Malaysia Airlines is “technically bankrupt”, its chief executive has said, as he announced a restructuring programme and plans to cut about 6,000 jobs.
The announcement follows the twin air disasters which forced its nationalisation last year.
The airline said it had “offered jobs” to 14,000 of its 20,000 workforce.
The move was expected and follows the appointment of new chief executive Christoph Mueller in May.
“We are technically bankrupt,” Mr Mueller told a news conference. “The decline of performance started long before the tragic events of 2014.”
The airline is operating as normal and no flights are currently affected.