By Al-Zaquan Amer Hamzah KUALA LUMPUR (Reuters) - Malaysia Airlines (MAS) will slash nearly a third of its 20,000 workforce and cut back its global route network as part of a radical 6 billion ringgit ($1.9 billion) restructuring following the devastating impact of two jetliner disasters. The 42-year-old company will be de-listed by the end of the year under the broad revival plan announced by state fund Khazanah Nasional on Friday that aims to bring long-elusive efficiency and global standards to the loss-making carrier. "Recent tragic events and ongoing difficulties at MAS have created a perfect storm that is allowing this restructuring to take place," Khazanah Managing Director Azman Mokhtar told reporters in Kuala Lumpur. Under the restructuring plan, which was approved by Malaysia's cabinet this week, MAS' assets and liabilities will be transferred to a new company with Khazanah injecting up to 6 billion ringgit.
Malaysia Airlines will slash thousands of staff, trim its route network, and replace its CEO under a plan announced Friday to stave off bankruptcy after two air tragedies plunged the already troubled carrier deeper into crisis. State investment fund Khazanah Nasional, which has taken control of the failing flag carrier, said it planned to pump 6 billion ringgit ($1.9 billion) into the airline, hoping the changes will return the company to profitability within three years. Khazanah's Managing Director Azman Mokhtar said, however, there were no plans to change the carrier's name -- now deeply tarnished by its association with the MH370 and MH17 tragedies. "The combination of measures announced today will enable our national airline to be revived," said Azman.