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'MASwings restructuring has major impact on Sabah, Sarawak'
Kuching: The equity ownership of MASwings by the Sabah and Sarawak governments would have a major impact on the economic development of the two states, said Sarawak Tourism Minister Datuk Amar Abang Johari Tun Openg.
He said Datuk Seri Najib Tun Razak's announcement yesterday on the study to restructure the wholly-owned subsidiary of Malaysia Airlines, reflected the prime minister's concern on the need to increase air communication in the two states.
"We are grateful to the prime minister and should continue to give the mandate to him as Sabah and Sarawak are still in need of more federal assistance to develop their infrastructure facilities," he told a media conference here today.
Yesterday, Najib, in the 'Promises Fulfilled' roadshow here, among others announced a review to consider the involvement of the Sabah and Sarawak
Governments in the equity ownership of MASwings.
MASwings began operations officially on Oct 1, 2007, with services into the interior of the two states.
Elaborating, Abang Johari said the two state governments were still negotiating with Malaysia Airlines to finalise the equity held by the parties
However, he said, both state governments were expected to become majority shareholders to enable them make a decision on the service of MASwings.
He also felt that MASwings need not compete with other airlines and that a new suitable business model would be drawn up. -- Bernama