; just weeks ago TF was announcing to the world he’s moving AA office to Jakarta, then a few days later, came the announcement of a share swap. What is the purpose?

The purpose, the real one we are told is to inject some entrepreneurialism into the management of MAS. Right now, the advisers and the largest shareholder see no one other than TF of Air Asia. MAS must be saved even if it will eventually lead to the execution of that rising competitor to AA- firefly.
Where is the sense of pride of the government people to show it can compete on commercial terms with AA such as empowering and supporting and allowing Firefly for example to operate under the same and similar regime by which AA was given or demanded for? Find a worthy opponent of TF and let him build up Firefly and make AA run for its money.

The deal offers (at the moment), no advantage to minority shareholders. Khazanah being largest shareholders of both MAS and Tune Air is flexing its muscle disregarding the smaller holders. In certain countries this is deemed illegal due to anti-trust laws; but it’s all ignored here in the name of making sustainable profits for Khazanah.
What does the deal look like? It looks like a deal for Khazanah to “fund” TF to buy MAS’s stake with his 26.5% stake in TA, with which he is now leveraging to buy up to 20% stake in MAS. So shares in a sendirian berhad can now be accepted as a leveraging tool. Only Khazanah can make that happen. If its capital injection that MAS wants, where is the money?

Remember Tajudin Ramli? Having TF to “run” MAS is like Tajudin Ramli Part 2. The main character has changed though. Tajudin Ramli, single handedly destroyed MAS. So what assurance that such history will not repeat by itself.
Now, one wonders, why would one swap share of a profitable company with a loss making entity? So TF must be thinking that he has a magic wand that can transform MAS overnight.   AA is operating with huge debt, with 210.6 times over its equity. Its liabilities stood 71 times against its assets, thanks to all the deferred payments it accrued such as owing to MAB. Would TF be leveraging AA’s huge debt of RM6.6 bil into MAS later? If that happen, then it is magic!

Further AA has committed itself to about RM55 bil from all the aircraft ordered. Such a huge financial burden over the next 10 to 15 years would place extreme pressure to achieve greater number to the bottom line. So this share swap then could be just the scheme to mitigate the situation, i.e. sharing of burden with MAS. After all the Government would not let MAS die at whatever costs. TF is hedging AA’s future already with our property.
This whole idea to streamline the business stinks; MAS on premium market and AA on low cost flight. But the deal is only great for AA it is a raw deal for MAS.
Should MAS from now on focus on the premium segment, it would be doing so in a, “shrinking pie”. The low cost carrier market is the one where the growth is significant and any restrictions or disbanding of Firefly could mean a loss of current and future income to MAS. Further MAS would no longer able to offer “Everyday low price" campaign as this would directly compete with AA. TF made a big fuss about this matter when it was launched some time ago.

Further this strategy would be against the world trend. Most major airlines own a low cost operation simply because it is the growth segment. Here, the Khazanah Mafia and the common adviser are advocating MAS throw away a possible goose that lays golden eggs. Chilaka!
Where are the main problems with MAS? Looking as its data, MAS problem lies in the COGS. With over RM12.0 bil in revenue, COGS stood at RM13.2 bil, this is not a new problem nor unique in the airline industry, certainly not to MAS. With improvement in ASK, improving fuel cost and new fleets (less dependent on aircraft leasing) MAS is poised to a greener pasture. MAS has experienced this before.
Further in this regard, TF would probably not be the best guy. MAS should learn from other big carrier such as Singapore Airline, KLM, and Emirates

Are we incapacitating MAS? Perhaps, MAS being competitive and back on recovery track would post a damaging threat to AA especially in the domestic market where Fire Fly operates from both Skypark (Subang) and KLIA. This could be the motivation for TF to be in MAS so as to “control” its growth. We all know over the year how TF has played MAS, first with the Sabah & Sarawak routes, then the Singapore routes. This could be another game that could finally check mate MAS
Of course at the moment MAS balance sheet is shitty. Beside cost improvement which is clearly the effort by the accountant led MAS boss, there are pertinent assets in MAS that are experiencing encouraging growth such as MAS engineering which is amongst the best and competitive aircraft maintenance outfit. And it IS making money. Firefly too is within this bracket. With all the financial wizards and brilliant accountants in MAS, surely they can come out with a leveraging blueprint. Of course Khazanah and CIMB have to be in it. Count me in, count me in!

