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Saturday, June 16, 2012

Danny Nanny's parting shots! [up-dated]


The good news is Rashdan Danny Yusof will leave MAS at the end of this month. Good riddance to this remnants from the corrupted network of Tingkat 4 boys.

The bad news is he decided not to leave quietly. He was featured in the front-pages of the mainstream newspapers' business column.

The Star report on Wednesday here quoted MAS claiming Danny left for personal reasons. It is a diplomatic answer but personal reasons can mean many things.

That way all of us can move on and there is a finality to the CCF debacle. Despite wrecking MAS twice, Danny too can move on. As BK Siddhu wrote last week here, "Enough time has been wasted fighting battles.

"The onus is on everyone at MAS to close ranks and work harmoniously to bring this airline back to profitability. It is not the job of an exclusive team but an inclusive initiative."

Despite certain reservation, we like to lend our hand and have given our words to support. By the look of things, all is progressing well and does not need commenting. [Read Bigdogdotcom here]

Unfortunately, the overeager and overbearing CEO wannabee decided to throw a couple of parting shots. First on the bloggers. Secondly, it is not impossible that he may have sabotaged Najib too!

Birds of Same Feather

Interestingly, the front-page news in Wednesday The Star Business Section had a picture of Danny with Ahmad Jauhari and Maybank Investment Banking CEO, Dato' Tengku Zafrul.

Coincidently, Zafrul replaced Danny at Maybank Investment Banking and had himself brushes with bloggers for his snide remark he made at Felda Chairman, Tan Sri Isa Samad.

Oh pleazzz ... these Gen Y's CEO-in-a-hurry should know better than to comment on the ethical and moral issues of others when they are pampered kids whose overzealousness for success defy moral and ethical values.

Zafrul thinks we do not know that one of his uncle is in Felda and aligned to the mutineering Director General, Dato Zulkifli-led faction. That was why he tried to pursue Felda listing job at Avenue Capital. There was also his mother at EPU lending a helping hand.

That lesson with the bloggers was something Zafrul should have shared with Danny before he was asked to leave Maybank Investment Banking for former partner's organisation Khazanah. Birds of same feather. They stink together.

At MAS, Danny was too over eager to exert his presence. He refused to win the heart and gain the respect of MAS staff.

While personal reason was cited by the press, the real reason he left MAS was simply he had no heart to appreciate other human beings. How can one expect to turnaround or rebuilt organisations by being inhuman? Organisation need humans.

Rabbit-faced Danny had ruthless intentions and the stench from his waste-filled heart stinks to high heaven!

At least under the Butcher from Shell, the 3,000 retrenched staff had something to live on. Former CEO, Dato Idris Jala had a MSS.

While Danny was on the steering wheels and AJ was still learning the rope, strange talk emerge of major retrenchment exercise but without any compensation.
Managers were advising staff to resign and get a job out there before the mad rush begins. Human Resource made no effort to squash such rumours.

There was talk staff being offered to resign from MAS and take up job in MAS Sdn Bhd with Danny deviously telling them to "take it or leave but don't expect any retrenchment benefit!"

There was tyranny throughout the organisation with Managers supposedly instructed to get petty and pick on the lower staff. At least, the Butcher from Shell, Idris Jala did not ill treat staff in such manner.

Circular e-Mail

Usually when someone leaves an organisation, even in cases of getting fired, one leaves the organisation amicably. A simple announcement, some tribute, thank you and one part ways.

But the e-mail circular by AJ to announce Danny's resignation was strange. On June 12th, 2012 at 18:22:19, an email circular was sent with the following clause:

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I regret that in past months, Danny has been most undeservedly and unfairly vilified and maligned in the blogosphere. Despite this tremendous pressure and stress, Danny has been deeply committed to the turnaround of our Company and the Board appreciates his commitment to continue to assist the Company whenever needed.”

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It was short, formal and typical of such announcement. But no ...

Two hours later at 20:30:17, the Circular e-Mail was amended with the bold part above expanded to retaliate against Bloggers and defend Danny. Read the para with the strange amendment, below:

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I regret that in past months, Danny has been most undeservedly and unfairly vilified and maligned in the blogosphere. Contrary to such blog reports, Danny has displayed an exemplary work ethic and dedication during his tenure in MAS, and has been deeply committed to the turnaround of MAS. The Board also expresses concern over the rampant leakage of company confidential information that results in disinformation in the blogosphere. The Board endorses Danny’s integrity, honesty and sincerity and considers his departure to be a genuine loss to the company. The Board also appreciates his commitment to continue to assist the Company whenever needed. As Chairman of the Board, I would like to express our heartfelt thanks to Danny and wish him farewell and all the best in his future endeavours.

