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Monday, March 11, 2019

Putrajaya to instruct review of MAS' Boeing 737 MAX contract



With a second Boeing 737 MAX plane being involved in a fatal crash, Economic Affairs Minister Mohamed Azmin Ali will request Khazanah Nasional Bhd to review Malaysia Airlines Bhd's purchase of the aircraft.
Two years ago, Boeing and MAS signed a memorandum of understanding to acquire 16 airplanes – eight 787 Dreamliners and eight 737 MAXs – during former prime minister Najib Abdul Razak's visit to Washington DC.
According to Azmin, the agreement must be reviewed in light of safety concerns arising from the Ethiopian Airlines 737 MAX that crashed yesterday en route to Nairobi.
“Certainly this matter must be looked into. I will get more explanation from the management of Khazanah. 
"Because, prior to this, there was another incident," he said, referring to the Lion Air crash in Indonesia crash last October.
“Certainly, the management of Khazanah has to look into this matter urgently to ensure the safety of airlines is paramount. 
"They have to revisit whatever agreement they had in the past,” Azmin told reporters after the Yang di-Pertuan Agong's speech in the Dewan Rakyat this morning.
No immediate decision
Meanwhile, Transport Minister Anthony Loke said the government has not made any immediate decision regarding the Boeing 737 MAX.
He pointed out the plane model would only be delivered to MAS next year, and that none were being used by the national airline at present.
“So we can't make any decision right now because they (MAS) are not using any of that model.”
Asked whether the ministry will suspend the delivery of the airplanes, Loke said he would check with MAS. 

“Of course, MAS is studying various options," he added.
The Transport Ministry oversees airline safety regulator the Civil Aviation Department.
Yesterday, an Ethiopian Airlines 737 MAX 8 bound for Nairobi crashed minutes after takeoff, killing all 157 people on board.
This morning, China aviation regulator ordered Chinese airlines to suspend their Boeing Co 737 MAX aircraft operations by 6pm. - Mkini

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