KUALA LUMPUR – AirAsia X Bhd’s (AAX) net loss widened to RM308.46 million in the third quarter ended September 30, 2020, from RM229.89 million in the same quarter last year.
The closure of international borders following the Covid-19 pandemic dragged the long-haul carrier’s revenue down by 94% to RM59.91 million during the quarter under review from RM1.01 billion previously.
For the cumulative nine-month period, AAX’s net loss ballooned to RM1.16 billion against RM393.67 million while revenue shrank to RM1.08 billion from RM3.20 billion previously, the airline said in a filing with Bursa Malaysia today.
On October 6, AAX announced a proposed debt restructuring scheme to reconstitute the RM63.5 billion debt into a principal amount of RM200 million, which is payable annually over a period of up to five years.
“The implementation of the scheme is ongoing and its success is critical to the ability of the company to raise new funding, either as debt or equity, and to continue as a going concern,” it added.
In a separate filing today, Mercury Securities Sdn Bhd, on behalf of the airline’s board, announced that Bursa Malaysia Securities had, vide its letter dated today, resolved to grant AAX an extension of time until Jan 6, 2021, to submit the application for the proposed share consolidation and the draft circular to the AAX shareholders in relation to the proposals.
Under its planned corporate restructuring, AAX has proposed a consolidation of every 10 existing ordinary shares in AAX into one AAX share. – Bernama, November 19, 2020
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