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A case of revenge of the nerds.

Worst still, these overzealous and impatient zealot want to clean Danny's name immediately after keeping silence on all issues raised in the blogosphere.

This is not the way. Circular e-Mail with normal formal language (although not quite normal) like this can't absolve his sin in one go. These days it is no more believable.

Anyway, we are quite sure it did not come from AJ. The last thing AJ would like to do is to pick fights with bloggers. He needs all the support he could harness. It would matter when he has to deal with a certain past encounter of a third kind.

Thus it could only come from the Board of Directors and that could be checked from Board papers. Another possibility would be a call came from Danny's nanny, Khazanah Nasional incompetent CEO, Tan Sri Azman Mokhtar.

Instinctively, it is most likely to have been corrected and recirculated at the behest of Danny, the overeager and overbearing wannabee.

If it had been the insistence of the Board of Directors, then it is worth to focus on their re-election for the upcoming AGM.

Except a few, most of the members of the Board of Directors and Adviser may have ulterior motive and benefited from MAS but do not have the Airline experience to contribute to MAS. They are likely there at the request of Khazanah to protect Sleepy's interest in the long term cannibalisation of MAS for Air Asia.

Compare the profitability of MAS pre-, during and post-Tan Sri Tajuddin Ramli era. The post-Tajuddin era operation failed miserably and has an erratic profitability. Thanks to Khazanah Nasional as shareholders, "geniusness" of Binafikir's WAU, and Tun Abdullah as Prime Minister.

Amusing Accolades

Both version of the e-mail Circular can be found here in YB Wee Choo Keong's blog.

It is certainly amusing to read the e-mail that gave Danny such tribute as "instrumental in the formulation of our current Business Plan which was announced in December 2011." It explains why MAS had to change Business Plan some 7 times and Organisational Plan some 4 times since he first appeared back into MAS in October 2010.

Danny was given credit for "strategic initiatives have recently shown positive results in our Q1/2012 earnings announcement." Does the strategic initiatives include hiring and paying Air Asia consultant in the millions and appointing unqualified key staff of Air Asia?

Even as a lawyer, Wee can spot that Danny, who over the years, have been going around as a self-proclaimed aviation specialist and expert for Khazanah, has no business and operational sense. We'll not share what aviation practitioners comment of Danny's expertise claim, fact finding questions and views.
Read again his blog here.

The truth is Danny never had the interest of MAS in mind. The first WAU looks to be about quick job and fat fee for Binafikir. This time around, he is in MAS to carryout orders from Air Asia's Tony F to pick up the juicy morsel of meat for Tune Air.

CCF is not a Comprehensive Collaborative Framework as it is described by Danny in some fancy Latin mumbo jumbo to supposedly mean no party will take advantage on the other. It was a CIMB-led Conspiracy Framework, another Dato Nazir Razak-led repetition of Trimerger and many other unnecessary GLC corporate exercise.

Many within MAS were aware that there were lots of routes cut that ended up in the hands of Air Asia and Air Asia-X such as the Sydney, London, and many other routes upon his entry on October 15, 2012 and before AJ was appointed into MAS.

Firefly was an out of focus strategy of Idris Jala. It was expected to lose like any first year of operations. But it was operationally profitable to afford handsome bonuses for staff. Danny chopped it immediately to save Tony F from competition. Read CAPA reports here and here to see Danny was saving Air Asia than benefiting MAS.

Danny made hurried decisions before AJ came in and the CCF was sorted and signed to favour of Tony F and Air Asia.

No Rabbit Out of Hat

Financially, he did a low class and cheapest trick in the creative accounting textbook for novice. Provide for all possible losses and look good for next few quarters.

The massive loss of RM2.5 billion from writedown was ridiculously unrealistic and inconsistent for an ongoing concern. Thus to claim profit of around RM100 million for first Quarter is no big feat. It should be more if MAS was not informally led by Danny.

To credit Danny that had "spearheaded a special team by providing tremendous focus and steer to secure the Funding Plan", it was no rabbbit out of the hat trick from Rabbit Face.

Nothing "tremendous" to claim the RM2.5 billion Sukuk bond was well received. It was right hand issuing the bond and left hand using KWAP and EPF fund to subscribe. Public is not stupid and everybody anticipated that Government will help.

The fee in the millions was buta-buta paid to Maybank Investment Banking. Suspect something for Danny for later days.

