AK°/D7/FY/MH | Malaysia-Based Carriers [Archive] - Page 5

haze

January 11th, 2008, 04:38 AM

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AirAsia flies to S'pore from Feb 1, offers 30,000 free seats

By : Anna Maria Samsudin

SINGAPORE: Budget carrier AirAsia Bhd will begin operating the lucrative Kuala Lumpur-Singapore route on Feb 1, offering a one-way airfare for as low as RM29.99, which is cheaper than a taxi ride between the two cities.
It is also throwing in 30,000 free seats to passengers who book between Jan 10 and 13.

Offering twice daily flights between Kuala Lumpur and Singapore, AirAsia group chief executive officer Datuk Tony Fernandes said the carrier is confident of carrying between 250,000 and 500,000 passengers per year, based on present flight frequencies.

He said pending the government's approval, the carrier plans to ramp up its frequency between the two cities to 20 daily flights within the next five years, when it takes full delivery of its new aircraft. By then, it expects to carry 5 to 10 million passengers per year.

The Kuala Lumpur-Singapore route had been monopolised by Malaysia Airlines and Singapore Airlines for over three decades. However, last October, the Malaysian government agreed to let AirAsia fly the route, the fourth busiest in Asia, ahead of liberalisation of air travel between the two countries.
Last month, Singapore-based Tiger Airways and Jetstar Asia were granted the right.

"We have been trying to get this route for the past 51/2 years. We feel that it was AirAsia's persistence that opened up the Kuala Lumpur-Singapore route.

"We are excited about this. We view this latest development as a major milestone in the aviation sector for both countries. This will further boost tourism and economic growth between the two countries," he said after the official announcement of AirAsia's Kuala Lumpur-Singapore route here yesterday.

AirAsia, to date, has carried over 40 million passengers, with more than 86 regional connections.

Looking at its extensive network, Fernandes said he was optimistic that the new service would be able to reel in long-haul passengers from Singapore to its long-haul budget carrier, AirAsia X.

Fernandes added that he is hopeful that the Malaysian government will give the nod to expand the current air service agreement between Malaysia and Singapore from the Kuala Lumpur-Singapore route to include other major domestic destinations, such as Penang, Kota Kinabalu and Kuching by this year.

Looking at the ties between Malaysia and Singapore, he was optimistic that there would be huge demand for the flights.

"With the Association of Southeast Asian Nations' (Asean) move (in removing restrictions on passenger flights between Asean capitals by December), we are expecting to see more liberalisation between the member countries.

"I hope that the government will allow us to operate flights from other cities in Malaysia to Singapore. I think it is possible that it could happen this year.

"In addition, I hope to see more liberalisation for the Singapore-Indonesia route so that we would be able to operate a Singapore-Jakarta service. Gauging by the huge demand, this is another lucrative route that we should look into."

nazrey

January 11th, 2008, 04:58 AM

MAS opens up Enrich to more agencies
by Lim Yu Min, 09 Jan 2008 3:43 PM

KUALA LUMPUR: Malaysian Airline System Bhd’s (MAS) is reviewing its direct marketing agency relationship for its “Loyalty and Frequent Flyer” programme or “Enrich” by inviting more agencies to pitch for the account.

MAS said yesterday the first round of the review would involve direct marketing agencies responding to MAS’ Request For Information (RFI). “The RFI will ensure that a larger number of agencies is able to participate in this pitch process prior to the short-listing process,” it said.

Interested agencies must submit their proposals comprising credentials and one-case study pertaining to a recent project by Jan 14, 2008.

The airline said short-listed agencies would be notified by end-January and invited to a briefing followed by a final presentation to the MAS management in early February. The final selection is expected to be announced in early March.

“Enrich (http://cms.malaysiaairlines.com/mys/eng/enrich/enrich/join_enrich/join.asp) had gone through tremendous amount of change over the past one year. The Enrich team has a number of key initiatives lined up for this year and beyond. A rescoping of services was timely in view of this and we felt it was best to open this up for a pitch,” said MAS senior general manager (communications) Indira Nair.

“The agency-client relationship is an important one and we will obviously be looking for a partner who has the experience, expertise and ability to meet the challenges ahead of us, and our demanding requirements,” she added.

haze

January 11th, 2008, 07:39 AM

AirAsia targets 7m passengers on KL-S’pore route by 2013
by Lim Shie-Lynn
Email us your feedback at fd@bizedge.com

SINGAPORE: Low-cost carrier AirAsia Bhd, which is scheduled to operate the KL-S’pore route from Feb 1, targets to carry some seven million passengers over the next five years, its group chief executive officer Datuk Tony Fernandes said.

“For our first two flights, we hope to do about 250,000 passengers this year, and grow that to 500,000 very quickly. The projection is based on huge demand for this route which is still under-served. It is a huge market.

“It is a fairly large number and that is what we are doing to impress both the Malaysian and Singapore airport authorities that 25% of new passengers will be a contribution (to Changi and KLIA),” Fernandes told a media briefing to announce AirAsia’s inaugural flight here yesterday.

Asked if the low-cost carrier would soon be allowed to fly from other cities such as Penang, Kota Kinabalu and Kuching, to Singapore, Fernandes said: “KL-S’pore was the Trojan horse, once this is done, the rest would be quite simple and I do not believe it would take a longer time for that to happen.”

Once the Asean Open Sky Policy comes into effect in January 2009, the airline targets to operate 20 flights daily to Singapore.

AirAsia is also looking to launch more air routes to destinations in Indonesia and to operate an air route to Ho Chi Minh City, Vietnam.

“We have got the planes, it is a matter of where to put them,” Fernandes said, adding that 175 Airbus A320s were ordered and would be delivered by 2013.

To celebrate the liberalisation of the coveted route, AirAsia announced it was giving away 30,000 free seats which was made available for reservation yesterday till Jan 13 for the travel period of Feb 1 to Oct 25, 2008.

Beginning Feb 1, its two daily flights to Singapore will depart from Kuala Lumpur at 10am and 7.50pm, while flights from Singapore will depart at 11.30am and 9.40pm.

To date, AirAsia has carried over 40 million passengers and has grown from a two-aircraft fleet to 65. It also has the most extensive low-cost network in the region serving on over 86 routes.

FM 2258

January 11th, 2008, 09:21 AM

It really looks like AirAsia is the "Southwest" and "Ryanair" of southeast Asia.

nazrey

January 11th, 2008, 09:54 AM

1st, 2nd Airbus 320 for Thai AirAsia

http://www.airasia.com/amazing/th/images/airbus22.jpg http://www.airasia.com/amazing/th/images/airbus21.jpg

http://www.airasia.com/amazing/th/images/airbus12.jpg http://www.airasia.com/amazing/th/images/airbus1.jpg

Arkdriver

January 11th, 2008, 04:12 PM

they are very happy....

nazrey

January 14th, 2008, 05:39 AM

Brokers' View:
MAS 'attractive' even with oil price hitting US$100
Published: 2008/01/09

The research house says it will revisit its earnings forecast for MAS if oil still hovers above US$95 by the middle of next month

MALAYSIAN Airline System Bhd (MAS) remains an attractive stock despite oil prices touching US$100 (RM327) a barrel.

"Our estimates incorporate oil at an effective price of US$87 (RM284) per barrel for (MAS') financial year ending December 31 2008. As such, given MAS' 29 per cent hedge at an oil cost of US$79 (RM258) per barrel, our earnings (estimate) can still hold up to US$100 per barrel oil as long as this situation is not prolonged," OSK Research Sdn Bhd's senior vice-president, Chris Eng, said in a report on Monday.

He said the local research house will revisit its earnings forecast for MAS if oil still hovers above US$95 (RM311) by the middle of next month.

"Based on November operating statistics, international passenger traffic was below our expectation, but cargo traffic was above, indicating that MAS is still able to grow its cargo business despite the high fuel surcharges turning away some customers," he added.

Eng also reckons that the national carrier's withdrawal of its commission to local travel agencies, effective this month, will have minimal impact on its earnings as the move has already been factored in.

"This had previously been announced, but there is now a service charge from the travel agents as well as at MAS ticket centres to balance off the lost revenue for the agents. With this zero commission, we see Malaysian travel agents evolving into more of travel advisers rather than just ticket printers," he said.

Eng also noted the slight delay in the airline's Business Transformation Plan, which the research house had expected to be announced early this month.

"It appears that the announcement of the Business Transformation Plan by MAS may be delayed slightly to end-January or February.

"We do not view this as a cause for concern, but rather that MAS wants to ensure that its plan is watertight before announcing it," he said, maintaining his "Buy" call on the stock at a fair value of RM6.40.

haze

January 15th, 2008, 04:56 AM

AirAsia has no plans to go private, says CEO

SEPANG: Low-cost carrier AirAsia Bhd has no plans to be privatised, according to group chief executive officer Datuk Tony Fernandes.

“We have no plans to privatise. It’s not something that I am aware of,” Fernandes said yesterday.

He said this after a launch event which AirAsia co-hosted with CAE, a global provider of simulation and modelling technologies and integrated training solutions for the civil aviation industry and defence forces.

Asked on the firm’s share price, which has plunged more than 20% since October, he said: “I do think the market needs to understand AirAsia better.”

The airline has seen strong selling of its shares by foreign shareholders of late. The drop was “related to AirAsia’s fuel-hedging policy, which some parties considered excessively speculative,” OSK Research said last week. AirAsia shares closed 6 sen lower at RM1.52 yesterday in a generally weak market.

http://biz.thestar.com.my/archives/2008/1/15/business/b_pg04tony.jpg
Datuk Tony Fernandes (left) exchanging documents with Jeff Roberts. Looking on is Datuk Seri Chan Kong Choy

Separately, Fernandes said he was “happy” with the response for AirAsia’s Singapore-Kuala Lumpur services, which will start Feb 1.

“We are very happy with the response, business is very strong,” he said, adding that to-date, about 10,000 seats worth some RM1mil had been sold.

Meanwhile, at yesterday’s event, which was witnessed by Transport Minister Datuk Sri Chan Kong Choy, CAE announced that it had selected Kuala Lumpur as the location for its South-East Asian training hub.

The announcement follows CAE contract sealed in November to manage AirAsia’s Type Rating Training Organisation at the AirAsia Academy to provide training for AirAsia pilots.

The academy, which had so far seen an investment of RM200mil, was set to undergo further expansion, Fernandes said. “The second phase of the academy will be operational by June,” he said, adding that this would cost about RM40mil.

The academy now has three simulators – two CAE-built Airbus A320s belonging to AirAsia, and a Boeing 737-300 owned by CAE – and can train about 400 pilots a year.

CAE group president, innovation and civil training and services, Jeff Roberts said CAE would add an Airbus A320 simulator and an Airbus A330 simulator over the next one year.

haze

January 15th, 2008, 07:01 AM

AirAsia on track with pilot training target
by Aznita Ahmad Pharmy
Email us your feedback at fd@bizedge.com

SEPANG: AirAsia Bhd is expanding its training centre, which will involve an additional investment of RM40 million, and the addition of more simulators in a move to train more than 5,000 pilots a year.

AirAsia Bhd group chief executive officer Datuk Tony Fernandes said yesterday the company was investing RM40 million in the second phase of the academy which would include a swimming pool for water drills.

The expansion to the academy would be ready by June this year, he said after the signing ceremony between Canadian flight simulator provider CAE and AirAsia. It was witnessed by Transport Minister Datuk Seri Chan Kong Choy.

CAE group president for innovation and civil training and services, Jeff Roberts, said yesterday it picked Malaysia as its regional hub and teamed up with AirAsia Academy in Sepang for the training centre.

“Southeast Asia is one of the fastest growing markets in the aviation world and we chose Malaysia due to the government’s speed and support,” he said.

“The partnership between CAE and AirAsia would ensure the highest quality in aviation training and would also address the growing pilot shortage we are facing,” Chan said.

CAE targets to train 1,000 pilots a year and would increase the target to 5,000 pilots, Roberts said. He hopes to see the region’s contribution to its group revenue, now about 7% to 8%, to double within the next five years.

Last November, CAE agreed to manage AirAsia’s Type Rating Training Organisation (TRTO) to train AirAsia’s pilots over the next 10 years beginning this year. The contract is valued at more than RM175 million.

The TRTO has three simulators consisting of two Airbus A320s belonging to AirAsia and a Boeing 737-300 belonging to CAE. Two more simulators will be added by CAE within the year.

Fernandes said one of the simulators would be for the Airbus A320 and the other for the Airbus A330.

On speculation that there were plans to take AirAsia private, he replied: “We have no plans to privatise. It’s not something that I am aware of.”

He was asked to comment on the decline in its share price, which had fallen about 9.6% since the announcement of its first-quarter results at the end of November. OSK Investment Research said the airline had seen strong selling of its shares by foreign shareholders of late.

aseantraveler

January 15th, 2008, 04:38 PM

Air Asia to open second base in Indonesia in Bali

DENPASAR, 13 January 2008 - Indonesia AirAsia (IAA) (http://www.airasia.com/site/in/en/home.jsp) has announced their intention to open an additional operational base in Bali as the next step to establishing a regional presence for the Carrier. The Chief Officer of IAA, Dharmadi, told Bisnis Indonesia that the new Bali home base will commence operations in late March 2008, serving as a turn around point for new flights planned to Darwin and Perth in Australia.

The new Australian destinations are expected to start operating in September-October 2008, six months after the new home base becomes operational. The new Australian service are expected to be served by Indonesia AirAsia's fleet of Airbus A320 and Boeing 737-300 aircraft. The Bali base is also expected to offer direct flight connections to Kuala Lumpur, Kuching and Kinabalu.

nazrey

January 16th, 2008, 08:52 AM

AirAsiaX flies to Hangzhou from Feb 4
Wednesday January 16, 2008
TheStar

PETALING JAYA: AirAsiaX, the country’s first low-cost, long-haul airline will fly to Hangzhou in China beginning Feb 4.

Early birds will be able to set off to the destination from RM99.99 one way from Kuala Lumpur, excluding airport taxes, surcharges and fees.

Guests can book online at www.airasia.com to enjoy the special promotion fare that will be available until Jan 20 for travel between Feb 4 and March 28.

There will be five direct flights a week from Kuala Lumpur to Hangzhou.

AirAsiaX chief executive officer Azran Osman-Rani said in a press statement that the latest service was the airline’s second long-haul destination after Gold Coast in Australia launched in November last year.

“The new service to Hangzhou, the capital of the Zhejiang province is part of AirAsia’s ongoing strategy to create and serve an extended network of cities in China,” he said.

“The launch also coincides with the Chinese New Year and offers the opportunity for people to renew social ties between families and friends during the festive period.”

haze

January 17th, 2008, 04:07 AM

AirAsia sees 130,000 travellers a year on KL-Guangzhou route

By Zurinna Raja Adam Published: 2008/01/16

GUANGZHOU: Low-cost carrier AirAsia Bhd expects to carry about 130,000 passengers a year on its Kuala Lumpur-Guangzhou route, which was officially launched yesterday.

Since the soft launch in December 19 last year, the direct daily flight has sold 25,000 seats in three weeks, of which about 60 per cent of the passengers are business travellers.

With the Olympic fever building up in China, regional head of commercial Kathleen Tan said, the airline believes its low fares will grant more Chinese and Malaysians the freedom to further enhance tourism of both countries.

"Guangzhou is an interesting route for us. Besides being the third largest airport in China, the city is a global manufacturing centre and a lot of people are investing here," she said here yesterday.

Tan said while bosses still prefer to travel via full-service airlines, other company staff can travel through AirAsia to minimise costs. Depending on the demand, the airline might consider increasing its flight frequency from once a day in future.

"Customers appreciate the prices AirAsia offers, and we would try hard to keep it that way," she said when asked about possible fare increases due to rising fuel prices.

Tan said AirAsia hopes to balance the group's income by encouraging growth from other avenues like website advertising, insurance and credit card business and its holiday packages.

"We will work hard to accelerate these businesses so we won't have to pass down the oil price factor to customers," she said.

Guangzhou is AirAsia's fourth destination in mainland China after Shenzhen, Xiamen and Macau. The group hopes to fly to two more destinations, namely Hainan by March and Gueiling by April this year and is in talks to fly to Hong Kong by first half this year.

Tourist arrivals from China has increased more than 20 per cent over the last three years or about 550,000 tourists during the third quarter last year.

marcusaffleck

January 18th, 2008, 01:30 PM

Malaysia Airlines To Provide Web Check-in Next Month
January 18, 2008 19:54 PM

SEPANG, Jan 18 (Bernama) -- Passengers of Malaysia Airlines (MAS) will be able to check in and select their seats via the Internet next month under the national carrier's effort to simplify air travel.

"This facility will provide passengers another self-service capability to check in and select seats through the Internet 24 hours before flight departure, doing away with the rush and long queues at the airport," said MAS senior general manager of transition management, Dr Amin Khan.

"Customers will enjoy the flexibility and ease of booking and checking in at their own convenience," he said at a media briefing here Friday.

"As a global carrier, we understand the importance of embracing today's technological advancements to ensure that our passengers enjoy seamless and hassle-free service," Amin said.

"Soon, a Malaysia Airlines passenger will be able to do everything from flight bookings to printing the boarding pass without even having to leave home," he said.

As of December 15, 2007, domestic travel passengers of MAS without check-in baggage can check in using self-service kiosks provided at the Kuala Lumpur International Airport (KLIA).

The kiosks allowed passengers fast check-in, doing away with the need to queue up at check-in counters, Amin said.

"They only need to go through a simple five-step procedure to check in and get a boarding pass," he said.

"In addition, passengers can choose their preferred seats and register updates to their MAS Enrich accounts at the kiosk."

Amin said the facility at KLIA will be extended to passengers with check-in baggage by July this year.

"It will also be rolled out in phases to our other domestic, regional and international stations by October 2008," he said.

-- BERNAMA

aseantraveler

January 21st, 2008, 05:49 AM

http://www.geocities.com/aseantraveler/kulhghool.gif

Low fares for high lovers...

buy a low fare on AirAsis X this valentine’s and take your lover for a ride

beat the rest to these hot-selling seats!

Booking Period : 21 Jan 2008 - 3 Feb 2008
Travel Period : 4 Feb 2008 - 29 Mar 2008
Travel Notes : - advance booking required

depart from/to LCC Terminal, KLIA, Kuala Lumpur

International Low Fares
Hangzhou Economy Seats* from RM199.00 / CNY479
Hangzhou XL Seats from RM599.00 / CNY1,399
* Upgrade from Economy class seats to XL seats for only CNY920 one way
* Upgrade from Economy class seats to XL seats for only RM400 one way

beat the rest to these hot-selling seats!

Booking Period : 21 Jan 2008 - 3 Feb 2008
Travel Period : 18 Feb 2008 - 25 Oct 2008
Travel Notes : - advance booking required

depart from/to LCC Terminal, KLIA, Kuala Lumpur

International Low Fares
Gold Coast (Brisbane) Economy Seats* from RM349.00 / AUD259.00
Gold Coast (Brisbane) XL Seats from RM889.00 / AUD529.00
* Upgrade from Economy class seats to XL seats for only AUD270 one way

aseantraveler

January 21st, 2008, 05:51 AM

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aseantraveler

January 21st, 2008, 06:14 AM

AirAsia's Airbus A320 begins servicing Sabah

By MUGUNTAN VANAR

KOTA KINABALU: The first of the four Airbus320s that will service AirAsia’s Kota Kinabalu hub began operations Sunday and would be plying the Kuala Lumpur, Kuching and Macau routes from here.

