It has also requested Bursa Malaysia to exempt itself from the requirement to submit a proposed regularisation plan as required under paragraph 8.04(3)(A) of the Main Market listing requirements.
About two years after entering the PN17 category on July 30, 2020, AAX said in a separate statement today that it has undertaken a broad range of measures and corporate exercises to improve its financial position.
“The first of these being a set of restructuring exercises which incorporated a debt restructuring scheme, share capital reduction of 99.9% of AAX’s share capital, share consolidation and a revision of its business plan,” the statement read.
Its revised business plan incorporated elements which include a leaner and more viable cost structure with primary focus on medium-haul flight operations.
Under the plan, the group had terminated unprofitable routes and recalibrated its focus on routes with proven loads and yield performance in the airline’s core markets.
AAX has also deferred all investments in new and immature routes, and restructured all of its contracts and arrangements in relation to its fleet and overall operations to better match its future size and requirements.
The group also undertook plans for manpower consolidation and optimisation, ensuring that its workforce is strictly aligned with its operational requirements.
Clear skies ahead
CEO Benyamin Ismail said the restructuring exercises allowed the group to transform and reset AAX towards a more sound and viable financial position.
“Since our emergence from hibernation back in April 2022, AAX’s operational and financial performances have been improving in line with the increasing demand that we have observed across all our core markets,” he said.
“Improved demand for travel has been evident in the last three quarters when we recorded passenger load factors of 73%, 79% and 80% for the periods ended Sept 30, 2022; Dec 31, 2022; and March 31, 2023 respectively,” Benyamin added.
He further said that AAX has managed to maximise the recovery of all its revenue segments even though some of its fleet remain on the ground.
“As of March 31, 2023, AAX’s cash position is healthy at RM192.37 million, without any outstanding debts. It has sufficient working capital for 12 months,” he said.
As at 11.51am, AAX’s share price was up 4 sen (2.4%) at RM1.71, giving it a market capitalisation of RM7604.49 million.