Thursday, August 11, 2011

MAS-Air Asia and the MACC

Going back to basics. They are still arguing if the MAS-Air Asia deal would be good for the national carrier (read Where's the beef for MAS?) or if it will benefit Tony Fernandes full stop. 

But there is 1SIMPLE question that journos can ask and which the new MAS board can/must answer:  

Will MAS change its procurement policy? 

I am no Warren Buffet, but I do know if you can't manage your cost, in the long run you will go down. It doesn't matter if you have Tony Fernandes, Steve Jobs or Bill Gates on the board, you won't be making a dime if you have to pay RM10 for an egg that costs 50 sen. 

Will the new MAS board call in the cops (the Malaysian Anti-Corruption Commission) or will they wait another years down the road for our golden boys at Khazanah Nasional to come up with yet another roadmap for MAS?

84 comments:

Anonymous said...

these ppl at khazanah maybe a golden boy but stupid. whenever problems arises, they just go see the government for financial assistance. and they are highly paid to do this "minta sedekah" job. wtf!

Khinzirnah said...

Dear Rocky,

"Golden Boys" at Khazanah? More of "Useless Buggers" at Khazanah to me. Puiii....

Anonymous said...

Of course lah they will wait another few more years and come up with another road map... Kalu x mcm KON sultan nak buat duuiit???

Anonymous said...

Rocky, why dont we all ask the MAS advisor to advise us Malaysians if MAS needs to review its procupment policy? After all MAS advisor Tun Abdullah Badawi is a man of great standing.


YAwN

Anonymous said...

reporter tidoq kah!!!


Jailani

Anonymous said...

Salam Boss

We only knew half of the story. It's only a tip of an iceberg.

Jack Dozer

Anonymous said...

How to do investigations, then will find out how come jala, who is now a minister swept it under carpet. Yup, the minister is charge of Malaysia's ETP. Also why Tengku Azmil, swept it under the carpet. The shit will hit everybody's fan. So many people use MAS as their personal bank maa. Bernard Francis pulak macam mana . . .

Anonymous said...

Funny you mention this bru. Tony and Din have been successful to run Air Asia their own way with substantially much less impediments than what MAS has to face. I believe the structure of GLC like MAS should be reexamined and restructed in order to allow the spirit and entrepeneurial style of management to even have a chance. On top of that, the processess, the board's thinking and the wider latitude for management to make decision has to be taken seriously.

Also, in any big business, there will be political interests. I'm sure even as independent as Air Asia might seem; they are not spared by this. There should be a serious brief in the Cabinet meeting to lay-off MAS and let them determine their own destiny with Tony and Din on board. There should not be mixed messages on this score.

And yes, procurement is one area for quick wins - their inflight catering tender processes should be reviewed objectively and not to forget the crew's uniform contract that went to a company controlled by the son of a former a former chief executive of the nation (not the current advisor). If MAS now yanks these contracts out; UMNO should not blame the GLC boys for not being aligned to UMNO and Barisan Nasional. This is the real problem. Politicians should look at themselves in the mirror and be truthful on what reflection they see....and change! Hopeful but still possible.

Anonymous said...

Is Malaysia Airlines overstaffed? Yes it is if you buy a 50 sen egg for RM10. It brings up the costs, and the politicians will say MAS cost up because its over staff. Kepala butoh laa beb. MAS is not overstaffed, merely they buy cheap things across the board for three or four times the market price. Kalu take caya, tanya si brahim, tanya lah sama Law Heng Deng punye anak laki

Anonymous said...

The latest story is the government has forgiven him and Daim.
Nazri said all outstanding suits against TR and Daim have been settled.
So, enough said is the gist of the government decree.
Let's say good-bye to Mana Ada Sistem MAS of yore to Mesti Ada System under the new deal.
Tengku Azmil is happy with his 11 million MAS share option.
They are looking for a new MD.
Can Khairy Jamaluddin be the new MD? Hey pity himlah he's jobless.
Better than getting an expatriate. Don't be surprise. He is close with Fernandes and Tune Group people like Jason Lo and Kalimullah.

Omar, I got the ONG maaa

Anonymous said...

