Tuesday, April 24, 2012

So they want to do a MAS on Malaysia Airports now?

Bashir's record is making it difficult for "them" to Syed-line him
Hostile takeover attempt at MAHB. A month ago, I wrote of how the discontent at Malaysia Airlines had become a General Election issue for the Prime Minister. In other words, Najib Razak would want the issues involved to be resolved before he calls for PRU13. This was confirmed a few days later by The Malaysian Insider. In trying to end the dispute, the PM has met with the management and the trade unions of the national carrier. I can see light at the end of the tunnel. Reminds me of the massive Qantas industrial action when I was in Perth last year; the Australian PM stepped in and provided a solution to the problem. National carriers deserve such precedence!

But even as Najib works to resolve the MAS issue, another huge political migraine awaits the PM at the Malaysia Airports. The same people who planned the Air Asia-MAS share swap want Tan Sri Bashir the Malaysia Airports boss out of the way. His term ends in June and they haven't told him if he's staying or going. 

The stealth. The intrigue. 

What irks me is that all these people are doing is prop up another failed government-linked company CEO crony to take over Malaysia Airports, which is doing fine and making money and just a couple of days ago bagged yet another award.

Really, once in a while, these people should try and help Najib Razak a little bit: by not creating problem after problem for the PM to have to resolve.

24 comments:

Mazlan said...

Najib Razak? problem solver?
Lest you forget - he hired these morons in the first place.
Who do you think people like Ethos are aligned to?
Don't you notice these very same morons also make CIMB their key financial advisor for all these deals and how much money do you think CIMB has made off these deals and new business models.
Najib is reaping what he is sowing.
If he really was as smart as you think he is - he would have ended the whole patronage system of appointments and hired people based on their merits and talents....

Anonymous said...

When I wrote about the turmoil in MAS having an impact on aircraft safety, madmen the world over poked fun. Well, I had the last guffaw by my earlier links on the probability of that happening being wholly plasuible:

http://investigativereportingworkshop.org/investigations/flying-cheaper/story/outsourcing-airline-maintenance/

Now here is another link that verifies my other two assumptions linking the problem to scum arseline AA's intrusion and the predictable ramifications:

http://www.themalaysianinsider.com/malaysia/article/turmoil-taking-toll-on-mas/

2. By the way, what is stopping Najib from sacking these trouble-makers, pronto. Lack of gumption?
Boy, wasn't he real quick on the draw in gunning down the ISA. Speaks volumes of misplaced priorities, doesn't it?

3. MAB winning another award? Nothing new or surprising here. Haven't they set the industry alight in transforming KLIA into a major hub within 13 years or so when others are scrapping the barrel or the sty for respectable numbers, 30 years on.

Warrior 231

Jasper Bloodstone said...

Bru

Before you get carried away, I suggest that you revisit Australian press reports about the dispute between Qantas and it's unions.

Note that when the Aussie government stepped in to resolve the unprecedented shutdown of the airline by it's CEO, all that was done was to have the matter referred for arbitration.

The Qantas CEO, Alan Joyce, his Board and senior management weren't sacked or shoved aside.

In fact, Joyce still remains vocal in his views about the need for Qantas to restructure it's international operations, cut costs and and reduce staff numbers.

The Aussie government hasn't bailed out Qantas. Period.

In fact, Qantas and it's Jetstar unit competes vigorously against other airlines, both full-service premium and LCCs. It has acknowledged competition as the name of the game in the airline industry.

Isn't that different from the worldview of the MAS staff unions and their politician sympathisers?

It's even more so where Malaysia Airports is concerned. Where is the long-term plan for it's KLIA flagship, when other airports in the region are busy expanding to consolidate their hub status?

Are we saying that MAHB should be doing "national service" a la MAS, with profits and efficiency being relegated to secondary roles?

What is MAHB's place in the national aviation strategy? Is there even such a strategy in place. The government, through the Transport Ministry, hasn't said so.

Vincent said...

You got it wrong Rocky, the Australian PM did not step in to solve the strike, it's Fairwork Aus.

Anonymous said...

Latuk: why you hit Amok so hard one ? He's trying very hard to get into the act like Shahreezat and Awang Adek and Abu Sahid, so give him a chance lah. This could well be his last chance.

Godfather

Anonymous said...