Now, I have a final misgiving. With due respects to CIMB, how come CIMB is the adviser for both? It’s unethical? Bank of America owns Merril Lynch. Yet it does the ethical and proper thing not to appoint Merril Lynch as its advisors. 
CIMB has a blotted track record as advisor. Remember Synergy Drive? No more drive? (Now back to Sime Darby) = loss making never before experienced by Malaysian corporate. What was the advice given to Telekom Malaysia by CIMB? The advice was against the world trend (most telcos merge/take over cellular entities). But its advice was to have TM part company of its money making machine in the form of its mobile businesses to Axiata. What happened to TM?  It has never recovered financially. Indeed its now saddled with RM700 cash dividend yearly.

MAS? Throw out that Firefly pest. Its bothering the ears.


Anonymous,  12 August 2011 at 09:19  

Government must tell us the truth.Why is it so urgent to do this AA/MAS deal?Khazanah actually did a share swop when MAS is at historical low & Air Asia at historical high.Simply put TF gets 40 % discounts on asset i.e more MAS shares in return for less AA shares.

Thus it must have been crucial that TF is brought on board urgently..but whats the event that creates that urgency?And how does Wan Azmi fit into the whole scenario?And why the sudden amnesty for Tajuddin?

Was an exposure in the offing n needs to be curtailed?

Anyway..nothing going to stop us from being suckers unless we change BN govt.Then we can do a full forensic on MAS i.e Wats the cost of WAU?How much Jala lost on his oil hedge?Why its so urgent to bring TF in?Wats Jala's golden handshake compensation when he left MAS?

Tengku Azmil could have done more.

Anonymous,  12 August 2011 at 09:20  


really good ammo.

this time you piss direct on those heads.

now they know not to mess around with people money.

go for the kill dato sak, let them have it.

Anonymous,  12 August 2011 at 09:21  

rantings of an old mad man. what wud u suggest? arif sabri or ass runs Khazanah, ha ha ha. poorah!!!

Anonymous,  12 August 2011 at 09:43  


Wasn’t there a precedent to this;

‘The issue is this. MAS is a nationally owned asset. Any changes as to the nature of it ownership must be done with all the indicators that the changes were done in a very transparent manner. Otherwise, it shows the government doesn’t know how to manage and handle assets belonging to the country. Otherwise it also goes to show, those people you trust to handle public asset can do whatever they want without giving proper and due consideration to non-commercial objectives. It’s a public asset not a private one.’

U do remember Tajudin Ramli, who has just been given a HariRaya windfall by rosmanjib, in the form of out of court settlement for his past MAS fiasco. Past credits recall? Or indirect umno erection fund (what's RM500M from RM10B) for GE13 for dropping all charges?

What about Diam’s role then?

It’s pathetic that it’s MAS (easy kill, due to its unspoken ‘native‘ syok-sendiri sentiment?) again.

Then one realizes that these bunch of goons r born uncreative. No class. Can’t think out of the box.

Same blunt methodology uses many times over to kill the same golden-egg exhausted goose. Perhaps, they never learn anything from Bank Bumiputra. They don’t care, just re-use the same scheme. After all sugar-daddy is always there.

Talk about maruah! Perhaps it’s better to frame this word for show, rather than keep recycle it, till it just remains a WORD without any meaning. Sad!

Some people mentioned that even thief must have honour & to some extend the victims must also be blamed. Smart thief, gullible victims - fair & this is how nature works. Once cheated, ok smart u. Cheated twice, with the same method, then I should be shot.

Was it the case? Who’s to blame? Stupid perpetrators with docile victims?

I say LOOK at the overall system man. U guy has it good for so long that all it takes is to shout Alif Ba Ta, many of u will willing defense the manipulators to the death, even deep down u know u r in the wrong!

Some might say that I’m doing a racial rant here. But then truth to be told, isn’t 90% of the bolihland fiasco is racial in nature?

Who allows that to be generated in the 1st place?

The water-walking mamak’s umno baru – that’s the answer.

This is just a simple write-up to yr 1st rant. More will come with Jalanomic & TF’s plays.

Anonymous,  12 August 2011 at 10:02  


By this;

‘Now, I never said, the sole purpose of Khazanah is to oversee the implementation of policies favoring ONLY bumi interests. I did say however, chief among the social and political adjustment policies are those concerning wealth adjustments for Bumiputeras. Meaning the money KHazanah has, can be put to several uses and not ONLY one. If one reader now wishes to dispute that observation, by patronizingly insisting that Khazanah carries out race blind policies, insisting that the application of Khazanah money is for ALL, angry at me for pointing out some connection with pro bumi policies, that is his liberty. It goes to show that reader is willing to dismiss the social and political realities and care only about winning ‘on paper’ arguments. But don’t worry man- yours is a typical response from a shocked officious person, discovering people under your care, can actually talk and write back! Me excuse you, master!’