The company expects all flights from Kota Kinabalu to be using the new aircraft by the end of the year, replacing the current Boeing 737s, regional communications head Joyce Lai told reporters after the inaugural flight at 7.25am.

"We will be able to carry about 20% more passengers and efficiency will improve as these are new aircraft," said Lai.

Air Asia has ordered 225 A330 aircraft with 175 firm orders, she said, adding that it had so far received 32 units.

The A320 has 180 seats compared with about 140 seats in a Boeing 737.
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Photo
Tuan Hj Aznan Othman, Airport Manager, Kota Kinabalu (Left 5)
Mr Guna, DCA Officer, Kota Kinabalu (Left 6)
Ms Joyce Lai, Head of Communications (Left 7)
Tengku Datuk Dr Zainal Adlin, Chairman of Sabah Tourism Board (Left 10)
Mr Shan, Station Head of East Malaysia & Brunei (Right 8)
Mr Wilfred Wong, Station Head of Kota Kinabalu (Right 7)

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=============================
AirAsia’s new Airbus A320 arrive in Kota Kinabalu
21
Jan
2008
Filed under: Airport, Kota Kinabalu News

Author: Eow

The 3000th Airbus off the assembly line at Airbus Industries flew straight into AirAsia’s arms and started commercial operations from its permanent base, Kota Kinabalu, today.

Low Cost Carrier AirAsia’s first Airbus destined for their East Malaysian hub, is the first of four planned for Kota Kinabalu and is the 32nd addition to AirAsia’s growing fleet of Airbus aircraft, scheduled to replace all Boeings by mid 2009.

By the end of 2008, Kota Kinabalu will serve its 3 international and 7 domestic AirAsia destinations with more comfortable, cost efficient Airbus aircraft only.

Airbus Benefits

The Airbus spells big savings for AirAsia, and by extension their passengers, because not only is it more economical to operate, but it also seats 20% more passengers than the current Boeings. With a potential arrival count of 180 passengers per flight, AirAsia’s new Airbus additionally promises a tourism injection for Kota Kinabalu.

Three routes will benefit from the new plane, namely Kota Kinabalu to Kuala Lumpur, Kota Kinabalu to Kuching and Kota Kinabalu to Macau. Operating on a rotation basis, the aircraft is scheduled for 3 return flights daily, starting with a return flight to KL, followed with a return to Kuching, and ending the day with a return to Macau.

Airbus Comfort

Taking no-frills to a new level of comfort, AirAsia’s new Airbus A320 is fitted with 180, plush leather seats, configured in two rows of 3.

The front half of the plane features seating slightly more spacious than currently on the Boeings, with a 30-inch seat-pitch, whilst the aft half of the plane features seats with a pitch equal to those of the Boeings, at 29-inches. Although half the seats have the same pitch as on AirAsia’s current Boeings, the space may appear more, thanks to the slightly wider leather seats.

In addition, the Airbus’s seats do not recline. However, from a space point of view, this is in fact a benefit, as it means that you will not end up with somebody’s head in your lap during the flight. You can therefore rest assured that the space you have when you sit down, is the space you’ll have throughout the entire flight.

With a current 11 flights daily from Kota Kinabalu to Kuala Lumpur, be sure to catch Kota Kinabalu’s permanent resident, the AirAsia Airbus 320, on your next flight out.

nazrey

January 23rd, 2008, 12:09 PM

MAS picks RMG Worldwide as new website service provider
by Yantoultra Ngui Yichen, 22 Jan 2008 10:43 PM

SUBANG: Malaysian Airlines System Bhd (MAS) has picked RMG Worldwide (M) Sdn Bhd as its website service provider effective Jan 15, 2008, after demonstrating digital solutions which are aligned to the airliner’s strategy to transform it into a "Five Star Value Carrier".

In a statement on Jan 22, MAS said the contract was for a period of two years up to May 15, 2010, with an option for another year.

“One of the key business initiatives that MAS has adopted to help drive the transformation plan is the implementation of the passenger services system (PSS) programme, which is aimed at providing customers with more convenient, efficient and 'hassle-free’ travel experience,” said MAS senior general communications manager Indira Nair.

She said the initiative included the revamp of the website and the introduction of a new booking engine to ensure that bookings made on the MAS website (www.malaysiaairlines.com) was easy, simple and straightforward.

ARC Worldwide (then named Leo Burnett Interactive) was formerly MAS’s website service provider, from July 2005 to Dec 31, 2007.

haze

January 25th, 2008, 10:16 AM

AirAsia to fly JB-Bangkok route from Feb

Published: 2008/01/25

Bangkok will be the first destination in Thailand from Johor Baru, targeting Johoreans, Singaporeans and also those flying into the city from Sabah and Sarawak, an airline official says
BANGKOK: AirAsia is expected to ply the Bangkok-Johor Baru route beginning February 25 with four flights a week.

The once-daily flight will be on Mondays, Wednesdays, Fridays and Sundays.

An airline official said Bangkok will be the first destination in Thailand from Johor Baru, targeting Johoreans, Singaporeans and also those flying into the city from Sabah and Sarawak.

Besides Bangkok, AirAsia will also fly to Medan and Surabaya from Johor Baru soon, he said.

AirAsia and its Thai subsidiary, Thai AirAsia, now operate seven flights daily from Kuala Lumpur to Bangkok, as well as serving Krabi, Phuket and Chiang Mai, on top of the Penang-Bangkok route.

The Bangkok-Langkawi and Bangkok-Kota Kinabalu services were discontinued last year due to low passenger load.

It’s learnt that Thai AirAsia was not keen to operate the Johor Baru-Bangkok route as it wanted to concentrate on strengthening its existing destinations while looking into the possibility of entering the Bangkok-Jakarta route and expanding its China base. — Bernama

nazrey

January 26th, 2008, 08:04 AM

Macau honours AirAsia with award
Saturday January 26, 2008
TheStar

MACAU: AirAsia Berhad group chief executive officer Datuk Tony Fernandes received the Commendations of Prestige award for contributing to Macau's development.

The award was presented by the Chief Executive Officer of Macau Special Administrative Region Edmund Ho Hau during a ceremony here yesterday.

Fernandes said it was a great honour for a young Malaysian airline to be recognised as helping to develop Macau's vibrant economy.

“Macau remains one of our hottest and most desired destinations, where we have recorded significant growth and enjoyed consistently high loads, averaging monthly between 85% to as high as 95%.

“With its strategic position as a gaming and entertainment centre in Asia, we have witnessed escalated growth to visit this city from within our vast route network serving 10 Asean countries,” he added.

The Macau International Airport has recorded an increase in its annual passenger following AirAsia’s entry into the market and has revolutionised the air travel with its low fare concept.

The increase in passenger traffic to the airport was mainly attributed to AirAsia’s frequent flights to Macau, with a total of 73 flights a week from its hubs in Bangkok, Kuala Lumpur, Kota Kinabalu and Kuching.

aseantraveler

January 26th, 2008, 01:19 PM

AirAsia happy with growing passenger numbers to Laos

http://www.geocities.com/aseantraveler/aklaos.jpg

Managers of low-cost Malaysian airline AirAsia are satisfied with the number of passengers it has carried in over a month since it opened a new direct flight between Vientiane and Kuala Lumpur.

The airline's statio n manager in Vientiane , Mr Anolak Kingsada, said on Monday that the number of passengers travelling with the airline between the two cities had been large enough and steady since the airline began the flight in December.

He was speaking to Vientiane Times after the airline held a concert last week to celebrate its launch in Vientiane .

Mr Anolak said the number of passengers travelling with the airline ranged from 100 to 150 on each flight, below the full seat capacity of 180.

Most of the passengers are Malaysian business owners and tourists from Malaysia and other countries; only 20 percent are Lao, he said.

Mr Anolak said that the airline was planning to launch marketing campaigns to attract more passengers, especially those who want to travel to Singapore , Indonesia and the Philippines , and can get a connecting flight at KL airport.

He said the flight to Bangkok was more expensive than the Vientiane-Kuala Lumpur roundtrip, which cost from US$120 to US$170, depending on the day.

He also said the airline would invite Malaysian journalists to visit Laos next month to report on tourist sites in the country, as a way of encouraging Malaysian tourists to visit Laos and increase the number of passengers tra velling with the airline.

“There will be also an official launching ceremony of the airline's business in Laos ,” he said.

The decision of AirAsia to open the Vientiane-Kuala Lumpur route was the second attempt at improving transportation between Laos and Malaysia ; the first airline to run flights between the two countries, Malaysian Airlines, stopped operations in 1998 due to the Asian financial crisis, which hurt the tourism industry and discouraged investment in the region.

Director General of the Lao Aviation Department Yakua Lopangkao said the decision to resume flights from Kuala Lumpur to Vientiane had been due to the growing relations and cooperation between the two countries, particularly in the areas of tourism and business.

Malaysia is the ninth largest investor in Laos , with interests mainly in hotels and hydropower facilities, according to the Ministry of Planning and Investment.

AirAsia operates three flights a week, on Tuesday, Thursday and Saturday, with more planned for the future, possibly in the form of daily flights to meet the growing demands of tourists coming to Laos.

Local and international airlines operate direct flights from Laos to China , Cambodia , Vietnam , Thailand and Malaysia.

By Ekaphone Phouthonesy
Vientianetimes

nazrey

January 27th, 2008, 02:37 PM

http://www.airasia.com/storage/bo/aaportal.model.ContentFileUpload/1cb9cec1-ac1e00ae-511e0a00-33647f50/name/airbus_footer.gif

http://img26.picoodle.com/img/img26/4/1/27/f_AirAsiam_677479a.gif

Source : airlineroutemaps.com
AirAsia is a low-cost airline in Southeast Asia which operates from 6 bases in 3 countries :
Kuala Lumpur, Johor Bahru, Kuching & Kota Kinabalu (Malaysia), Bangkok (Thailand) and Jakarta (Indonesia).
Longhaul operations is operated by its subsidiary AirAsia X.

nazrey

January 28th, 2008, 02:14 PM

MASKargo may route freighters via Delhi
by Surin Murugiah, 28 Jan 2008 11:09 AM

MUMBAI: Malaysia Airlines Cargo Sdn Bhd (MASKargo) is in talks with relevant parties to route its freighter flights to European destinations via Delhi, as it now transports cargo to those places using commercial airlines.

Its general sales agent for north, west and east of India, Acumen Overseas Pte Ltd, is assisting the cargo operator to study the feasibility of flying either into Frankfurt or Amsterdam via Delhi.

Acumen managing director Pukhraj Chug said the study would be completed within the next few months, after which MASKargo would decide on routing its freighters to these destinations via India.

MASKargo currently has six freighter planes plying the Far East and Europe routes.

Speaking to Malaysian reporters on the sidelines of the Air Cargo India 2008 conference here last week, Pukhraj said Acumen represented MASKargo in the three regions in India and was responsible for the brand and image building of the Malaysian outfit there.

“We also do sales for MASKargo for belly space and fill the network that comes out of Kuala Lumpur,” he said, adding that Acumen operated from New Delhi.

He said MASKargo stood to benefit tremendously from the rapid economic and commercial developments in India, although the general operating environment for air cargo operators had become enormously challenging particularly with spiralling costs.

“Currently, MASKargo handles about 500 tonnes of cargo to north India a month. We expect this to grow sharply this year and in 2009 due to the increased flight frequencies by Malaysia Airlines to Delhi and Mumbai.

“Air cargo transportation is directly correlated to the gross domestic product (GDP) growth of a country. With the Indian GDP growing at about 9% per annum, we see good potential for MASKargo in India,” he said.

The Mumbai and New Delhi airports were also undergoing infrastructural changes that would see them having state-of-the-art facilities by 2010, and these included better cargo-handling facilities that would help improve MASKargo’s delivery time, he said.

“We believe MASKargo’s profile and image have grown positively in India and there is immense potential for the company here. India is such a huge country that going forward, air cargo transportation will become far more important and MASKargo is in a good position to take advantage of it,” he said.

Pukhraj said currently the types of outbound cargo from India included textiles, pharmaceuticals, information technology software and perishable goods, while inbound products consisted primarily of electronics and IT hardware.

He said Acumen handled six clients, including MASKargo, which enabled it to focus on growing the latter’s business share in the fast-growing Indian market.

nazrey

January 28th, 2008, 02:14 PM

MASKargo to host biggest air cargo forum
by Surin Murugiah, 28 Jan 2008 11:16 AM

MUMBAI: Malaysia Airlines Cargo Sdn Bhd (MASKargo) is set to host the biggest air cargo forum later this year, with more than 5,000 delegates expected to attend the 24th Air Cargo Forum and Exposition (ACF 2008) in Kuala Lumpur in November.

The forum, which will be organised under the auspices of The International Air Cargo Association (TIACA), is held every two years and is making a return to Asia after being held in Hong Kong in 2002.

TIACA secretary general Daniel C Fernandez said more than 300 companies would be participating at the ACF 2008, making it the biggest event of its kind.

He said so far, almost 85% of exhibitors’ space had been sold with 59 airlines having confirmed their participation.

“At the last conference in Calgary two years ago, there were 30 airlines that took part. For the ACF 2008, the number is already double, and we are still accepting entries.”

“The last forum in Asia was in Hong Kong in 2002. We are expecting at least 5,000 delegates to attend the ACF 2008,” he told Malaysian reporters on the sidelines of the Air Cargo India 2008 conference in Mumbai last week.

The event has been scheduled for Nov 4 to 6 at the Kuala Lumpur Convention Centre.

Malaysia Airlines senior manager for corporate affairs (cargo) Rosli Md Yasin said MASKargo had made a bid to TIACA to host the event, and beat several other regional players.

“The ACF 2008 will also complement the World Route Development Forum (Routes 2008) and World Cargo Alliance meetings to be held in Kuala Lumpur, so participants and industry players will have greater networking opportunities.

“The government and relevant ministries have been very proactive in helping us promote the ACF 2008,” he said.

Rosli said the forum was not only an opportunity for global air cargo service providers to showcase their services and build network, but also a platform for other logistics players, manufacturers and suppliers to exchange knowledge and forge alliances to enhance their services.

Fernandez said Kuala Lumpur was an ideal venue for TIACA as it was centrally located in Asia with excellent infrastructure facilities to enable delegates to network and strategise their plans to tap into the fast- growing region.

“Every air cargo industry player wants to have a share of the huge potential that Asia offers, especially with the growing economies of India and China. This is a US$150 billion per annum industry and growing,” he said.

Fernandez also said the forum would benefit Malaysia financially as each delegate was expected to spend an average US$1,350 per day while in the country on accommodation, leisure and tourism activities.

aseantraveler

January 29th, 2008, 07:35 AM

AirAsiaX to spread low-cost wings in Australia
By Steve Creedy, Aviation writer January 28, 2008 12:00am

MALAYSIAN carrier AirAsiaX wants to start selling fares for a new, low-cost, long-haul service to Victoria as soon as March and says it plans to add another Australian destination each year for the next five years. AirAsiaX chief executive Asran Osman-Rani was in Australia over the long weekend for talks with Victorian airport officials and to check out Newcastle airport in New South Wales. The long-haul offshoot of successful low-cost carrier AirAsia plans to start flying to Victoria about October after the first of up to 25 new Airbus A330-300 aircraft is delivered.

The airline is currently flying to the Gold Coast using a leased aircraft and offers fares to Kuala Lumpur as low as $199 one-way.

The AirAsiaX boss said the Gold Coast services were going well, with Australians heading to Asia comprising 48 per cent of passengers and 52 per cent coming from Malaysia and Southeast Asia. Load factors in December and January had averaged better than 80 per cent.

"Eleven per cent of our passengers are actually coming in from Melbourne," Mr Osman-Rani told The Australian newspaper. "They're actually coming in from Melbourne to the Gold Coast and flying to KL.

"Sydney is a bit less, probably about 6 per cent, and a big chunk, of course, is from the Gold Coast and Brisbane."

Mr Osman-Rani said the airline was talking to both Melbourne airport and the Lindsay Fox-owned Avalon airport, near Geelong, about which would be the best destination in Victoria.

The Victorian and Sydney additions are part of a five-year plan that will result in the airline flying to five Australian cities.

Chrisvenz

January 29th, 2008, 12:33 PM

I hope Air Asia will invest in the Philippines, since Philippines-Cebu Pacific Airways is Asia's Second Low-Cost Carrier Airlines after the Air Asia. If Air Asia will will invest in the Philippines, the Philippine Airlines, Cebu Pacific Airways and Air Asia will have a great competition in Domestic routes in the Philippines, Regional and International Routes.

Malaijai

January 29th, 2008, 03:28 PM

Malaysia Airlines Gets ATW's Phoenix Award

KUALA LUMPUR, Jan 29 (Bernama) -- Malaysia Airlines has been awarded the Phoenix Award by Penton Media's Air Transport World in recognition of the airline's transformation.

Air Transport World is the leading monthly magazine covering the global airline industry.

Malaysia Airlines managed to turn itself around through a restructuring programme that contributed to record earnings for the first nine months of 2007, without affecting its reputation for excellent service.

"We are delighted to be presented with this award which recognises the hard work of our employees, all of whom have contributed their hands and hearts in a collective effort to turn the airline around," said Malaysia Airlines' managing director and chief executive officer Datuk Seri Idris Jala.

"This award will not be possible without them, and the support we have received from the Malaysian government and business partners," he said in a statement today.

He also said that the airline will transform itself into a five-star value carrier to deliver the highest quality services at affordable prices following the completion of its business turnaround a year ahead of schedule.

-- BERNAMA

Arkdriver

January 29th, 2008, 03:29 PM

well i hope that will happen too...but with current policy i dont think so....foreign airlines were pissed off after they see how local cartels influence ATO and CAB...then what happened? they treated Tiger Airways like shit...

nazrey

January 30th, 2008, 02:16 PM

Malaysia Airlines' travel fair is back
Wednesday January 30, 2008
MYT 7:26:54 PM By ONG HAN SEAN

SUBANG JAYA: The Malaysia Airlines' Travel Fair (MATF) is back, offering attractive air fares and holiday packages.

Offers such as a 70% discount off current market fares will be available during the fair which will be held from Feb 22 to 24.

Malaysia Airlines commercial director Datuk Rashid Khan said the deals are a gesture to thank customers for their consistent vote of confidence that allowed the airline to win awards like '5-Star Airline' and 'Best Cabin Staff 2007'.

Among the deals offered is the 'Buy 1 Get 1 Free' promotion on business class seats for routes to Asean cities, Xiamen, Kunming, Macau as well as discounted Golden Holiday packages for both domestic and international travel.

Around six million seats will be up for grabs at the travel fair which will be held in Kuala Lumpur, Johor Baru, Penang, Kuala Terengganu and also in Kota Kinabalu and Kuching.

