MAS routes cut affects airport usage: MAHB

by **hlk** Thu 26 Apr 2012, 20:27

The decision by Malaysia Airlines (MAS) to cut some of its long-haul routes has impacted the number of passenger using
local airports, Malaysia Airport Holdings Bhd (MAHB) said.

Its chief financial officer Faizal Mansor said without the cut, the number of passengers using local airports, could have reached double-digit growth in the first quarter ended March 31, 2012.

"The appetite for travel is still there but without the desired flights, passengers will use alternative airports in the region," he told reporters after announcing MAHB's first quarter financial results in Sepang today.

He said in the quarter, the number of passenger using local airports grew by 6.5 per cent to 16 million people from the 15.1 million recorded in the same period last year.

"The higher number of passengers was contributed by an increase in airline operators using local airports as well as the usage of bigger aircraft by them," he added.

Last year, MAS had announced route cuts to at least ten international destinations, as part of efforts to rationalise its network and return to profitability.

Among the destinations dropped by the national airline from Kuala Lumpur, were Rome, Dubai, Bandung, Cape Town, Buenos Aires and Johannesburg.

Meanwhile, on MAHB's financial results, Faizal said the company recorded a pre-tax profit of RM147 million in the first quarter, an increase of 10 per cent from the RM133.6 million in the same period last year.

Revenue rose to RM657.8 million from RM617.8 million previously and attributed to the higher number of passengers using MAHB's 39 airports in Malaysia.

Faizal said revenue generated from the airport operations segment improved by 13.1 per cent to RM478.2 million, while aeronautical revenue improved by 18.1 per cent to RM241.659 million on the back of stronger passenger numbers and implementation of new rates.

Effective Nov 15 last year, the government, has allowed MAHB to
implement new passenger services charges and aircraft landing and parking charges.

Asked about the Low Cost Carrier Terminal (LCCT), he said MAHB will continue with its plan to use it as a cargo hub, upon completion of the KLIA 2. -- BERNAMA