U most properly mean ME. For ease of recognition, do call me FireFly.

Good, let’s have some decent intellectual discourses. Hopefully we all learn something. I’ll response slowly bcoz of memory recalls, facts researches & other work commitments.

BTW, decent means no ad hominem argument & name calling.

In this regards, I’ve MORE faith in u than that self declared judge of the goon. He is a master of do-what-I-say-&-don’t-do-what-I-do. Better(?) still, after losing arguments he uses comment deletion & calling me racist. I suppose he learn this from the choirboys of deminegara.

Well-trained, I would say.


Anonymous,  12 August 2011 at 10:29  

Just got a call from a insider & must write this b4 I forget!

‘there are pertinent assets in MAS that are experiencing encouraging growth such as MAS engineering which is amongst the best and competitive aircraft maintenance outfit. And it IS making money.’

Yes, currently MAS engineering is amongst the best BUT not competitive enough.

Did u know that most (80%) of the on-the-floor maintenant crew is expat? The other 20% r just junior tool handlers – yes, just passing tools. Those expats r not cheap too, earning >RM10k a month basic. Saddly most of the localsengineering managers r sitting in the aircon office, not willing to be a greasy donkey no more. Perhaps, they like to handle part sourcing via the local agent?

In short those expats r the one that keep MAS engineering’s reputation. But at a cost.

Any wonder, why AA outsources the aircraft maintenance services to SIA? Also do recall the incidence with Qantas plane. IFF those aircon sitting mules did their job, MAS engineering would still have a service contract with Qantas that runs into millions. I suppose they don’t understand the business practice of cheaper to keep an existing client than recruiting a new one. moreover with a ‘tainted’ incident within a niche industry!


OneMalaysian,  12 August 2011 at 10:59  

Dear Sakmongkol

“It’s a public asset not a private one”.

That’s the bone of contention. Khazanah should have been much more forthcoming, and Tony, too. MAS and AA are public listed companies. The investing public has the right to know how this tie up would affect their investment. And Malaysians in general, investor or not, have a right to know how the government manages a public asset.

How would I sum up this deal? I think it is a clear case of capitulation by MAS or more rightly Khazanah. They threw in the towel; they raised the white flag. By doing this share exchange, they are saying in unmistakable terms that MAS can no longer make decent money as they are now set up, and they cannot compete with AA in the long term, both in low cost (pitting the little Firefly against AA) and also in long haul against AA-X. So, as the saying goes, if you can’t beat them, join them. That’s what Khazanah is doing – swallowing its pride to do the right thing.

In doing so, Khazanah is also signaling that it is fed up with the MAS bunch. The long string of non-achievers not only lost MAS (and the government) billions, it has allowed market opportunities to slip by. How could AA ever have gotten off the ground if the MAS boys were up to scratch? This is what happens when the social engineering agenda takes on greater significance than commercial considerations. Ideally, and if it were possible, we want to do both – make decent money and also achieve socio-economic goals. But if they are mutually exclusive, you have a tough choice to make. Well, the government stubbornly stuck to one, got nowhere in performance, and had allowed one ex-CEO to steal billions. Surely, it is time to relook policies that don’t work. This MAS-AA deal is a step in that direction, not a complete change, but a tiny experimental step. It might, or it might not work.

What might we realistically expect to see? First, the little Firefly will be swatted out of the sky. It has no more rationale to exist to compete with AA. Maybe they will simply assign it to fly the remote (but essential) routes in Sabah and Sarawak. AA will simply become the low-cost arm that MAS never had. It will get the international routes that MAS had objected to earlier. So Khazanah will now own a low-cost airline, albeit a 10% share. But it can buy more shares in the market if it really loves AA.

The changes that TF wants to see made in MAS are harder to realize simply because MAS was never set up as a pure commercial enterprise. It had a social engineering veneer laid on top of it. While SIA and Cathay Pacific each have 13,000 staff, MAS still has (after chopping 6000 by Idris Jala) 18,000. All 3 have about the same number of aircraft. Besides having a bloated workforce (meaning much inefficiency), other costs in MAS are also higher because the whole purchasing system has been rigged to produce lots of commissions to middlemen. This is generally true in all government procurements. Lastly, by allowing its recruitment policy to play second fiddle to its social engineering objectives, the government has simply shot itself in the foot. It cannot run against a first class field that has 2 good feet.

