MAS CANCER HAS SPREAD TO GOMEN!

Day After Day Gomen Doing The Moron Things.

Folks, makin lama Gomen kita makin mati akal. They are doing mindboggling things with little or no thinking put in. Then when it becomes too controversial they either cancel it, "tarik balik', drop the subject or just Flip Flop. 

1. The Gomen's overeagerness on the TPPA shows the Gomen really does not know what is best for the country.  The Gomen is drifting in La La land. 

2. Now the Gomen is considering crafting another law to replace the Emergency Ordinance that has been abolished.  Who asked you to abolish the Emergency Ordinance and the ISA in the first place? 

No one asked for the EO to be abolished. The Pembangkang only asked to abolish the ISA. The abolishment of the ISA plus the EO took even the Pembangkang by surprise. Pembangkang pun terkejut. Now the Gomen itself says crime is rising because the EO has been abolished !! Tak nampak bodoh ke bang?  

3. After that the Gomen tried to rush through the "Unilateral Religious Conversion Bill" - another piece of really tak masuk akal legislation. Only to create another huge controversy and then having to "tarik balik" that  Bill also. Another flip flop - nampak bodoh lagi. What is wrong with the Gomen? 

4. Then the Gomen went and established diplomatic ties with the Vatican. Some guy wearing a dress representing the Vatican is now in town and saying silly things that have only stirred up more useless, totally useless religious tension in this perfect land.  You can click on this link here to read more : 

"Apostolic Nuncio to Malaysia HE Archbishop Joseph Salvador Marino's recent statement in the interview to pro-Opposition portal The Malaysian Insider on supporting Christian Federation of Malaysia’s intention to use kalimah ‘Allah’ in place of God has been deemed totally insensitive and outrageous. Malay NGOs demanded he retracted the statement or risk being asked to leave"

Pasal apa pi jemput mangkuk hayun macam ini masuk negara kita? 

Every other day the Gomen seems to be shooting itself in the foot (or in the @$$). Cant they get anything right?  

5.  Norman Fernandez has already spoken about the Gomen's plan to give refugees jobs.

6.  And here is another controversial action - now the Gomen wants NON-MUSLIM students in private universities to study Islamic Civilisation as compulsory TITAS subjects. Pasal apa pula? 

......

(They changed the livery (colour and appearance) on the MAS A380 Airbus  so that the stationery, crockery and napkin suppliers can make money.  Petronas and some Ministries have changed their logo to give new contracts to the stationery suppliers and ad agencies. Its all about someone making easy money.) Janganlah buat kerja bodoh. Buat lah kerja dengan baik.  

Kalau bukan senang nak jadi pandai macam itu juga bukan susah nak jadi 'tak bodoh'. 

Full report: http://syedsoutsidethebox.blogspot.com/2013/07/day-after-day-gomen-doing-moron-things.html

More flip flop: http://weechookeong.com/2013/07/02/tony-said-airasia-is-not-sending-its-aircraft-to-mas-for-maintenance/

The cause: http://anotherbrickinwall.blogspot.com/2013/06/pemandus-pre-emptive-move-for-relevance.html

Throwing good money after bad!

MIDF Reseach downgrades MAS to "Sell", target price 27 sen

Friday June 7, 2013 MYT 2:45:01 PM

KUALA LUMPUR: MIDF Research has downgraded Malaysian Airline System Bhd (MAS) to “Sell” from “Neutral” and reduced its target price to 27 sen from 34 sen due to its weak prospects.

“Due to the worsening market yields and sticky high operating expenses, we opine that it is improbable for MAS to be able to turn around its business by financial year 2013-2014 as we had earlier expected,” it said on Friday.

It also revised its financial year 2013 and 2014 forecast to a net loss of RM762.5mil and RM187.5 4 respectively and expects the turnaround to happen only in 2015.

MIDF said international “headwinds” will continue to weigh down MAS business turnaround plan despite its recent membership into the Oneworld alliance and ongoing fleet renewal plan.

