After announcing the resignation of its founder and CEO, an extension to its AOC and the placement of an interim CEO just over a week ago, Malaysian low-fare carrier MYAirline has now ceased operations, effective from 12 October.
The airline cited financial pressures as the main reason for this termination, only 11 months after it started up.
In a press conference statement, its Interim Accountable Executive, Datuk Seri Azharuddin Abdul Rahman, as reported by the Malay Mail, said that the collapse of the airline was due to investor withdrawal and a lack of a contingency plan.
It leaves one to wonder just how MYAirline managed to secure an extension on its AOC from the Civil Aviation Authority of Malaysia (CAAM) just a few days prior to its collapse if it was in such dire financial straits.
To help aid its passengers, the airline has set up a hotline on its website to issue refunds and provide assistance.
Funding is still waiting to be secured, but once done, Rahman said that staff salaries and statutory payments would be paid. He also confirmed that MYAirline’s interim CEO, Stuart Cross, who was announced mere days ago, has also resigned.
Photo credit: MYAirline
