MAS TRIO’s briefing “ACCURACY IS NOT GUARANTEED!”

by weechookeong

On 29 February 2012 En Ahmad Jauhari Yahya,(AJ) ,En Mohammed Rashdan Yusof aka Danny(Rashdan), Tan Sri Azman Mokhtar’s ex-businesss partner in BinaFikir Sdn Bhd and crony,  and En Rozman Omar (Rozman), the newly crowned CFO of MAS and ex high ranking officer of AirAsia, briefed the media of the performance of MAS for the 4th Quarter and FY 2011. They have produced figures based on the UNAUDITED ACCOUNTS of MAS to the media that showed MAS has suffered huge losses to the tune of RM2.524 billion. The said losses must have shaken the Government and nation. Why was there a desperate need to make such a sudden briefing/announcement at this particular time? It was done some 12 days before the commencement of Parliament on 12-3-2012. What a coincidence!

Of course, they didn’t strongly emphasise that the figures quoted derived from the unaudited accounts and the above Disclaimer. Yours truly has the privilege of receiving the presentation slide  entitled: “Malaysia Airlines,  4th Quarter & FY2011 Financial Results, MH Pulse Financial Briefing” by AJ (Group CEO), Rashdan (Deputy Group CEO) and Rozman (Group CFO), the famous TRIO.

The TRIO took great PRIDE in telling the world that how “sick” was MAS. Perhaps the TRIO was hoping that they could garner the support of the nation for them and, most of all, TO JUSTIFY what they have senseless done until now and charted to do in the future!. Read HERE.  Perhaps to also justify the secret MAS – AirAsia share swap, CCF and the exercise of 10% option to purchase AirAsia X Sdn Bhd by Khaznah Nasional Bhd, which is headed by Tan Sri Asman Mokhtar, the ex-business partner of Rashdan in BinaFikir Sdn Bhd.   Hence, the TRIO thought it fit to mislead the Government and nation with the items and figures quoted as part of the losses. The said “briefing” was seen as a “propaganda exercise” in futility and a waste of public fund!  Below are the said items that formed part of the huge losses:

•   Fuel cost increased by 25% (RM305m)

•   Non-fuel cost increased 50% mainly due to additional provisions:

                 - Redelivery of aircraft RM602m

                – Impairment of freighters RM314m

                – Stock obsolescence RM179m

•   Unrealised forex translation gains RM22m, Derivative gains RM28m

The above so-called losses totaled RM1.277 billion!  You don’t have to be a genius  to know that the above items cannot be treated as part of MAS losses.  Which accountants or consultants did the TRIO use that thought them such creative accounting?

If those items and figures were produced by Rashdan, who was Tan Sri Azman Mokhtar ex-business partner in BinaFikir Sdn Bhd, yours truly could understand because Rashdan together with Tan Sri Azman Mokhtar were both in BinaFikir Sdn Bhd and were two of the chief architects that were responsible for the project WAU in 2002 that has made “MAS an asset light airlines”. MAS has became lighter after the disposal of  70% of its share in MAS Catering Sdn Bhd to Gubahan Saujana Sdn Bhd, a company controlled by former PM Tun Abdullah bin Hj ahmad Badawi’s brother, Datuk Hj Ibrahim bin Hj Ahmad Badawi.  Soon thereafter, MAS signed a one sided catering agreement for 25 years with MAS Catering Sdn Bhd, which name has since been changed to LSG Sky Chef – Brahim Sdn Bhd. No wonder Rashdan was seen to be talking about disposing “non-core assets” of MAS. Read HERE.

Yours truly hopes that Rashdan is not thinking of MAS Engineering, MasKargo and MAS Academy as “non-core assets”.   AJ, you are a real fast learner!

The above DISCLAIMER was a part of the slide show for said briefing. Please examine the “Disclaimer” properly. The TRIO let the cat out of the bag by the said DISCLAIMER. It clearly stated that “… it may not contain all materials of the Company and its ACCURACY IS NOT GUARANTEED“. “Neither Malaysian Airlines System Berhad (“MAS” or “the Company”) nor its affiliates, directors, shareholders, its employees, agents and advisors make any representation regarding and assume responsibility or liability and assume no responsibility or liabilities for the accuracy and completeness of or any error or omission of information compiled herein.”  ”No assurance can be given that future events would occur and the company’s assumption is correct and projections can be achieved.” The said briefing by the TRIO had already been discredited by their sole reliance on the unaudited accounts. The DISCLAIMER has made it to be of ZERO value!  

How could the TRIO holding such high posts of Group CEO, Group Deputy CEO and Group CFO of MAS, spending MAS fund in the appointment of so many expatriate consultants and preparation of the said briefing and at the same time the TRIO chose to disclaim all responsibility or liabilities for the accuracy and completeness of the information presented to the nation?  The TRIO depicts a half baked management who has no clue as to what are their role as top managers of MAS. What a joke!

With such so-called briefing based on unaudited accounts and coupled with a DISCLAIMER, it would appear that MAS does need the TRIO after all because they have made strong negative statements about MAS and the same time the TRIO disclaimed “responsibility, liability and the accuracy” of what they have presented in the said briefing on 29-2-2012.  The TRIO  have now joined the “Panamera Deadwoods Department” due to their  sole qualifications of drawing huge salaries and perks, making senseless decisions for MAS and contributing to the “LEAKAGES” in MAS.  During such difficult period for the aviation industry, MAS does not need such characters to ensure that our national airlines MAS will be grounded sooner than expected.