Let us pray that this forced-marriage will legitimately consummate. Partners are happy in bed and happily walking hand-in-hand in public where matrimonial differences and squabbles are kept in the wardrobe at home. As tax-paying Malaysians, we expect to see a year later or perhaps 3 months sooner, the birth of a word-class service, that will outperform Spore Airlines not only in her service standard but its financial performance as well.

all the best
Major Rambo

Anonymous said...

Ah, Rocky is only after the catering contract, but I was told that there are a lot more shit that's gonna come out soon regarding their "favoured" sons.

The thing to watch out for, folks, is the new aircraft orders. Fernandes would not have done the deal if he could not dip his fingers into the MAS aircraft orders. Easily 5 pct commissions to be paid outside of the country by Airbus or by Boeing. Watch the space.....

Godfather

Anonymous said...

what is going on lah, round and round the blue berry tree. Haiyaaaaa

Anonymous said...

new face, same story!!!

Anonymous said...

mcm nake batall kontrek, semua kontrek jangka panjang. Kalu batal, kena saman berjuta juta, walaupaun memang benau kebanyakkan kontrek memang begat seblah.

Naseb Melayu

Anonymous said...

stock code 9474

TheCorruptiouslyObnoxiousSumanSumbing said...

Bro Rocky!

I am TheCorruptiouslyObnoxious SumanSumbing, cousin to TheAnnoyinglyAnonymous LemanPulut.

I have a new blogsite here:- Plato in Parody. I hope you and your viewers could visit once in a while for the latest happenings politically served on quite a different kind of platter ...

:-)

Suman Sumbing

Anonymous said...

Salam Bro.,
Its not as simple as that I think; otherwise, why should anyone pay RM10 for a glass of "jus oren" in a pub, or a 5-star restaurant, when the real cost of a Sunkist orange is just RM1.50; or RM8 for a glass of Coke when you can buy the same Coke at RM1.50 per can at 7-Eleven,etc,? Its all about ambience, marketing and positioning, etc. I'm sure you or MAS passengers have an option if you prefer NOT to consume the RM10 egg, or whatever? MAS' problems go beyond just procurement la Bro. Simplifying its host of problems to RM10 egg that costs 50 sen is not going to solve MAS's woes...

Dhahran Sea

Anonymous said...

MAS - Milk and SMILE (MAS). is that what the people in the photo are going to do?

Freddie Kevin said...

Salam Datuk,

Following the MAS/AA share swap, the only bother I could find, was MAS puchase price of the AA share "to be dealt later".

It should be a direct share swap both at any material time.

I have tried to find some weakness in the financial statements (both MAS and AA) and found that MAS has a lot of technical accounting restating in their asset (aircrafts) as opposed to AA's.

While it is true that that AA has a large borrowing, it's short term debt is manageable.

Also as opposed to MAS, AA has a healthier and positive capital and retained earnings.

Work it out this way, Total Assets (Non-Current + Current) - Current Liabilities - Borrowings, and a clear and simpler picture appears.

AA has a higher equity at RM3.641 billion compared to MAS RM3,395 billion.

http://www.airasia.com/iwov-resources/my/common/pdf/AirAsia/IR/AirAsia_AR10.pdf

http://malaysiaairlines.listedcompany.com/misc/ar2010.pdf

Thank you
Freddie

Anonymous said...

We journos know wat to ask maaa, we r soh clever lah... we go to PC, act important, and come back to office and write IMPOTENT articles ... no wunder laa nobady buy the paperr maa

Anonymous said...

Jgn harap lah broooo



Dj Remy

Anonymous said...

The rats running uncontrolled
The markings will tell
The horses will run wild
Then the heavy fall

For the end is near
The mighty Caesar knew
So too with the black knight
The quarrel in the night

Anonymous said...

Rocky

MACC mana boleh masuk into this matter. It involves none other than the brother of Sleepy Head. You know very well that LSC Sky Chef Brahim belongs to whom?

Please check YB Wee, MP for Wangsa Maju's posting at: www.weechookeong.com

You must also know why he Sleepy Head is now the adviser of MAS. Hence the share swap. Many 4th floor boys must have made a kill in the AirAsia share this one or two days.

Anonymous said...

The contracts will be honored, those who are milking MAS will continue getting richer. Azman and Tony will probably do some accounting magic to show MAS is doing well. Tony will probably sell his stake back to KN for RM 5 bucks leave the scene and MAS real state of health will reemerge with billions of loses. Engineering and cargo biz will be sold ...... Tony wants MAS cargo.



