"The weak set of 2013 results showcases MAS' inability to manoeuvre itself in a tough operating environment. Yields have declined 14.3pc year-on-year in 2013, much more severe than the industry decline of only 4pc-7pc," explained Maybank IB Research.

"This is despite MAS having upgraded its fleet with brand new aircraft and enhanced its product offering and service quality."

According to the research house, MAS expects an equally difficult year in 2014, as it sticks to its strategy of filling seats at the expense of yields.

"We are uncomfortable with management's approach to continue with a strategy that hasn't yielded positive results thus far," Maybank IB Research said, downgrading the stock to "sell" from "hold".

So selllllllllllllll.....hahahahahahahahhahahaah!!

This was MAS' largest core loss in 10 quarters, according to CIMB Research, as the promised benefits of a new fleet were more than offset by depressed yields and fare dumping by local airlines.

Remember folks the new planes are fuel efficient and able to accommodate more passengers. The efficiency gain from replacing the old planes is about 15pc," said Ahmad Jauhari. Why still operating at a loss, folks?

Hmmmmmmmm......!!!!!!

MAS announced its fourth consecutive quarterly loss for the financial year ended December 2013 on Tuesday. The national carrier registered a loss of RM343mil on the back of a turnover of RM3.9bil while its EBITDA was negative RM56mil.

If MAS continues to incur a negative EBITDA, it would cause a deterioration of the cash balances of the national carrier that stood at RM3.9bil as at the end of last year.

Revenue (Lower)
Q4: 3.782b
Q3: 3.783b

Operating expenses (Increase)
Q4: 3.952b
Q3: 3.854b

Load factor (Lower)
Q4: 81.6%
Q3: 84.8%

Operating Profit (Lower)
Q4: -56.2m
Q3: 52.4m

Cash & cash equivalents (Lower)
Q4: 3.746b
Q3: 5.318b

Malaysia Airlines (MAS) group Chief Operating Officer Ahmad Jauhari Yahya, in dismissing reports that the loss-making national carrier is placing orders for 100 new planes, does not expect an operating loss in the coming quarters.

Wowwwwwwwww....."does not expect an operating loss in the coming quarters"........Any comment folks? Heheheheheheh!!

"MAS cannot keep doing the same thing over and over again, and still hope for some magic to come through," analyst Mohshin Aziz told The Straits Times recently.

He thinks MAS needs a more radical strategy, such as hiving off its divisions like its engineering and cargo units into standalone companies and pushing sales of its premium seats.

"Why not?" Mohshin asked. "Year 2013 was disastrous enough for MAS to know there is no subtle way for a turnaround.

Another profitable divisions like Catering taken out of MAS? Hmmmmmmm...!!

Meanwhile, AirAsia, which has grown to be the largest low-cost carrier in the region in 13 years, is now valued at more than 6.5 billion ringgit, overtaking MAS' market capitalisation of 4.7 billion ringgit.


The government bailed MAS out in 2001 and again in 2012, with several business turnaround plans in between.

The airline has tried cutting unprofitable routes and filling empty seats with discounted fares. It has also sold non-core assets, including prized paintings by famed Colombian artist Fernando Botero.

But market watchers especially the Malaysian taxpayers are not impressed. Are you, folks?

Hahahahahhahahahah!!

MAS is controlled by state investor Khazanah Nasional, with a 69.4 per cent stake.

Most of MAS' staff are backed by a powerful union, which reversed an alliance between MAS and AirAsia in 2011 on claims that it would lead to massive job cuts.

Last year, MAS cut salaries and reduced contract workers, trimming staff costs by about 9 per cent to about 2.3 billion ringgit. But it also cut ticket prices to compete with low-cost carriers, leading to bigger losses.

Maybank Investment Bank and RHB Investment Bank have since downgraded the airline from "hold" to "sell".

So how now, folks? Sellllllllllllllll......!!!!!!!

MAS has 101 aircraft, including six Airbus A-380 planes, and employs about 19,400 people.

Singapore Airlines (SIA) has 102 aircraft and employs 23,000 people while Cathay Pacific has 140 planes and 20,000 staff members.

But in terms of productivity, MAS falls behind. SIA generated about S$651,000 (US$515,031) in revenue per employee last year, while MAS' employees generated half as much - about 727,400 ringgit. Cathay's staff generated the most, at US$537,000.

There you go, folks!

While the impact of low-cost carriers such as AirAsia and newcomer Malindo Air and high fuel costs are felt across the industry, analysts say MAS has other problems - a bloated staff and low productivity.

"It is like the civil service - hardly anyone gets fired because it is too politically sensitive," Aizuddin Pengiran, an analyst at HwangDBS Investment Bank, told The Straits Times.

How folks?