The offers will also be available at all Malaysia Airlines ticketing offices and its 24-hour callcentre at 1-300-88-3000. Those interested can also visit the website at www.malaysiaairlines.com.

nazrey

January 31st, 2008, 06:38 AM

MAS can meet 5-star value carrier goal
Thursday January 31, 2008

PETALING JAYA: Malaysia Airlines (MAS) believes it can achieve its ambition of becoming a “five-star value carrier” (FSVC) under its new business transformation plan (BTP) by making key changes to how it services its customers.

The national carrier will draw from the experiences of three international airlines, change the type of food it serves passengers and place more emphasis on Internet booking to become an FSVC.

MAS also believes the low labour cost in Malaysia, its reputation as a five-star airline and its ability to venture into maintenance, repair and overhaul business would give it a better starting advantage in becoming an FSVC.

“We will offer products and services that provide our customers with more value compared with those of our competitors,'' MAS said in its BTP. “Our target customers are those who want service excellence and quality, and do not make decisions solely on price.''

To become an FSVC, MAS intends to offer the products and services of a five-star airline but reduce costs so it can offer low fares as a value carrier.

MAS has forecast losing RM650mil to RM1bil in 2012 if it does not transform itself into an FSVC. It sees the operating conditions being hit by overcapacity and liberalisation if no changes are made to its business model.

While delivering such kind of value to travellers, MAS said that had to be matched by choices on how money was spent to ensure a decent return on every ringgit spent.

For example, MAS said modifications to hot meals on long-haul sectors had shown a preference for hot meals that cost less to prepare.

MAS said the light meal boxes served on short-haul sectors had also found a huge degree of acceptance among passengers and such boxed meals enable the airline to increase in-flight service efficiency, improve aircraft turnaround time and reduce overall in-flight costs.

“Sale of air tickets via the Internet plays a critical role in realising FSVC,'' MAS said, adding that together with the MAS Passenger Services System, operating costs would be substantially reduced.

MAS also said the concepts exposed in turning the airline into an FSVC had been successfully implemented in other international airlines.

MAS said Ireland's Aer Lingus had managed to dramatically cut costs by focusing on Internet sales, eliminating the business class and free food on short-haul flights and focusing on productivity to compete with low-cost carriers.

“Air Canada has been very vocal about how its model, focused on low costs and significant sources of protected revenue, delivers superior profit,'' MAS said.

The third example used by MAS was Chile's LAN, a regional airline that increased short-haul aircraft utilisation and the percentage of direct flights to nearly double its operating margin.

“MAS has the advantage of being in a better starting position than any of these carriers,'' the carrier said in its plan.

If MAS successfully transforms itself, it is projecting a net profit of between RM1.5bil to RM3bil by 2012.

nazrey

January 31st, 2008, 06:39 AM

AirAsia and MAS offer promo tickets
Thursday January 31, 2008

SUBANG JAYA: Travellers are in for a treat with AirAsia offering 300,000 free tickets and Malaysia Airlines offering six million tickets at up to 70% discount.

The AirAsia promotion was launched yesterday and within 12 hours, some 75,000 tickets had been booked.

The promotion is available for the travel period Feb 26 to May 15 as a gesture of appreciation to loyal clients.

Offered exclusively through online bookings (www.airasia.com) until Feb 3, the highly popular destinations include Phuket, Bangkok, Hanoi, Kuching and Macau.

The free seats are offered from all its hubs in Malaysia – Kuala Lumpur, Johor Baru, Kuching and Kota Kinabalu.

Meanwhile, MAS will put six million seats on offer during the Malaysia Airlines Travel Fair (MATF) to be held in Kuala Lumpur, Johor Baru, Penang, Kuala Terengganu, Kota Kinabalu and Kuching from Feb 22 to 24.

MAS commercial director Datuk Rashid Khan said the deals are to thank customers for their consistent vote of confidence which saw MAS winning awards like “5-Star Airline” and “Best Cabin Staff 2007”.

“It is also to thank our customers’ patronage which enabled us to return to profitability in record time,” he said.

Among the other deals offered is the “Buy 1 Get 1 Free” promotion on business class seats for routes to Asean cities, Xiamen, Kunming and Macau as well as discounted Golden Holiday packages for both domestic and international travel.

The offers will also be available at all Malaysia Airlines ticketing offices and its 24-hour call centre at 1-300-88-3000. Those interested can also visit www.malaysiaairlines.com.

nazrey

January 31st, 2008, 04:17 PM

Malaysia Airlines travel fair offers 6m seats
31 Jan 2008 11:15 AM

KUALA LUMPUR: Malaysia Airlines travel fair (MATF), slated for Feb 22 to 24 this year, will offer six million seats for domestic and international travel at up to 70% discount.

The offers are for people intending to fly from March 1 through end-September, excluding certain blackout periods, Malaysia Airlines Bhd (MAS) said in a statement yesterday.

The low fares include Malaysia Airline’s latest destinations, Macau and Yogyakarta as well as Chennai, New Delhi and Bangalore. Attractive fares would also be offered to the Orient as well as traditional MATF favourites like London, Amsterdam, Melbourne and Perth.

“This is our gesture of thanking them for their consistent vote of confidence… as well as their patronage that enabled us to return to profitability in record time,” MAS commercial director Datuk Rashid Khan said.

MAS will also offer a ‘Buy 1 Get 1 Free’ promotion on business class seats for routes to Association of South-East Asian Nations cities as well as to Xiamen, Kunming and Macau

nazrey

January 31st, 2008, 04:18 PM

MAS eyes RM1.5b annual profit by 2012
by Sharon Tan, 31 Jan 2008 1:39 PM

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PETALING JAYA: Malaysia Airlines Bhd (MAS) can achieve an annual profit of RM1.5 billion by 2012 based on its business transformation plan (BTP2) if it stretches its limit and even after factoring in the challenges in the industry such as overcapacity, air traffic liberalisation and rising fuel cost, the national airline said.

“Should the magnitude of overcapacity and liberalisation be less than anticipated, it is possible for MAS to achieve an even higher proffit of between RM2 billion and RM3 billion per annum,” it said in an announcement to Bursa Malaysia yesterday.

For 2008, MAS said its profit on an outstanding case scenario could hit RM1 billion via its strategy to transform the company into a World’s Five-Star Value Carrier (FSVC) in the competitive industry.

“Based on a series of focused key strategies, the company’s aspiration in the plan is to achieve (a profit of) RM400-RM550 million (on target), RM551-RM650 million (exceeding) and RM651-1,000+ million (outstanding) in 2008 while it has set its sights to post more than RM1 billion for this financial year as part of its business transformation plan.”

The philosophy behind the business transformation plan was “aiming and planning for the best, assuming the worst”. MAS had to build a ship that could weather storms, in its case the imminent liberalisation and overcapacity in Asia.

The airline’s biggest concern was overcapacity with 400 new aircraft to hit the skies this year. This phenomenon of unbridled growth would intensify competition and erode MAS’ yield and profit margins. Coupled that with the imminent liberalisation of Asean skies and rising oil prices, MAS would fail badly if it does not transform itself.

MAS had managed to outperform its announced targets over the past two years and has intentions to meet and exceed its set targets.

The national carrier said it had to re-invent itself to fend off competition from both full-service and low-cost carriers.

“The full-service carriers are striding ahead with first-class products, new and modern aircraft, and fast-expanding routes. MAS is also strongly pushed by low-cost carriers with low fares,” the company said.

To meet the challenges, MAS has outlined, in five bold steps, a strategy that would form the FSVC virtuous cycle of profitable growth.

They are:
* MAS must maintain the high quality products and services offered (5-star) and these have to be constantly matched to the specific needs of its customers;

* Lower costs: MAS must reduce its structural and operational costs without compromising on safety and security;

* Competitive fares: With lower cost base, MAS will be able to offer low and competitive fares to its customers, and still be able to make a profit;

* Get more customers, more revenue: With high quality products and services at low/competitive fares, more passengers will choose to fly on MAS. This translates into more revenue; and

* Grow network, build capacity: With more revenue and profit, MAS can invest in growing its network and building its capacity. MAS will open up more routes and acquire more planes, and this will lead the company to sustainable, profitable growth.

MAS said: “The transformation journey towards achieving this vision will be tough but exciting. Its mission to be a consistently profitable airline will support this vision.

“The company would mobilise the entire airline to become a FSVC with products, fleet and network that are in the league of the world’s premium airlines, with cost structure and operational discipline to match the best fares that the low-cost carriers can and will throw at MAS.”

According to the company, FSVC is its path to long-term survival and success. “MAS’ ability to deliver this FSVC strategy is the cornerstone to grow MAS into a global champion,” it said.

aseantraveler

February 1st, 2008, 04:38 AM

AirAsiaX to add new Australian routes
By Steve Creedy February 01, 2008 12:00am

WITH its Gold Coast service up and running, AirAsiaX is looking at routes to Victoria and NSW.

AirAsiaX chief executive Azran Osman-Rani said he has checked out the journey between Newcastle and Sydney to get a personal feel for whether Newcastle could work as a secondary airport for the northern Sydney area.

It is part of a push that Mr Osman-Rani says will see the Malaysia-based long-haul low-cost carrier significantly expand its Australian reach.

The airline, which has 25 Airbus A330-300 aircraft on order, is already flying to the Gold Coast and plans to add Melbourne in October.
The Gold Coast services are reportedly going well, with load factors for December and January averaging 80 per cent. The airline has talked to Melbourne Airport and the Lindsay Fox-owned Avalon Airport, near Geelong, about its next destination.

"Both have their pros and cons but either way we expect to get our first brand new plane around October this year and very likely we'll start our Melbourne service then," Mr Osman-Rani said.

The Victorian and Sydney additions are part of a five-year plan that will eventually see the airline fly to five Australian cities. "Most likely we'll be looking at one city a year," the AirAsiaX chief said, noting that Victoria and NSW would probably be next. But the airline was staying away from Perth for now because of competition from Tiger Airways.

Mr Osman-Rani said he would like to start selling tickets for Victoria from March to capitalise on the increased brand awareness stemming from AirAsia's sponsorship of the Formula One Grand Prix.

"If I can firm up the deal with the airport, what I'd love to be able to do is actually almost commence ticket sales during that Formula One race even though our flight might be in October," he said. "There's a lot of Malaysian and Singaporeans down there and getting that awareness and the big lead time is going to help me fill up the planes.

"We didn't have that luxury with the Gold Coast because we were rushing to get our licence and permits but we've got that all now and it's just a matter of getting the airport deal."

He said the airline had already learned lessons from its Gold Coast service. Australians heading to Malaysia comprised 48 per cent of passengers, with the remainder coming this way from Malaysia and Southeast Asia.
"In the last 10 days of December, we sold out all of our Gold Coast to KL with all the Australians coming up," he said.

"And we couldn't get Malaysians to fly down to balance the flights because they couldn't get a ticket back up to KL until the third week of January because it was all full."

AirAsiaX is also watching Jetstar's short-haul international strategy with interest but does not see it as a competitor for its long-haul services.

"It is a big difference," he said. "You're talking about at least a two-hour difference with transit.

"If they were competing just against a full-service carrier, they could easily pull it off.

"But we come into the market and we keep throwing out our $199 one-way fares direct, that's going to be a challenge to them."

Mr Osman-Rani said the opening up of the Singapore-Kuala Lumpur route to AirAsia was already prompting Singaporeans to travel to Kuala Lumpur and then on to the Gold Coast.

On the Australian end, 11 per cent of the airline's customers were travelling to the Gold Coast from Melbourne and 6 per cent from Sydney.

nazrey

February 1st, 2008, 02:38 PM

AirAsia flying twice daily to Singapore from today
Friday February 1, 2008

KUALA LUMPUR: AirAsia will start its twice-daily flights between the Low-Cost Carrier Terminal (LCCT) and Singapore's Changi Airport today.

The budget carrier’ chief executive officer Datuk Tony Fernandes said the response so far had been impressive with an encouraging volume of bookings both ways.

“It will be a big day for us. The reality that we are finally flying to Singapore has not sunk in yet as we had been waiting for this for a long time,” he told reporters here yesterday.

He said this after signing an MOU with Tafe College Seremban to complement AirAsia’s current engineering programme conducted at the AirAsia Academy.

AirAsia’s flights to Singapore would depart here at 10am and 7.50pm and its return flight would be at 11.30am and 9.40pm.

Fernandes said Malaysia Airlines had held AirAsia back on the Kuala Lumpur-Singapore route.

“Why can’t there be two national champions? Don’t stop us from opening routes. We never stopped them. It is not about the money but as Malaysians, we should be competing and taking on world airlines,” he said.

Fernandes also said AirAsia hoped to fly to India by this year.

nazrey

February 1st, 2008, 03:22 PM

AirAsia introduces online meal order
By Sharon Tan, 01 Feb 2008 2:27 PM

KUALA LUMPUR: Low-cost carrier AirAsia Bhd is introducing online meal order from today as part of its move to enhance customer service, Its group chief executive officer Datuk Tony Fernandes said.

He said AirAsia passengers would be able to order local favourites such as chicken rice and roti canai that would be added to the menu. This online meal booking is already available on AirAsia X Sdn Bhd’s long-haul flights.

“The biggest complaint from people was flights running out of nasi lemak. We can never get it right. It’s either you put many and get wastage or too little and you get angry passengers. Online will help,” explained Fernandes.

On AirAsia’s expansion to the Indian sub-continent market, he said: “This will be the year of South India for us and talks for Amritsar have gone far. Our China routes are doing well and we are ready to take on India.”

On its Singapore route, he said AirAsia would continue to push for more flights, and this would include the Penang-Singapore and Kota Kinabalu-Singapore routes.

“It is crazy we don’t have Singapore. When you talk about tourism (in Sabah), you must have Singapore,” he added. AirAsia would begin to fly to Singapore from KL on Feb 1 with two flights daily.

Fernandes said the low-cost carrier would take delivery of 16 new aircraft this year to compliment its existing fleet of 65.

Asked if AirAsia X is on schedule to fly to Europe, Fernandes said: “We don’t know because we don’t have a plane. There is a discussion on whether we use the A330 but it needs a fuel stop.

“But I think we will still wait for a A340. We can’t find a long-range aircraft right now for the London route.”

He, however, remains optimistic that the London route would take place this year.

Fernandes also said AirAsia X’s Gold Coast route carries about 60% Australian passengers into Kuala Lumpur for connection to other destination.

“January is a low season but we already have 83% load factor,” he added.

On Malaysia Airline Bhd’s (MAS) newly announced business transformation plan, Fernandes said MAS should welcome the opening of skies for AirAsia, and should go upmarket, as there is a strong domestic market and a good regional feed for the national carrier.

cbeboy

February 1st, 2008, 08:37 PM

First budget flights take off for KL-Singapore

Budget airlines began flying the Singapore-Kuala Lumpur route Friday, ending 30 years of dominance by the national carriers and, observers say, opening the way for wider liberalisation of the region's air corridors.

Malaysia-based AirAsia, which pioneered regional low-cost travel more than six years ago, was the first to make the 55-minute journey, with a morning departure from Kuala Lumpur (KL).

The flight landed at Singapore's Changi Airport about 12 minutes early with 180 passengers. They included AirAsia's chief executive Tony Fernandes and dozens of other VIPs and AirAsia officials wearing red T-shirts that said, "Finally!"

Fernandes battled six years for his airline to be allowed onto the route. "Today is a watershed in aviation history," he told reporters. The Sydney-based Centre for Asia Pacific Aviation (CAPA) consultancy agreed.

Starting Friday, AirAsia is operating two flights a day linking KL and Singapore

nazrey

February 2nd, 2008, 04:45 AM

MAS bullish on new route
By WANI MUTHIAH
Saturday February 2, 2008

JOGJAKARTA: Malaysia Airlines (MAS) launched its inaugural flight to Jogjakarta, which took off from the Kuala Lumpur International Airport (KLIA) yesterday morning.

On board were paying passengers as well as more than 60 invited guests made up of travel agents, the business fraternity as well as journalists from the Malaysian media.

MAS commercial director Datuk Abdul Rashid Khan, who led the entourage, said the launch was in line with MAS’ vision to expand its presence in key regional markets.

“And the Jogjakarta route has a great potential to contribute towards our profitability,” he added in his speech at KLIA before the flight.

Jogjakarta is the national carrier’s fifth scheduled service destination in Indonesia after Jakarta, Medan, Denpasar and Surabaya.

According to Abdul Rashid, MAS' strategy was to provide direct links between Malaysia and more cities in Indonesia, especially Java, the most populated part of the country.

“We now offer 44 return weekly flights between KLIA and Java,” he said.

Later, at a press conference in Jogjakarta held together with provincial tourism authority head Tazbir, Abdul Rashid said the new route would help connect the Indonesian city with the rest of the world.

“For instance, if someone from Europe wants to visit Jogjakarta, all they need to do is take a direct flight here from KLIA,” he added.

Aside from Borobudur, the oldest Buddhist monument in the world, and Prambanan, one of the largest Hindu temples in South-East Asia, as well as the infamous Mount Merapi, Jogjakarta is also a centre for world-class handicrafts.

Given this, said Tazbir, the Kuala Lumpur-Jogjakarta-Kuala Lumpur route would also benefit entrepreneurs from both countries.

The MAS flight departs KLIA at 9.20am every Tuesday, Friday and Sunday and returns the same day at 11.40am from the Adi Sutjipto Airport.

The flight is operated using a Boeing 737-400 aircraft with 128 economy-class seats and 16 business-class seats.

nazrey

February 3rd, 2008, 04:38 PM

MAS making hospitality its thrust
Saturday February 2, 2008
Stories by RACHAEL KAM
TheStar

MUCH of the national carrier's growth has been in line with the nation's transformation from Malaya into modern Malaysia.

The airline started offering local passenger and cargo flights in 1937 and 11 years later, took off to its first international flight to Bangkok. The carrier was then known as Malayan Airways Ltd (MAL).

http://biz.thestar.com.my/archives/2008/2/2/business/b_08planes.jpg

MAS aircraft sit in the tarmac at KL International Airport.
The airline plans to train cabin crew to provide travel tips to passengers. – AP

It became Malaysia-Singapore Airlines (MSA) in 1967. The two countries then parted ways and formed Malaysia Airlines System (MAS) and Singapore Airlines (SIA) in 1972.

Over the last six decades, the airline has spread its wings to various destinations worldwide and today, it flies more than 48,000 passengers to over 100 destinations across six continents daily. Its fleet, meanwhile, is one of the newest in the region.

Indeed, MAS, which carries the country's name in its logo, has built a strong name over the years. As the national carrier flies the world, it bears testament to Malaysia's multi-racial society, colourful culture and harmonious way of living.

With aspirations of becoming a world champion in the airline industry over the next five years, MAS is spending RM8mil to RM10mil for its Malaysian Hospitality (MH) campaign to refresh and reposition the brand.

Communication senior general manager Indira Nair said like any other brand, MAS has to be dynamic.

In today's fast-paced world, it is not merely about keeping up with times but staying ahead of the curve, she said.

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This is what MAS intends to achieve with MH, which is about constantly finding out what customers value and provide services that meet customers' requirements.

“MH is not just our airline code, it stands for Malaysian Hospitality.