Raiders of the lost MAS

Anonymous said...

Dont bet on eat, just an old song in a new CD cover

Anonymous said...

Maybe time for Muhyiddin to take over. And for UMNO Supreme Council to start the ball rolling.

Anonymous said...

Tony will win anyday over the dumb Armani suited cigar chomping braindead Khazanah guys.So how it all pans out will be decided by Tony.
I am certain there will be some major kitchensinking at MAS.And I am sure there will be a full merger within next 2 years.I like Sapphire Air.Malaysia Airlines is a dead brand.

For the moment a certain Leong will hv to face some moments at the precipice.The Firefly Jet service is a confirmed victim.(duplication of resources).
And market research indicates that travellers prefer Air Bus esp the 200 on order by AA.Boeing dreamliners,800s,787 etc is pure bull.

Interesting times.Net result we will now hv pleasure of rescuing 2 airlines instead of one

Anonymous said...

Till today we have no public info on WAU/PMB final cost,Jala Oil Hedge losses..these ppl hv no honor to stand up and be counted.In a rational admin..the cost will be made transparent before announcement of the next turnaround scheme.In a way,the govt have admitted that all the turnarounds have failed BUT at what cost?

This Fernandez turnaround will need huge infusions of cash too.There will be rights issues.Myb at both Air Asia & MAS?We are never privy to the overall scheme till it collapses and the next fix-it is announced.

Its a very sorry state ofthings esp in an environment where so many Malaysian families are living on shoestrings.The govt and Rakyat is getting more and more disconnected.
Walkabouts does not cure bad practises.TV ads do not change the mishandling of public funds.

Anonymous said...

daylight robbery

Anonymous said...

As long as people cannot be taught to have pride in their work, everything else is only cosmetics.

Anonymous said...

Daim changed the landscape in the name of privatization to Tajudin Ramli.It was the beginning of the end of its glory.The eclipse by AA would engulf MAS into oblivion.Just the same road taken by PERNAS, Bank Bumi etc

Anonymous said...

I wonder why Tan Sri Abd Aziz Abd Rahman was not being appointed as MAS advisor and as a board member

Anonymous said...

A friend of mine was involved in taking delivery of the aircraft related to me that on one occasion during a delivery ceremony, a manufacturer’s finance person commented “How is it that MAS pays the full sticker price for the airplane when everybody else gets a discount.” That statement is full of meaning. In the mid 90’s, the sticker price for a B747-400, which MAS paid, was $165m. SIA was reported to have paid $120m for the same aircraft. MAS used to borrow the 10% down payment and the rest of the 90%. Interest rates are kept secret as a certain percentage goes elsewhere.

Anonymous said...

MAS has a local vendor for its aircraft spares. The million-dollar question is why does MAS need a local vendor or any third party to buy spares for them. It has buildings full of technical personnel who are more that competent to purchase parts from the respective manufacturer. Intermediaries will add cost to what is already an expensive acquisition. On one web posting where comparison was made between MAS and SIA in terms of expenditure, it show that MAS maintenance and aircraft cost is 3 times higher than SIA while the staff cost is lower. That dispels the myth that MAS is overstaffed.

Anonymous said...

Ya laaa why none of the local newspapers, foreign wires, local web portal ask this question. I think this is the most IMPORTANT equation in the share swap. If nothing is going to change why bother do a share swap .... simply giving money to CIMB only. Btw how can CIMB be the advisor, when Khazanah Nasional is a major stakeholder in CIMB. Khazanah owns 28 per cent of CIMB,. Is there not some thing called CONFLICT of interest?
Is this the reason why, this whole deal does not INVOLVE the ordinary shareholders of Airasia?
Clearly, the financial press in Malaysia is lacking brain power .... reporters dont know to spot whats news and ask simple question.

Long Wong

Anonymous said...

Some hanky-panky deals..maybe some one ought to make police reports.maybe the top gun are making moneys for themselves..not for the entity they works for.

MACC....boleh harap ke???

Anonymous said...

MAS would not have been in this state if it had not been a free taxi service for the Khazana boys, Members of Parliament, friends and family, all these years.

Anonymous said...

How to invite an investigation when everybody that matters have had their hands stained by putting them in the MAS cookie jar

Anonymous said...

Hello Rocky here is a secret. The road map for the next MAS restructuring is already being done now by KN

Anonymous said...