The ring leader of the MAHB Management Grabbing was infected by Aquired Balance Sheet Litteracy Deficiency Syndrome


Prof Awe Kecik

Anonymous said...

Bro, they are making hay while the sun shines.

Anonymous said...

Woi Rocky... apasal tak kaitkan Anwar dengan engine kapal terbang MAS rosak !!

Anonymous said...

Changing of the guard is a normal thing. Just because the incumbent is doing okay, does not mean his has the right to continue running the airport. Give others, probably someone younger to show his skills in taking MAHB to a higher level. Honestly, as a frequently flyer, I do not find the current airport outstanding. BTW, who is the potential successor you are referring to as someone who had failed in managing a GLC? Please identity the person. Let us decide whether he is truly a failure and not someone whom you dislike for personal reasons.

Change

Jasper Bloodstone said...

An ad in today's Singapore Business Times paper: "Getting to KL is just so convenient....All-in from SGD65 one way".

Who placed the ad? AirAsia, the bete noire of the MAS staff unions, certain politicians and the warrior, among others?

Nope. The ad goes on: We fly 49 times weekly from Singapore to Subang (Kuala Lumpur".

Ah, it's none other than firefly, a unit of MAS!

And for kickers, the ad goes on: "Also fly from Singapore to Ipoh and Kuantan".

Strange how no one sees fit to comment on how firefly is funnelling Malaysian passengers from these 3 places to Changi airport!

From where many of them transit on to flights to international destinations, courtesy of Changi's connectivity.

Just how does this benefit KLIA and MAHB?

Anonymous said...

change 10:06 - don't expect any sensible answera from bru....his is all innuendo only......

Anonymous said...

Oh Jasper,
So nice of you to show concern about travellers from Malaysia to Singapore.

You think they are only Malaysians?

I am not sure where you got that statistics.

Open your eyes sir.

Singaporeans need a nearby retreat at best costs and Firefly is just doing it by placing such ads in Singapore.

The way you articulate, it does not do any good for our own folks who earn decent living through patronage of their products and services by Singaporeans.

Dont just do things one way. Try both ways. Its not illegal - in this context!

PARAMESWARA

Jasper Bloodstone said...

MAB transforming KLIA into a major hub?

Hmm, I wonder how you define "major hub"?

Let's see - Changi Airport handled 4.28 million passengers in March 2012, a 15.3% increase y-o-y.

For the 1st quarter January-March, Changi's passenger traffic grew 12.9% y-o-y to 12.3 million. Changi handled 79,500 aircraft movements in the quarter, up 12.9% y-o-y.

Changi Airport served 100 airlines operating 6,200 weekly flights connecting Singapore to 220 destinations in 60 countries.

What are the corresponding figures for KLIA, to substantiate it's status as a "major hub"?

Anonymous said...

Bru,

I met a "Jasper" during my project meeting who is currently living in gelang patah.

The way this Jasper spoke about singapore is much different with this dreamy jasper belomkiss. He really despise singapore, houses and car are not affordable,everything is expensive but without quality, people are greedy, and even the government is lousy.

so, what's so great bout singapore compared to malaysia. To Jasper Belonkiss it is the best country in the world. Maybe because he is the Katak Bawah Tempurung.

Malique

Jasper Bloodstone said...

Wow, Param - you are really setting yourself up for a rebuttal, aren't you?

How many "foreigners" will fly from Changi to Ipoh, Kuantan and Subang/KL?

After all, the first 2 destinations aren't exactly centres of business and commerce, where foreign companies have set up operations.

So, firefly is targetting Singaporeans who want to travel to these 3 destinations and Malaysians from there who want to travel to Singapore.

How does either of that contribute to KLIA's growth as a "major hub"?

Isn't firefly funelling passengers to Changi Airport?

Yet, the MAS staff unions aren't complaining about this, are they, given that every passenger from Malaysian destinations to Changi is a potential passenger loss for MAS.

And the same unions are pillorying and witchhunting AirAsia for doing precisely the same thing.

Where's the logic in that?

But AirAsia has a hub at KLIA. firefly is merely moving shorthaul passengers around between different Malaysian destinations and between these destinations and Changi.

See the difference?

Jasper Bloodstone said...

