Another factor for the losses was poor revenue management. MAS substantially lagged its peers on yield. Some of this gap was due to differences in traffic mix, with less business traffic to and from Malaysia than to and from Singapore, but much of it was due to weaknesses in pricing and revenue management, sales and distribution, brand presence in foreign markets, and alliance base. Moreover, MAS had one of the lowest labour costs per available seat kilometre (ASK) at US$0.41, compared to other airlines such as Cathay Pacific and Singapore Airlines at $0.59 and S$0.60, respectively. Despite low labour costs, however, the ratio of ASK revenue to this cost was, at 2.8, much lower than Singapore Airlines, where the ratio is 5.0, and slightly higher than Thai Airways Other factors were listed in the later-revealed business turnaround plan (BTP) of Malaysia Airlines, all leading to the net loss of RM1.3 billion in 2005.
Another factor for the losses was poor revenue management. MAS substantially lagged its peers on yield. Some of this gap was due to differences in traffic mix, with less business traffic to and from Malaysia than to and from Singapore, but much of it was due to weaknesses in pricing ,and revenue management, sales and distribution, brand presence in foreign markets, and alliance base. Moreover, MAS had one of the lowest labour costs per available seat kilometre (ASK) at US$0.41, compared to other airlines such as Cathay Pacific and Singa,pore Airlines at $0.59 and S$0.60, respectively. Despite low labour costs, however, the ratio of ASK revenue to this cost was, at 2.8 much lower than Singapore Airlines where the ratio is 5.0, and slightly higher than Thai Airways Other factors were listed in the later-revealed business turnaround plan (BTP) of Malaysia Airlines, all leading to the net loss of RM1.3 billion in 2005.