CIMB 0.17 folks! Now that is rock bottom sale! Heheheheheheheheh!!

Tweet: Tony Fernandes‏@tonyfernandes·8 mins

Just arrived in bombay. Feeling more and more positive on Air Asia India. So many people stopped me to ask when we starting.

Former member of parliament for Wangsa Maju, Wee Choo Keong said Khazanah should also consider terminating contracts of MAS' consultants and expatriates. He said the salary scale and perks of MAS' top executives should also be reviewed.

"The top executives easily get paid up to RM30 million a year. That is a lot for an airline that is losing money. Why are they taking home such a fat salary? If they are concerned, they should take a huge pay cut, when times are bad," he said.

Taxpayers, how now?

Malaysia Airlines (MAS) should terminate its RM6.25 billion contract with in-flight caterer Brahim's Holdings Bhd to narrow its losses, says former member of parliament for Wangsa Maju, Wee Choo Keong.

"There is no airline in the world which has entered into a contract as long as 25 years and non-negotiable. The contract works out to around RM260 million per year, which is a lot of money. A catering contract should run two to three years.

How?

Final nod to AirAsia India likely today?

Top aviation ministry sources say the proposed Tata Group-AirAsia joint venture will get the final clearance to fly from DGCA on Friday.

India is all set to get a new airline very soon. Top aviation ministry sources say the proposed Tata Group-AirAsia joint venture will get the final clearance to fly from DGCA on Friday.

"We will dispose of all the objections on Friday. But AirAsia India is yet to complete all formalities, so we will not be issuing the schedule air operator permit (AOP) along with disposing the objections. Their application for consideration of issuing the AOP will be held valid and the same will be issued as soon as they meet all procedural requirements," said a source.

How? Hehehehehehehheh!!

India’s struggling private sector airlines have banded together to block the entry of Tata Sons Ltd’s low-cost airline in a joint venture with Malaysia-based AirAsia Bhd, and asked the aviation regulator not to grant it a licence for starting operations.

The 11 February letter from the FIA, which includes Jet Airways, IndiGo, SpiceJet and GoAir, read: “The members of FIA reiterate that application on behalf of AAIPL is not permitted under the FDI policy as it applies only to existing airlines and if allowed will defeat the policy and throw back the existing member airlines into deep losses.”

An independent aviation analyst noted that the high court had already ruled that the government had the right to set FDI policy and interpret it.

“There is no case, just sour grapes for all,” said the analyst Shakti Lumba, who has previously worked with Air India and IndiGo. “The high court’s opinion has greater impact.”

Will AirAsia launch  hit air pocket as Indian airlines seek entry ban? Time will tell, folks! Heheheheheheh!!

Really Dorky? When you bought AA at a much higher price (2.80+) I was against that idea! I posted regularly the negative news on AA. But sadly you believe you made the right decision at that time.

The truth that you never understand, until it is too late. Life's tragedy is that you get old too soon and wise too.

How? Hahahahahahahhaah!!

Directorate General of Civil Aviation has revised airline licencing norms which will restrict foreign carriers from taking control of management of domestic airlines. The revised rules regarding minimum requirement for grant of operating permit were issued on Wednesday.

The amended rules also allow airlines to carry out maintenance and repairs to planes and training of pilots and engineers at facilities belonging to other airlines. This change will benefit both Tata Singapore Airlines and AirAsia which could use their bases in Singapore and Malaysia for training and engineering functions.

At present two airlines are waiting in wings to start operations in India. AirAsia is waiting for an operating permit from DGCA while Tata Singapore Airlines is still to receive no objection clearance from the civil aviation ministry. There you go, folks!

Airasia already given me some but I want more. At the current price its just an ordinary smile but I want an extraordinary smile: smile from ear to ear! Hahahahahahahahahahah...........How ?

AirAsia founder Tan Sri Tony Fernandes has threatened to take his business somewhere else if the low cost airline is forced to shift its operations at Terminal Two of the Kota Kinabalu International Airport (KKIA) to Terminal One.

"The biggest loser in the move will be Sabahans," he warned, Wednesday.

Read more here:
http://www.dailyexpress.com.my/news.cfm?NewsID=88442

Political turbulence delays Thai AirAsia X inaugural flight!

Indigo opposes Airasia!

View here: http://economictimes.indiatimes.com/et-now/corporate/indigo-opposes-flying-license-for-airasia-india/videoshow/30685035.cms

1. India's aviation regulator is likely to decide on the fate of AirAsia's local venture in the next couple of days after it sifts through the various responses to its recent public notice, seeking opinion on whether a flying permit should be given to the airline.