Malique

Pity that. It seems that your "Jasper" couldn't hack it in the meritocracy that prevails in Singapore. Or, maybe, his lack of qualifications and an inferior command of English were brutally exposed in an environment which expects the best from managers and employees instead of half-assed affirmative action measures.

Yup, I see exactly where your "Jasper" is coming from. He is the guy who is always blaming others for his misfortunes and lack of progress.

No surprises there! Just par for the course!

Jasper Bloodstone said...

More on this "major hub" thingy.

According to a Reuters report, British airports operator BAA posted a 15% rise in quarterly profit, squeezing more growth from its London Heathrow hub.

BAA, owned by Spanish group Ferrovial, reported earnings of £231 million (RM1.14 billion) in the 3 months to March, with revenue up 11.5%.

Heathrow, Europe's busiest airport, handled 15.7 million passengers in the quarter, up 4.4% y-o-y.

Come to think of it, Changi airport, with a passenger volume of 12.3 million in the January-March quarter, isn't that far behind Heathrow - 3.4 million passengers, to be precise.

Maybe Ferrovial should make a bid to take over Malaysia Airports!

Jasper Bloodstone said...

It's interesting that Param, after his initial foray into the MAS-AirAsia imbroglio, has suddenly gone quiet.

Could this be due to a belated realisation that the MAS staff unions, and the politicians and media types who egged them on, may have got it all wrong?

The bottom line is that MAS is going to encounter brutal no-quarters-asked competition in the low-cost and premium full-service segments of the airline industry, with or without AirAsia.

SIA's market cap as at 30 March 2012 was S$12.83 billion. What was that of MAS?

Anonymous said...

Jasper,

It's a pity, seeing your ignorance and one sided view of things. Just to shed some light, in world traffic ranking – klia was ranked 59th in 2003, ranked 40th in year 2009 and now ranked 27th in 2011. Doesn’t this show an improvement? Recently, it was also reported in the press that KLIA had joined the Top 30 club (of airports in the world). I guess the “hub thingy”
initiatives have shown significant results.

However, KLIA’s march forward in its hub status risk being undone due to the route cutting exercises by MAS and AirAsia. In contrast, national airlines in the other international airports in the region have been adding capacity (routes/frequencies).

Jasper Bloodstone said...

Alas, if it were only so easy.

What makes an air hub?

Obviously, the number of destinations served, the number of airlines using it, the number of passengers (including inbound and transit) and the split between domestic and international flights.

By those measures, how does KLIA measure up against Tokyo Narita, Seoul Incheon, Hong Kong Chek Lap Kok, Singapore Changi and Bangkok Suvarnabhumi?

Or, ranging further afield, against Dubai, London Heathrow, Paris Charles de Gaulle and Amsterdam Schipol?

It's not reflecting on past glories, but focussing on the immediate here and now and the trends in the global industry.

Randy said...

Klia in the world's top 30? That seems impressive, no? Bangkok, hong kong, Singapore, London, Paris, these are all major destinations - for business or tourist. Surely then, becoming major air hubs is almost "no sweat". Dubai, apart from being a major destination in itself, benefits from something called Emirates. Doha and Abu Dhabi are also growing thank to their aggressive home based airlines.

Let's face it, Malaysia and KL for that matter pales in comparison to these hubs/destinations. So having klia reach this ranking (if it is true) is a feat indeed. No doubt, the home based airlines played an important role, as in the case of the other air hubs. It's important that the home airlines continue to play a strong role, as without strong home based airlines, especially in a non major destination, I truly doubt any airport can become a major hub. So let's not deny MAB/klia their success in achieving this ranking, and let's also not forget the key role played by home based airlines.

Anonymous said...

When I mentioned 'recently reported', I was talking about a report that came out at the end of last month..by the Director General of ACI no less..how is that basking in past glories?? Though you may not recognise it, the aviation industry has acknowledged that KLIA has narrowed the gap with those lofty airports you so admire

Jasper Bloodstone said...

A simple question: what is your definition of an "air hub"?

Is it based on absolute number of passengers handled (passenger volumes), connectivity (number of destinations served) or number of airlines using that airport?

We are talking strictly about KLIA, right, instead of adding up passenger volumes at all Malaysian airports under the umbrella of MAHB?

Anonymous said...

K - Kuala
L -Lumpur
I - International
A - Airport