Read former Corporate Banking Manager who has gone through the mill, Outsyed the Box comment on Danny's funding structure here. He was never CEO but can think better than Danny to protect Government as stakeholder.

Frankly, the funding structure and CCF is no creative financial engineering. Our poser to Danny: After getting the funding in place, what happens after that? And after that?

Was maximising shareholders value considered? Cukuplah hint. With this, what if something go wrong?

Mind you, it is not impossible with majority non-Airliners in the driver seats, risk of sabotage from Air Asia loyalist in key positions, and widely known incompetents like Datuk Mohd Salleh Tobrani promoted (that is why PAS claimed him as most senior around) by top management.

MAS management do not take the bull by the horn or take charge. Neither are they visionary enough to be one step ahead of the crowd. Because they are dominated by trend following analyst

There happen to be a former analyst that is incompetent and lack vision in leading Khazanah.

Media and Cover-up

Why was the CCF and financing structure that had Danny's hand in had no vision and lack ambition? Janji siap dan cukup makan. Very tidak apa in attitude.

Now we know. Out of the blue, The Star with Tony F on it's Board of Directors wrote a piece "What is MAS intrinsic value?"

One can suspect that Khazanah is bailing out of it's responsibility to manage and turnaround strategic investments of the nation. Again and again, it happened to UEM with PLUS in it, and Proton.

Remember that Khazanah once sold Telekom shares to Singapore Temasek in exchange for pittance.

Luckily the CCF was reverse. Danny may have known about the planned Khazanah sales and would have substantially benefited from insider trading of his 1,201,900 shares in MAS.

So ... Danny is angry with bloggers, specifically of YB Wee Choo Keong for revealing the illegal Nanny upgrade. Dare him to sue Wee!

Can the Board explain how Danny was "most undeservedly and unfairly vilified and maligned in the blogosphere" with the rule on children in first class is crystal clear, Voyage Report stated the event, and Managers are scared into participating in the DI?

Public perception develops when issues raised was never addressed by the person and management. Public and Media Relation of MAS was not engaging. Yeah right ... only take the mainstream media for the A380 ride.

Alternative media and bloggers have a different culture than old school journalism and they have long memory.

As far as what is known of Danny and his employment history, it is a joke to equate him with "examplary work ethic and dedication" and "deeply committed to the turnaround." Oh really? Mind explaining why Danny wasted RM18 million MAS money to advertise with bottom-of-table QPR?

Spending so much on unmeaningful advertisement but yet MAS sold it's London building that gave good advertisement value.

Basically his effort is exemplary and committed to jahanamkan MAS for Tony F pocket. Read Tony F's latest charade in Bigdogdotcom here to prove the point that MF is not sincere.

Call his bluff. Let him leave for Jakarta. There is many things in common between Tony F and Indonesians. See who gets cheated last!

For the Board of Directors to endorse "Danny’s integrity, honesty and sincerity and considers his departure to be a genuine loss", it only shows birds of same feather flock (and cover-up) for each other. Simply, it takes one to know one.

For the next two weeks, ask Danny the so-called man of integrity, honesty and sincerity:

Why is Amokh and him too afraid to answer to Parliamant on the Binafikir fee? If it is not true, correct the allegation that it is 2.5% of the about RM5 billion unbundled asset to PMB?

Keeping quiet does not show tranparency and it is an indication of dishonesty.

If the Management and Board of Directors is any smarter, they should have not complained and bitched "over the rampant leakage of company confidential information." Typical unwise overeager Gen Y. That phrase acknowledge truth in the leaks!

Yet they claim "disinformation in the blogosphere." If so, it goes back to MAS's incompetence in communication. Still stuck in old ways like their Adviser.

The leakage shows the management do not listen and staff have stopped trusting them. Management refused to heed the warning from the first townhall meeting that already demanded Danny not to be CEO.

The only way left for staff and maybe union to save the company from the planned cannibalisation is by leaking and revealing it to the public of the insidious plan. Clearly, the public is supportive.

This Circular e-Mail have made it tougher for AJ to be positive and regain the trust of the unions and staff.

Villifying bloggers is the dumbest thing MAS did. Bloggers are close to the ground, common people and rakyat. Despite some hit and misses, generallly blogger's information are useful feedback for management and administration.

We are being positively engaged by the Prime Minister, Ministers, corporations, businessmen and politicians, except MAS.

Potshot at Najib

One old timer in the airline industry said to us that he is aware that MAS is planned to be destroyed. That is why no effort is put to restructure MAS in other way than to cannibalise for Air Asia using CCF.