“It is the hospitality of Malaysians that we want to bring to our customers; to make them feel the warmth, friendliness and culture we have in Malaysia when they get on our flights while Malaysians will feel at home,” she told StarBiz.

The MH campaign includes internal and external activities that relate to the brand's new look. The activities involve a lot of training and brainstorming sessions for staff, positioning programmes, brochures/leaflets/MH magazines as well as billboards, print advertisements and TV commercials.

In conjunction with the launch of the MH campaign, MAS has continuous training and workshops for employees and has come out with refreshing and colourful advertisements and TV commercials that reflect the hospitality of Malaysians.

The airline has also changed all its overhead bridge billboard advertisements in the country.

“Nevertheless, we think a brand is built over time and it is about the experience customers have with the brand; it is not merely advertising.

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“The whole idea behind the campaign was to build on what we already had and to make it stronger.

“Our strategy is to offer a unique Malaysian experience and distinct offerings, which are aligned to the nation's aspirations,” she said.

However, MAS does not have a global brand campaign due to a limited budget.

The campaign, which is part of MAS' business transformation plan, aims at giving customers a seamless and hassle-free travel experience that is imbued with graciousness and warmth.

“When customers talk about hospitality, they are looking for the basics. They want to feel important, be treated well and with respect.

“We believe we need to treat every passenger as we would treat a guest in our own homes,” Indira said.

She stressed that the MH campaign is an area in which MAS can work with the Tourism Ministry. This is because often when passengers get aboard, their experience would be the first impression they get of Malaysia.

“We are looking at Tourism Malaysia to make Malaysian hospitality something that every Malaysian can 'own', and that would be even more amazing.”

According to feedback received by MAS, a lot of passengers felt Malaysian cabin crew are knowledgeable and more street-wise, and able to better answer questions than crew members of some other airlines.

To better inform MAS' passengers about their travel destinations, the airline also plans to select and train cabin crew who are familiar with different destinations, to provide travel tips to passengers.

For instance, if one is onboard a flight to Melbourne, crew members might be able to advise on the best place to eat and shop, Indira said, adding that this “extra service” should be extended to all passengers.

haze

February 4th, 2008, 09:34 AM

February 04, 2008 14:42 PM

Airasia X Launches KL-Hangzhou Services At LCCT

KUALA LUMPUR, Feb 4 (Bernama) -- AirAsia X, the pioneer of low-cost, long-haul air travel, Monday began its Kuala Lumpur-Hangzhou service at the Low-Cost Carrier Terminal (LCCT) of the Kuala Lumpur International Airport (KLIA).

"We're extremely pleased with the reception we've received since announcing that AirAsia X will be the first airline to service Hangzhou from Kuala Lumpur," said chief executive officer Azran Osman-Rani in a statement.

With a promotional RM99 fare, 10,000 seats valued at over RM5 million have been snapped up for travel in February and March.

The initial success of the five-weekly Hangzhou service follows AirAsia X's first international destination, the Gold Coast in Australia for which 60,000 seats have been sold and flights frequently at near-full capacity months since the first flight on Nov 2, Azran said.

The focus on secondary airports led AirAsia X to select Hangzhou airport, which serves six million Hangzhou residents, 80 million in Zhejiang province and is also a secondary airport to key cities such as Shanghai, Suzhou, Nanjing and Wuhan, he added.

AirAsia X is offering fares for one-way travel between Kuala Lumpur and Hangzhou starting from RM199 or 479 yuan.

Passengers can book online at www.airasia.com.

Sukkiri

February 4th, 2008, 09:51 AM

RE: AirAsiaX to add new Australian routes

It would be preferable if Air Asia X offered flights to Sydney Kingsford Smith rather than Newcastle Airport as it is quite far away from Sydney and may not be feasible for a lot of Sydney residents. If they were to use Kingsford Smith they would access to a larger market and Kingsford Smith is more accessable for Sydney residents, despite the higher landing costs.

Skyprince

February 4th, 2008, 05:32 PM

^^ Well Sukkiri, the problem is the cost to operate from SYD Kingsford Smith is incredibly high compared to secondary airfields. This is the same reason on why Air Asia is operating from Gold Coast airport instead of Brisbane, and Clark Manila instead of Ninoy Aquino International... distance from the main city is no hindrance in getting high number of pax-- Gold Coast flights are always full from what media says

Air Asia caters mostly to.... tourists... adventurous tourists.

aseantraveler

February 5th, 2008, 07:07 AM

AirAsia X to Reveal Foreign Partners
2008-02-04
New Straits Times
By Anna Maria Samsudin

AIRASIA X will reveal the two foreign investors who will take a combined 20 per cent stake in the long-haul budget airline valued at US$75 million (RM242 million) on February 14, says chief executive officer Azran Osman Rani.

The ceremony, which will be graced by Prime Minister Datuk Seri Abdullah Ahmad Badawi, will officially introduce its Middle Eastern and Japanese partners who will hold 10 per cent each in the airline.

"This is an exciting development as it reflects foreign investors' level of confidence in our business model," Azran told reporters in Sepang yesterday, after launching the airline's maiden Chinese flights between Kuala Lumpur and Hangzhou.

Its existing investors include budget carrier AirAsia Bhd as well as British tycoon Sir Richard Branson, holding 20 per cent in AirAsia X, respectively.

AirAsia X, which was launched in January last year, is currently valued at US$375 million (RM1.2 billion), based on its budget long- haul business model.

Proceeds from its recent share sale will be used to partly finance its aircraft purchases, comprising 15 firm orders of A330s, with a total value of US$2.63 billion (RM8.5 billion) based on a catalogue price of US$175 million (565 million) per plane.

Meanwhile, Azran said AirAsia X is in the process of determining the second destination for both its Australian and Chinese services and is currently talking to authorities from the countries for this move.

The next Australian destination it plans to operate is either Perth, Melbourne or Newcastle while for China, it is looking to fly to Tianjin or Chengdu.
He said the airline hopes to operate these new routes by September or October this year, upon the delivery of its new A330s.

"The biggest challenge in offering these new flights is getting the landing rights. We are still talking to the respective authorities. Hopefully, we will be able to secure the rights within one to two months," he added.

On its maiden Chinese service, AirAsia X is offering passengers as low as RM199 for a one-way travel between Kuala Lumpur and Hangzhou.

To date, the airline has already sold 10,000 seats - valued at over RM5 million - for travel in February and March, under its RM99 airfare promotion that was announced on January 15.

The overwhelming response to its five times weekly Hangzou route is in synch with the success of its maiden international flight to Gold Cost, Australia, where 60,000 seats have been sold in the past couple of months since the launch of the service on November 2 last year.

nazrey

February 5th, 2008, 02:13 PM

AirAsia X flies to Hangzhou
Tuesday February 5, 2008

KUALA LUMPUR: AirAsia X began operating flights between Kuala Lumpur and Hangzhou in China, the low-cost carrier's second foreign destination.

The first flight left KL International Airport's low-cost carrier terminal yesterday morning.

Hangzhou is located about two hours from Shanghai by bus.

AirAsia X chief executive officer Azran Osman-Rani joined the passengers on the first flight.

The company, in a press release, said that more than 10,000 seats valued at some RM5mil had been snapped up for between February and March.

aseantraveler

February 5th, 2008, 04:22 PM

4 February 2008

10,000 Seats to Hangzhou Snapped Up: AirAsia X expands with second international routehttp://www.geocities.com/aseantraveler/gongxifacai.gif

Kuala Lumpur, 4th February 2008 – AirAsia X, the pioneer of low-cost, long-haul air travel, today commemorated the official launch of its inaugural Kuala Lumpur – Hangzhou flight at the Low-Cost Carrier Terminal (LCCT), Kuala Lumpur International Airport. Following its much anticipated announcement of this second international destination on the 15th of January with promotional RM99 fares, 10,000 seats valued at over RM5 million have been snapped up for travel in February and March, ahead of today’s first flight in the run up to the upcoming Lunar New Year..

The pioneer passengers were welcomed upon check-in by AirAsia X CEO, Azran Osman-Rani, clad in a festive red Chinese outfit. He received mandarin oranges and was entertained by a traditional lion dance, adding to the festive atmosphere in the packed LCCT. Azran subsequently joined the passengers on the flight where he was received at Hangzhou Airport by senior city and airport officials, eager to welcome the first direct international service from Kuala Lumpur and Southeast Asia.

This initial success of the five-weekly Hangzhou route follows back to the AirAsia X’s first international destination to the Gold Coast, Australia, where 60,000 seats have been sold and flights frequently at a near-full capacity in the past couple of months since the first flight on 2 November. A survey of AirAsia X passengers by the Gold Coast Airport indicates that 45% are destined for the Gold Coast, 35% for Brisbane, and the remaining passengers use Gold Coast Airport as a convenient transit to final destinations in New South Wales, Melbourne, Adelaide, and New Zealand. This proves that it is a viable alternative airport for Brisbane residents.

The use of secondary airports provided AirAsia X with the impetus to select Hangzhou airport, where it can serve not only the 6 million residents of Hangzhou and 80 million in its Zhejiang province, but also serve as a secondary airport to key cities such as Shanghai, Suzhou, Nanjing and Wuhan, each with convenient ground transportation links from Hangzhou.

Hangzhou itself is poised to receive a major tourism boost with this AirAsia X service, as it welcomes visitors from Malaysia, Southeast Asia and Australia from AirAsia’s leading low-cost network. Hangzhou is regarded as the tourism capital of China, with its natural beauty and historical and cultural heritage. Known as one of the cradles of Chinese civilization, Hangzhou has a history of more than 2200 years and is one of seven ancient Chinese capitals. It is also the centre for its famous Longjin green tea and silk.

“We’re extremely pleased with the reception we’ve received since announcing that AirAsia X would become the first airline to service Hangzhou from Kuala Lumpur,” Azran said. “Hangzhou marks the starting point of our extended network of cities in mainland China. As our first northern China destination, this route compliments existing AirAsia routes in Southern China.”

AirAsia X is offering fares for one-way travel between Kuala Lumpur and Hangzhou starting from a low RM199.00* or CNY$479. Passengers can book online at www.airasia.com (http://www.airasia.com/) * All fares quoted are excluding airport taxes, surcharges and fees, and are applicable for one way travel.

“The launch of this second route in three months, alongside our super low fares, is testament to AirAsia X’s goal to make international travel accessible for all travelers,” Mr Osman-Rani said. “It is an important addition to our expanding network and opens up yet another option for passengers who are increasingly using Kuala Lumpur as a connecting gateway or jumping-off point for Asia.”

This launch also coincides with the Chinese New Year and offers the opportunity for people to renew social ties between families and friends during this festive period.

AirAsia X is the extension of AirAsia’s successful short haul low cost model in South East Asia. It aims to build on AirAsia’s tradition of revolutionizing the short haul, low cost carrier model by introducing a number of features unique to the long-haul service. The airline will bring independence to the long-haul low cost travellers by providing an innovative product offering, ensuring passengers will enjoy a level of comfort and convenience suited for long-haul travel.

AirAsia X offers passengers the choice of flying Economy in a 32-inch seat (similar to many airlines) or XL in a 52-inch seat, XL seats cost about twice the average Economy fare.

FLIGHT SCHEDULE FOR KUALA LUMPUR- HANGZHOU

Flights From Departure/ Arrival
Flight No.
Frequency

Kuala Lumpur to Hangzhou
08:10 / 13:00
D72602
Monday, Wednesday & Friday

Kuala Lumpur to Hangzhou
17:25 / 22:15
D72604
Tuesday & Saturday

FLIGHT SCHEDULE FOR HANGZHOU - KUALA LUMPUR

Flights From
Departure/ Arrival
Flight No.
Frequency

Hangzhou to Kuala Lumpur
14:00 / 19:00
D72603
Monday, Wednesday & Friday

Hangzhou to Kuala Lumpur
23:15 / 04:15
D72605
Tuesday & Saturday
http://www.geocities.com/aseantraveler/hghpromo.gif

haze

February 6th, 2008, 02:51 AM

Thai AirAsia to make 1b baht investments

Published: 2008/02/05

THAI AirAsia is expected to make additional investments amounting to one billion baht (100 baht = RM9.81) over the next 10 years in line with its current plans to replace the existing ageing fleet of B737-300s with new Airbus A320 aircraft.

These will include expanded staffing, training/conversion costs, purchase of supporting equipment, acquisition of aircraft and engine spares and enhancement of maintenance capabilities to cater for a much bigger and newer fleet of aircraft.

This information was given by AirAsia in a statement yesterday to clarify a recent news article. The airline said Thai AirAsia's chief executive officer, Tassapon Bijleveld, was misquoted in the article.

Although Thai AirAsia is expected to slip into a loss position for the financial year 2007, Thai Airasia has not lost one billion baht in 2007 as reported, it said.

A loss is expected due mainly to intense competition in Thailand through rampant undercutting combined with adverse effects of higher fuel cost, and once-off charge attributable to a change in accounting policy in relation to accounting for maintenance reserves to be in line with industry practice, it said.

AirAsia Bhd had already adopted the new accounting policy earlier, it said, adding that it was confident of the underlying business operations in Thailand and that its fundamentals were solid. - Bernama

nazrey

February 6th, 2008, 02:32 PM

AirAsia X rakes in over RM5m for KL-Hangzhou route
05 Feb 2008 10:58 AM

KUALA LUMPUR: Low-cost long-haul carrier, AirAsia X has raked in over RM5 million from 10,000 seats for travel between here and Hangzhou, its second international destination, in February and March.

“We are extremely pleased with the reception we have received since announcing that AirAsia X would become the first airline to service Hangzhou from Kuala Lumpur.

“Hangzhou marks the starting point of our extended network of cities in mainland China. As our first northern China destination, this route complements existing AirAsia routes in southern China,” AirAsia X chief executive officer Azran Osman-Rani said in a statement issued yesterday in conjunction with the inaugural KL-Hangzhou flight.

He said the use of secondary airports provided AirAsia X with the impetus to select Hangzhou airport, where it could serve not only the six million residents of Hangzhou and 80 million in its Zhejiang province, but also serve as a secondary airport to several key cities.

Azran said the initial success of the five-weekly Hangzhou route followed its first international destination to the Gold Coast, Australia, where 60,000 seats had been sold and which had seen flights frequently at near-capacity since the launch on Nov 2.

He said a survey of AirAsia X passengers by the Gold Coast Airport indicated that 45% were destined for the Gold Coast, 35% for Brisbane and the remaining passengers used the airport as a transit to destinations in New South Wales, Melbourne, Adelaide and New Zealand.

nazrey

February 7th, 2008, 01:50 PM

nazrey

February 8th, 2008, 03:47 PM

by nahcnivek (http://www.flickr.com/photos/nahcnivek/sets/72157603839748903/)
spectacular view of the Sarawak River Before landing at Kuching international airport (KIA)

http://farm3.static.flickr.com/2269/2237306052_3d6ec21029_b.jpg

http://farm3.static.flickr.com/2177/2237281390_ae28f39110_b.jpg

haze

February 14th, 2008, 07:21 AM

February 14, 2008 14:22 PM

AirAsia X Chooses Manara & Orix As New Investors

KUALA LUMPUR, Feb 14 (Bernama) -- Bahrain-based Manara Consortium and Japan-based Orix Corp have taken a total 20 percent stake in long haul low-cost carrier AirAsia X Sdn Bhd for RM250 million.

Manara and Orix will each receive 16.7 million newly issued common shares of AirAsia X or 10 percent of the long haul low-cost carrier's equity.

AirAsia X chief executive officer Azran Osman-Rani said today the stake represents an important phase of AirAsia X's growth plans as proceeds raised will enable the airline to fund aircraft orders already placed with European airplane maker Airbus and for further fleet expansion.

"We believe that AirAsia X is now well-placed to further enhance its reach to destinations in the Middle East and North Asia, and to continue to revolutionise the long-haul travel market by providing everyday low fares," he said in a statement here.

"This investment will allow AirAsia X to expand its fleet with new generation aircraft and further strengthen Malaysia's leading position as Aseans low cost carrier hub."

AirAsia X chairman Datuk Seri Kalimullah Hassan noted that Manara and Orix were selected due to the strategic nature of their investment and their ability to bring much more than just financial clout to the table.

"It is important that AirAsia X select partners which allow the company to continue to keep costs low and grow rapidly," he stressed.

"Manara will allow AirAsia X greater access to the fast-growing Middle East region while Orix will contribute its significant expertise in aviation finance and leasing."

The Manara Consortium comprises of four leading Saudi investment groups who together with 3i Group plc, have sponsored the Manara Infrastructure Fund to invest in infrastructure projects, including airlines and airports, in Islamic countries.

Manara Consortiums investment in AirAsia X will later be transferred to the Manara Infrastructure Fund.

Orix, along with its subsidiary Orix Aviation, a leading aircraft owner and lessor in Ireland with a portfolio of over 130 aircraft, will undertake its investment through its investment vehicle in Ireland. Orix is also a shareholder in Skymark Airlines, Japans leading low cost carrier.

Aero Ventures Sdn Bhd and the Virgin Group will hold a 48 percent and 16 percent stake in AirAsia X respectively, while AirAsia Bhd will maintain a 16 percent stake through its holdings of redeemable convertible preference shares.

-- BERNAMA

haze

February 15th, 2008, 05:15 AM

New investors to help AirAsia X gain Mideast foothold

Published: 2008/02/14

AIRASIA X Sdn Bhd's two new investors, Manara Consortium and Orix Corp, will help the carrier gain a foothold in the Middle East region as well as import some expertise in aviation finance and leasing.

"We believe that AirAsia X is now well-placed to further enhance its reach to destinations in the Middle East and North Asia, and to continue to revolutionise the long-haul market by providing everyday low fares," AirAsia chief executive officer Azran Osman-Rani said in a statement yesterday.

AirAsia X chairman Datuk Seri Kalimullah Hassan said there were a bevy of financial investors eager to invest in the company, but Manara and Orix were selected because of the strategic nature of their investment and their ability to bring much more than just financial clout to the table.

"It is important that AirAsia X select partners which allow the company to continue to keep costs low and grow rapidly," Kalimullah said in a statement yesterday.

Manara and Orix are each buying 16.7 million new shares in AirAsia X for a total sum of RM250 million.

Following the issuance, Manara and Orix each have a 10 per cent interest in AirAsia X, Aero Ventures Sdn Bhd will hold 48 per cent and the Virgin Group a 16 per cent stake.

AirAsia Bhd will maintain a 16 per cent stake in the company through its holdings of Redeemable Convertible Preference Shares.

Manara comprises of four leading Saudi investment groups which together with 3i Group Plc have sponsored the Manara Infrastructure Fund to invest in infrastructure projects, including airlines and airports in Islamic countries.

Manara's investment in AirAsia X will later be transferred to Manara Infrastructure Fund.

"We know the core team led by Datuk Tony Fernandes and Kamarudin Meranun extremely well from an earlier involvement with AirAsia, and we have no doubt that they are best placed to make the yet untested long-haul, low-cost concept another exemplary success to emulate," Manara's representative to the board of AirAsia X, Adeeb Ahmad, said.

Orix, along with its subsidiary Orix Aviation, an aircraft owner and leaser in Ireland with a portfolio of over 130 planes, will execute the deal through its investment vehicle in Ireland.

