Time To Sell Or Liquidate Malaysia Airlines

When I think of the many needed functions of government, owning or running an airline is not one of them. Instead, taking care of the health, welfare and security of its citizens should rank way up there.

Once you have done an excellent job in those essential areas and still have extra time, talent or resources, then you could consider running an airline. A humble and conscientious leader would never be satisfied when it comes to serving the public, for no matter how excellent a job he may be doing there will always be room for improvement. The Finns have the finest schools yet their leaders are consumed with improving the system. That is what progress means.

Malaysia once again contemplates pouring billions to rescue Malaysia Airlines (MAS). Apart from consuming a never-ending amount of scarce and expensive government resources, the company receives an inordinate degree of attention at the highest level of the Najib Administration. I would have preferred that those leaders be concerned with our deteriorating schools and universities, or the awful delivery of our public services. On the day of the news of the proposed MAS bailout, there was another headline on a fire at the waste dump in Klang Valley.

Not being a vendor, customer, employee, or shareholder of MAS (that’s 95 percent of Malaysians and 99 percent of Malays), I could not care less if the formerly blue-chip company is sold or liquidated. I am however saddened that the University of Malaya is now third-rate, and falling fast. I am even more dismayed that there is no comparable bailout plan to rescue it or the education system generally.

The future of Malaysia or Malaysians (especially Malays) does not depend on Malaysia Airlines. Nor does the fate of the company reflect adversely on the caliber or future of Malays, Malaysians, or Malaysia. Our schools and universities on the other hand do determine the future of our people and society.

Malaysia does not need MAS to project the nation’s image abroad. Besides, the image MAS now projects is of the worse kind. Malaysia also does not need MAS to bring in tourists. The other airlines including Air Asia do a fine job at that, and at no cost to the government. Malaysians do not need MAS for their international travels. You can choose from a dozen airlines to fly from Kuala Lumpur to San Francisco. In fact MAS no longer flies to the west coast of America.

There can only be one prudent decision on what to do with MAS now after all the repeated expensive and unsuccessful bailouts and reorganization exercises. Sell it or declare bankruptcy, with a view of total liquidation.

Read more at: http://www.bakrimusa.com/