I see another of Daim's boys Wan Azmi Wan Hamzah has been newly elected to the MAS Board.

Daim's influence is still there or is he put there to keep an eye on things and to protect some vested interests?

Anonymous said...

If Tan Sri Md Nor Md Yusof is formerly involved in International Bank Bhd and Langkah Bahagia Sdn Bhd, than this share swap is another scam job by those who walk in the corridors of power.

Tan Sri Md Nor Md Yusof was at one time with CIMB Bank and Kwong Yik Bank and was an appointed director in Langkah Bahagia to take over Hock Hua Bank (Sabah) Bhd

Anonymous said...

ADOI !

Anonymous said...

remember Shahnom Ahmad with his novel SHIT...its all there

Anonymous said...

OUR GOVT IS A JOKE.

Anonymous said...

IF YOU ARE NOT MILLIONAIRE YET IN M'SIA, YOUR GRANDCHILDREN ARE 1000% GOING TO SUFFER BIG TIME IN FUTURE BCOS' OUR RICH RESOURCES ARE DIMINISHING AND USED UP BY CROOKS YOU'VE ELECTED AND GIVEN AMANAH

Anonymous said...

Let us wait and see what other tricks are used to socialize debts and personalize profits

Anonymous said...

The Minister in the Prime Minister’s Department told The Malaysian Insider that his directive ordering all government-linked companies to withdraw their suits against Tajuddin earlier this month was merely to buy time for all concerned parties to reach a “win-win” agreement and put an end to the prolonged financial saga involving Tajuddin.

He stressed that this was not a “cloak and dagger” move and explained that it was “Tajuddin’s people” who first approached the government with a proposal to reach an out-of-court settlement about six months ago.

He said the matter was referred to Second Finance Minister Datuk Seri Husni Hanadzlah who then directed him to pen the letter, taking note that Tajuddin’s case was scheduled for case management in court today.

“Since it involved the law and I am the minister in charge of law, Husni told me, why don’t you look into this. It is not a cloak and dagger move ... we knew this would come out somehow and there is nothing to hide. I wrote that letter using my letterhead,” said Nazri.




Mane PM?????

man on da street said...

What about the mineral water and the prepared gravies ( labelled and marketted at most supermarkets)done by the saudara and delivered to MAS the golden minefield.That is very expensive bro! Kalau mau tunjuk profit with the mergers , that procurement departments should be revamped. Belum terbang sudah rugi.

Old Fart said...

Hey, bro, you are talking about bread and butter issues for your UMNO cronies. I suppose, of the RM10 at least RM6 goes towards UMNO's activities....ah well...so I wish to presume la...and it is from there that UMNO cybertroopers get paid. So how?

Anonymous said...

Tak de ape yg kan bubah, smua ok je, bisnes mcm biase

Anonymous said...

Berhati2 Tony . Somethings u dont much know, inside or outside Pls check yourself .

Anonymous said...

Denii : bos da makan?

Amkoh : Mane ade sempat (MAS)

Denii : Ngapa pulak bos?

Amokh : Mampos awak sundal (MAS)

Denii : rilek esok sblum bukah, kite joli dgn pramugari.

Amokh : Mane ade Sunnat (MAS).

Denii : sya nak panggel Tony

Amokh: merger atau swap (MAS)

Denii : is ish ish, boss ni kelakarlah.

Amokh : mestilah ade stail (MAS) he he he

Denii : bos tu pun tony !!!

Tony: mereka all sial (MAS)

Denii : Siape Tony, siapa ckp sama Denii.

Tony : Malaysia airlines mana ada sister (MAS)

Amokh : Mamak ada sampai (MAS)

Denii: hello mr khali, ape macam kita punye planning.

Khali: vanya bahgoos.

Amokh : macam aku suruh (MAS)

Tony : Mokh always slimy (MAS)



MESTI AKAN SONGKLAP ( MAS)

Anonymous said...

The last chairman of MAS who asked that a report be made had to resign. Need I say more. Hope for the best, though we know the worst is probably what will happen.