TF can do little about all this. He won’t even be the CEO, just a director offering advice. There will be much stonewalling and hair-pulling; good advice will just be water off a duck’s back. If Khazanah is smart it will over the next 5 years buy more AA shares in the market. It can then control both MAS and AA. However, if TF leaves, they might be left holding 2 unprofitable airlines because in no time AA would be infected with the same MAS under-performing culture.

Anonymous,  12 August 2011 at 11:13  

saya dan keluarga saya adalah orang umno,ayah saya dan keluarga juga orang umno,bapa mertua dan keluarga pun orang umno.
dah kira2 8 kali pilihanraya kami undi umno/bn secara kolektif nya

but i think this is too much for us to swallow

setia dan sayang mesti ada had dan batasnya!

Anonymous,  12 August 2011 at 12:55  

Mana ibrahim perkasa ni. Tulong tengok dan siasat jgn jadi ayam betina dalam hal ni.
Jangan hanya isu bersih dan isu kawan serumahnya dijalan kovil hilir off jln ipoh saja yang dia bising. Kwn masa bujang dulu ialah anwar,ibrahim Dan halim mereka pernah tinggal Bersama.
Saya nak tunggu brahim comment dalam isu kawan Mas ni

bruno,  12 August 2011 at 13:21  

Dato,in any enterprise,small and big,transparency and good management is the most important.A company with good management will have employees in higher morale,more hardworking and better productivity.But all along these GLC's are run by political cronies,who treated them as their private property.Then they put their own cronies there and pay them high salaries.

This share swap by MAS with AA makes no sense.Is it a bailout for MAS.If so why does MAS need a bailout from AA.Umno GOM has truckloads of ringgit in 1,000 ringgit bills ready to dispatch to MAS,just at a phone call's notice.A bailout of share swap will not inject any real cash into MAS or AA if it is the one requiring a bailout.

If it is management talent MAS is looking for,don't tell us they cannot find any good managers in the open market.Must be a joke.What about the very brainy chap who made a name in Singapore.He has retired but I am sure he will come out of retirement in the call of national service.If in need of talent one don't crawl to your competitors on all fours and beg.Tak malu ka.Muka pun tiada lah.Buat bang Jibby malu sahaja.

This scheme smells a rat.When TF took over AA somethings doesn't seem right.Why should Umno GOM give the airlines to him for 1 ringgit,even if it is a losing concern.Is he actually a front for some Umnoputras.Is he another VT/Mahathir act2.From driving an old Benz in the seventies look at VT now.A billionaire.If no Umnoputras are behind TF how can he get the financing and at such low interest rates.What collateral has he.A 1 ringgit losing airline concern.

Bailout for either airlines.Cannot be because of no actual cash infusion.Midas touch talent.Plentiful in the open market.No need to go far.SIA has plentiful of talent.So what is actually these guys are up to.CIMB is involved,something smells fishy.Don't tell us that Jibby has a hand here too.

bruno,  12 August 2011 at 13:21  

Is these share swap to sweep the
Tajudin court cases under the carpet.No way.The AG is at Umnoputras disposal and can flex his muscles anytime too.An out of court settlement has already been announced.Tajudin is off scott free.Nobody wants to offend the doctor.

AA has placed an order for 200 aircrafts for future delivery.How on earth are they going to filled these planes.Where is AA going to find so much traffic.No sane country is going to offer their profitable routes to them.So in the end these planes will have to fly mainly in Malaysian skys.Maybe then to fully utilised all the planes maybe 50 passengers per plane,or else they will all turned into white elephants.

Low interest rates or not,
eventually their high borrowings are going to sink them.Maybe that is why TF's backers are opening a new route for fleeing a sinking ship.They are hedging their bets.
If they failed then the state has to bailed them out.This is the best bet.After this the state will have no choice but to merge the two

rance,  12 August 2011 at 13:32  

Dear Dato'Sak, My thoughts- This share swap is part 1,of d series.Gov wants to test the ground n at the same time c if Tony has d midas touch. I think initially he will be an asset to MAS(later a liability) Look at how Bursa reacted to AA shares. Part 2,there will be a real merger.Tony will head the show with 1Malaysia logo on his cap.We have our very own Sir Richard Bronson. Selamat berbuka puasa Dato'

nick 12 August 2011 at 15:33  


Can you honestly say that since 3 decades ago, the wealth and riches of this nation was placed in the hands of good, honest and law abiding citizen... err.. politician.. err..cronies? Since the privatization of national assets was implemented, nearly all of the public's property, assets and "goldmine" was given to people who doesn't deserve it let alone able to manage it properly!

