Malaysia Airlines (MH, Kuala Lumpur Int'l) says it will open seven new local crew bases across Peninsular Malaysia, Sabah and Sarawak in a bid to decentralize its B737-800 fleet operations away from its Kuala Lumpur Int'l hub.
Outlining progress made so far under its restructuring programme, the Malaysian national carrier said it would reposition a total of eighteen B737-800s to new bases in Kota Kinabalu, Kuching, Miri,Labuan, Kota Bharu, Penang and Johor Bahru in March of next year. The move is expected to not only cut crew costs by reducing the need to overnight crew in regional cities, but will also improve B737 utilization rates from 15% to 20%.
"The move will improve connectivity and service quality on the domestic network and emphasizes the airline’s commitment to the respective states, boosting local economies and fostering inbound tourism," it said in a statement.
To help foster its domestic growth plans, the carrier has also asked government to extend a contract with the Ministry of Transport to provide rural air services in the provinces of Sabah and Sarawak.
The carrier's turnaround plan, spearheaded by Malaysian sovereign wealth fund Khazanah, has placed greater emphasis on Malaysia Airlines finding a niche in the domestic and regional markets both of which hinge on its fleet of fifty-six B737-800 narrowbody aircraft. According to CAPA, Malaysia Airlines is currently renegotiating its B737 leasing rates and even has the option, under the MAS Act, to cancel any it does not require.
ch-aviation