Malaysia’s MY Airline has announced it has been forced to suspend all operations indefinitely.
The Collapse Of MYAirline
A suspension of operations comes following financial pressures of significant value that have hurt the airline. Suspending operations is what they believe to be necessary.
MYAirline would need to undergo a significant business restructuring alongside recapitalisation to emerge more positively looking ahead.
While no timeline for a resumption of operations has been outlined, the carrier remains hopeful it’ll one day return to the industry.
However, due to time constraints, ongoing plans to find partnerships or ways to secure funds were impossible.
Carriers can struggle to return to the industry once operations are suspended, especially for the 10-month-old carrier.
A CEO Departs The Airline
Only last week did MYAirline have its structure thrown on its head with Rayner Teo, the CEO, departing the airline following health concerns.
At the time of the collapse, MYAirline was thus only operating with an interim CEO, Stuart Cross, who was acting as the COO in his regular day-to-day job before Teo’s departure.
A Look Into The MYAirline Story
MYAirline is one of the newer carriers in the industry. Founded in 2021, it eventually commenced operations in December of 2022. Therefore, the airline is only ten months of age.
It was primarily a low-cost carrier based in Malaysia and Kuala Lumpur International Airport. Throughout 2023, it has acquired aircraft and had a view to expand.
However, as 2023 progressed, financial concerns became present. New Strait Times reported that the airline was also late on critical payments.
What Was The MYAirline Fleet?
At the time of the collapse, MYAirline had an active fleet of 8 aircraft with 2 in storage.
All units it has to its name are from the A320-200, with an average age of 14.4 years. Its oldest unit sits at 16.8 years.
The entire fleet had been acquired on an operating lease from a host of companies that included Aircastle, Avolon, Aviation Capital Group and SMBC Aviation Capital, to name a few.