“Air Asia will start sending their A320 to MH engineering for hangar check effective 1st July 2013. Let the rape & plunder of MH begin!!!”
The above was the comment dated 30-6-2013 posted by a reader in the posting in HERE.
Before yours truly proceed further, please read the background below:
After the MAS-AirAsia share swap was reversed on 3-5-2012, in July 2011 Tan Sri Tony Fernandes (Tony) of AirAsia had told the press that AirAsia will not be sending its aircraft to MAS Engineering for maintenance and/or other works. This was part and parcel of the termination of so-called co-operation between MAS under the “Comprehensive, Collaborative Frameworks” (CCF), which was hatched presumably by the “aviation experts” in Khazanah, in HERE.
This was what BK Sidhu of the Star asked Tony in interview on 15-6-2012: “Are you sending your aircraft for maintenance to MAS?”
Tony’s answer: “No, we have not done that. I don’t think it will happen. I think it will be a headache for the management. If you read some of the comments it is like, we are benefiting, so we are not sending.”, in HERE.
In June 2012 Tan Sri Tony Fernandes also announced that AirAsia will move the AirAsia headquarters to Jakarta, Indonesia, in HERE.
Presumably the writer of the above comment is one of the members of staff of MAS Engineering and he must be upset with the sudden turn of event. He may have his justification for his concerns due to un-aswered allegations of special discounted rates for maintenance charges given to AirAsia by MAS Engineering during the MAS -AirAsia share swap/Comprehensive Collaborative Frameworks (CCF).
TF’s U-Turn or Change of Heart
Actually this should be a good development whereby MAS Engineering got extra business. This extra business had to be through the special relationship of Tuan Azhari Dhalan, who was the head of Engineering AirAsia before he joined MAS after the infamous MAS-AirAsia share swap, with Tony and AirAsia. Tuan Azhari Dahlan had put his special rerlationship to good use for MAS. What an asset to MAS! For the background please read in HERE.
For the sudden change of heart or U-turn on the part of AirAsia should be applauded as it has created a “win-win” position for MAS and AirAsia! It should be welcome.
Prior to this, AirAsia had to send its aircraft to Singapore for maintenance at a much higher rate and cash on delivery basis. With this u-turn, AirAsia will no doubt save a lot of cost in terms of fuel, crews and other charges as it no longer need to ferry its aircraft to and from Singapore.
MAS will no doubt be getting extra revenue through this new development as MAS Engineering will have to be charging current market rate for all the maintenance works. This is good business sense.
It must be Tony’s patriotism and special love for MAS that have prompted AirAsia to have a change of heart to SUPPORT MAS at a time when MAS needed additional revenues to turn around. With this new development, with this new business development the KPI of Tuan Azhari Dahlan must be at its peak and top management of MAS will be pleased as the sudden u-turn by Tony will translate into more revenues for MAS. With this new business development MAS will show more profit in its account for the next quarter. The share price of MAS will also increase.
Rumour has it that Tuan Omar Ong, who is a director of AirAsia, Treasurer of UMNO Gelang Patah and one of the key players in the BN War Room for the recently held 13th GE, had played a significant role in advising and persuading Tony to embark on the sudden u-turn and gave AirAsia engineering business to MAS instead of Singapore Airline. If this was true then MAS staffs must say a “BIG THANK YOU” to Tuan Omar Ong for his sound advice and power of persuasion. Therefore, Tuan Omar Ong’s appointment to the Board of AirAsia is not only very beneficial to AirAsia but MAS too!
Although Tuan Omar Ong is rumored to be very close to the Khazanah’s “aviation experts” and top management of Khazanah, it is believed that Tuan Omar Ong did not play any role in the infamous MAS-AirAsia share swap that was hatched out of the blue on 9-8-2011 in HERE.
Co-Incidentally Tuan Omar Ong is also the Chairman of Ethos & Company, the famous consulting firm in Malaysia. Since the inception of Ethos in 2002, it has served more than forty GLCs, MNCs and Government institutions, many of them repeatedly, in HERE.
Ethos & Company was incorporated around the same time as Binafikir.
AirAsia has been allotted Hangar No. 5 in KLIA
This Hangar No. 5 is normally reserved for maintenance check for MAS B737-800 aircraft. It is now allotted to AirAsia A320 aircraft.
MAS had to now ferry its aircraft from KLIA to its hangar in Subang with additional costs like fuel, crew and etc. If one were to go by the maxim of “Customer comes first” then this is the right approach as AirAsia is its PAYING customer. A sacrifice that MAS should make for its customer like AirAsia.
It is not known whether AirAsia is paying the market rate for all the maintenance works. Perhaps Tuan Azhari Dahlan and/or MAS staff could shed some light in the matter.
MAS Market Rate
Yours truly has been informed that in 2012 the cost of D Check averages about US$800,000 to US$1.1 million depending on the work package. This is just an estimate and its include MPD D, CPCP, structural inspections, direct replacement of components and routine material but does not include material for rectification, labour, aircraft re-painting, cost of components and cabin refurbishment.
A comment from a reader in 2012
On 21-11-2012 GE Man has posted a comment with his predictions in HERE. Below is the excerpt of the comments:
“ … This next year alone, 50% of AA total fleet i.e. about 30 aircraft of AA (A320) is due for heavy maintenance (HMV) checks.
HMV is due every 5-6 years of aircraft life in services, if we are to look into all of AA A320 that is currently in service, about 30 aircraft will be due for HMV. Please surf for AA fleet info – http://www.planespotters.net/Airline/AirAsia)
With this numbers due, where on earth will the pariah send his A320 for HMV? ST Aero, Singapore won’t be able to do it, SAE, Subang does not have enough hangar space or manpower.
This is one of the reason this tak tahu malu bo(otak) still around in MAS Engineering. Now MAS Engineering commercial office almost unmanned so all marketing activities suspended, bo (otak) head Azhari is chasing away all third party customers. The Indon, Chinese, Aussie airlines have all been chased out, even MAS own FireFly ATR’s chased out to SAE to do their maintenance. The strategy is simple, no more third party work, less job for engineering, hangar space being under utilized (apart from EOL and MAS aircraft).
With no work insight or in the pipeline, faking to save MAS Engineering from going under, this bo(otak) head Azhari will become a hero by bringing HMV maintenance work from AA !!! Since bo(otak) is the one who will call the shots, how much will MAS Engineering charge? Will it be on market price (USD 42 per man hour) or bo(otak) will charges peanuts to AA? Hope it wont be another AA – MAB saga on the airport charges.
What ever is it, the Pariah axxx.. is saved by bo(otak) head. With an approximate cost of USD 2 million per HMV per A320, it will cost AA a whooping MYR 180 million next year with many more millions of revenue loss due to grounding of half of AA fleet unless MAS is almost exclusively used by, bo (otak) head Azhari to save AA from its downfall (severe disruption of AA flights and loss of customers confidence due grounding of 50% of their fleet).”
Yours truly hopes that the sudden change of heart by TF will benefit MAS and contribute enormously to its turn around by 2014 as promised by the top management of MAS in 2011.