Let's us all remember BERNAS (it used to be LPN), PLUS (we had a very efficient and low cost operator of highway back then named Lembaga Lebuhraya Malaysia), TNB (LLN was fairly well managed since it was a state run company, what do we expect?), the various state JBA (before it was given to private people as cash cow) and the ever so popular MAS (before it was sold to Tajudin Ramli, who I believe was owner of a mobile phone company and that raises the question why did GOM sell it to him in the first place??).

So, in essence all of these misappropriation, mismanagement, swindle, abuse, siphoning and "acquire then bleed dry and shoved it back to GOM so that the public will be stuck with all the debt" HAS always been how this UMNO run government treat the wealth and riches of this nation.

To UMNO and it's leaders, being the government of the day meant that they own this country. And by virtue of having that power it also mean that that are free to loot, misappropriate and bleed the treasury.That was what TDM and his "inner circle" did and that is what Najib is doing as well.

So Dato', please tell me that you know the moral of the story. Or should every Malaysian who agrees with your analysis of this episode use the ballot box to articulate it? I would prefer that you spell it out loud for those non-analytical UMNO members and then tell them to use the ballot box wisely using their brain and conscience (and stop looking at the RM50 bill as if it will last them 5 years and kissing the hand of the people who gave it to them (for being a "dermawan and hartawan")!


GOD bless.

Anonymous,  12 August 2011 at 15:54  


Here is a story that I just received. Apparently it’s from someone close to someone close to the deal table. Need to double confirm with alternative source. Maybe, the horse’s mouth IFF I can get him to talk. Still tune.

Anyway here’s the story.

MAS is breeding. & running fast out of cash. This has impact on her financial standing, especially with the ordering of the new Boeing. & on top of that 2015 Asean open air policy is a sword that will finally nailed MAS to her final demise if nothing quick happened to her now.

Some time back, a smartaleck (?) in Khazanah thought that the best & quick cure for MAS current ill is to get back all the landing rights & run them under the MAS umbrella with some lessons from AA's model.

This will imply taking over AA’s currently routes & business too. The M’sian govt has that right & AA can’t do nothing about it.

This get TF jumpy & his 1st reaction is to move operation to Jakarta.

AA already has a JV in Indonesia & that operation is projected to be more lucrative than AA M’sia in a very near future ss Indonesia has a much bigger economic growth potential down the timeline. Moreover, the Indonesia authority is more ‘compassionate’ than the M’sia as her govt is relatively more open to foreign business investment. AA is an investment that the Indonesian govt would love to get.

TF’s threat checkmates Khazanah’s initial idea. In come the forex gambler to try sort things out.

After a few quick (at light speed) rounds of negotiation, the Comprehensive Collaboration Framework is formed.

Khazanah gets a piece of AA, to guarantee the future profit, while TF gets MAS & a board sitting to prevent another smartaleck idea to jettison AA’s business plan.

Meanwhile AA stay put in KL. All holdings r done with share swaps, so as not to disturb the current cash holdings of both companies.

However, the catch is in that 5yr renewable B&W contract. There should be more interesting reads IFF it ever surface for public viewing.

Looks like FireFly is the sacrificed lamb to pacify TF too. Without FireFly’s constant threat in market competition & also route distribution, AA is safe for now.

Dato, can put in some words for me (;-;) to take over FireFly? Maybe both of us can work magic & give AA another round of challenge, that’s provided yr ‘cable’ is big enough to move mountain. Know what I mean?


Quiet Despair,  12 August 2011 at 17:08  

Ada kerja, ada gaji. But for TF, belum kerja, bayar gaji.
All systems go, man, for this deal said to be a win-win situation.
Deal-maker for both companies also bolehlah. They are the CHOSEN ones. They know Big Brother.
Even Anu-War's best pal, Wan Azmi, also in the board.
Only we are caught unaware, bro, Sak of this offing. It must have been thought of for quite some time.
It seems Kalimullah, one of the benefactors, have met Najib when he was in London. Kali the Pathan, like Munir's, home base is London.
And when are they throwing out Abdullah Badawi as Advisor.
If KJ is made MD, it's a cabal ya of Badawi with brother Ibrahim the airline caterer.
Time to put Mahathir as adviser so he can jaw-jaw with TF. If KJ is on board, wow fireworks.
Fireflies bothering your ears Sak?
They have to keep it, I guess. Or they want Air Asia to monpolise that route?
Pitylah the pilotspun semua pilot MAS yang dah pencen.
Hey firelines can illuminate the dark night. In the US they flock to Boone Georgia. to see it. Here turists go to Kuala selangor.
Yes, Sak, MAS is our national asset. And I understand why you and many Malays are against the deal.
The Malay Chamber of Commerce too are unhappy with the deal, fearing that it will be sold to foreigners.

