MAS recovery hampered by weak ringgit, but to break even soon
Malaysia Airlines’ road to recovery was hampered by the weak ringgit, which has caused a delay in the management meeting the timeline for the airline to return to profitability. According to Khazanah Nasional, the weak ringgit in 2017 had an estimated MYR500m (US$126m) impact on the bottom line of the carrier, which is now a private entity. Under the recovery plan that was unveiled in 2014, the deadline set was for MAS to break even by 2017. The view then was for the ringgit to be at about MYR3.80 to the US dollar. However, for most parts of 2017, the ringgit was about MYR4.40 against the US dollar. The airline is now expected to break even in the second half of this year or latest by early next year. Under the recovery plan, MAS shed 6,000 people from its workforce and Khazanah is to inject MYR6bl to revive the airline. <br/>
https://portal.staralliance.com/imagelibrary/news/hot-topics/2018-01-19/oneworld/mas-recovery-hampered-by-weak-ringgit-but-to-break-even-soon
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MAS recovery hampered by weak ringgit, but to break even soon
Malaysia Airlines’ road to recovery was hampered by the weak ringgit, which has caused a delay in the management meeting the timeline for the airline to return to profitability. According to Khazanah Nasional, the weak ringgit in 2017 had an estimated MYR500m (US$126m) impact on the bottom line of the carrier, which is now a private entity. Under the recovery plan that was unveiled in 2014, the deadline set was for MAS to break even by 2017. The view then was for the ringgit to be at about MYR3.80 to the US dollar. However, for most parts of 2017, the ringgit was about MYR4.40 against the US dollar. The airline is now expected to break even in the second half of this year or latest by early next year. Under the recovery plan, MAS shed 6,000 people from its workforce and Khazanah is to inject MYR6bl to revive the airline. <br/>
