Will lower fares make Malaysia Airlines do better?

Boosting confidence: A passenger looks at MAS aircraft from a viewing gallery at KL International Airport in Sepang. MAS should focus on rebuilding confidence rather than focusing on the noises that is in the social media. The noises will settle once the company is fixed. — EPA

WHEN the crunch comes, listed companies in the United States are quick to issue profit warnings. This alerts investors that profit forecasts won’t be met. This guidance provides them the flexibility to either stay invested in a stock or dump it.

It somewhat saves the chief executive officer and share price from a bashing when the results are announced.