Malaysian Airline System Bhd, the nation's biggest carrier, said it's seeking compensation from Airbus SAS because of a delay in the delivery of six A380 aircraft from the manufacturer.
Penerbangan Malaysia Bhd, the parent of Kuala Lumpur-based Malaysian Airline, placed a US$1.6 billion order for six A380 planes in December 2003, scheduling them for delivery in January 2007. With an average delay of six months, the plane will be delivered starting in July 2007 until May 2009, the airline said.
"We are naturally disappointed with this delay," Malaysian Airline's executive director Azmil Zahruddin said in a Sept. 11 statement. "We are considering our options on this matter."
Malaysian Airline joins Emirates, the largest customer for the A380, Qantas Airways Ltd and Singapore Airlines Ltd in seeking damages after the world's biggest maker of commercial aircraft said in June the first deliveries of the new 555-seat aircraft will be delayed as much as half a year. The delays are a blow for Toulouse, France-based Airbus, which is counting on the A380 to keep its sales lead over Chicago-based Boeing Co.
The A380, which will be the biggest passenger plane when it comes into service, costs US$282 million to US$302 million each, based on catalog prices.
Malaysian Airline will consider "reappraising" the deployment of planes for existing and future routes as well as its weekly frequencies to minimize the impact of the delayed A380 delivery, the carrier said.
The carrier last month reported a loss of 280.7 million ringgit (US$74.5 million) in the quarter ended June, compared with last year's profit of 26.6 million ringgit, after record oil prices raised fuel costs. Malaysian Airline is seeking to cut costs and boost long-haul flights to stem losses.
Singapore Airlines, Asia's most profitable carrier, plans to be the first airline to fly the A380 in December next year.
‘A SERIOUS THREAT’: Japan has expressed grave concern over the Strait’s security over the years, which demonstrated Tokyo’s firm support for peace in the area, an official said China’s military drills around Taiwan are “incompatible” with peace and stability in the Taiwan Strait, Japanese Minister of Foreign Affairs Takeshi Iwaya said during a meeting with his Chinese counterpart Wang Yi (王毅) on Thursday. “Peace and stability across the Taiwan Strait is important for the international community, including Japan,” Iwaya told Wang during a meeting on the sidelines of the ASEAN-related Foreign Ministers’ Meetings in Kuala Lumpur. “China’s large-scale military drills around Taiwan are incompatible with this,” a statement released by the Japanese Ministry of Foreign Affairs on Thursday cited Iwaya as saying. The Foreign Ministers’ Meetings are a series of diplomatic
URBAN COMBAT: FIM-92 Stinger shoulder-fired missiles from the US made a rare public appearance during early-morning drills simulating an invasion of the Taipei MRT The ongoing Han Kuang military exercises entered their sixth day yesterday, simulating repelling enemy landings in Penghu County, setting up fortifications in Tainan, laying mines in waters in Kaohsiung and conducting urban combat drills in Taipei. At 5am in Penghu — part of the exercise’s first combat zone — participating units responded to a simulated rapid enemy landing on beaches, combining infantry as well as armored personnel. First Combat Zone Commander Chen Chun-yuan (陳俊源) led the combined armed troops utilizing a variety of weapons systems. Wang Keng-sheng (王鏗勝), the commander in charge of the Penghu Defense Command’s mechanized battalion, said he would give
‘REALISTIC’ APPROACH: The ministry said all the exercises were scenario-based and unscripted to better prepare personnel for real threats and unexpected developments The army’s 21st Artillery Command conducted a short-range air defense drill in Taoyuan yesterday as part of the Han Kuang exercises, using the indigenous Sky Sword II (陸射劍二) missile system for the first time in the exercises. The armed forces have been conducting a series of live-fire and defense drills across multiple regions, simulating responses to a full-scale assault by Chinese forces, the Ministry of National Defense said. The Sky Sword II missile system was rapidly deployed and combat-ready within 15 minutes to defend Taiwan Taoyuan International Airport in a simulated attack, the ministry said. A three-person crew completed setup and
The Philippines is working behind the scenes to enhance its defensive cooperation with Taiwan, the Washington Post said in a report published on Monday. “It would be hiding from the obvious to say that Taiwan’s security will not affect us,” Philippine Secretary of National Defense Gilbert Teodoro Jr told the paper in an interview on Thursday last week. Although there has been no formal change to the Philippines’ diplomatic stance on recognizing Taiwan, Manila is increasingly concerned about Chinese encroachment in the South China Sea, the report said. The number of Chinese vessels in the seas around the Philippines, as well as Chinese