Malaysia Airlines placed into administration
Disaster-hit Malaysia Airlines has been placed in voluntary administration as part of a restructuring under its government owners.
The company will relaunch with a new business model and new name in September.
Speaking to The Australian, chief executive Christopher Mueller said operations would continue as normal and existing bookings would not be affected.
"This appointment does not affect our daily operations or existing reservations," he said.
"You can continue to make reservations in full confidence that our flights and schedules are operating as normal, that tickets sold will be honoured, and that our Enrich frequent flyer program continues with miles and status preserved."
Reuters reports that Mohammad Faiz Azmi has been appointed to oversee the restructuring of the new company, Malaysia Airlines Bhd.
Meanwhile, local media reports that the airline plans to axe as many as 8,000 jobs.
Malaysia's The Star (via News.com.au) reports that the entire 20,000 workforce would be terminated and two-thirds of employees would be rehired.
According to News.com.au, the airline is also reportedly selling off its fleet of six A380 aircraft and four Boeing 777 jets to wipe out millions of dollars of debt.
Related articles
Free flights anyone? Malaysia Airlines give away flights and slash prices
Could towelette on Australian beach be new clue in MH370 disappearance?
