KUALA LUMPUR: Malaysia Airlines’ new management will continue with the existing contracts under an amendment to the Malaysian Airline System Bhd (Administration) Bill 2014.

The amendment was made to Clause 14 of the Bill with regard to the “transition of services” during the restructuring exercise.

If the Bill is passed, those with existing contracts shall continue to provide their goods or services, where required by the administrator, to the new Malaysia Airlines Bhd.

The proposed amendment also states that the same rates will apply for the goods and services provided to the Malaysian Airline System Bhd.

The new entity, Malaysia Airlines Bhd will have the right to recover any costs incurred or damages for any losses suffered if the contractor fails to comply.

The Bill, which was tabled for first reading Wednesday is currently being debated in the august House and will be put to vote Thursday.

-The Star