“In the domestic market, MAS also faces intensifying competitions from accelerated capacity expansion by AirAsia and the launch of Malindo Air,” it said.

It noted MAS regional full service carriers are pursuing the strategy of sacrificing yield in return for a higher load factor.

“Thus under immense international competitions and yield pressure, MAS fare yield dropped by 4.7% on-year to 24.2 sen in 1Q13 despite a leap in passenger load factor by 3.6% points to 76.6%,” it said.

MIDF added MAS have already replaced its entire fleet of B747 and a large portion of its B737-400 with the newly acquired A380 and B737-800 models respectively.

“Nonetheless, there is still a fleet of 17 near aging B777-200ER with an average age of 13.6 years. The management is considering either Airbus A350 or Boeing B787 Dreamliners to replace these long-haul aircrafts,” it said.

STOP SPINNING,

GET BACK TO WORK AND FIX MAS!

"Sementara itu, BN pada hakikatnya mendahului pencapaian undi popular berbanding tiga parti pembangkang iaitu DAP, PKR dan Pas yang bertanding atas tiket masing-masing."

Hakikat sebenar tentang undi popular yang dijaja pembangkang bagi mengelirukan rakyat hanyalah diperoleh melalui pengundi-pengundi Cina dari empat buah negeri yang mempunyai ramai penduduk kaum itu.

Memetik blog http://syedsoutsidethebox.blogspot.com/2013/05/pakatan-rakyat-lost-popular-vote-in-9. pembangkang hanya memperoleh kelebihan undi di lima buah negeri yang mana empat daripadanya iaitu Perak, Pulau Pinang, Selangor dan Kuala Lumpur merupakan negeri-negeri yang mempunyai populasi kaum Cina terbesar.

Satu lagi negeri yang turut memihak kepada pembangkang ialah Kelantan, hanya memperoleh kelebihan 57,332 undi yang dianggap sangat tipis.

"Di mana-mana negeri yang mana orang Melayu adalah dominan seperti di Kelantan, Barisan Nasional (BN) sebenarnya telah memenangi undi mereka.

"Sebaliknya di empat negeri tersebut, kelebihan undi yang mereka peroleh daripada kaum Cina begitu ketara, contohnya Perak dengan 111,893 undi, Pulau Pinang (263,004), Selangor (359,256) dan Kuala Lumpur (198,084)," kata blog itu yang membuat analisis melalui jadual undi popular yang dikeluarkan oleh portal propembangkang, Malaysiakini.

Menurut blog itu, jumlah kesemua lebihan undi yang memihak kepada pembangkang di kelima-lima negeri tersebut adalah 989,569 sedangkan undi popular yang mengatasi BN di seluruh negara hanya 361,101.

"Jelas di sini, 989,569 undi majoriti yang pembangkang peroleh telah disusutkan oleh BN dengan kelebihan undi di sembilan negeri lain, menyebabkan undi majoriti akhirnya hanya tinggal 361,101.

"Dengan majoriti 989,569, mereka sepatutnya boleh menang besar. Tetapi kenapa mereka masih juga tidak menang? Ini kerana sebahagian besar undi itu hanya diperoleh daripada pengundi Cina dari keempat-empat negeri tersebut," kata blog itu.

Daripada analisis tersebut, blog itu menyimpulkan bahawa pembangkang tidak mewakili undi majoriti daripada pengundi Melayu.

"Sebab itu pembangkang tidak boleh menang pilihan raya umum ini, mereka tiada undi daripada orang Melayu," kata blog itu.

Sementara itu, BN pada hakikatnya mendahului pencapaian undi popular berbanding tiga parti pembangkang iaitu DAP, PKR dan Pas yang bertanding atas tiket masing-masing.

FOOLS NEVER LEARN Part 2

MAS stock falls 16%, analysts doubt financing capabilities

Presenna Nambiar 

sunbiz@thesundaily.com

PETALING JAYA (Nov 29, 2012): 

"We were taken by surprise on the rights issue proposal. It indicates that MAS may have issues securing financing to meet the group's huge near-term capital requirement amounting to RM9 billion," Alliance Research Sdn Bhd said in a report yesterday.

