PETALING JAYA: Social media users have expressed frustration over low cost carrier AirAsia X Bhd’s proposal to pay only 0.5% of RM33 billion debt owed to each of its creditors and passengers.
That works out to just 5 sen for every RM10 and RM50 for anyone who had bought tickets for RM10,000.
One social media user called Retweeter said the move was unfair to other businesses as the move is to prevent liquidation of the company.
“Not fair to other businesses that have closed down because of huge debts during the pandemic,” said Retweeter.
Mebert tweeted: “Wish I could take huge loans/mortgages & just pay 0.5% to my lenders. Nah…not going to happen for an ordinary civilian.”
Dianna Low said she preferred to travel using the money she paid for her ticket two years ago. “No thanks to your pathetic repayment sum. I wanna fly to the destination I had paid for two years ago.”
Rosvinder Kaur said: “Shame on you.”
Kafie Roslan said he would rather fly with Malaysia Airlines from now on.
Christopher Chee Liat Long wrote that it seems unfair to ask passengers to absorb the losses.
Sean Too felt AirAsia should change their slogan to “Now every creditor gets back only 0.5%”.
The airline had also said that if it was approved, the exercise would be a full and final settlement and the company would not be liable to any legal action from any creditor after that.
In a report by Bloomberg, the long haul carrier told creditors it was unable to meet immediate debt and other financial commitments based on its financial position and industry outlook.
The low-cost airline has barely flown in 19 months, since the early days of the Covid-19 pandemic.
“To avoid liquidation and to allow the airline to fly again, the only option is for AirAsia X to undertake the proposed debt restructuring, proposed corporate restructuring and proposed fundraising and update its business model to survive and thrive in the long-term,” the airline said.
The carrier posted a record quarterly net loss of RM24.6 billion in the three months ended June, mainly on provisions for the amount payable to creditors. Its shares fell 5% to 9.5 sen at the close.