Malaysia Airlines seeks equal access to any aid offered to AirAsia
The government has not committed to financial assistance, while the national carrier says any capacity increase must be safe and financially sustainable.
Malaysia Airlines Bhd wants any financial assistance extended to AirAsia Group Bhd to be available to other airlines too, with group chief executive officer Captain Nasaruddin A Bakar saying support should not distort competition.
Speaking in Kuala Lumpur during the Association of Asia-Pacific Airlines’ annual meeting, Nasaruddin said Malaysia Airlines was prepared to expand aggressively should its low-cost competitor encounter more serious operational difficulties.
He said the national carrier had a responsibility to preserve domestic connectivity. However, expansion would require more aircraft and crew, and the airline would add capacity only where it could do so safely and on a financially sustainable basis.
Bernama reported in late October that proposals to help AirAsia were under review by the Ministry of Transport and Ministry of Finance. The government has not committed to providing financial aid.
AirAsia shares fell sharply in September following a report that the government had approached competing local airlines, including Malaysia Airlines, about covering routes if worsening financial problems forced AirAsia to withdraw services.
