More airlines are finding it compelling to consolidate or merge, as that enables them to leverage on each other to attain synergy value. This crisis today presents itself as a serious opportunity to obtain new value In its 2008 annual report, the company vowed to push ahead with the BTP2. MAS realized that in the face of global recession, the industry needs to take radical and bold steps. This involves cutting capacity, increasing yield, reducing costs, innovating and consolidating. Among the challenges it foresees is overcapacity of the industry, which will lead to intensified competition, eroding yield and profit margins. Coupled with the liberalization of ASEAN skies and rising oil prices , MAS realizes that it must transform, and transform quickly, to survive and succeed.