This article first appeared in The Edge Financial Daily on December 14, 2017

KUALA LUMPUR: Malaysia Airlines Bhd said its plan to spin off its six Airbus A380s into a new airline dedicated to Islamic pilgrimages remains intact.

A new subsidiary company, presently code-named “Project Hope”, is expected to be fully operational by the fourth quarter of 2018 (4Q18), it added.

“Project Hope is still very much on track. The A380s will be replaced by the A350s to service the London route by March 2018. Malaysia Airlines will continue to operate our haj or umrah services using the A380s in 2018 before Project Hope is fully operational, expected by 4Q18,” Malaysia Airlines told The Edge Financial Daily via email yesterday.

“Meanwhile, Malaysia Airlines will continue to maximise available assets, especially during peak periods where we already know the demand,” it said.

On Tuesday, the Australian Business Traveller website reported that Malaysia Airlines was reconsidering its plan to hand over the superjumbos to the new subsidiary and instead, it will continue to fly the A380s to London.

The national airline was also reported to be weighing the merits of a refresh for the A380s if they were to remain flying.

Earlier, it was reported that Malaysia Airlines is set to end all scheduled A380 services in early 2018, less than six years after taking delivery of these aircraft. There have been several attempts by the airline to sell or lease the A380s to other airlines, but nothing has eventuated from that.