Anonymous said...

if 50 sen can be pumped up to 10 ringgit then it must be good business for the fella who sells eggs to MAS. Those who keep an eye on finances should go suck eggs...
Nice to be on the paylist of GLC..you got to keep your salaries and bonuses and perks and...while the company
you are supposedly helming goes to the morgue..
Govt.nowdays does not govern..it is now businessing...selling of utilities TNB,water and all and makes us wonder if it matters which party rules..because nobody cares what happens to the majority of Malaysians.(come election i will bring dice)
To PM, my finger for the 1m'sia ..dont ask which finger

Pasquale said...

I am surprised to learn that one of the six new directors of MAS is none other than founder of Land and General Tans Sri Wan Azmi Wan Hamzah, and avid and strong supporter of Brother Anwar Bin Ibrahim, so what gives Tony, or the government or Najib, what gives, eh!
Rocky can you also check whether Kalimullah Hassan is also one of the directors or have anything to do with this new merger between AirAsia and MAS I gathered he tried to see or saw Najib in London recently while you were there!

Anonymous said...

Sir,

It seems business as usual for the top brass in MAS and its clever consultants cum shareholder! They just change jobs and put all the blames to their Board of Directors who are not running the company on a day to day basis.

And they still have the guts to pose a smile to the camera..

Hantu Gigi Jarang

Dato' Bendahara said...

Dato' Bendahara is back....

I'm here for Najib and Co's head

Omar Mustapha Ong nicely schemed behind the scenes, quietly.

UMNO should go for his head.

Like Khairy was a thorn in Pak Lah's admin, this Omar Ong chap is going to bring the downfall of Najib & Co.

Umno is pretty pissed off with Najib right now,

Why no crooked bridge? What happened to the double tracking rail project from JB to Padang Besar?


Najib, Najib, baik beli cangkul, lepas ni nak ikut Pak Lah tanam sayur..hehehehe.

Anonymous said...

I honestly dont mind Rocky, but a bit of acknowledgement would be welcome for a change, dont you think? or am I a victim of a sting? (ROFL);

Mine here on Sunday:

http://www.rockybru.com.my/2011/08/mas-and-air-asia.html

and this one here on Wednesday:

1.http://sakmongkol.blogspot.com/2011/08/sting-is-in-air.html

Well, imitation is the best form of flattery and reality can be stranger than make believe........



Warrior 231

Anonymous said...

Jgn harap bang, apa jua tindakan tertib takan blaku

Anonymous said...

Between Jan and August 2011, AirAsia shares were ramped up by over 50 pct, and AirAsia's implicit valuation in the deal with Khazanah priced it at 40 times earnings. MAS is trading at a more modest 16 times earnings. So I start an IT company, ramp it up to 200 times earnings, and then I swap shares with Telekom Malaysia in the ratio of 10 Telekom shares to 1 IT Co share ?

The meat in this deal, however, is not in the operational efficiencies or synergies between 2 vastly different airlines. It's in the ability to control new aircraft orders, and hence the commissions that come with it. TF has tremendous clout with Airbus and can get huge commissions if MAS orders new aircraft in the coming months or year. Guess who keeps the commissions ? You can bet the MAS will have to book the new aircraft at full catalogue prices.

Anonymous said...

does anyone know how much of tax-payer money has gone down the drain since the first day we set up MAS?

Anonymous said...

semua a bunch of crooks!!! Nothing to be proud of.. wealth obtained via we all know it. Karma will come for someone down the line in the family, no worries!

Anonymous said...

Bru, there are 2 great jokes going around town:

1. Tony is so cunning, he can easily sell fridge to the Eskimos, Disneyland to Walt Disney, Virgins to Richard Branson, Bersih to Ambiga and MAS to Khazanah.

2. Malaysia used to have an IDIOT as a PM and now we have a PM with a lot of IDIOTS as advisers.

Good luck 1Malaysia

MOTHER OF ALL IDIOTS.

Anonymous said...

Even Tan Sri Abdul Aziz (former MAS MD) when interviewed by Malaysiakini said 3 salient points:
1. MAS must return to basics
2. Jala did not turnaround MAS
3. To deploy the "right people" in taking MAS forward.

Allow me to clarify the meaning of back to basic esp. wrt business and people management.

Basic means to go back and take care of your own staff and not overreliant on con-sultants.

Basic means to go back to your own core business which is to transport people and not to gamble on fuel hedging or any speculative instruments.

Basic means to get the right people to do the right job and not to rely on kids to do men job, con man to do honest jobs and IDIOTS to do intelligence work.

KON SULTAN

Anonymous said...