Orix is also a shareholder in Skymark Airlines, Japan's leading low-cost carrier.

Credit Suisse acted as the exclusive financial advisor and Logan Sabapathy & Co acted as the legal advisor to AirAsia X.

marcusaffleck

February 15th, 2008, 03:11 PM

Malaysia Airlines launched new online ticketing system..check it out..

MALAYSIAN

February 15th, 2008, 04:27 PM

Their website is getting better and nice!

liping_t

February 16th, 2008, 06:21 PM

The Hangzhou route is genius! Shanghai is only 1.5hrs or less away depending on travel modality. Pudong itself is around 45min away from downtown Shanghai by bus, so Hangzhou definitely doable for people travelling to Shanghai on the cheap!

Smallville

February 17th, 2008, 04:40 AM

I may have missed it somwhere on the thread so forgive me if I am being redundant. I was just wondering if Air Asia X is going to fly to and from the United States? Maybe from LAX or San Francisco? I sure hope so. The more competition we have here in the US the better.

I am going to Kuching this August. I just priced a ticket on Malaysian Airlines. It was around $1600. $400 of that was taxes. Not too bad but I would love to be able to fly Air Asia X but that looks unlikely at this time.

johnsonooi

February 19th, 2008, 03:11 AM

Government keen to sell stake in Malaysia Airlines, says CEO
The Associated Press Published: February 18, 2008

SINGAPORE: The Malaysian government is keen to sell a stake in Malaysia Airlines to ensure the company remain globally competitive in an industry which is fast consolidating, the company's chief executive said Monday.

If the government decides to offload some or all of its 69 percent stake in the national carrier, it could be offered to a strategic partner or to the market, said Chief Executive Idris Jala.

"I certainly believe that the government is very keen (to sell a stake). It'll do it for the right price at the right time," Idris told reporters on the sideline of a regional aviation conference here.

At the same time, he said the flag carrier is exploring the possibility of acquiring stakes in other airlines although this is still in the early stage.

He said passenger demand is expected to fall short of the industry's total capacity over the next five years, which will hurt airlines' profitability and push the formation of new alliances.

"We are looking at opportunities in Asia-Pacific region," Idris said. "I believe mergers and acquisitions are very efficient. It will reduce costs and we will be able to offer lower fares."

Last month, the carrier unveiled a five-year growth plan which calls for opening up more routes in Southeast Asia, China and India, fleet expansion and lower fares to boost its annual profit to as much as 3 billion ringgit (US$930 million; €634 million) by 2012.

Idris said the airline also aims to save as much as 1 billion ringgit (US$310 million; €211 million) this year through cost-cutting in procurement, maintenance and other related services.

"Our operations costs are up because of fuel prices and also wages are going up, we want to take out bad costs," he said.

The carrier rebounded from deep losses in 2005 and 2006 with a record profit of 610 million ringgit (US$189 million; €129 million) in the nine months to September 2007 following a successful revamp.

On fleet expansion, Idris said the carrier will likely decide by April whether to proceed with its order for six superjumbo A380s following a delay in delivery due to production problems.

"I'm happy about the latest development with Airbus. We are reaching a win-win situation," he said.

Last month, company officials have indicated the airline may stick to its plan to acquire up to 110 new planes, with a final decision to be made after the current quarter.

icracked

February 19th, 2008, 10:02 PM

Air Asia has been dethrone by Indonesia's Lion Air as Asia's biggest LCC. You guys should change the title of this thread.

pedang

February 20th, 2008, 05:45 AM

MAS Interested In M&A & Does Not Rule Out Alliance With Budget Carriers

From Umi Hani Sharani

SINGAPORE, Feb 18 (Bernama) -- Malaysia Airlines (MAS) is keen to undertake mergers and acquisitions (M&A) with carriers in the Asia Pacific in the next five years as airlines in the region will likely face overcapacity due to huge aircraft orders, it says.

Its managing director, Datuk Seri Idris Jala today said that at the same time, the national carrier may collaborate or form alliances with low cost carriers including AirAsia in the future.

Speaking at a media briefing here today, Idris said overcapacity would result in declining margins, and in worst cases, some airlines could even go bankrupt.

"I imagine that in the next five years, some airlines wont survive," he said before receiving the Phoenix Award, on behalf of MAS from Air Transport World, a leading monthly airline magazine.

"And if they cannot survive, someone will acquire them. Hopefully we will be alive and kicking, and in a position to acquire some of those airlines which may collapse during that time," he said.

Although MAS is occupied with its Second Business Transformation Plan (2008-2012), Idris said it would grab any opportunity that may arise.

"Financing would not be a problem as we have various ways to do so," he said.

Turning to the possible alliance and collaboration with budget airlines like AirAsia, he said, "We are open to it. Any opportunity that is good, we will look at it. I think competition between MAS and AirAsia is good as it drives both parties to continue improving ourselves. We are also interested in collaboration."

He said collaboration could also be in the areas of Maintenance, Repair and Overhaul (MRO) as well as other backroom services.

Idris pointed out that MAS' recent MRO joint venture with Qantas was also a form of collaboration.

There are various opportunities for collaboration that can be looked into with other carriers as well, he said.

When asked if the national airline's shareholders were looking at the possibility of diluting shares as part of MAS' interest in M&A, he said:

"The government through Khazanah owns 69 percent in MAS, and in our discussions with them, they are certainly open to the idea of diluting... but that is a question you should ask them.

"However, I certainly believe that the government is very keen, for the right price and the right opportunity, to dilute. I think they will do it gradually."

He said MAS has to be prepared to look at all opportunities and look for different ways for the dilution of its shares, either through the open market or strategic partners.

"The choice is always to look at the opportunities that gives most value and what is good for our country too," he added.

Asked if it meant that the government would end up not having the controlling stake, Idris said, "I think they will own a controlling stake for a while, but you do not need 69 percent to control.

"In fact you, don't even need 51 percent to control. There are many ways to make sure to control," he said.

On another note, Idris said he hoped to conclude talks with Airbus on the compensation for the delay in the delivery of the A380 aircraft it ordered by either late March or early June this year.

He said he was happy with the ongoing talks. Talks on the compensation had taken more than a year.

The European airline maker had delayed the delivery of the aircraft to its customers due to wiring faults.

As for the Phoenix Award, he said it was given in recognition of the airline's successful turnaround story, having achieved commercial rebirth through a "life-changing" transformation.

MAS had came out of its financial losses and turned itself around through a restructuring programme that enabled it to post record earnings for the first nine months of 2007, without affecting its reputation for excellent service.

"With the completion of our business turnaround a year ahead of schedule, we have embarked on the next journey to transform MAS into a Five Star Value Carrier... to deliver the highest quality services at affordable prices," he said.

For the first nine months of 2007, MAS made a net profit of RM610 million, the highest profit in its 60-year history, exceeding even its Business Turnaround Plan target of RM50 million and even its target of RM500 million profit for 2008.

Even with the Q407 results still to be included, the airline has already surpassed its highest ever annual profit recorded -- RM460 million in 2004.

-- BERNAMA

nazrey

February 20th, 2008, 02:07 PM

MAS launches travel insurance
20 Feb 2008 11:45 AM

SUBANG: Malaysia Airlines launched yesterday the MAS Travel Insurance to make it easier for its passengers to cover for trip cancellation, loss of luggage and overseas medical costs for flights departing from Malaysia.

The insurance, in partnership with Mondial Assistance and Etiqa Insurance, could be purchased online via the MAS website, the company said.

It said the product would be extended to at least 10 countries in the coming months.

“As we carried over 15 million passengers in 2007, offering travel insurance means that our customers are able to buy their tickets and insurance hassle free all under one roof,” MAS commercial director Datuk Rashid Khan said.

Arkdriver

February 21st, 2008, 09:39 AM

GregPz

February 21st, 2008, 12:09 PM

Flew Air Asia recently and was pretty impressed - didn't feel like a LCC. Definitely way better than the ones in Europe.

nazrey

February 21st, 2008, 02:01 PM

MAS offers online insurance purchase
Thursday February 21, 2008

PETALING JAYA: Malaysia Airlines (MAS) travellers can now buy travel insurance online for flights departing from Malaysia.

They no longer will have to worry about loss, delay or damage to baggage, travel delays and trip cancellations.

Offered in partnership with Mondial Assistance and Etiqa Insurance, domestic and international travel insurance plans are available, offering up to 30 days’ and 180 days’ coverage, respectively, as well as 24-hour worldwide emergency medical and travel assistance. Prices start from RM15.

“As we carried over 15 million passengers last year, offering travel insurance means that our customers are able to buy their tickets and insurance all under one roof,” MAS commercial director Datuk Rashid Khan said in a statement yesterday.

He said MAS’ next step was to offer online services for checking and redeeming loyalty points, purchasing holiday packages and upgrading tickets.

For frequent travellers, there is a multi-trip annual insurance, which offers cover for each trip that MAS travel insurance customers make throughout the year.

nazrey

February 22nd, 2008, 02:01 PM

MAS plans to increase frequency
22 Feb 2008 2:39 PM
THEEDGEDAILY

KUALA LUMPUR: Malaysian Airline System Bhd (MAS) plans to increase its flight frequencies to selected international destinations, beginning with two more two flights per week to London Gatwick Airport in June.

As part of the national carrier’s flight route expansion plan, it will provide additional flights to cities such as Rome, Amsterdam, New Delhi, Chennai and other regional destination in anticipation of higher demand, said company officials.

Details of its flight route expansion plans are expected to be revealed at a later date.

“We can accommodate an increasing demand for our services; therefore, we have decided to increase the number of air tickets available during the Malaysia Airlines Travel Fair period to six million compared with the four million offered previously,” MAS regional general manager for Malaysia and Asean, Salleh Tabrani, said.

He said customers would be able to choose from fares starting from RM39 and discounts up to 70% throughout the three-day event. The offers are for people intending to fly from March 1 through till end-September.

Some 102 Malaysia Airlines Golden holidays discounted up to 80% and 150,000 free seats on Firefly’s network encompassing five domestic and two regional destinations would be among some of the promotions available.

Salleh said MAS was confident it would exceed its record of 100,000 visitors turnout and had projected a sales volume of RM160 million in ticket sales from the event.

The travel event would provide four access channels to its customers with a travel fair held simultaneously in eight cities nationwide, its call centres, participating travel agents and online via www.malaysiaairlines.com, Firefly’s website www.fireflyz.com.my and MASwings website www.maswings.com.my

This year’s physical fair would be held starting today to Feb 24 at Kuala Lumpur Convention Centre (KLCC), Penang International Sports Arena (PISA), Terengganu Trade Centre in Kuala Terengganu, Persada Johor International Convention Centre in Johor Bahru, Sutera Harbour Resort Kota Kinabalu, Permata Exhibition Centre in Kuching, Wisma Sanyan in Sibu and Mega Hotel in Miri.

nazrey

February 22nd, 2008, 02:15 PM

Overwhelming response to 5 sen seats jams AirAsia website
By Woon Wu Lin, 22 Feb 2008 9:57 AM

KUALA LUMPUR: AirAsia Bhd’s website was jammed up due to the overwhelming response to its Big Sale campaign where millions of seats were up for grabs for as low as five sen each for both the domestic and international routes.

“In barely 24 hours of the campaign's launch, Internet traffic on AirAsia.com surged by 10 times and we recorded the highest single-day sales ever,” it said in a statement yesterday.

AirAsia said 300,000 seats were snapped up within 12 hours and the site had registered a fourfold increase over the past two days compared to its normal daily sales.

“The highest online traffic was recorded yesterday (Wednesday) from 2pm to 9pm due to the overwhelming response and bookings were even redirected to all call centres,” it said.

It said the traffic increase was due to the inclusion of new destinations such as China, Vietnam, Singapore and Gold Coast, Australia to its list of routes. Customers could also book via their mobile devices through mobile.airasia.com, it said.

The campaign was first launched for its 70,000 Citibank AirAsia card members on Feb 18 2008, allowing them to enjoy a one day priority booking.

“Our portal is now extended to our long haul low cost carrier, AirAsia X, which covers a wider customer base internationally,” it said.

In a separate statement, AirAsia said yesterday also marked the official launch of the Kuala Lumpur-Vientiane route with a welcome reception held at the Wattay International Airport. The inaugural flight to Vientiane was on Dec 1, 2007.

AirAsia group chief executive officer Datuk Tony Fernandes said the airline now connected all the cities in Asean through Kuala Lumpur as its low cost hub.

He said the airline’s extensive network would showcase the potential of an Asean brand and he hoped to inspire more companies to recognise the potential of the region.

nazrey

February 22nd, 2008, 02:23 PM

AirAsia: Daily flights to Vientiane from May
From Hamisah Hamid Published: 2008/02/21

AirAsia will also fly to Luang Prabang, a popular tourist destination in Laos, when the runway of the airport there is extended

VIENTIANE: Low-cost carrier AirAsia Bhd will fly daily from Kuala Lumpur to Vientiane starting May this year, from the current three flights a week, given the good response from passengers, especially tourists.

Group chief executive officer Datuk Tony Fernandes said the airline initially planned to start daily flights within one year of the launch of KL-Vientiane flight on December 1 2007.

"The load factor for December was almost 90 per cent and in January, it was 65 per cent.

"It's way beyond our expectation, in short time, we'll have two flights a day," he told a news conference after the official launch of AirAsia's KL-Vientiane route yesterday.

Also present at the launching ceremony, which was held on the Mekong riverside, were Laos Public Works and Transportation Minister Sommat Pholsena, Asean seceretary-general Dr Surin Pitsuwan, Loas ambassador to Malaysia Dr Bountheuang Mounlasy, Malaysian ambassador to Laos Zainal Abidin Ahmad and AirAsia chairman Datuk Pahamin Rajab.

Fernandes also said AirAsia would fly to Luang Prabang, a popular tourist destination in Laos, when the runway of the airport there is extended.

With Vientiane, AirAsia now covers all the 10 Asean countries. Since 2001, the budget airline has carried more than 46 million passengers over 90 routes.

Pitsuwan said AirAsia's vision dovetails with Asean's vision to make the region as a stable, secure and prosperous, so that Asean becomes the world's destination.

He said in two decades from now, it is expected that at least one-third of the 700 million population of Asean would become middle-class citizens.

nazrey

February 22nd, 2008, 02:24 PM

AirAsia to increase Kuching-Macau flights
Published: 2008/02/22

The budget airline is also considering the possibility of using its Airbus fleet to cater for the growing number of passengers on the route

BUDGET carrier AirAsia plans to increase the frequency of its Kuching-Macau international direct flight route with the positive response received since the launch on November 15 last year, its East Malaysia and Brunei regional manager Shanmugamnathan Suppiah said today.

He said the airline is also considering the possibility of using its Airbus fleet to cater the growing number of passengers on the route.

"Hopefully, this can be implemented soon,” he told reporters after a meeting in Kuala Lumpur with officials of the Sarawak Tourism Board (STB), the state government tourism marketing and promotion arm.

Without disclosing the average passenger load for Kuching-Macau route since the launch, Shanmugamnathan said AirAsia is now flying from Kuching to Macau three times a week using the Boeing 737 aircraft.

"We are planning to use Airbus because among the feedback we received was that the three-hour flight was uncomfortable for certain people due to space constraints,” he said.

STB chief executive officer Gracie Veronica Geikie, who chaired the meeting, said capitalising on the availability of the Kuching-Macau direct flight, a six-day roadshow to woo more tourists from Macau, Hong Kong and Shengzhen, China, to Kuching would start from February 26. - Bernama

KelvinatorNL

February 23rd, 2008, 12:38 AM

How many planes does Lion Air has? How many passengers flown? Would like to know more about it. How many bases. How many aircrafts on order?

Leading LOW COST CARRIER. If i'm not mistake Lion Air wants to introduce full service airline? How could they still be classified as LCC?

No need to change the thread. How many overseas bases does Lion Air has?

Lion Air has around the 30 planes (9x 737-900er) and is carrying about 1m pax every month. (wikipedia) But of course, this is growing every month since Lion Air is the biggest Indonesian carrier (Garuda had about 8m pax last year) and maybe soon the biggest in SEA. (there will be still 169x 737-900ers delivered within the next 5-7 years) It's all about the expansion plan of Lion Air to become one of the biggest airlines (LCC?) in Asia.
I'm curious if Lion Air will achieve their goal. It's a tough competition with a lot of 'big dreaming' competitors like Air Asia and Tiger Airways.

They have their main base @ Soekerno-Hatta (Jakarta) airport and further than that, they don't have any overseas bases yet.

I don't know that much about Lion Air (im living abroad and my bahasa indonesia is not that good) but what I think is as follows;
They promote theirselves as a full service carrier with rates which are comparable with a LCC carrier. Lion Air already owns (the head company) a LCC named Wings Air, but this airline is not that big (just like Citilink of GIA) and i don't think that Lion Air focusing that much on Wings Air at the moment. They want to expand to other countries with opening hubs abroad when more 737-900er's will arrive.

More info @ http://en.wikipedia.org/wiki/Lion_Air & http://en.wikipedia.org/wiki/Lion_Air_Australia

Arkdriver

February 23rd, 2008, 07:23 PM

nazrey

February 24th, 2008, 06:41 AM

AirAsia X offers 8,888 free seats to Hangzhou
Published: 2008/02/22

AIRASIA X, the pioneer of low-cost, long-haul air travel, has extended its schedule for its recently launched destination — Hangzhou, China, by giving away 8,888 free seats.

The free seats, excluding airport taxes and fuel charges, are available for the travel from March 30, 2008 to January 11, 2009, said AirAsia X in a statement yesterday.

The offer is available exclusively for online bookings from February 23 to February 27, 2008 at www.airasia.com or via mobile bookings at mobile.airasia.com.

"The promotional offer is to also introduce our guests to the new AirAsia X model and allow our guests to experience the comfort and extra leg room on the Airbus A330 AirAsia X aircraft," said AirAsia’s regional head of commercial Kathleen Tan. — Bernama

KelvinatorNL

February 25th, 2008, 12:47 AM

if they are flying 1m guest per month meaning annually it's 12 million. 12 million guest flew by 30 planes (or 43)??

that i cracked guy really got his brain cracked by claiming Lion Air is the biggest LCC in Asia now. Of course Lion dont have international base yet but Indonesian market is big enough for them to expand now. I highly doubt the 1m pax per month figure. Even SIA only have 18m pax flew by all their you-know-how-many-planes-they-have.

I dont have pax figures. But if they are claiming to be the biggest LCC by number of airplanes they are going to received, that's a talking BS too. Air asia has 195 firm orders of a320. 36 delivered. 30 options. On top of that, 15 firm orders for A330. You do the math for the brain cracked guy.

the surabaya-jakarta route is one of the busiest air routes in the world with more than 750 flights a week. (and it only takes about 45-50 minutes to get there) I think Lion Air has a huge market share on this route. Surabaya-Den Pasar is also a busy route with a lot of flights a day (since the during of the trip is less than 45 minutes) But that's only Surabaya. Jakarta is their main hub and i think they offer a lot of destinations from that airport. It could be possible, but i don't know that for sure.