"We believe investors will be jittery of such a large cash call amid continued operating losses.

"While the cash call will help to address the short-term funding requirement and liquidity needs, it does little to address the losses at the operating level."

Malaysia Airlines' (MAS) stock fell more than 16% on news that it is yet again seeking capital injection from major shareholder, Khazanah Nasional Bhd and cancelling 90 sen of its par value.

The national airline, which was the most actively traded counter yesterday, saw more than RM560 million of its market capitalisation wiped out at the end of trading activities.

The stock closed 17 sen down at 84 sen, with some 77.2 million shares done.

MAS had on Tuesday announced plans to have a rights issue to raise up to RM3.1 billion for working capital (RM1.3 billion), capital expenditure (RM987 million) and repay borrowings (RM777 million).

It also plans to shave off its share premium account in a bid to cut its accumulated losses, buy back 10 Boeing 737-400s originally on lease for RM64 million to meet network requirements prior to the delivery of its new 737-800 fleet and to save on high maintenance costs it would need to incur to deliver the planes back to its lessor in mint condition.

Analysts are still cautious on the MAS turnaround story, despite it beating the consensus target on core losses, overshadowed by another rights issue and a reduction in par value of its shares from RM1 per share to 10 sen a share.

The airline registered a small operating profit of RM3.9 million on revenue of RM3.3 billion for the third quarter ended Sept 30 2012 due to lower jet fuel prices and fuel consumption as a result of a 7% year-on-year reduction in capacity available-seat-kilometre (ASK) and better utilisation of newer and more fuel-efficient aircraft.

"We were taken by surprise on the rights issue proposal. It indicates that MAS may have issues securing financing to meet the group's huge near-term capital requirement amounting to RM9 billion," Alliance Research Sdn Bhd said in a report yesterday.

"We believe investors will be jittery of such a large cash call amid continued operating losses.

"While the cash call will help to address the short-term funding requirement and liquidity needs, it does little to address the losses at the operating level."

Alliance opined that based on the indicative issue price of 60 sen as disclosed in the company's announcement, the proposed rights issue will be at a steep discount to current price, while the dilution is enormous given its expectation of a 3-for-2 rights issue in order to raise RM3.1 billion.

The cash call is the third by MAS since 2007.

MAS raised RM1.55 billion and RM2.67 billion from its rights issue in 2007 and 2009 respectively, to finance new aircraft and pare down debts.

HwangDBS Vickers Research Sdn Bhd said there is execution risk in MAS trying to turn around its business, and the aviation landscape in Malaysia will become more competitive with the emergence of Malindo Airways next year.

The research firm has trimmed its FY12 core net loss forecast to RM567 million from RM961 million previously, after raising MAS' passenger load factor from 70% to 75%.

HwangDBS is expecting MAS to register stronger performance in the fourth quarter of 2012 due to the year-end holidays.

Kenanga Research said with the new fleet in operation, MAS will be able to make a meaningful turnaround.

The airline is to receive 12 new 737-800s and three new A330-300s in 2013. It has already added 14 737-800s, eight A330-300s and four A380s to its fleet since 2010.

Kenanga is raising its FY12 estimate higher by 30% from a RM764 million net loss and RM1.2 billion revenue previously, with a new RM482 million core net profit target for FY13 estimate, as it expects MAS to be able to recover its yield and get a higher load via the new fleet.

"In the near term, any positive share price movement is likely to be muted due to the negative sentiment on its proposed capital reduction and rights issue announcement," it added.

Related article:

http://mastroubleshooters.blogspot.com/2012/05/mas-turning-around-or-spinning.html

BINGO, BUNG!

Bung Mokhtar hits out at Syed Mokhtar, Zeti

G Vinod

 | October 23, 2012

The Kinabatangan MP urges the government to stop Syed Mokhtar from monopolising business in the country and get someone to replace Bank Negara governor Zeti Akhtar Aziz.