It's too early to tell. I am afraid if we do any comments now and it turns out that the merger does more good than not, then we'd be forced to eat our own shoes. Or worse---Tony F's shoes. Let's just wait and see.

Anyway on a more resounding note: Monsterball, in his attempt to provoke the muslims in this country as his daily usual ritual, had this to say in an earlier posting regarding that pork-ribs-ramadhan thing:-

"1500 years...pork is dirty...and Chinese Muslims bring fried pork to sell at Mecca...and sold off like hot cakes.

Prophet had ti stop Muslim eating them..as in Middle East..lambs and camel meat..only..rarely..rabbit meat.

No delicious pork!!

Now pigs are reared for consumptions in most scientific and clean ways."

To this I write as below:-

Warrior Supports Monsterball and agrees with him!!

And I hope you INCREASE your intake of pork. And please popularise the consumption amongst your children too, pretty please.

In fact, I think the government should SUBSIDIZE pork. I mean, like if the chinese want to buy pork, then government should pitch in half or 90% of the money. If they can prove that they are buying pork for the consumption of whole chinese families or whole clans, then the government should give them for free.

And if they can prove that their daily consumption, both them, their families and for continuing generation after generation, then the government should not only give them for free, but they should even be PAID for doing so.

There are sooooo many advantages and goodness to eating pork. The government should encourage its eating amongst the chinese (only!) and subidize its consumption. For the muslims and only the muslims, the government should fine them and confiscate their property should they do so.

Warrior 3127 of 4096

Anonymous said...

Bru,

These deals are bigger than Slime Darby and PKFZ combined.

We must expose the culprits.

BOLAYAN said...

After this merger, Malaysians can perform hajj with AirAsia since Kalimullah and the corrXXted Tabung Haji’s CEO, Ismee Ismail are good friends during ECM Libra days. This is good news. No need to queue for 10 years to go Hajj, just buy online http://www.airasia.com. So the new tagline would be "Now everyone can go for Hajj". But how will Pak Haji react when they see the skimpy outfit of AirAsia stewardesses on their way to perform hajj? Btw, is it true this Ismee pirate is under MACC watch? I hope so. Keyword is "OLAYAN". Some friendly GROUP is making load of kickback from this fucked up deal in Saudi Arabia. Hint: Ismee's brother and friends.

Skilgannon1066 said...

Anon 1:31 AM

"Commissions"??? Who are you kidding?

Do you think that commercial aircraft procurements are like the procurement of defence equipment where dodgy deals, middlemen and arms merchants reign (think of the hoo-hah about the Skorpene submarines).

In the commercial aircraft industry, with key players Boeing and Airbus keeping an eagle eye on each other, the last thing they want to do is play dirty games like kickbacks and commissions.

Also with the anti-bribery laws being enforced in the US, UK and the EU, American, British and European companies would be foolhardy to embark on such schemes.

Any whistleblower out there can trigger an investigation into dodgy deals, as has happened with the Skorpene deal.

More to the point is to look at the makeup of the MAS and AirAsia fleets. MAS operates a mix of Boeing and Airbus aircraft whereas AirAsia and AirAsia X, like most of the LCCs, operate an all-Airbus fleet.

Anonymous said...

Unless the Najib administration and BN government are changed otherwise MAS fiasco will never stop. Full Stop!

Anonymous said...

Still at who's gonna "gain" here???
Even the markets have spoken, not to mention analysts!!
Haiya..how come so dense one!

chai chai

Anonymous said...

I say mannn power betoll : Act important dan write like impotent!!!!

Bedul said...

Anon 2.32 pm

You stole my comments which I posted at another blog with a different nickname.
Wow cut and paste job.Only the last paragraph is yours.
Can sue you, you know. But i treat it as imitation is the sincerest form of flattery.
If indeed KJ is the new MD of MAS, I claim credit for it, not you.

Anonymous said...

Hello dato..
There was a decent and "telling" letter by RAMON which i read in the NST on 11Aug2011 in which he answers "some and many" on the decline of FDI topic he wrote earlier and also raised and haggled over in your blog here recently ...kanak.

Teddy said...

Dato'

MAS cannot sustain if they continue to be in the same management as they are today. I was told come December 2011 if Tony and Kamaruddin don't take over MAS, the company would go into default and declared bankrupt.