2. Among the negative responses includes an 18-page note from BJP leader Subramanian Swamy and observations from four former directors at Air India, a person close to the development told ET. "We will carefully look at the responses and decide whether or not to give a flying licence to AirAsia," an official at the Directorate General of Civil Aviation (DGCA) said.

3. Two senior executives at AirAsia said they have been replying to the various questions raised. The issues raised are "nothing really" said one of them. Swamy's note raises the issue that the airline doesn't have a single largest Indian shareholder. "There are several other complaints raised by individuals from other private carriers. These individuals are claiming to be stakeholders but their issues are largely innocuous," said the person.

4. AirAsia chief executive Tony Fernandes is expected to be in India in a couple of days to meet his team said one of the airline's senior executives.

5. So the big question: will AirAsia get the flying licence from the Directorate General of Civil Aviation India next week?

Q4E announcement also next week........hmmmmmmmmmmmmm!!

There go your money folks for patching leak in order for the ship to stay afloat! How?

AA has rewarded me some already & will be rewarding me more soon. Just need to be a little bit patience Dorky. Hahahahahahahahahah!!

Time will tell Dorky! Hahahahahahahah!!

Tony Fernandes expresses shock over MAS’s losses. “My point is that if you’re running a private company, could you afford to cut 16% of your costs and still lose RM1 billion?” Tony asked.

“It’s only because there’s taxpayers' money that one can afford to do that. And this isn’t solving the issue,” Tony added.

How now folks? Hahahahahahah!!

“My point is that if you’re running a private company, could you afford to cut 16% of your costs and still lose RM1 billion?” TF asked.

“It’s only because there’s taxpayers' money that one can afford to do that. And this isn’t solving the issue,” TF added.

How now folks?

MAS waiting for govt approval to order up to 100 aircraftfrom Boeing, Airbus

* New aircraft to help lower costs, carry more passengersand boost competitiveness

* MAS keen to start taking delivery of new planes in 2016

More taxpayers money to play with? What next folks? Hahahahahahahah!!

Fernandes also fired salvoes at MAHB, blaming it for the delay of KLIA2 and accusing it of not managing its finances responsibly to ensure that airport taxes could be lowered.

“So much money wasted. If people were more efficient Malaysians would spend less on travel,” he said.

Fernandes pointed out that AirAsia had done “amazing things” for Terminal 2 of the Kota Kinabalu International Airport in Sabah despite not being “supported” by MAHB.

In a series of tweets this morning, Fernandes drew comparisons between the national carrier and his own airline AirAsia, which he pointed out has done much better despite budget limitations and regulations currently imposed by Malaysia Airports Holdings Berhad.

“I wonder if it's fair that Malaysia airlines can lose so much money and protect its market share. Can only do that with taxpayers money,” he added.

How folks? Hahahahahhahah!!

In a series of tweets this morning, Fernandes drew comparisons between the national carrier and his own airline AirAsia, which he pointed out has done much better despite budget limitations and regulations currently imposed by Malaysia Airports Holdings Berhad.

“I wonder if it's fair that Malaysia airlines can lose so much money and protect its market share. Can only do that with taxpayers money,” he added.

How folks? Hahahahahhahah!!

Tan Sri Tony Fernandes took a swipe today at rival Malaysia Airlines for chalking up a staggering RM1.17 billion in losses last year, saying that it was unfair that the flag carrier could lose so much money and still afford to protect its market share.

Sound more confident that AA will be far better than MAS! How?

Tan Sri Tony Fernandes took a swipe today at rival Malaysia Airlines (MAS) for chalking up a staggering RM1.17 billion in losses last year, saying that it was unfair that the flag carrier could lose so much money and still afford to protect its market share.

How?

For AA India, DGCA has for the first time invoked a clause seeking objections, if any, from the public to giving the airline an operating licence.

Feedback on the DGCA’s notice has been submitted by 13 February and the regulator’s decision is expected within this month.

How?

Maybank IB 18/2/14

1. Malaysia Airlines (MAS) has been forecast to post a core net loss of RM1.01bil (actual 1.2 bil) for the financial year ended Dec 31, 2013 (FY13) while AirAsia Bhd is expected to post a core net profit of RM651mil for FY13.

2. AirAsia flew a total of 42.61 million passengers for the whole of 2013, up 25% from 34.13 million passengers in 2012.

3. According to the low-cost carrier’s (LCC) preliminary operating statistics released yesterday, it carried 11.8 million passengers, a whopping 28% increase, in the fourth quarter ended Dec 31, 2013, compared with 9.21 million passengers in the previous corresponding quarter.

4. Maybank opined that AirAsia’s upcoming results will be weak, and below consensus by 10.3%. “This will, however, be within our below-consensus forecast. We believe the results will show signs that the industry has reached a bottom and that first signs of a recovery are at hand.