Anonymous,  12 August 2011 at 18:20  


Adakah kes MAS-Air Asia,arahan kerajaan untuk gugur semua tuduhan terhadap Tajuddin Ramli serta munculnya Daim Zainuddin dekat PRU ke-13 ini mempunyai perkaitan misteri atau ianya satu konspirasi?

Berapa billionkah gomen untung daripadanya?

ahli nujum

Anonymous,  12 August 2011 at 19:52  

Dato Sak,
this deal stinks like all the rest, yet the movers deal with impunity, no shame in their faces. I will not put my money in either AA or MAS, there are other better and more transparent companies that will give me more returns. Why agonise over what is already lost, and lost again. The govt is telling its rakyat, there is no talent save for the band of mercenaries to call upon, open your doors invite the marauders and thieves in, to rape, pillage, burn and destroy, before converging on the next target.
QD, do you see where the country is being led? Have you woken up?

bruno,  12 August 2011 at 22:34  

Dato,why I said on my previous comments that MAS is a better bet than AA is the better potential for MAS than AA.Then the MAS namebrand is better known than AA,which is a low cost carrier.
Common sense tells us that eventually these two will have to merge.Looking at the number of planes they both have and with future deliveries these two will be having white elephants on the tarmac.

Why I said MAS is a better bet.We know the problems of MAS.The problem with MAS is the same problems with other GLCs.Once in a while there is always news of a GLC losing billions here and there.
Because GLCs are filled with political cronies.And political cronies are placed there to raid the cookie jar.So the problem is with all the GLCs and not MAS alone.

MAS should be run as a commercial enterprise and not as a parking spot for political cronies.A total revamp of management.Then the overseas staff needs to be trimmed too.There is a lot of wastage of funds that MAS can save with a professional team.Local and overseas.

Local is management,kickbacks and the overbloated workforce.Overseas
the staff send over there should be the GM and a few experienced assistants.The rest should be recruited there locally.Now it is like a holiday camp over there.
Staff send over there are better paid and provided with housing allowance etc.

Just look at MAS in New York.MAS's
intention was to land in NY.So they have an office in expensive Manhattan.Eventually MAS has to settled for Newark in NJ.But they still maintained the office in Manhattan.The senior management is all concentrated there.If you go and collect your ticket there,five to ten staff can serve you.They are either talking or hitting mosquitoes.

bruno,  12 August 2011 at 22:34  

And they only have three flights coming in a week.SIA have flights coming in every day to NY and they are always full.Six or seven years ago the MAS people over here were saying that they were going to closed shop and go home,maybe they have gone home already.

If MAS had good management it can be on the road to recovery very soon.On mismanagement and kickbacks alone MAS can save tons of money every month.People kept on clamouring that AA has better management and is a profitable concern.Who are actually the strong hands behind AA and what they are up to nobody knows.But one thing is for sure.The markets know something that the public doesn't.

awang batuburok,  12 August 2011 at 23:02  

salam Dato SAK,

selepas membaca artikel Dato, saya lihat kes AA dan MAS ni sama macam babak dua penyamun dalam filem Nujum Pak Belalang!

satu untuk engkau, satu untuk aku,
dua untuk aku, dua untuk engkau,
begitu lah seterusnya....sehingga
negara ini jadi muflis (jangkaan DS Idris Jala menjelang 2019)!

Anonymous,  13 August 2011 at 00:38  

This deal invokes so many emotions and reactions from the public.Truth be told that after the dust has settled, there will be many benefits for both MAS and AA. MAS is back to their pre VSS staff strength and there is no leadership at all. All the top management must be sacked for allowing MAS to come to this stage.Wait for the second quarter results....then you will know.

Anonymous,  13 August 2011 at 04:01  

Tony godfather Mr Ananda of tune Air owner also having blue jet Gf rented to Petronas since Pm Mr Mahathir,all the invoice to Petronas using Tune Air Letter Head.
What I worry now one day Mas 100%belong to mr Ananda using Mr Tony in Business and present politics anything can happen.
Save Malaysia
pls thing wahai rakyat Malaysia jgn hanya cakap bumi Malaysia bumiputra yang punya,dalam Mas dan nak perbetulkan Capt Nik pun boleh uruskan cuma tak diberi peluang saja.
Fikir -fikir kan lah

greenbottle,  13 August 2011 at 06:00  

wtf TF?
i'm a simple man. it's beyond me to challenge or change anything . but i say this.