It wasn't about so much Tony and Kamaruddin need to save MAS, but the issue is there is nobody else willing to do the uphill task of reconfig MAS other than Tony houdini and Kamaruddin.

The the most interesting point that I would like to raise here is not about the chilvarious Tony and Kamaruddin try to fix MAS, but how the Khazanah CEO continue to be there despite millions dollar pumping packages were siphoned to MAS for the past 5 years. Moreover Khazanah is getting too BIG for someone to be its head without any probing session from the Parliament or PAC (in the states such Organisation are subjected to public inquiry by the senate)

Cheers rock!

Anonymous said...

Teddy you are absolutely correct. MAS is actually a PN 17 company, but was given a waiver by Bursa Malaysia.
I cannot understand why Azman Mokthar and Danny are still employed by the government of malaysia.

Soldier of Fortune

Anonymous said...

Skilgannon is obviously not very skilled at understanding the aircraft industry> Airbus and Boeing have for years been involved in giving "discounts" to favoured airlines. The discounts range from 3 - 7 pct depending on the size of the order. The airlines either book the discounts to their balance sheets (like SIA) or they give the discounts to the decision makers and book the aircrafts at full catalogue prices (like MAS and AirAsia).

Giving commissions is not illegal. It is only illegal if it is paid to politicians under the relevant foreign corrupt practices legislation.

Next time, when you want to comment on the aircraft industry, consult someone who is in the know. You can easily figure out what MAS books a B747-400 at, versus how much SQ books the same type of aircraft at approximately the same time.

Godfather

Anonymous said...

Boleh caya ke SIA tak pernah rugi sedangkan other airliners spt Delta,American, France and British Airways mengalami kerugian.SIA ni pastinya disupport dgn kuat oleh Temasek or Singapore government.
Penting airliners disokong oleh kerajaan.Seperti juga bisnes tolled highways.
Sbg. contoh kenapa American Airlines sgt. berjaya satu ketika dan kemudiannya mengalami kerugian besar. Seawalnya, American Airlines operated shorter routes and its was profitable as the load factor was high or the numbers of seats occupied were always mostly full. It started to get into trouble when it ventured into servicing longer routes and the load factor dwindled.
Even Air Asia is supported by government. The government waived almost RM200mil of landing tax and the airline also refuses to return back the airport tax to customers when they canceled their bookings.
I do not think the Mas-Air Asia deal is good for Mas or government. Kita pun tahu berapa banyak hutang Air Asia. dia punye gearing ratio(hutang/equiti) tinggi.Nanti tak pasal2 gomen kena bayar hutang Air Asia.Takut2 apa yg Air Asia declare banyak pakai creative accounting.Sama mcm dia orang argue ttg income tax declaration supaya firm tak kena bayar tax.Kapal terbang dah order, belum bayar habis, delivery belum dapat,bayar belum habis, tapi declare semua dah settle.
lastly, pengasas Air Asia, Tg Mahalil juge boleh berjaya jika diberi privilige oleh kerajaan spt skrg.

Anonymous said...

When Azman Mokhtar and his cohorts claim responsibility for Iskandar, MAS and other problematic GLC and resign?

Hantu Gigi Jarang

TangkapNazirRazak said...

Kepada PNB dan Bank Negara,

Anak syarikat PNB dirompak lagi. Jika dahulu Sime Darby dirompak oleh
Special Vehicle, kini Maybank pula menjadi target dengan menjadi Special Vehicle untuk memberi wang tunai 6 billion kepada Syahril Shamsuddin dan Mokhzani Mahathir. Ye anak Mahathir akan dapat wang tunai dari pembelian oleh Maybank syarikat Syahril dan Mohzani.

Ini bukan pertama kali Syahril menipu bank dengan menaikkan nilai syarikat yang hendak di beli ber puluh kali ganda dari nilai sebenar. Semasa membina Sapura Crest juga dia telah bekerjasama dengan Nazri Razak siapa lagi untuk menilai syarikat minyak yang dibelinya lebih tinggi dari pendapatannya.

Yang menjadi tandatanya adalah apakah keuntungan keatas Maybank dan pemegang saham PNB yang dipunyai oleh orang Melayu dengan memberi berbillion ringgit kepada anak Mahathir dan Syahril? Sudah lah begitu, Mohkzani siang2 lagi kata keuntungan tidak dijanjikan lebih dari sekarang!

