Politics rules the day in MAS sale

Allowing MAS to collapse is unthinkable.

There may be five suitors or less for loss-making Malaysia Airlines Bhd (MAS), but the reality is that Khazanah Nasional Bhd, which owns the airline, is tied down by political constraints when dealing with it.

Allowing MAS to collapse is unthinkable. MAS cannot afford to fold despite chalking up losses year after year. The sale of a controlling stake in the national airline to a competing airline so that it can be restructured and become operationally viable is politically unpalatable. This actually does not leave Khazanah with much choice.