These hands, which are generally known characters and will do anything including the astounding news in the NST below:

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13 June 2012

Union opposition, negative perception reasons for MAS-AirAsia deal termination

KUALA LUMPUR: Opposition from the Malaysia Airlines Bhd (MAS) workers' union and the negative public perception are among the factors for the termination of the agreement on the share swap between MAS and AirAsia (Tune Air).

Prime Minister Datuk Seri Najib Tun Razak said since the implementation of the share swap, several MAS workers' unions did not give their cooperation to the MAS management and had opposed several efforts for drastic changes that were important for the recovery of the airline.

Najib, who is also the Finance Minister, said this in his written reply to a question from Hee Loy Sian (PKR-Petaling Jaya Selatan) who wanted clarification on the outcome of the investigation by the Securities Commission on the share swap agreement and the factor that led to the termination of the share swap.

The Prime Minister said the negative perception on the price collusion and the perception of antitrust practices had also resulted in a negative public perception on the share swap.

"This had placed pressure and distracted the focus of the MAS management on efforts to turn the company around.

"Subsequently on May 2, 2012, Khazanah(Nasional Bhd) had agreed to terminate the share swap in order to give an opportunity to the MAS management to concentrate on efforts to achieve benefits of synergy that had been identified," he said.

Meanwhile, Najib said the share swap agreement between the two companies was not subjected to investigation by the Securities Commission. -- BERNAMA


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At one go, many would be angry with the PM.

As it was made to understand, officials from the Ministry of Finance with the help from Khazanah would be the ones to assist PM prepare answers to questions for Parliament.

Lets get this straight. The unions were merely messengers of the wrongdoing, conflict of interest, and going-ons in the Company. Why should they be blamed?

For an plane to fly, three areas are critical; the pilots, the cabin crew and engineering. Everyone else, including the CEO and Board of Directors are playing supporting roles.

So what does union cooperation got to do with management bad decisions and plannings and poor communications? Have they not been doing their work?

Off course, staff can't give extra dedication and commitment with the future unsure, many tyrants like Danny roaming around within, cheap manouvre like NUFAM, and Khazanah as a devious major shareholder.

Really ... Najib is more diplomatic, articulate and politically savvy as to answer this written reply. Could someone be sabotaging him? Who?

Could it be Danny through his cooperating buddies in Khazanah and other remnants of Tingkat 4?

Foresight

Many staff are peeved with that answer if not for this saving grace of a comment below in NST today:

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15 June 2012

Union's support vital for MAS' turnaround plan

KUALA LUMPUR: A union is usually described as a democratic organisation of working people standing up for their rights on the job.

On the other hand, it is also said that unions can also be unreasonable to deal with when they put pressure on companies in terms of wages or their attitude towards certain company policies.

In the case of Malaysia Airlines (MAS), its workers unions were opposed to the share-swap arrangement with AirAsia and hence the subsequent rescinding of the deal.

It is common knowledge that they were unhappy over certain arrangements which they deemed as having put MAS at a disadvantage to the low-cost carrier.

Certain quarters have also questioned the lapses in judgment by MAS' major shareholders which had contributed to the brief but failed tie-up.

But going forward, MAS needs the support of its various employees' unions for any new turnaround exercise while its employees should embrace change so that they will have a better and more secured future, say analysts.

RAM Holdings Group Chief Economist Dr Yeah Kim Leng said regaining its lustre as one of Asia's premier international carriers is not going to be easy as the global airline industry is facing an increasingly tough and challenging environment.

Rising fuel costs, falling demand, fierce competition and challenging regulatory environments are plaguing the industry, he told Bernama.

Against this grim backdrop, all airlines have to contend with the constantly changing business landscape, failing which the weak, uncompetitive and inefficient will be driven out.

Dr Yeah believed that restructuring in various industrial sectors and companies were happening at a much faster pace in the country in response to the rapid internationalisation of trade, investment and business opportunities amidst the need to escape the middle-income trap syndrome.

Once the plans to revitalise MAS have been unveiled, the onus will be on the employees' unions to rally around their company.

Dr Yeah also said the MAS management would also have to work hard to fully harness its human capital and motivate its workforce to improve areas like cost efficiency, productivity and service quality to realise the company's business goals.

The critical success factors, he stressed, would be the ability to execute the airline's business strategies effectively and this has to be communicated to its employees with the cooperation of their unions.

Sharing the same view, another analyst who requested anonymity, said as MAS is essentially a service-oriented business and a government-linked company, the airline certainly needed the unions' support to turn around.

"The unions should give assurance that their members are supporting the management's turnaround plan while the management has also to give assurance on job security," he said.

