AK future in doubt

THE future of low-cost airline AirAsia’s is in “significant doubt”, according to a statement from auditor Ernst & Young.

Ernst & Young highlighted AirAsia’s huge debts in a notice to Malaysian stock exchange Bursa Malaysia late on Tue, indicating the airline’s current liabilities already exceed its current assets by R1.84 billion (A$620 million) at the end of 2019.

AirAsia’s financial performance and cash flow have been further hit during the COVID-19 pandemic by the grounding of its planes and tight travel curbs.