Don't forget the 737-900er can offer a lot more seats (more than 20%) than the a320 and Lion Air's goal is different. They operate at this moment only from Indonesia, Air Asia operates from different hubs, has better destinations with infrastructure (Most Malaysia's airports are much better than Indonesian Airports) to offer and has a wider target group to reach. (in a lot of countries in Asia operative) And they are bigger with their double x airplanes which are also (quite) brand new.
And the airbus 330's will be used for air asia x which is focused on medium/long haul flights.

icracked

February 25th, 2008, 07:42 AM

^^ Don't bother with Arkdriver, he doesn't know what he's talking about. He's probably been smoking too many joints to think that AirAsia is Asia's leading LCC.

Arkdriver

February 25th, 2008, 09:20 AM

^^ Don't bother with Arkdriver, he doesn't know what he's talking about. He's probably been smoking too many joints to think that AirAsia is Asia's leading LCC.

Perhaps you should support your claim about Lion Air with figures. Talk is cheap my little sister. Unlike you, i earn my living by flying aeroplane. I'm not just another airline fan, or airport fan, or aviation fan. Aviation is my life. I have friends in Air Asia, MAS, Thai Air Asia and Indonesia Air Asia. I'm a pilot. I know what i'm talking about.

I have put down your argument with my figure. Correct or not, i'll leave it to many forumers to discuss and argue about it. I just dont come here, drop a stupid post like yours, then leave the farting idiotic claim without any figure to show.

Please tell me how Lion is the leading LCC in Asia? i'm listening. If there's no figure my little sister then the world is free to judge what kinda person you are.Perhaps I will put pink panties on order for you next Christmas.

nazrey

February 25th, 2008, 12:35 PM

Warning! Arkdriver is real life pilot here! :|

http://img255.imageshack.us/img255/9206/1896069767lsc8.jpg

angin kencang

marcusaffleck

February 25th, 2008, 03:49 PM

Malaysian Airline returns to profit in 2007, exceeds financial targets
02.25.08, 7:10 AM ET

KUALA LUMPUR (Thomson Financial) - Malaysian Airline System (MAS) said Monday it returned to profit in 2007 and even managed to exceed all its financial targets after reporting a net loss the previous year.

The national airline said fourth-quarter net profit rose to 242 million ringgit from 122 million a year earlier on improved yields and strong passenger demand.

Full-year net profit jumped to 851 million ringgit from a net loss of 136 million ringgit in 2006.

Consensus estimates had put MAS' net profit at 592 million ringgit for 2007.

The national airline also declared a dividend of 2.5 sen a share.

MAS' fourth quarter revenue rose 8 percent from a year earlier to 4.07 billion ringgit after passenger revenue grew 14 percent.

For the full year, revenue was up 13 percent at 15.3 billion ringgit on strong passenger demand and sustained yield improvements.

Operating profit improved to 798 million ringgit from a loss of 296 million ringgit previously, on a robust 71.5 percent passenger load factor and yield which rose 12 percent to 27 sen per revenue passenger kilometer.

'We have come a long way from our 1.3 billion ringgit losses and near bankruptcy in 2005 to achieve this record profit in just two years,'' the company said in a statement. 'We also have money in the bank, a healthy cash position of 5.3 billion ringgit which we will use to grow MAS.''

'We have exceeded all our financial targets and surpassed our 2007 stretch (or maximum) target of 300 million ringgit by 184 percent,'' it said.

'We will utilize the cash surplus (of 5.3 billion ringgit) for aircraft purchases. Quite a bit of the cash will be set aside for that, and some of the money will be used to automate a lot of our processes and to improve our customer services and to reduce costs,'' said chief financial officer Tengku Azmil.

Azmil said the airline is also in the midst of formulating a new dividend policy but he ruled out the possibility of paying a one-off cash return.

'I can't give you the details until we have finalized the numbers. We will look at a very holistic capital management policy.''

The dividend policy will be announced sometime this year.

'MAS is well positioned to grow organically and when the (M&A) opportunity arises, we will be able to grab the occasion too,'' said Idris Jala, chief executive of MAS, when asked about the airline's merger and acquisition activities.

Recent media reports have said the government is open to the idea of cutting its stake in the company to enable MAS to establish a strategic partnership with other airlines.

Idris said he expects challenging times ahead despite the swing to profit in 2007.

'With the record profits, we are not declaring victory. The world is going to get relatively hard in the next few years (and) with a tough and competitive environment, we could lose a lot of money.''

He said barring any exceptional circumstances, the airline aspires to achieve its stretch profit target of 1 billion ringgit in 2008.

The outlook for the cargo business looks good despite the 2 percent drop in cargo revenue in the fourth quarter due to stiff competition, said Idris.

The national airline's cargo unit, MasKargo, has entered into a global partnership with the world's largest freight forwarder, DHL Global Forward, and with DB Schenker.

The MAS chief said the potential revenue of the two partnerships can surpass 350 million ringgit annually.

On the impact of high oil prices, Idris said an increase of 1-5 US dollars per barrel will have a 50-250 million ringgit impact on its bottom line.

'MAS will diligently mitigate the impact via an increase in fuel surcharge hedging and fuel efficiency,'' he said.

On the status of MAS' orders for six Airbus A380 aircraft, chief financial officer Azmil said talks are in their final stages but nothing has been confirmed. MAS has asked for compensation for delays in the delivery of the aircraft.

'We are continuing our discussion with Airbus. We have made some decent progress over the last few weeks but we are still talking and we have not finalized anything yet,'' said Azmil.

David-80

February 25th, 2008, 03:58 PM

AirAsia is still the largest LLC in Asia when you look at their operation base and fleets, Lion air is considering themselves as full airline , especially they have business class seating nowadays. In the past, yes they're being considered as LLCC, but its not anymore, their ticket is now pretty much expensive, compare to AirAsia.

AirAsia Indonesia alone has 10 Boeing 733 fleets and might expand to 40 Airbus in the near future for capitalizing the Indonesian domestic market.

Btw, Lion air's LCC is Wings Air, with MD-90 and MD-83 fleets.

cheers

johnsonooi

February 25th, 2008, 04:27 PM

Gald to hear that! However, if you pay attention to their financial report, we can see that the selling of aircraft and properties contribute huge amount of profits. That means that MAS still have lots more to do before the aviation sector in ASEAN is fully liberated.
quoted

haze

February 27th, 2008, 06:10 AM

AirAsia aims to be region's biggest carrier

Group chief executive officer is confident of achieving the target of 70 million passengers a year from 2014 as set out in the airline's six-year business plan

BUDGET airline AirAsia Bhd has drawn up a six-year business plan that will see it carry 70 million passengers a year from 2014, which will make it Asia's biggest carrier.

The figure is 3.5 times higher than this year's target of 20 million passengers.

Group chief executive officer Datuk Tony Fernandes is optimistic of achieving the target, which will in turn make the low-cost carrier terminal at the KL International Airport the regional hub for budget travel, given the foundation laid out over the past six years.

Factors going for the airline include its extensive regional network comprising 90 routes and its huge order of 175 Airbus A320s.

"Six years going forward, I think things will look rosy and optimistic. This is mainly because we have worked hard to build the necessary foundation for the airline, namely in terms of network and the brand, and we have already acquired the aircraft to support our growth," Fernandes told Business Times in an interview.

"With the recent inclusion of Singapore in our network, we are basically connected to all points within the region; and what we are going to do now is to further develop each of these existing routes. We are indeed in a strong position now, stronger than we have ever been," he said.

From an unknown airline which started operations in 2001 with RM40 million debt inherited from its previous owner, DRB-HICOM, AirAsia has evolved into the region's largest budget carrier.

The airline, which carried more than 15 million passengers annually in its five years of operation, has been recognised as the fastest-growing low-cost carrier in history - faster than the US' Southwest Airline and Europe's Ryanair, which only breached the 10-million passenger mark after operating for more than a decade.

After taking delivery of some of its new A320s, the airline has achieved 95 per cent on-time performance.

Fernandes said the airline will not just strive to provide affordable airfares, but will also improve its inflight services, including promoting Malaysian hospitality and the huge varieties of local food.

"To date, AirAsia's inflight meal has an interesting selection of local favourites such as roti canai, nasi lemak and nasi briyani. Of course, when we started the airline six years ago this was not in our plan.

"Now, we want our passengers to be able to enjoy some of Malaysia's popular food and hospitality onboard our flights as well," he said.

"We will also continue to improve other services, such as our Internet and mobile bookings.

"We are now in the midst of completing our mobile and Web check-in system. We hope to introduce this in March."

Despite the airline's enthusiasm to improve the quality of its services, Fernandes stressed that AirAsia will remain as a budget airline.

"AirAsia is successful because we are very focused in our business model, which is providing affordable airline service.

"The other improvements that we are doing are basically to improve passengers' experience when flying with us. We want to be an LCC offering five-star service," he said.

Fernandes also said that AirAsia will continue to look out for potential joint-venture opportunities with symbiotic benefits for the parties involved.

It is in the process of establishing a potential joint venture in the Philippines and Vietnam.

In addition, the airline plans to introduce more routes, add frequencies and develop the existing ones.

nazrey

February 27th, 2008, 02:09 PM

MAS flying above expectations
27 Feb 2008 2:53 PM

http://www.orient-express.com/olem/images/medimages/olem_150_logo_malaysia.gif
MALAYSIAN Airline System Bhd (MAS) financial results for the year ended Dec 31, 2007 beat industry expectations, confirming its turnaround and showing that the airline is well and truly profit making, said analysts.

Aseambankers Research said MAS’ 2007 core net profit of RM830.2 million was 8.9% above its expectations and 47.6% above consensus forecasts, driven by better revenues and earnings before interest and tax margins.

It said the new contracts MAS secured from the Royal Malaysian Army and express courier firm DHL would further boost revenue by up to RM433 million annually.

Aseambankers Research reiterated its buy recommendation on MAS at RM4.38 and raised its target price to RM6.15 from RM6, and said it continued to like the airline for its deep and sustained earnings growth being realised.

“At 9.5 times 2009 fully diluted earnings per share and target price RM6.15, MAS is at a slight discount to regional peers. We raised 2008 and 2009 earnings by 8.4% and 6.6% respectively, with a further upside bias.”

“We have imputed US$90 (RM293.40) per barrel crude fuel cost in 2008, whilst MAS’ hedge and current prices translate into US$94,” it said.

Aseambankers Research said MAS’ 2007 core net profit came from more efficient and market-driven operations and pricing, and highlighted that although passenger capacity contracted 4.8% year-on-year, MAS’ 12.6% increase in revenue and cost controls proved to be decisive.

“MAS also generated net cash of about RM2.7 billion in 2007 (excluding drawdown of borrowings), allowing it to declare a surprise dividend of 2.5 sen per share, putting MAS closer in line with regional peers,” it said.

On the contracts the airline secured, Aseambankers Research said these contracts represent incremental revenues on routes and frequencies that MAS already operates.

“Our first cut estimate is that MAS may chalk up RM150 million in revenue in 2008, before rising to as much as RM433 million in 2010.”

“This assumes MAS gradually and carefully takes on business from DHL, given the recent history of DHL’s local cargo airline partner recognising losses from its long-haul tie-up with DHL,” it said.

The research house said it had not imputed the DHL contract into its forecasts pending further details.

Meanwhile, OSK Investment Research maintained its buy recommendation on MAS at RM4.38 with a target price of RM6.40 and said that MAS would be one of the survivors in the upcoming challenging aviation environment, provided the key management team is retained.

“Our forecasts are largely unchanged due to concern on oil prices but even so, our fair value gives 46% upside. Our forecasts were already 28% and 16% above FY08 and FY09 consensus forecasts respectively.”

“If the shareholders retain the current management team, we believe MAS can indeed achieve its base case business turnaround plan 2 (BTP2) target of RM1.5 billion net profit by 2010,” it said.

The research house said MAS net profit for 2007 confirmed the airline’s turnaround based on its strategy of yield enhancement and cost control.

OSK Research said the impact from the liberation of the aviation sector would not be a major one on MAS, explaining that while MAS had reduced its capacity on the KL-Singapore route by 30% since it was opened to low cost carriers in February, this was offset by MAS’ load factor increasing by 10 percentage points and constant yields.

“Going forward, MAS expects minimal impact to profitability. This should help its shareholders breathe a sigh of relief as a major concern had been the potential negative impact of impending liberalisation on MAS’ Asean routes.”

“Now, we need to watch out for how its China routes may be impacted by AirAsia X,” it said.

MAS fell 12 sen to close at RM4.26 yesterday with 220,700 shares changing hands.

aseantraveler

February 27th, 2008, 05:42 PM

Asia’s low-fare upstarts launch airline revolution
By K.K. Chadha

February 19, 2008
Air Transport and Cargo

Asia accounts for 25 percent of the world’s air traffic, a figure expected to grow to more than 30 percent in three years, largely thanks to the proliferation of low-cost carriers. With cheap fares, easy online bookings and direct connections to previously sleepy backwaters, budget carriers are bringing air travel to the masses in this part of the world.

The emergence of these upstarts has forced incumbent legacy carriers to offer better and more competitive products. The net effect of all this has been a huge surge in demand for air travel in Asia over the past five years, fueling the ambitions of low-cost carriers.

During the past three years, Malaysia-based AirAsia has placed firm orders for 175 medium-range Airbus A320s and taken options on another 50. This prolific fleet-expansion program will make the airline Asia’s largest low-cost carrier and the world’s biggest A320 operator by 2015.

The carrier, launched with two leased aircraft in 2001, took delivery of its first aircraft in December 2005 and now operates 31 A320s on a rapidly expanding domestic and regional network. According to founder and CEO Tony Fernandes, AirAsia expects to be the largest airline in the region in terms of passengers carried by 2013 or 2014. Its passenger load factor this year, or in 2009, could even be larger than those of established major players Singapore Airlines and Cathay Pacific. And this year, AirAsia will become an A320-only operator as it retires the 737 Classics flown by its Thai and Indonesian affiliates.

AirAsia X, its long-haul, low-cost subsidiary (in which Sir Richard Branson’s Virgin Group has a 20-percent stake) started flying from Kuala Lumpur to Australia’s wealthy Gold Coast in November, offering four weekly flights with a leased A330. This part of the network is operated by Fernandes’ Fly Asian Express company, which has ordered 15 A330-300s, the first scheduled to be delivered this August. The company, set up in January 2007, is also considering possible new orders for up to 20 Boeing 787s or Airbus 350s.

Fernandes has said he expects the airline to carry 500,000 passengers this year after flights begin to China, Japan and South Korea. The lucrative Kuala Lumpur-Singapore route, which had been monopolized by Malaysia Airlines and Singapore Airlines for over three decades, opened up for AirAsia last October.

AirAsia X may now be poised for a restructuring of its capital base. According to financial press reports, the company is contemplating the sale of a 10-percent stake to Orix Corp., Japan’s largest non-bank finance company, for approximately $37.5 million. Bahrain’s private equity fund Perigon Capital may also take a 10-percent stake.

However, AirAsia’s plan to start a low-cost carrier in Vietnam has been rejected by the government following objections from domestic carriers Vietnam Airlines and Pacific Airlines. The plan was to set up Vina AirAsia in a joint venture with the state-owned Vinashin Group to fly to destinations in southern China from its hub in Hanoi.

Developments Down Under
In November, Australia’s Qantas Airways placed firm orders for 68 A320s or the 20-percent larger A321 for its low-cost subsidiary Jetstar Airways, to be delivered by early 2014. According to Jetstar chief executive Alan Joyce, the carrier would need new aircraft in 2009 to support domestic and offshore growth. In March 2007, Qantas ordered nine Airbus A320s for Jetstar, deliveries of which are under way. In early 2009, Jetstar–set up in 2004–will start receiving the first of 65 Boeing 787 Dreamliners Qantas has ordered to service long-haul routes.

Joyce said Jetstar is considering taking equity stakes in more Asian airlines, similar to its deal in April 2007 to acquire a 30-percent interest in Vietnam’s Pacific Airlines. The Australian carrier has also revealed plans for a possible franchise deal with Southeast Asian carriers when the region’s airline markets are deregulated.

Qantas is looking to invest in airlines in the Philippines, Indonesia and Thailand, which would be allowed to adopt the Jetstar brand. Jetstar faces stiff competition from Singapore Airlines’ low-fare subsidiary Tiger Airways, which plans to launch a new domestic service in Australia. Its affiliate Tiger Australia began operations late last year and will start four more routes this year to Adelaide, Newcastle, Canberra and Hobart.

Tiger Airways has ordered 50 Airbus A320s to grow its fleet to 70 Airbus aircraft by 2016 from the current 12, making it one of the region’s largest and fastest growing low-fare airlines. The operator has formed a joint venture with South Korea’s Incheon city government to launch Incheon Tiger Airways, which is expected to take wing by the end of this year or early 2009.

The Scene in Hong Kong
Meanwhile, Hong Kong’s long-haul budget carrier Oasis Hong Kong has also come a long way since its canceled first flight in October 2006. It was named the leading new airline at the World Travel Awards, the travel industry’s equivalent of the Oscars, in December. Oasis beat Air Asia X, Silverjet, Virgin America, VivaAerobus and other new airlines to receive the award at a gala event at the Turks and Caicos resort islands in the Caribbean.

Oasis got off to a bad start when its debut flight to London on Oct. 25, 2006, was canceled at the last minute because it lacked permission to fly over Russia. About 280 passengers on the chartered jumbo were sent home or to hotels after waiting on the tarmac at Hong Kong International Airport for more than five hours. The company said the Russian authorities had suddenly revoked its permission to fly over the country. But the carrier now sells more than 25,000 tickets a month and employs more than 600 staff.

Hong Kong fund manager Value Partners is to take a $30 million stake in Oasis to help fund the carrier’s fleet expansion by 2011. Oasis is also to receive a $25 million cash injection from existing shareholders.

Oasis operates London and Vancouver direct services using three used aircraft and is scheduled to have a fourth delivered soon. By 2011, it plans to operate 14 Boeing 747s on eight routes. Chairman Raymond Lee said Oasis will go public in three to five years when 15 to 16 aircraft are in service.

Unlike other low-cost carriers, Oasis provides business and economy class with movies and other kinds of onboard entertainment. The airline already has secured licenses from the Hong Kong government to fly to San Francisco, Cologne, Melbourne, Sydney, Milan and Berlin.

Other than Oasis, two independent airlines in Hong Kong–Hong Kong Airlines and Hong Kong Express–plan to go public this year. But Indonesia’s Lion Air is facing difficulties in its bid to acquire stakes in airlines in Australia, Hong Kong, Thailand, Bangladesh, Vietnam and Malaysia.

Company president Rusdi Kirana said the obstacles include regulations on ownership by foreign investors and manpower problems. He said regulations in Australia, Thailand and Bangladesh limit foreign ownership to 49 percent, while Lion Air wished for controlling stakes of more than 50 percent. With regard to manpower, he said regional airlines generally have personnel not considered suitable for Lion Air’s strategy, which will be based on low-cost market.

“For the time being, I cannot disclose the names of the regional airline companies that we will try to take over, but I predict that in the first quarter of 2008 the acquisition will cover two regional airline companies of two countries,” Kirana commented. He said the strategy to take over regional airlines is preparatory to entering the ASEAN (Association of Southeast Asian Nations) free market in 2010.