KUALA LUMPUR: Kinabatangan MP Bung Mokhtar Radin launched a broadside against business tycoon Syed Mokhtar Al-Bukhary and Bank Negara governor Zeti Akhtar Aziz at the Parliament today.

In his criticism against Syed Mokhtar, Bung Mokhtar questioned the Finance Ministry’s rationale in allowing the billionaire to control mega businesses in the country at the expense of other businessmen.

“He wants Keretapi Tanah Melayu, he wants Mass Rapid Transit. He wants everything on land, sea and air. Given a chance, he will even do business in the graveyard,” said the outspoken MP.

He also said that it was not fair for other businessmen and pointed out that there were other capable bumiputeras out there who could work on projects as effectively.

“Even open tenders for small businesses, Syed Mokhtar will be there. Don’t let one man control everything,” said Bung Mokhtar.

He also said that the government should be mindful as the people were watching and urged the relevent authorities to come up with a mechanism to keep tabs on monopolistic system.

“This thing keeps happening. Last time we had Tajuddin Ramli controlling MAS but what happened? At the end, government had to take responsibility for its losses.

“That’s why I object to monopoly. Don’t depend on one person to control our economy,” said Bung Mokhtar.

Sack the governor

On Zeti, Bung Mokhtar urged the Finance Ministry to probe the Bank Negara governor for allegedly being negligent in monitoring the rising numbers of gold trading companies in Malaysia.

He was referring to the recent raid by Bank Negara on four gold trading companies for allegedly being involved in various malpractises.

The companies raided were Genneva Malaysia Sdn Bhd, Pageantry Gold Bhd, Caesar Gold Sdn Bhd and Worldwide Far East Bhd.

“There were complaints made against some of the companies in the past five years but no action was taken. Why did Bank Negara raid and freeze their assets only after they have grown big?

“Looks like governor was sleeping on the job. If that’s the case, it’s time for the government to find someone who can really monitor our financial system better,” said Bung Mokhtar.

The Sabah MP also urged Bank Negara not to penalise the investors for the wrongdoings of the companies. His statement received the support of Sri Gading MP Mohamad Aziz.

He added that it was only fair for the central bank to return money to investors first before freezing the companies assets.

“People are worried whether they will get their money back or not. Next time, return their money first before taking action against errant companies,” he said.

MAS SPINNING PLAN

MAS’ BONDS ARE NOT DEEMED AS BORROWINGS : LEAVING THE PENSION FUNDS SEEMINGLY CONNED?

August 17, 2012, 9:13 am

Source: http://scwatch.wordpress.com/2012/08/17/mas-bonds-are-not-deemed-as-borrowings-leaving-the-pension-funds-seemingly-conned/

"The government is using the retirement savings of the people to keep afloat a company that is struggling to compete with its foreign competitors (note: the local market has been lost to Air Asia)."

It was not really surprising when MAS announced its second quarter results with another loss in the region of RM350m.

It’s still bleeding and there is no sign of it stopping in the foreseeable future.

One of the main reason is the fixed overheads including maintaining over 20,000 employees without corresponding returns in terms of revenue generated or value add provided to the organisation.

It therefore begs the question as to what kind of returns MAS’ management expects in the following year or so……with the RM2.5 billion worth of ‘perpetual bonds’ it has issued or plans to issue.

To date RM1.0 billion has been issued based on its second quarter results.

The worry (I’ll tell you later why  we should worry) is that the monies raised from the bonds will only be used to keep the company afloat i.e. without investing it to generate profits for MAS.

Hey, don’t try to kid us with the A380 super jumbo jets which MAS had taken delivery of……as the saviour for MAS!

They were ordered years ago premised on projections based on a wish and a hope…..and may find utilisation of these planes scarce compared to its more efficient competitors!

Which brings me back to the point of the bonds – if the proceeds are just to pay for its abnormally high overheads (in order to evade the political repercussions of not paying!), it may explain why the bonds have features that do not oblige MAS to pay interest on the bonds NOR to repay the principal!!

