Sunday, 20 July 2014

Malaysia Airlines faces doubtful future

Malaysia Airlines planes

Shares in Malaysia Airlines closed down 11% in Malaysia following the crash of flight MH17 in Ukraine en route from Amsterdam to Kuala Lumpur.
Some Asian stock markets also ended the day lower on fears the crash may intensify political tensions between the West, Ukraine and Russia.
This is the second catastrophe to hit the Malaysian airline this year after flight MH370 disappeared in March.
Questions are being asked about whether the carrier can now survive.
"Even if this is pure coincidence, it's never happened in history that a flag carrier has seen two wide-body aircraft disappearing in a few months," said Bertrand Grabowski, head of aviation at DVB Bank, which acts as a banker to Malaysia Airlines.
"The support from the government needs to be more explicit and perhaps more massive."

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