To bolster its position in the local and regional business, Lion Air ordered 22 Boeing 737-900ERs at December’s Langkawi Air Show in Malaysia.

From modest beginnings as a one-plane airline in 2000, Lion Air now operates 37 jets, flying to Indonesia’s major cities as well Singapore, Penang and Kuala Lumpur in Malaysia.

Last month, Lion Air confirmed plans to launch new subsidiaries in both Australia and Indonesia. It will base six of its Boeing 737-900s in Australia and two in Indonesia.

nazrey

February 28th, 2008, 02:58 PM

AirAsia’s 3-month net profit soars to RM246m
by Sharmila Ganapathy, 28 Feb 2008 4:33 PM

Kuala Lumpur: Air Asia Bhd’s net profit for the three months to Dec 31, 2007 rose 73% to RM246 million on the back of a 43% increase in revenue to RM632.8 million compared to the previous corresponding quarter.

The leading low-cost carrier, which has changed its financial year end to December, said profit for the six months doubled to RM425.7 million against RM212.1 million a year earlier, while revenue jumped 41.2% to RM1.09 billion from RM774.9 million.

Demand for low fares remained strong with load factors at high levels despite significant capacity addition of 40%, Air Asia said in a statement yesterday.

It said higher yields and contained unit costs contributed to the net profit increase.

Yields were up 11% year-on-year during the quarter, boosted up by higher average fares and ancillary income. Passenger volume grew 21%, average ticket prices were 17% higher and ancillary income rose 49% to RM42 million, Air Asia said.

However, unit costs were 7% higher during the quarter due to a 31% increase in unit fuel price to US$101 a barrel. “Our fuel hedge has partially mitigated the impact of rising fuel prices with a net contribution of RM17 million in the quarter,” it added.

The carrier said it would continue striving for cost improvements with the induction of the Airbus A320 aircraft into its fleet.

Air Asia chief executive officer Datuk Tony Fernandes said: “This has indeed been a fantastic year for our airline, highlighted by robust growth, record profits, industry leading performance and award winning standards. Our humble beginnings took flight six years ago, and after 24 consecutive profitable quarters later, we are now the highest profit margin airline in the world.”

According to data provided by Air Asia, its earnings before interest, taxes, depreciation, amortisation and rent (EBITDAR) margins were 34.9%, the highest of ten major low cost carriers worldwide last year.

The second most profitable was Air Arabia, with EBITDAR margins of 20.5%, followed by West Jet at 27.5%.

Commenting on its future prospects, Air Asia said it was forecasting passenger growth of 20% in 2008, with the bulk of new capacity injected into international routes. Yields were expected to remain flat this year as some routes were expected to mature, coupled with strong ancillary income contribution, it said.

It added that escalating fuel costs remained a key challenge going forward and said it was ‘looking for suitable structures’ to hedge remaining fuel requirements.

On its overseas operations, Air Asia said it expected the Thai operations would return to profitability this year, boosted by higher passenger flow and yields from the introduction of the Airbus A320 aircraft.

It added that its Indonesian operation was also showing signs of recovery due to improved on time performance and the route network reorganisation, which had resulted in higher yields and load factor.

OshHisham

March 1st, 2008, 03:47 AM

will AirAsia X ever consider to buy the A380? imagine a budget airline flying the world's bigget aircraft...

bangalore

March 1st, 2008, 10:41 AM

Arkdriver

March 1st, 2008, 12:10 PM

will AirAsia X ever consider to buy the A380? imagine a budget airline flying the world's bigget aircraft...

It's possible, but it's up to the management.

How many aircrafts Air Asia currently fly? India's largest LCC - Air Deccan already has got 43.

It's so hard to keep with latest figure as they received at least 1 a320 per month. Currently, maybe 36 a320s, and another 20 ++ b734

Captain Chaos

March 1st, 2008, 12:55 PM

Crikey Arkdriver... :ohno: Up to now I have considered your contributions to be very informative, helpful, knowledgeable and professional. However, your post #622 (and others in this thread) surprise me. I understand your frustration with certain individuals goading you into a retort but the language you use in your aforementioned reply only succeeds in making you come across as childish. I had you down for someone more intelligent, polished and professional than that.

I sincerely hope for the sake of your credibility you are not one of the figures included in the photo posted in submission #623.

nazrey

March 2nd, 2008, 12:45 PM

Air Asia upbeat after profits
Thursday, 28 February 2008
Agence France-Presse . Kuala Lumpur

AirAsia, Asia's largest low-cost carrier, said Wednesday the outlook for 2008 was bright despite volatile oil prices after posting a 73 per cent profits surge in the quarter ending December 2007.

Tony Fernandes, group chief executive officer, said passenger volume was expected to grow by 20 per cent in 2008 on the back of lower operating costs with the introduction of new efficient Airbus A320 aircraft.

Agence France-Presse . Kuala Lumpur

AirAsia, Asia's largest low-cost carrier, said Wednesday the outlook for 2008 was bright despite volatile oil prices after posting a 73 per cent profits surge in the quarter ending December 2007.

Tony Fernandes, group chief executive officer, said passenger volume was expected to grow by 20 per cent in 2008 on the back of lower operating costs with the introduction of new efficient Airbus A320 aircraft.

'Cost items excluding fuel is expected to reduce further due to the induction of cost efficient Airbus A320 aircraft into the fleet,' he said.

AirAsia said its profits soared to 246 million ringgit ($77m) for the three-month period ended December 31, 2007 after 24 consecutive profitable quarters.

Arkdriver

March 3rd, 2008, 08:28 AM

Captain Chaos

March 3rd, 2008, 09:57 AM

^^ :ohno:

No, I'm not trying to prove anything. I don't fly for a living. I'm saying that considering you have an association with a very well-regarded airline and because your picture appears to be online, your recent response was surprisingly immature and unprofessional. Someone was quite obviously looking to get in a cheap shot and you fell for it hook, line and sinker; bringing yourself down in the process.

Arkdriver

March 3rd, 2008, 11:14 AM

i want to put this to an end. Whether i have association with any airline, any comment be it good or bad is my responsibility entirely. I do contribute voluntarily here without any pay, just to share infos and experience. And i have friends working in this company, going to the same academy like me, graduate together and still in contact with them. Judge me profesional or not, you have no authority to do that. The company does not pay me to be profesional here. And i guess you must understand pilots have emotions too. I may took the bait, but why gives a shit? Does my comment bothers you or make you think twice to be a pilot? I may not be as cool as Mr Fusion, but heck i know what i'm talking about. I dont know why you have problems with that. My arguments are with icracked, not with you. If you are surprise with my attitide, be prepared when you enter airline world, you'll met others that are fiercer, no-heart captain with years of experience, they're just "worse" (to your term as profesional) than me. And they are real captain, not a wannabee.

f you're going to pull these stunts, humiliating me, at least have the common fecking sense to be ashamed, and not announce it to the world. We can have profesional attitude class in PMs

Captain Chaos

March 3rd, 2008, 09:09 PM

^^ :ohno:

Whether or not you do or don't get paid to be professional here, it'd be nice to think for the good of your own reputation (esp. as your photo has been made public), the airline you work for and for your profession in general that you try to be a little more adult.

I don't have problems with you knowing your stuff; obviously you do and that is very commendable. But I don't see why you need to then make childish remarks. It serves only to degrade other people, as well as yourself.

I mix with and know plenty of pilots. Do I find any of these pilots, be they private, commercial, SO's, FO's or Captains fierce?! No. Nor would I if I worked in the industry. Just because people have a wealth of experience and may be crabby at times (like some pilots I know), does that make them fierce? No. They're just people to be respected for their depth of knowledge, not feared because they might get shitty with you from time to time.

FYI, I won't be entering the airline world; it's not a type of flying that personally appeals to me. That said, I certainly respect people that do this for a living. I just don't expect them to act the way you did.

BTW, I'm not a wannabe Captain as you say. Just someone who enjoys his flying that chose a moniker with a bit of humor.

Lastly, all I have done is to merely point out that your demeanor was disappointing and childlike for someone of your profession and obvious ability.

I haven't once humiliated you; you did a great job of that all by yourself.

And please, can we have less of the chest-beating, I'm a pilot not just an aviation fan and I know better than you stuff, huh?

aseantraveler

March 5th, 2008, 03:35 AM

http://www.geocities.com/aseantraveler/bkkhcm.jpg
http://www.geocities.com/aseantraveler/sgnbkk.gif
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international low fares
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nazrey

March 5th, 2008, 02:10 PM

AirAsia sees strong load in KL-Singapore route
by Gan Yen Kuan, 05 Mar 2008 11:25 AM

KUALA LUMPUR: AirAsia Bhd saw passenger loads of more than 85% in February for the Kuala Lumpur-Singapore route that was opened for the operations of low-cost carriers beginning Feb 1.

Bookings for both March and April had surpassed the 50% load mark, and it was on track to achieve its target of over 85% load for the sector, the airline said in a statement yesterday.

“AirAsia bookings to date have shown strong demand for this 55-minute route since its introduction, a reflection of AirAsia being the preferred airline to travel for the Kuala Lumpur-Singapore route.

“From the overall bookings to date, including flights from/to Kuala Lumpur, over 63% of the guests travel for business, while over 37% travel for leisure, mostly in small groups of two to four. Malaysians made up a total of 59% of the passengers and 41% comprise Singaporeans,” it said.

AirAsia services the KL-Singapore route using its new Airbus A320 with a seating capacity of 180. Its current fares for a one-way trip start from RM9.99, excluding taxes and fuel surcharges.

AirAsia’s regional head of commercial Kathleen Tan said it was working closely with the Singapore Tourism Board to promote places of interest in the island state.

“We have pursued this route for six years and finally, we are quite ecstatic to see our efforts pay off with such strong load for both ways... we are now able to offer unique Singapore experience to our guests flying in from Asean, Australia and China with AirAsia X, and the rest of the world.”

David-80

March 5th, 2008, 08:04 PM

another 20 ++ b734

Maybe what you mean is B733, AirAsia doesnt have B734. Most of their 733s are now operating in Indonesia AirAsia.

cheers

Arkdriver

March 5th, 2008, 08:13 PM

Maybe what you mean is B733, AirAsia doesnt have B734. Most of their 733s are now operating in Indonesia AirAsia.

cheers

my mistake...

nazrey

March 6th, 2008, 02:24 PM

AirAsia to fly to Jakarta, Medan from Penang
Published: 2008/03/06

The budget carrier also aims to to gain rights to fly from Penang to China, Singapore and India the moment Penang builds a low cost carrier terminal

FROM March 30, AirAsia will start flying to Jakarta and Medan in Indonesia from Penang, its second and third international flights respectively from the island, after Bangkok.

AirAsia group chief executive Officer Datuk Tony Fernandes announced the new routes today as well as the company’s intention to gain rights to fly from Penang to China, Singapore and India the moment Penang builds a low cost carrier terminal (LCCT).

“Penang has been on the tourist route-map for decades. And we are confident that the state tourism board would help us promote this route. We would be investing around RM250 million in the next two years,” Tony told a press conference at the Penang International Airport today.

He also added that the airline company plans to make Penang its fourth and final hub within the country once it has a LCCT airport.

Meanwhile, Air Asia Indonesian marketing and distribution director Widijastoro Nugroho said Indonesians are very interested in medical tourism.

Thus, it has become the intention of AirAsia to boost medical tourism by ensuring Indonesians visit Penang, he said.

“We have done our calculations and by far, Penang has some of the best infrastructures and products for medical tourism within Southeast Asia. It has a great atmosphere, good medical facilities, great hotels and let’s not forget the superb food,” said Widijastoro.

Penang state exco for Tourism, Development and Environment Teng Chang Yeow, meanwhile, said that the new routes and AirAsia’s plans for the near future would open a new chapter in Penang’s tourism.

“Greater air accessibility makes traveling easy, cheap and convenient. The Penang Tourism Action Council fully supports AirAsia and we will help promote them. We have already approved the land for the LCCT but now it lies in the hands of the other government agencies such as the Transport Department,” said Teng. — Bernama

chrishung

March 7th, 2008, 03:06 AM

will AirAsia X ever consider to buy the A380? imagine a budget airline flying the world's bigget aircraft...

Probably not. A380 will require longer runway and compatible set of aerobridges. This will add up the cost for the airline.

haze

March 7th, 2008, 08:06 AM

AirAsia to fly to India by Oct

Email us your feedback at fd@bizedge.com

KUALA LUMPUR: Low-cost carrier AirAsia Bhd expects to open a new route to India by October this year, its chief executive officer Datuk Tony Fernandes said.

“We are in the final process of applying to the Indian government. We received the rights from the Malaysian government,” he told reporters on the sidelines of a political ceramah in Bangsar.

Fernandes said while AirAsia X would focus on flying to Amritsar in Punjab, AirAsia would be looking at a new route to South India but it had not decided on the exact destination.

“It’s our final frontier. I am sounding like Star Trek. The first plan was Malaysia. Second plan was Asean, which we kind of dominated. Then, we went into China, which we are growing, and finally India. With that our mission will be completed,” he added.

haze

March 8th, 2008, 09:46 AM

AirAsia X expects fair seat distribution

Published: 2008/03/07

LONG haul, low cost carrier AirAsia X hopes the 8,500 extra flight seats to be made available between Australia and Malaysia will be distributed fairly between it and national carrier Malaysia Airlines (MAS).

Its chief executive officer, Azran Osman-Rani, said this is because AirAsia X offers a different kind of service compared with MAS, which takes up all the 15,000 seats available.

“We expect an equal distribution of seats with the national carrier because we offer a different kind of service. We are expecting most of the new rides to come to us,” he said.

Australia and Malaysia have agreed to expand the number of seats available on flights between the two nations, enabling carriers to operate another 5,000 seats a week to the major gateway airports of Sydney, Melbourne, Brisbane and Perth from March.

In a report yesterday, Australia’s Federal Transport Minister Anthony Albanese said an additional 3,500 seats will also be made available from March 2009, adding that the agreement is likely to help boost the growth of low-cost airlines such as AirAsia X and Tiger.

With the additional offering, seats between both countries will increase to 20,000 by March this year and 23,500 by March next year, as opposed to the previous arrangement which restricted capacity to 15,000 seats a week for Malaysian carriers.

The new one-off arrangement also provides unlimited access to and from airports other than the four major gateway airports.

According to Azran, the additional seats will also act as a stepping stone for the Malaysia-Australia Open Sky Agreement which has yet to take place.

“Australia definitely remains a core route for us,” he said.

Azran pointed out that only four months into operation, the airline’s Kuala Lumpur-Queensland route has already grown by 72 per cent, adding that AirAsia X aims to be in major Australian cities by 2011, with the exception of the Northern Territory.

“This is because we bring first-timers to Australia and also Australian first-timers into Asia,” he added.

AirAsia X now flies from Kuala Lumpur to Australia’s Gold Coast and to Hangzhou in China using leased aircraft, but it has ordered 15 wide-bodied A330s, two of which will be delivered this year and another two in 2009.

nazrey

March 11th, 2008, 03:56 PM

Fernandes named among Asia's 10 rising leaders
Published: 2008/03/10

AirAsia CEO Datuk Tony Fernandes is seen as one of the influential movers and shakers who have contributed to the Asian community in the last 10 years

AIRASIA Bhd chief executive officer Datuk Tony Fernandes has been named one of Asia's 10 rising leaders by the Singapore Institute of International Affairs (SIIA).

SIIA, in collaboration with AXN Asia, described the leaders as influential movers and shakers who were selected for, among others, their contribution to the Asian community in the last 10 years.

"It is a humble experience but it feels nice to be recognised, not just me but for all the staff at AirAsia, and it is good for Malaysia," he said when contacted in Singapore last night.

The other leaders recognised were Asean secretary general Dr Surin Pitsuwan, Indonesian Finance Minister Sri Mulyani Indrawati, India's Infosys Technologies Ltd chairman N.R. Narayana Murthy, Hong Kong's Hang Lung Group Ltd chairman Ronnie C. Chan, 2006 Nobel Prize winner Mohammad Yunus from Grameen Bank Bangladesh, Philippines' Ayalah Corporation chairman Jamie Augusto Zobel de Ayalah, China Exploration & Research Society founder Wong How Man, Hyflux Group founder Olivia Lum, and Agir pour les Femmes en Situation Precaire co-creater Somaly Mam.

Fernandes said he believed AirAsia's success in bringing the Asian countries closer through his budget carrier was one of the factors that contributed to him being selected.

nazrey

March 12th, 2008, 03:23 PM

AirAsia to start flying to three new destinations
Wednesday March 12, 2008

KUALA LUMPUR: Hong Kong, Ho Chi Minh and Haikou are the three new destinations for AirAsia as part of its expansion of its Asian network.

The budget carrier will fly to the Vietnamese city on April 15 with fares starting from RM49.99.

AirAsia will start it much-awaited Kuala Lumpur-Hong Kong route on May 15 with fares starting from RM49.99.

The airline had obtained approval for this route earlier but had waited for an opportune time to launch it.

According to an airline statement, AirAsia will fly to Haikou on May 22 with introductory fares starting from RM29.99.

This city is located on the north of the Hainan island and AirAsia hopes to tap into a market of 400,000 Hainanese in Malaysia.

The airline will operate daily flights to all three destinations.

“With our current 140 weekly flights to China including AirAsia X flights, the three new routes will certainly boost our connectivity into China and vice versa, making AirAsia as the preferred choice of travel to China.

“The launch of this campaign will further strengthen our network to boost tourism in the country as well as place Kuala Lumpur as the gateway to our extensive route network of over 93 destinations in Asia,” the airline’s regional head of commercial Kathleen Tan said.

nazrey

March 13th, 2008, 03:20 PM

AirAsia not keen on Virgin Blue
by Doreen Leong, 13 Mar 2008 1:10 PM

KUALA LUMPUR: Differences in operating models is the main reason why AirAsia Bhd is not keen on a joint venture with Australian-listed budget carrier Virgin Blue, despite reports indicating otherwise.

“Virgin Blue is not truly low-cost…Virgin is like a full service carrier,” AirAsia group chief executive officer Datuk Tony Fernandes told The Edge.

“We don’t want to be stretched too thin like what is happening to some of the regional budget carriers. AirAsia is strong in Southeast Asia and we want (its associate budget long-haul airline) AirAsia X to be strong in Australia and elsewhere,” he added.

Fernandes also added there are no plans for AirAsia to take up a stake in Virgin Blue.

Last month, a foreign news wire reported that AirAsia was mulling a joint venture with Virgin Blue provided the 62.7% stake held by logistics group Toll Holdings changed hands. The second largest investor in Virgin Blue is Sir Richard Branson, with a 25.5% stake. The report added that AirAsia would only be keen to do a deal with Virgin Blue if Branson took control again of Virgin Blue.

Toll was said to be keen to offload its holding in Virgin Blue. But when asked, Fernandes said AirAsia had not been approached by Virgin Blue’s major shareholder to acquire a block in the latter.

In May 2006, Toll acquired Patrick Corporation, the majority owner of Virgin Blue, at what was seen as an inflated price.

