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Malév shareholders ask for reworked business plan

Shareholders of national carrier Malév on Friday asked the management to draw up a reworked business plan for 2011 because of the uncertain macroeconomic outlook and market conditions.

The shareholders made the request, proposed by the National Asset Management Company (MNV), at an extraordinary general meeting reconvened after an earlier EGM was suspended in February. The EGM in February was suspended because high-level inter-government talks relating to the state's more than 95% stake in Malév were underway, MNV said at the time.

MNV said on Friday that the reworked business plan will be discussed at the next EGM. The plan is to take into account the effect of unrest in the Middle East on fuel prices as well as the government's recently announced structural reform plan.

The EGM also instructed the management to act on a government directive compensating employees of state-owned companies who are worse off because of personal income tax changes introduced at the start of the year.

MNV asked Malév's board to improve the efficiency and transparency of the airline's operation and take steps to end its operating losses.

Troubled Malév was renationalized in March 2010, but Russia's state-owned Vnesheconombank still holds 5% of the airline's parent company.