The Malaysian Air force commander Affendi Buang confirmed this today.
The two pilots, aged 31 and 39 respectively were found in the state of wearing their parachute.
However, the cause of death was yet to be determined.
The wreckage of the missing plane, a two-seat trainer jet, is also yet to be found.
The plane took off from an airbase in Kuantan at 11a.m. local time but lost contact half an hour later.
Affendi announced at the press conference that the air force would form a special body to investigate the incident, and before that, all Hawk 108 flights would be suspended.
Hawk is a single-engine training jet manufactured by British BAE systems.
It could be also used as a combat aircraft.