MAS Dropping Routes to Ensure Air Asia Gains Market Share?

That is a very long title. I'm talking specifically about the Kuala Lumpur - Surabaya route. From 6 January 2012, MAS no longer flies to Surabaya. Apparently it is one of the many unprofitable routes currently served by MAS. Not surprisingly, sister company Air Asia flies to Surabaya too. How come KUL-SUB can be profitable for AA and not for MAS?

While we're on the topic, is it true that MAS pays way above (high-end) market price for its nasi lemak? Is it true that suggestion to change the aircraft from B747 to B777 for the day flight to London was shot down by certain people upstairs because the 777 lacks a first class? Is true that MAS is top heavy and they are over paid? I'm not hurling accusations. I'm asking questions. 

If I was in the position to appoint a CEO to overhaul MAS, I'd probably hire someone (very) senior from the world's successful airlines like Cathay Pacific, SIA or Lufthansa. Chances are he/she may not be Malay and Ibrahim Ali will be furious. He will then call me a traitor and ask for my citizenship to be revoked. He will also say something stupid (as he always does) like 'MD MAS hak Melayu'. Let's not talk about Ibrahim, let's look at who made money from the skies last year.

Top 5 by Net Profit (ATW World Airline Report 2011)

1.         Air China

2.         Cathay Pacific

3.         Lufthansa Group

4.         Emirates Airline

5.         China Southern
Ethiopian Airlines is once again Africa's most profitable airline, according to 2011 World Airline Report by Air Transport World (ATW). For Fiscal Year 2010 which ended in June, Ethiopian Airlines made a net profit of 121.4 million dollars, ranking it as the most profitable airline in Africa by far. Second place South African Airways made a net profit of 78.9 million.

Ethiopian's revenue for FY 2010 was $1.3 Billion. In 2010 World Airline Report, Ethiopian Airlines was ranked the 16th most profitable airline in the world. In 2009, Ethiopian was ranked 25th in the World's Top 25 Airlines, appearing for the first time.

(ATW World Airline Report 2011) 


If Ethiopian Airlines can, how come MAS cannot??