The unions, he said, have to accept changes in a number of areas so that MAS would have a strong chance to grow again. -- BERNAMA


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Dr Yeah is absolutely right.

And Danny is an example that have given Gen Y a bad name; lazy, self-centred, and devoid of loyalty.

They don't bother to understand the problem thoroughly. They think they are already right. They refuse to listen to others.

They don't build anything but have no qualms to destroy something for their own narrow perspective.

And they don't seem to understand that organisation need people and that is why personnel management is now called human resource.

There are more than 20,000 workers making a living from MAS. What do they care?

Actually they don't really care about MAS. Only themselves.

* Up-dated and Edited: 16/6 11:30 PM

6 comments:

Anonymous said...

every time MAS vs Air Asia, MAS loss

* Are you recruiting some of MAS crew, those they are letting go?

We are taking 50 of the MAS Indian crew. Since we have grown, and if they are prepared to be mobile, we are prepared to take. But there are plenty of opportunities for crew out there.

http://biz.thestar.com.my/news/story.asp?file=/2012/6/15/business/11484860&sec=business

The sleepy advisor only advise i get 10 you get 1.

Anonymous said...

where is he gonna go now...

obviously has the biggest F in malaysia recent corporate history.

cannot engage with people, textbook type of guy, scheming b&*%st%d out to screw evryone in the office & boardroom. pretender of the worst kind.

not to khazanah we hope. amok, pls remember, khzanh is an MOF company, not yours. stakeholder is the nation.

Anonymous said...

Make sure you take back rosman, azhari and the hr lady.

Prince Malaya said...

Mcmner nak kembali untung,bila harta semua da jual...syrkt tiada nilai tambahan hanya harapkan penjualan ticket penerbangan...hanya pembekal smi yg Akan membungkus bila MAS tidak membayar pada mereka ini hanya krn mau menunjukkan keuntungan kononye.mari3 kita lihat episod seterusnya..

Anonymous said...

Appreciate viewpoint like voice dari local analyst yang taking every words of the buaya as though it is the honest truth.

True there is potential in Indonesia but the analyst takes no account of the lawless of indonesia?

Someone can get jailed not for being wrong there. TNB was cheated legally and when they intend to gire lawyers, the defense lawyers there advise do not waste time.

New Growth Era For AirAsia, Say Research Houses ,,, Hahaha local analyst buta, budak hingus

KUALA LUMPUR, June 19 (Bernama) -- Upon full implementation of Asean open sky policy in 2015, MIDF Research expects a quantum leap in the growth of Indonesia, putting AirAsia Bhd in good stead should it execute the right strategy.

It said the profit-making budget carrier, with its regional office in Jakarta, currently owns 58 aircraft to serve Malaysia's 30 million population, compared with 18 aircraft to serve 240 million people in Indonesia.

"We believe the move by its rivals, Tiger Airways to acquire Indonesia's Airline Mandala and Lion Air to purchase 201 new Boeing 737 aircraft, has compelled AirAsia to base its regional office in the country," MIDF said in a research note.

With fuel cost accounting almost 50 per cent of its operating cost, MIDF Research expected the softening of jet fuel price to improve the carrier's profitability in the coming quarters.

Jet kerosene price fell sharply by 15.8 per cent to US$112.31/b since last month.

"Our view is that crude oil price will remain depressed at current level for the remaining 2012 due to weakening economic outlook in the Eurozone.

"We expect the same for jet kerosene price as it moves in tandem with crude oil price," it added.

From July 1, Aireen Omar will take over as chief executive officer of the Malaysian operations while Group Chief Executive Officer Tan Sri Tony Fernandes will oversee growth and expansion of the Asean market.

Meanwhile, OSK Research said apart from AirAsia's regional growth plan and ahead of the listing of its Indonesian associate, it believed the management may in the immediate term focus on growing its Indonesian market given that air travel remains underpenetrated due to its large population.

Both research houses have maintained a "buy" call for AirAsia.

AirAsia operates hubs in Malaysia, Indonesia, Thailand and the Philippines. Singapore is the only missing link as the budget carrier has yet to establish an entity in that country although it is already functioning as a hub to some degree given its significant market share at Changi Airport.

Anonymous said...

MAS was never a true blue commercial entity.

It had to absorb losses for national services like linking east and west malaysia when domestic airline was a lost making concern.

THey went to places where others do not go for national interest.

IT is not all inefficieny and meritocrasy.

Without political links and help of contract in hand given, tony f cant claim he turnaround and paid the debts in one go.

My Say