5. “AirAsia has done a good job in fending off the additional competition by deploying modest capacity growth and tight cost controls. It has also achieved a load factor of 85% for its Malaysian operations in the fourth quarter ended Dec 31, 2013; its first in history. However, yield declines were inescapable and nine-month to Sept 30, 2013 core profit fell by 15.5% y-o-y,” Maybank said.

6. So the big question: How will AA fair in the Q4E? Remember folks, if a business does well, the stock eventually follows. TP at 2.80 by MIB while the share price is trading at 2.36 today.

How now folks? Heheheheheheheh!!

CIMB Investment Bank analyst has cut the firm's TP for MAS shares to 14 sen from 17 sen!

Hanging on to this counter is a very practical way to see your money melt down like a burning candle!

This stock price’s relentless tendency to regress towards its long-term mean. See you people at 0.14!

1. Khazanah: 2,318,477,827 69.37%
2. EPF: 223,148,940 6.68%
3. ASB: 55,610,967 1.66%
4. Warisan Harta Sabah: 50,302,884 1.51%
5. Financial Secretary Sarawak: 45,833,333 1,37%
6. CHief Minister State of Sabah: 29,809,116 0.89%

Folks, should the government be selling Malaysia Airlines to get out of the aviation industry?

or

Should the government pump in more money from public fund to save Malaysia Airlines?

Hmmmmmmm.........!!

Folks, could MAS be continuously flying into a cloudy future?

Revenue (Lower)
Q4: 3.782b
Q3: 3.783b

Operating expenses (Increase)
Q4: 3.952b
Q3: 3.854b

Load factor (Lower)
Q4: 81.6%
Q3: 84.8%

Operating Profit (Lower)
Q4: -56.2m
Q3: 52.4m

Cash & cash equivalents (Lower)
Q4: 3.746b
Q3: 5.318b

All of this raises the question: What do the CEO know that we don’t?

Malaysia Airlines suffers fourth straight quarter loss.

All of this raises the question: What do the CEO know that we don’t? How?

MAS' 2013 loss deepens to RM1.2b! Only when the tide goes out do you discover who's been swimming naked!

The beginning of the end? Remember folks, if a business does well, the stock eventually follows!

How?

Australian Prime Minister Tony Abbott today said there will be no taxpayer handouts for struggling national carrier Qantas, but flagged support for lifting foreign ownership restrictions on the airline.

Will MAS future fate be like Qantas? How now? Heheheheheh!!

Maintain sell with lower Target Price
0.140 - CIMB
0.200 - RHB
0.250 - HLB

Remember folks, shares of stock lose value when company profits drop or investors believe that company profits will drop!

How?

Going into 2014, Malaysia Airlines expects the business environment to remain challenging with high fuel prices, volatile foreign exchange and intense competition impacting yield from both existing as well as new entrants into the market.

Investors become emotionally attached to a stock and overlook the company's shortcomings. Whatever the reason loving a stock, separate your emotions from the hard reality that it may be time to sell.

How?

Malaysia Airlines full-year performance of making a bigger loss in 2013 compared to 2012 demonstrates the challenges brought on by intensifying competition leading to lower yields.

So the big question: Will the year low at 0.29 hold?

Malaysia Airlines doubles losses to RM1.2 bil!

In the business world, the rearview mirror is always clearer than the windshield. How?

Will the year low at 0.29 be broken? Risk comes from not knowing what you're doing, folks!

How?

Folks, should you find yourself in a chronically leaking boat, energy devoted to changing vessels is likely to be more productive than energy devoted to patching leaks!

How?

Are you buying a disaster on its way down thinking you are averaging your costs when statistics show otherwise?

Revenue (Lower)
Q4: 3.782b
Q3: 3.783b

Operating expenses (Increase)
Q4: 3.952b
Q3: 3.854b

Load factor (Lower)
Q4: 81.6%
Q3: 84.8%

Operating Profit (Lower)
Q4: -56.2m
Q3: 52.4m

Cash & cash equivalents (Lower)
Q4: 3.746b
Q3: 5.318b

Hoping the shares would pick up again? But this is a very practical way to see your money melt down like a burning candle. How?

Revenue (Lower)
Q4: 3.782b
Q3: 3.783b

Operating expenses (Increase)
Q4: 3.952b
Q3: 3.854b

Load factor (Lower)
Q4: 81.6%
Q3: 84.8%

Operating Profit (Lower)
Q4: -56.2m
Q3: 52.4m

Cash & cash equivalents (Lower)
Q4: 3.746b
Q3: 5.318b

Folks, why hang on to MAS? Hoping the shares would pick up again? But this is a very practical way to see your money melt down like a burning candle. Careful now folks!! Heheheheheheh!!