Yep, they were part of oneworld. Malev didnt add much to the network, but there is now an even larger hole in Eastern Europe for Oneworld.
It is sad, but OneWorld is really having a tough time lately. Mexicana ceased ops about 18 months ago, Malev is done, Kingfisher was supposed to become a full member but is now on hold due to financial problems, and of course AA is in BK.