KUALA LUMPUR: The administrator of Malaysian Airline System Bhd (MAS) has received approval from its stakeholders to extend the current moratorium on the transition of MAS to Malaysia Airlines Bhd (MAB) for a further 12 months until May 24, 2017, to enable the remaining tasks to be completed.
The Malaysian Airline System Bhd (Administration) Act 2015 (MAS Act) provides for the establishment of a new entity, Malaysia Airlines Bhd (MAB), with a new business model to replace MAS as the national carrier, as well as for an effective, efficient and seamless means to transition the business, property, rights, liabilities and affairs of MAS to MAB.
In a statement on Wednesday, Administrator Datuk Mohammad Faiz Azmi said as the discussions on the transition are complex, involving laws and tax implications across various jurisdictions, the stakeholders have approved the extension of the current moratorium.
"Because of these reasons and to achieve the best possible outcomes, we have sought and received approval for an extension of the current moratorium," he said.
Mohammad Faiz, who was appointed as the Administrator on May 25, 2015, said after a year of administration, selected assets and liabilities critical to MAB's airline operations have been transferred from MAS to MAB.
These include land and buildings, workshop facilities, offices, stations, aircraft and motor vehicles, as well as contracts for engineering services, legal services, fuel supply, catering, security, system support and working capital facilities.
He also reiterated the administration's priority of safeguarding the welfare of the next-of-kin of the victims of the ill-fated Malaysia Airlines Flights MH370 and MH17. - Bernama
The Malaysian Airline System Bhd (Administration) Act 2015 (MAS Act) provides for the establishment of a new entity, Malaysia Airlines Bhd (MAB), with a new business model to replace MAS as the national carrier, as well as for an effective, efficient and seamless means to transition the business, property, rights, liabilities and affairs of MAS to MAB.
In a statement on Wednesday, Administrator Datuk Mohammad Faiz Azmi said as the discussions on the transition are complex, involving laws and tax implications across various jurisdictions, the stakeholders have approved the extension of the current moratorium.
"Because of these reasons and to achieve the best possible outcomes, we have sought and received approval for an extension of the current moratorium," he said.
Mohammad Faiz, who was appointed as the Administrator on May 25, 2015, said after a year of administration, selected assets and liabilities critical to MAB's airline operations have been transferred from MAS to MAB.
These include land and buildings, workshop facilities, offices, stations, aircraft and motor vehicles, as well as contracts for engineering services, legal services, fuel supply, catering, security, system support and working capital facilities.
He also reiterated the administration's priority of safeguarding the welfare of the next-of-kin of the victims of the ill-fated Malaysia Airlines Flights MH370 and MH17. - Bernama
Already a subscriber? Log in
Get 20% OFF The Star Digital Access
Cancel anytime. Ad-free. Unlimited access with perks.
