MAS TO CUT DOMESTIC FUEL SURCHARGE WEDNESDAY

KUALA LUMPUR, Jan 13 (Bernama) -- Malaysia's national carrier, Malaysia Airlines (MAS), will remove its domestic fuel surcharge effective Wednesday.

In a statement Tuesday, MAS said the decision took into account the decline
in fuel prices, competitive pressures and the need to boost air travel during
this period of economic slowdown.

Managing director/chief executive officer, Idris Jala, said fuel remained
the airline's biggest cost.

"The fuel bill for financial year 2008 will be higher than 2007's as the
fuel surcharge only covered about 30 percent of the fuel cost," he said.

He said despite recent falls in oil prices, fuel costs were still higher
compared to when the surcharge was introduced in 2004.

Idris said there would be more competitive pricing for MH Value Fares which
offered four fare options for economy class travel -- MHlow (up to 70 percent
discount), MHbasic (up to 50 percent) and MHsmart (up to 20 percent).

Earlier, MAS had reduced fuel surcharge for travel from Malaysia to South
Korea, Japan, Paris, Hong Kong and Singapore and from other points of sales to
various destinations.