TRANSPORT MINISTRY READY TO CONSIDER PROPOSALS TO SERVE STOCKHOLM, NY AIR

KUALA LUMPUR, July 9 (Bernama) -- The Transport Ministry is ready to
consider proposals from airlines like AirAsia to serve the Kuala
Lumpur-Stockholm-New York route on which Malaysia Airlines (MAS) will cease to
operate effective this October.

In a statement to Bernama Thursday, Deputy Transport Minister Abdul Rahim
Bakri said the offer was however subject to agreement from all relevant
authorities.

Currently, AirAsia's unit, AirAsia X offers long-haul flights to London,
Melbourne, Perth and Taipei.

On Monday, Malaysia Airlines announced that it will stop its flights to
Stockholm and New York but will retain its offices in the two cities and offer
its services to customers via its code sharing partner, KLM, which flies to
Stockholm via Amsterdam.

On another note, Abdul Rahim said the global economic slowdown was among the
reasons for the significant drop in MAS performance for the first quarter of
this year.

"For the first quarter, MAS is reported to have registered losses amounting
to RM698 million.

"The number of passengers using MAS services during January to April this
year went down by 11 percent compared with the same period of last year," he
said.

However, this phenomena is being experienced by a majority of airlines that
have reported significant drops in passenger numbers, he added.

Against this scenario, MAS has taken various measures to promote sales via
online, as well as through better fares and promoting its services through
travel agents and tourism agencies as well as aggressive media promotions.
(US$1=RM3.52)
-- BERNAMA