Despite AirAsia chief’s rebuttal, analysts less sanguine over budget carrier’s financial plight
- KUALA LUMPUR: AirAsia co-founder Tony Fernandes has insisted that the airline does not need government help but analysts say numbers tell a different story - which is that its “financial situation is still in a dire state” and issues remain.
- They say the spotlight on the Malaysian budget carrier’s plight has also put the viability of its low-cost model under scrutiny after years of restructuring, rapid expansion and accumulated financial pressures.
- And if conditions continue to worsen despite Fernandes’ assurances, a bigger question remains: How far should the Malaysian government go to protect
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- KUALA LUMPUR: AirAsia co-founder Tony Fernandes has insisted that the airline does not need government help but analysts say numbers tell a different story - which is that its “financial situation is still in a dire state” and issues remain.
- They say the spotlight on the Malaysian budget carrier’s plight has also put the viability of its low-cost model under scrutiny after years of restructuring, rapid expansion and accumulated financial pressures.
- And if conditions continue to worsen despite Fernandes’ assurances, a bigger question remains: How far should the Malaysian government go to protect
Sources: CNA