Any airlines core value is to get people to fly their airlines. AA do it best by having cheap fares and damn beautiful (although unsmiling and stupid looking ) stewardesses.

MAS? this airlines can't even get people to board the flight systematically. English spoken by the staff is atrocious. in flight entertainment is embarrasing (compared to say SIA)...

on that note i 'll say this too. all major companies IN MALAYSIA have singapore airlines as their preferred airlines of choice for long haul business trips. i too haven't flown on MAS for ages. and I have Singapore airlines GOLD krisflyer card to proove it....

so TF or whoever robber barons helming MAS; think about it ...

Anonymous,  13 August 2011 at 06:24  

Airasia needs a rights issue to stabilise its balance sheet unless the public listing of their thai.indonesians and long hsul affiliates are succesful.Under present economic climate that is increasingly doubtful.
MAS needs a quick reversal in operations.This quarter may still be awashed in red but expect a much improved 3rd Quarter especially with the impact of low oil prices and Azmil's initiatives of the last 6 months.
The scenario is MAS shares uptrending whilst AA will continue decline.The AA/MAS share price ratio will eventually stabilise at about 1.5 times from the 2 used for the exercise.AA price exuberance is quite temporary but timely.
Khazanah shld have waited for a more opportune time to do the swop but obviously there were forces that wanted it to be done urgently.We will never know why n who are the unseen hands.But it works well for them and TF.
In the long term expect a rights issue for MAS in 2nd Qtr 2012.Also expect corporate exercises involving Mascargo and Masengineering,There will also be changes at skychefs and ground handling.A govt sponsored VSS under the guise of Human Capital Rationalisation HCR and some Joint Outsourcing Program JOP shld trim MAS employee count to 12000 by 2012.
A revamp of the IT esp front office n booking system will be effected in first Qtr of 2012.
The above will tie MAS to an irreversible marriage with AA leading to a full merger in 2013 and major rights issue in 2014.

Turnarounds in airlines have always been subliminal.And will continue as such.

Anonymous,  13 August 2011 at 09:26  

'Outsourcing Program JOP shld trim MAS employee count to 12000 by 2012'. You are thinking of 'Divine Intervention' aren't you. I can bet to my last RM that this figure of 12000 will never ever ever be reached.MAS now has 20,000++ staff and they are still recruiting for all sorts of reasons. The divisional heads are all little Napoleons. Azmil is too nice a person to handle the job.
Do you know how many layers they have in MAS? It is very top heavy and they keep adding layers to the top level to promote themselves.They recruit young people(early thirties) at very high salary (18 K and above)thinking that these people can do wonders. Of course they can, on paper that is.If you do not perform, they just transfer or promote you. The bigger the blunder that you make,the bigger the promotion.Every 5 years, the top management can change their cars and you know what they can keep the old cars as well cause they pay some minimum amount.Regardless of the balance sheet, all the perks were never withdrawn.
The rot is too deep. Good luck TF.

Anonymous,  13 August 2011 at 09:46  


I was trying to crack my mind to write something on Jalanomic for MAS as promise. Old brain with incremental slow dying neurons is of no help for memory recall & number cross-checking on those published accounts.

Then, this morning, in come the brilliant write-up of P Gunasegaram (a question of business) of The Star. In that article: who will solve MAS’ operational problem, he has succinctly listed down what I can’t fathom due the volume of infos (true & lies) flying around.

The chart: Malaysian Airlines – yield trends, says it all. Here’s Guna’s take;

If we look at the RPK in the chart for the first quarter of this year, it is back to what it was in the first quarter of 2006 after Datuk Seri Idris Jala joined MAS in December 2005. Idris' quote above in February 2006 shortly after he took over is exactly applicable to MAS today, over five years later!

An examination of the chart shows that since Idris came in to MAS in December 2005, MAS had experienced a relentless increase in both RPK as well as revenue per available seat km or RASK (available seat km is a measure of capacity obtained by multiplying seats available by the kms flown and totalling them) up to end-2008.
The increase in RASK at the same time indicates that the seat factor (how much seats are filled, obtained by dividing the RPK by the ASK) or capacity utilisation was maintained at healthy levels.