What kind of bond is this, you may ask?

Well, as long MAS gets the money, who cares?

The one who cares will be the one coming out with the money!

And who are they?

The country’ pension funds!

The bonds’ special features of not being obliged to pay interests or principal may also explain why the bonds are NOT deemed borrowings in MAS’ books.

It may also ‘justify’ the bonds not requiring any rating!

They are effectively deemed to be share capital in  nature.

Why the obsession not to have the bond classified as borrowings?

Well, there is this indicator used by financial analysts the world over called “Gearing Ratio” which effectively measures the level of borrowings compared to your shareholders funds.

The higher the ratio, the higher the risk to the company.

Therefore, what is supposed to be part of the numerator (read: borrowings) now becomes part of the denominator (read: share capital)!

That way, the gearing ratio of MAS looks better than it really is…….through this window dressing exercise vide the use of fancy words in the Terms of Reference when issuing this bond.

Which comes to why we should worry about this whole exercise.

Granted, this kind of bond has been issued in other countries…….but the companies that issue them are financially strong and investors queue up to invest in their shares and financial instruments.

This is inspite of the remote risk of these ‘blue chips’ not paying interest or repaying principal … the investors are prepared to take that risk to enable these companies to add a few more brownie points to their existing AAA status!

Not so for MAS, our dear old Malaysian Airlines!

Many have claimed that MAS is technically insolvent……and it’s financials seem to support such an assertion.

So the question is why would anyone want to invest in the kind of bonds that a struggling company like MAS has issued……knowing full well that MAS is not obliged to pay interests nor are they obliged to repay the principal?

That’s because the common factor here is the government which effectively controls MAS and also the pension funds!

The government is using the retirement savings of the people to keep afloat a company that is struggling to compete with its foreign competitors (note: the local market has been lost to Air Asia).

And the decision to do so appear purely political……i.e. to enhance standing of UMNO…..the costs of which are borne by the people’s savings in the pension funds!

Is this acceptable?

Shouldn’t the bonds issued by MAS be subscribed by Tajuddin Ramli and his cohorts?

Press Statement

Press Statement By Tan Sri Abdul Aziz Bin Abdul Rahman,

Former Managing Director of Malaysia Airline System

23 July 2012

"In the interest of the good name of our National Carrier and also the Nation, I suggest that colours of the Logo and livery on the A380 aircraft be reverted to the airline’s original colours as soon as possible, before it is too late."

The colours of the Logo and the Livery of the MAS A380 aircraft are outrageously wrong. They are wrong for at least two main reasons.

Firstly, the new colours have deviated from the original tradition and objective of the official colours of the national carrier. The colour of the logo has ignored the original tradition and history of the creation of the logo.

The original colour of the logo was red depicting one of the prominent colours of our Flag – the Jalur Gemilang as MAS is the country’s Flag Carrier. Later, dark blue colour was added as one of the main colours of our flag. All these were chosen and approved by the government and in particular YAB Tun Abdul Razak. The airline operated throughout the periods of all the Prime Ministers in those colours.

The latest Prime Minister that approved the logo was Tun Mahathir Mohamad. I remember going to see him with the designer Encik Johan to get his blessing. He was the one who suggested that the Logo on the tail of the aircraft be tilted slightly to give the aerodynamic look.

Secondly, the new different colour of the Logo is in conflict with the basic principle of branding in business. It portrays the image of confusion among the consumers and reflects badly on the management. No business organization would do such a thing.

Furthermore, in this case the A380 aircraft will be flying all over the world. It will create a bad image for our National Carrier.

In the interest of the good name of our National Carrier and also the Nation, I suggest that colours of the Logo and livery on the A380 aircraft be reverted to the airline’s original colours as soon as possible, before it is too late.

In this regard, I think the government should investigate to find out as to who had decided on the new colours without sound reasoning and direct the management accordingly.

Signed,

Tan Sri Abdul Aziz Bin Abdul Rahman