Malaysia Airlines raises fuel surcharges on international routes

KUALA LUMPUR - Malaysia Airlines, which is trying to revive its fortunes, has announced an increase in fuel surcharges on a number of international routes.

By (AFP)

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Published: Sun 3 Sep 2006, 8:05 PM

Last updated: Sat 4 Apr 2015, 4:14 PM

The changes, effective from Monday, will see a rise of between two and 20 US dollars for flights on Malaysia Airlines as well as those operated by its code share partners, the carrier said in a statement received by AFP Sunday.

‘Fuel cost continues to remain the single largest expense item for all carriers,’ it said.

‘Malaysia Airlines will continue monitoring and taking measures to mitigate this cost increase by streamlining and matching fuel surcharge rates with other airlines,’ the statement added.

Surcharges on flights from Malaysia to Southeast Asian destinations including Singapore, Brunei, Cambodia, the Philippines and Thailand will rise by two dollars.

Surcharges on flights from Malaysia to India, Bangladesh and European destinations were set to go up five dollars.

The fuel surcharge was raised by 10 dollars on Middle Eastern routes and by 20 dollars on flights to the United States and Argentina.

One route from Malaysia’s northern Penang state to Medan in Indonesia, saw a drop in the surcharge from 21.70 dollars to 18.70 dollars.

Surcharges on flights from Malaysia to Australia, China, Hong Kong, Japan, the Maldives, New Zealand, Pakistan, South Korea, Sri Lanka and Taiwan were unchanged.

Malaysia Airlines raised ticket prices and fuel surcharges on domestic routes in August as part of its restructuring plans.

The company, which posted a 1.3 billion ringgit (354.51 million dollar) loss for the 2005 financial year, has said it hopes to be back in the black by 2007 and to achieve record profitability the following year.

The airline has axed a number of domestic and international routes, plans to cut its workforce by 6,000 employees over two years and has sold its iconic headquarters building in Kuala Lumpur in efforts to improve the balance sheet.

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