Now, lets look at the chart again. MAS' yields increased steadily and peaked in the fourth quarter of 2008 for a gain of 60% in just three years and exceeding even that of Singapore Airlines, indicating excellent revenue management.

It took a massive dip in 2009 along with other airlines in the aftermath of the global financial crisis which started in the last quarter of 2008. Most airlines recovered after that but MAS did not. Idris left in the third quarter of 2009 to head the Performance Management and Delivery Unit and become a Cabinet minister.


cont 2

Anonymous,  13 August 2011 at 09:46  

cont 2of2

Singapore Airline's yield in 2009 fell to 25.7 sen per RPK from 31.3 sen per RPK (at current exchange rates), down 18% and MAS' fell from 32.9 sen per RPK to 23.4 sen by the fourth quarter of 2009, down a massive 29%. But in the first quarter of this year, SIA's was back up to 29.9 sen per RPK but MAS' continued to languish at 22.7 sen, even lower than that at the height of the crisis!


That is basically the problem at MAS its yields have not recovered post the world financial crisis which affected airlines very badly in 2009. If MAS focuses on getting its yield back while keeping costs down, it's back in business and in a great big way too.

MAS is an airline. The argument that ancillary services will make most of its money is false, although that income is useful. It can and must make money from the airline operations, although there will be cyclical downturns.

The guy (or gal) who will turn MAS around has to understand airline fundamentals and if he has no experience in how pricing affects revenue in the airline world, he must learn pretty fast. And he has to be pretty fixated on costs and have a good eye for market opportunities. Someone like Idris.

To those who keep chewing on Jala’s so called assets stripping for book profit, I have only this to say – if MAS ever comes to run by u, it would surely disappear faster than u blink yr eyes.

Dumbos – u r facing bankrupt & yet u still want to hold on to yr bungalow & merz. The MOST decent thing to do is to covert all yr available assets into CASH, so that the on-going operation can be sustained. Cash flow control is the MAIN survival tool. Only then u reorganize & revamp the management. & most of all rethink how to move out of the quagmires.

Jala did that brilliantly as shown in the chart. & this piece of statistic is NO damned lie!

So can u guy see what’s Jala has done to MAS during his tenure! Unless u r blind, racist or still sleeping under the tempurung.

The most decent thing to do is go & give Jala his due recognition.


Anonymous,  13 August 2011 at 15:32  

Best way to solve unemployment and excite the economy is not to have National Service but to have slave labor to build a bridge to Australia. Then everyday we can sell refugees to Australia. If they walk back then we sell them back.

And our economy will boom all the time.

Patrick 13 August 2011 at 16:53  

Khazanah is the political tool of the BN Ministers and cronies. For without this tool, there is no way the Ministers and cronie are able to openly grab and justify their actions legitimately. That is why we have been seeing a rash of deals transacted via Khazanah and channeld into a few well known crony companies.

Mahathir and cronies realised that this is a better and safer route than appointing a champion Malay/Bumi to spearhead lucrative companies before stripping them quick and dry. havent people noticed that there are no more Malay/Bumi corporate 'champion' or 'golden boy' for a while now in the coroporate sector???

The folly of this Malay/Bumi corporate 'champion' is that after a while, these 'champion' will just siphon all the money out to S.Africa and live happily ever after. And the political masterminds get royally screwed. Hence, a change in tactics. Hence Khazanah, the Dealmaker. Notice now how the de-facto Law Minister has been roped in to support this new business model by Mahathir?

Why is Khazanah roped in for this deal? Simple. Just look at the corporate history of Malaysia's successful corporations. Robert Kuok and Sugar, AK and Satellite. As long as the business has been proven lucrative, BN personalities will move in for a free bite. But noticed that for Genting, they cant do that as it is considered a Haram business to be seen, or associated with, let alone, commandeering it. So Genting is almost out of touch in the open by BN, except via well placed nominee companies. And that too, they have to be careful not to be exposed or it will be political suicide.

The only way to grab AA is via Khazanah. What better platform than via MAS. So now, the greedy BN Ministers finally got their hands on the most lucrative and fast growing piggybank in Malaysia. Will they succeed with AA as they did with other local corporations? Your guess is right.

Anonymous,  14 August 2011 at 04:44  

This site may shed some light. Many of the names mention are now at PEMANDU.

CYC,  14 August 2011 at 21:38  

Even TF's midas touch can't help MAS. Why ? B'cos it is all due to working culture. No need any expert to unearth the truth.

Anonymous,  24 August 2011 at 14:08  

Besides posted RM7.7mil loss posted in first half year, what else can MAS contribute?

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