Jadi kenapa Maybank beria-ia meminjam wang untuk diberikan kepada Mahathir? Diharap PNB dan Bank Negara dapat membantutkan kedua penyamun ini dari mengambil duit dari syarikat Melayu. SPRM juga perlu mengkaji siapa dalang nya.

Kekayaan Petronas perlu dikhaskan untuk Melayu seperti dalam Perlembagaan. Dan ini memerlukan pendekatan nasional supaya dividen dapat dirasai oleh semua umat Melayu
bukan hanya anak Mahathir dan kuncu-kuncunya.


Kita boleh bertindak, bukan hanya komen di blog. Kita boleh tangkap perompak Azman Mokhtar, Nazir Razak, Tengku Zafrul dan kuncu Binafikir yang sekian lama merompak aset negara.

Anonymous said...

ACTUALLY THE BIG LOSER IN THIS DEAL IS....TONY FERNANDES. HE WILL BE A MINORITY SHAREHOLDER IN MAS. THEY WON'T EVEN SERVE HM COFFEE DURING THE BOARD MEETINGS!

AND AFTER THE DEAL TONY AND KAMARUDIN WILL HAVE THEIR CONTROLING STAKE IN AIRASIA OF 23% BE REDUCED TO 13% ONLY. THE 10% IS NOW IN KHAZANAH'S POCKET. VERY SOON KHAZANAH WILL BUY AIRASIA SHARES IN THE OPEN MARKET , SURPASSING TONY'S 13% HOLDING......TONY WILL LOSE CONTROL OF AIRASIA!AND THERE'S NO WAY TONY CAN TAKE OVER MAS BECAUSE KHAZANAH OWNS 49%.

THEY'LL GIVE HIM A SMALL OFFICE IN CHARGE OF MAINTENANCE (SWEEPING THE FLOOR ETC)

WHAT ACTUALLY HAPPENNED IS THE MALAYSIAN MAFIA (UMNO) BULLIED TONY INTO SUBMISSION.

IN 3 YEARS THE MOTO FOR MALAYSIAN TRAVELLERS WILL BE, "now nobody can fly!" BECAUSE THE MAFIA WILL RAISE PRICES SKY HIGH! AND TONY WILL BE SITTING IN A BAR IN BANGSAR DROWNING HIS SORROWS.

Anonymous said...

MAS has always been known as "Mana Ada Sistem". From top to bottom, that's what went wrong with it.

Skilgannon1066 said...

godfather 6:04 PM

I am well aware of the complexities of aircraft financing, thank you very much.

The list prices of Airbus and Boeing aircraft are almost always reported when airlines announce aircraft orders.

What are "commercial secrets" are the level of discounts negotiated between the manufacturers (Airbus and Boeing) and the airlines.

How the value of the aircraft are reported in the airlines' financial statements is subject to accounting rules and standards that have to be signed off on by the airlines' external auditors.

Do you mean to claim that the external auditors are privy to accounting "dodges" and "scams" perpetrated by airlines when booking the value of their aircraft orders in their books?

And, in any case, any half-way decent forensic accountant can unearth exactly how much an airline paid for it's aircraft (be it cash on the barrel, sale-and-leaseback or manufacturer financing). The difference between that figure and the "list price" is the discount given by the manufacturer.

The recent revisions to anti-bribery laws in the UK, EU and the US make the payment of under-the-table commissions, bribes and other improper financial inducements illegal and make both the giver and the receiver legally liable.

Which aircraft manufacturer in their right mind would want to take such a risk and the face the possibility of legal sanctions?

Anonymous said...

Dear Ahirudin, please consider that the recent 'merger' of MAS/AirAsia spans back to a far more insidious con: "After brokering the introduction between Mahathir and Tony Fernandes, political heavyweight Pahamin beat a hasty retreat from official politics. He immediately reemerged as the Non-Executive Chairman of Air Asia - which also happened to be the airline Malaysia's PM sold them for $1." Consider the facts here - http://airasiaannus.blogspot.com/2008/09/swindle_16.html - that demonstrates the extraordinary nepotism present then, and it clearly continues unabated. I would appreciate your view - in fact, I wish that you would blog on the issue. Many thanks, and all the very best with your excellent site. Kind regards, Adilah PS: I must admit, this animated Tony Fernandes made me crack a smile ... http://bit.ly/rnkt4A :-P