Assuming AirAsia were to take up the 62.7% stake in Virgin Blue at a market price of about A$1.23 per share, it needs to fork out some A$810.8 million. The share price of Virgin Blue closed at a high of A$2.40 on Sept 19, 2007 against a low of A$1.23 on March 7.

Virgin Blue is Australia’s second biggest airline and is said to be the third most profitable airline in the world. It adopts a similar formula pioneered by airlines such as Southwest Airlines and Ryanair, cutting costs such as in-flight meals and printed tickets in favour of selling food on-board and using telephone and internet booking systems.

This model, employed by Virgin Blue is no different from AirAsia’s but the Australian carrier in 2006 introduced premium economy services on all its domestic flights, something AirAsia does not offer.

That said, AirAsia’s associate long haul budget carrier AirAsia X offers “extra large” seats on its flights. AirAsia X is also affiliated with the Virgin group, which assists in management, expertise, and infrastructure.

Branson, who owns 20% in AirAsia X, had previously said that there was a possibility of formal links between Virgin Blue and AirAsia X in the future, in areas such as codesharing and frequent flyer programmes.

nazrey

March 13th, 2008, 03:21 PM

AirAsia to fly daily to Yogyakarta from Apr 15
Published: 2008/03/13

The soaring load factor has allowed AirAsia to operate daily flights to Yogyakarta, says its group chief executive officer

AIRASIA Bhd will begin daily direct flights to Yogyakarta from April 15 from four per week.

In a statement today, AirAsia said it has already recorded an average of 75 per cent load factor within a month after commencing its direct flights since January 30 to the city.

“Yogyakarta is our 13th entry into Indonesia alongside with other cities such as Bali, Balikpapan, Banda Acheh, Bandung, Batam, Jakarta, Medan, Padang, Palembang, Pekan Baru, Solo and Surabaya,” it said.

AirAsia group chief executive officer Datuk Tony Fernandes said the airline was proud of its load factor.

“The soaring load factor has allowed AirAsia to operate daily flights to Yogyakarta and guests may start booking online for our daily flight from March 13-23 to enjoy the promotion fare of RM29 for travel period beginning April 15 to May 15,” he said. — Bernama

hkskyline

March 14th, 2008, 06:20 AM

On a wing and a fare
Expanding his AirAsia service to Hong Kong is next in Tony Fernandes' grand plan
11 March 2008
South China Morning Post

When he was six, Tony Fernandes didn't share young boys' dreams of becoming a pilot. "I told my father that one day I would own my own airline," he recalls. Four decades later, the Malaysian entrepreneur has become known for pioneering budget travel in Southeast Asia, setting up not only a low-cost airline but also a no-frills hotel chain.

Now the AirAsia chief executive is bringing his service to Hong Kong. From May 15, his low-cost airline will operate daily flights to Kuala Lumpur for an average of M$200 (HK$490) excluding taxes and surcharges.

That's good news for frequent travellers and holidaymakers. The existing low-cost route between Hong Kong and Malaysia is via Macau. Although costly landing fees mean the Hong Kong service can't compare with Macau on pricing, Fernandes reckons some travellers will pay a bit more for direct access.

"The biggest thrill for me is seeing the [low-cost terminal in Kuala Lumpur] packed with travellers and how we've changed people's lives," says the 44-year-old.

"Just recently, I was walking around the airport and a lady came up to me and thanked me for making the fares so cheap that she could afford to fly to her hometown in Kota Kinabalu [in Sabah, East Malaysia] more often," he says.

It's typical of Fernandes to wander around the terminal talking to passengers and employees. A believer in accessible management, he takes time to meet his staff and bounce ideas around with them. His office at AirAsia's base in the Kuala Lumpur budget terminal is little bigger than a cubicle, in keeping with its open-plan concept. His staff often walk in for an impromptu chat and the boss is happy to accommodate.

Fernandes showed the determination and drive early on that would help him carve his empire. He graduated from the London School of Economics and worked as an auditor for Virgin Records before returning to Kuala Lumpur to make a mark in the music business.

At 27, he became the youngest managing director of Warner Music in Malaysia, and was later made vice-president for the Asean region.

But the politicking that spilled over from the AOL-Time Warner merger was disheartening and in 2001 he cashed in his share options to realise his childhood dream of creating his own low-cost carrier.

He had to secure more capital, but the bigger problem was that he couldn't secure an operating licence. A meeting with then prime minister Dr Mahathir Mohamad brought a solution: the leader offered him a chance to take over an ailing government-owned domestic carrier.

Fernandes set up a company with three partners and acquired AirAsia for a nominal M$1 - along with M$40 million of debt. Many didn't think the carrier, which was relaunched in 2002 with just two planes, would survive. "We were, after all, four guys from the music industry," he concedes.

Despite his lack of experience in the airline industry, he finds the basics in music and aviation are the same. "At the end of the day business is business," he says. And managing an airline has some things in common with being a record company executive: "Pilots and music artistes are the same {hellip} prima donnas."

Having just celebrated its sixth birthday, AirAsia now has a fleet of 70 aircraft, carrying 23 million passengers annually on its 90 routes in Southeast Asia. The rapid growth has surprised even Fernandes.

"I've always had a grand vision for AirAsia, but it has surpassed even my grandest vision," he says.

The budget carrier has already established itself on lucrative mainland routes, with services to Xiamen, Shenzhen and Guangzhou, and plans to add Haikou, Guilin and Tianjin before long.

Fernandes took the low-cost model to hotels and finance last year, establishing the no-frills Tune Hotels chain and Tune Money, a Web-based financial services portal.

His flair for business may be in the genes. His late mother, Ena, is credited with having introduced the Tupperware franchise to Malaysia. "My mother was an entrepreneur. She was an amazing woman, she could sell ice to an Eskimo," he says.

A fighting spirit helps, too, when trying to get a fledgling business off the ground.

"I rarely give up and I have a huge propensity for pain. I know I irritate a lot of people, but if I believe in something I don't give up," says Fernandes.

The timing for AirAsia's launch certainly seemed inauspicious. "It was depressing; we've had to deal with bird flu, Sars, the Singapore government and Malaysia Airlines," he says, referring to the discount carrier's sometimes fractious relations with the latter two.

Fernandes' varied business interests and casual style inevitably gives rise to comparisons with Virgin boss Richard Branson, who has a stake in Fernandes' recently launched long-haul affiliate, AirAsia X.

The AirAsia founder takes the comparison in good spirit. "We both like to have fun," he says. "We're not afraid to take on the Goliaths of this world. We're both outspoken and down to earth."

But that's where the similarities end. Fernandes says that, unlike Branson, who enjoys setting up new ventures but leaves the running of his many interests to professional managers, he truly enjoys running AirAsia. "I have a stake in the other businesses, but I play a more godfather kind of role and leave the day-to-day running to the people in charge.

"I have no aspirations to go on a hot air balloon or fly to the moon," he says. "I'm quite happy to be on the ground in KL."

Besides, Fernandes has his hands full running his budget airline. "The airline business is such that it never sleeps, so I don't really unwind. I'm always thinking of work," he says.

The self-confessed workaholic is tight-lipped about his private life but says he tries to fit in some sports such as squash or soccer. "I love watching sports," says the West Ham United supporter.

Not surprisingly, the former Warner executive has an impressive music collection of 7,000 CDs. "Music is a huge part of my life," he says. Apart from a dislike of country and western, his taste is varied so it's an eclectic collection including bands such as Linkin Park and R&B singer Mary J. Blige.

But his first love is the business he's built. Fernandes acknowledges that there will come a time when he'll have to ease out of AirAsia - "a good leader always leaves with a good succession plan" - and questions about his plans inevitably comes back to his ambitions for the airline.

"In five years, we'll have 175 planes and we'll be carrying 80 million passengers a year."

Fernandes is still the boy who saw his future in the skies.

marcusaffleck

March 19th, 2008, 11:23 AM

MH launched Web Check In

nazrey

March 19th, 2008, 03:24 PM

AirAsia gives away 50,000 domestic flight seats
19 Mar 2008 12:02 PM

KUALA LUMPUR: AirAsia Bhd is giving away 50,000 free seats for all its domestic destinations from its four hubs under its free seats campaign for the travel period between June 11 and Sept 25.

In a statement yesterday, AirAsia regional head of commercial Kathleen Tan said: “The free seats campaign is part of our anticipation towards achieving the 50 million guests flown to date by June this year.”

She added the airline had grown to have a fleet of 67 aircraft, servicing 93 routes across 11 countries, compared to when it started flying 200,000 passengers, with two aircraft six years ago.

The low-cost carrier said it would offer seats to 14 points including Bintulu, Johor Bahru and Kota Bharu from its low-cost carrier terminal hub in Kuala Lumpur, while its Johor Bahru hub would offer free seats on flights to Miri, Penang, Sibu and Kota Kinabalu.

The free seats, available via online booking only, are available for the booking period from March 18 to March 21.

nazrey

March 23rd, 2008, 09:36 AM

AirAsia X to fly to London by year-end
March 21st, 2008
By EUGENE MAHALINGAM

SEPANG: AirAsia X Sdn Bhd, the long-haul low-cost carrier and sister company of AirAsia Bhd, is targeting flights to London by year-end.

Chief executive officer Azran Osman-Rani said it hoped to have flights to London in time for Christmas. The time frame was to accommodate delivery of a long-haul aircraft that it hoped to secure within six months.

“We need to get a plane that is capable of accommodating direct flights. Right now, we do not have the plane but over the next six months, we hope to get at least one, if not two,” he said prior to the unveiling of AirAsia’s AT&T Williams Formula One A320 aircraft yesterday.

“If we use our existing fleet, we would need to stop in between. That would not bode well when competing against the more aggressive Middle Eastern airlines.”

AirAsia X, which covers flights that are longer than four hours, began flying passengers last November. Its first destination was Australia’s Gold Coast, which had already registered over 100,000 bookings to date, according to Azran.

He also said having flights to London would be a significant boost to the group.

“It is going to be huge. For our flights to the Gold Coast for instance, travellers from Britain were the third highest number of passengers after Malaysians and Australians,” he said.

“This means that (British) travellers are actually coming to Malaysia to fly to Australia. Today, people travelling to and from Britain and Australia are paying a fortune for tickets and we can offer similar trips at a fraction of the cost,” Azran added.

Meanwhile, AirAsia is now flying an A320 aircraft bearing the colours of the AT&T Williams Formula One racing car.

The unveiling of the aircraft yesterday was held to coincide with the 10th edition of the F1 Petronas Malaysian Grand Prix this Sunday.

The unveiling also marks the group’s extended three-year partnership with the AT&T Williams Formula One team. Drivers Nico Rosberg and Kazuki Nakajima were present at the event.

nazrey

March 25th, 2008, 03:06 PM

Ex-Air Canada CEO takes stake in AirAsia X
By Anna Maria Samsudin Published: 2008/03/25
BusinessTimes

http://www.btimes.com.my/Current_News/BTIMES/Tuesday/Latest/amcanada.xml/Article/Current_News/BTIMES/Images/btgraph7/milton.jpg

AIR Canada's former chairman and chief executive officer, Robert Milton, has joined the list of AirAsia X's prominent international shareholders after acquiring a stake in parent company Aero Ventures Sdn Bhd.

His less than five per cent share in Aero Ventures, which owns 48 per cent of the long-haul budget airline, is estimated to be worth some RM28 million, based on the airline's current value of RM1.2 billion.

AirAsia X chief executive officer Azran Osman-Rani said that having Milton on board will contribute to its business as it can capitalise on the latter's vast expertise and knowledge of the industry.

Milton's participation will also serve as recognition of foreign investors' growing confidence in AirAsia X's business model, he added.

"Robert brings us the credibility and experience. This is indeed valuable for a start-up company like AirAsia X as it will give financiers more confidence in our business," Azran told reporters in Kuala Lumpur yesterday.

Aero Ventures is a holding company founded by Datuk Seri Kalimullah Hassan, AirAsia Bhd chief executive officer Datuk Tony Fernandes and deputy chief executive officer Datuk Kamarudin Meranun, and Lim Kian Onn to invest in aviation ventures.

Other shareholders in AirAsia X include Sir Richard Branson's Virgin group (16 per cent), AirAsia (16 per cent), Manara Consortium (10 per cent) and Orix Corp (10 per cent).

Milton said he was excited to be part of an airline that will revolutionise air travel.

"What attracted me to this proposition was the fact that AirAsia X is the first truly low-cost long-haul carrier, with its base in Malaysia and focused on the Asia-Pacific region, that holds great promise and to which I have strong personal ties," he added.

Milton is the chairman and chief executive officer of ACE Aviation Holdings, which owns 75 per cent of Air Canada. It also holds stakes in publicly-listed Aeroplan, a loyalty management company, and Jazz, Canada's second largest airline.

ACE Aviation also has an interest in ACTS - an aircraft maintenance, repair and overhaul (MRO) organisation - in partnership with KKR and Sageview.

Milton, regarded as one of the world's most experienced aviation executives, is best known for his successful restructuring of Air Canada.

On AirAsia X's listing plans, Azran said it expects to undertake the exercise within two to three years, adding that it would prefer to list in Malaysia.

"We would prefer to be listed on Bursa Malaysia. I believe that the investment climate in Malaysia has matured," he said.

hetfield85

March 26th, 2008, 11:08 AM

Malaysia's AirAsia X buys 10 more Airbus planes: official

Malaysian long-haul budget airline pioneer AirAsia X said Tuesday it will buy 10 more Airbus A330-300 aircraft for 2.1 billion dollars, bringing its fleet to a total of 25 aircraft.

The carrier had previously signed an order with Airbus for 15 of the aircraft.

Azran Osman Rani, chief executive officer of AirAsia X, told AFP that a signing ceremony to confirm the purchase of the 10 additional A330s would be held on Thursday.

"The list price for the 10 new aircraft is 2.1 billion dollars. With this firm order, the total number of A330 aircraft in our fleet will be 25," he said.

On future fleet expansion plans, Azran said the airline was eyeing the "next generation aircraft of Airbus 350-900 and the Boeing 787-9."

AirAsia X has began flying to Australia's Gold Coast and to China using a leased A330.

It has plans to launch flights to Britain in the fourth quarter of 2008 after acquiring additional aircraft and will eventually extend to Europe, Japan and the Middle East, with fares on average 50 percent lower than full-service carriers.

AirAsia X, an affiliate of AirAsia and Virgin Blue, was launched in January 2007. AirAsia and AirAsia X share common shareholders, including AirAsia founder and chief Tony Fernandes.

Richard Branson's Virgin Group has taken a 20 percent stake in the airline and the British billionaire has vowed to ensure that the project turns a profit.

lena5538

March 26th, 2008, 11:20 AM

i flew with them last year; i have to tell u that; they should improve their drink service!

hetfield85

March 27th, 2008, 11:44 AM

http://malaysia.news.yahoo.com/afp/20080327/tap-malaysia-airline-malaysiaairlines-ai-0193655.html

Airbus confident on Malaysia Airlines delayed A380s order
AFP
AFP - 49 minutes ago

KUALA LUMPUR, March 27, 2008 (AFP) - Airbus on Thursday expressed confidence that Malaysia Airlines will not cancel its order for six A380 super-jumbos despite long delays in supplying the aircraft.

"No, we are not discussing a cancellation at this point," Airbus chief operating officer for customers, John Leahy, told reporters.

"We don't want to comment on ongoing discussions and negotiations but I'll be hopeful that we'll have something to announce in the not too distant future," he said.

Deliveries of the A380, the world's largest commercial airliner and the cornerstone in Airbus efforts to catch up with Boeing, are now three years behind schedule because of production problems.

Malaysia Airlines has said however that delivery delays will not hurt its recovery plan under which it has broken back into the black in recent years.

Airbus has said that the carrier will be compensated for the delay in the delivery of the aircraft.

Leahy also said that Airbus had submitted an updated proposal to supply the national carrier with about 50 narrow-bodied aircrafts -- A320s and A321s -- as replacements to its existing fleet.

"They told us today they'll be making a decision very shortly on their narrow-bodied replacements," he said.

hetfield85

March 27th, 2008, 12:06 PM

http://malaysia.news.yahoo.com/bnm/20080327/tbs-airasiax-uk-ceeeaba.html

AIRASIA X: PLANS TO FLY TO UK THIS YEAR WILL DEPEND ON AIRCRAFT AVAILABILITY

Bernama - 2 hours 19 minutes ago

KUALA LUMPUR, March 27 (Bernama) -- Long haul budget carrier AirAsia X's plans to fly to UK this year will depend on the availability of aircraft, its chief executive officer Azran Osman-Rani said. "We are looking at the possibility of getting long range aircraft such as Airbus' A340 to enable us to go to UK. At the very least, we will need two aircraft," he said, adding that the carrier is open to the option of acquiring or leasing them. AirAsia X has received approvals from the authorities for the UK flight and now just needs the aircraft, he said at a press conference following the signing of an agreement here today between AirAsia X and Airbus. The airline is acquiring an additional 10 A330 aircraft to be delivered in the next five years. The deal is worth US$2 billion. AirAsia X earlier this year announced its plans to fly to UK this year. Azran said AirAsia X had been offered the A340 previously but it was not taken up as the price was too high. AirAsia X has also ordered 15 wide-bodied A330s, two of which will be delivered this year and another two in 2009. It now flies from Kuala Lumpur to Australia's Gold Coast and to Hangzhou in China using leased aircraft. The airline also hopes to add 50 extra-wide body A350 or Boeing 787-10 jetliners to its fleet as it expands routes to China, Britain, India, South Korea, Japan and the Middle East over the next few years.-- BERNAMA KI MSL SD

forrestcat

March 27th, 2008, 12:20 PM

Hope MAS screw Airbus and go for B787 and B747-8.

Anyway, here's a nice video of MAS.Love the background music.

ad1rrlWVcfs

nazrey

March 27th, 2008, 03:02 PM

AirAsia X: Plans to fly to UK hinge on plane availability
Published: 2008/03/27

AirAsia X has received approvals from the authorities for the UK flight and now just needs the aircraft, says its chief executive officer

LONG haul budget carrier AirAsia X’s plans to fly to UK this year will depend on the availability of aircraft, its chief executive officer Azran Osman-Rani said.

“We are looking at the possibility of getting long range aircraft such as Airbus A340 to enable us to go to UK. At the very least, we will need two aircraft,” he said, adding that the carrier is open to the option of acquiring or leasing them.

AirAsia X has received approvals from the authorities for the UK flight and now just needs the aircraft, he said at a press conference following the signing of an agreement today between AirAsia X and Airbus.

The airline is acquiring an additional 10 A330 aircraft to be delivered in the next five years. The deal is worth US$2 billion.

AirAsia X earlier this year announced its plans to fly to UK this year.

Azran said AirAsia X had been offered the A340 previously but it was not taken up as the price was too high.

AirAsia X has also ordered 15 wide-bodied A330s, two of which will be delivered this year and another two in 2009.

It now flies from Kuala Lumpur to Australia’s Gold Coast and to Hangzhou in China using leased aircraft.

The airline also hopes to add 50 extra-wide body A350 or Boeing 787-10 jetliners to its fleet as it expands routes to China, Britain, India, South Korea, Japan and the Middle East over the next few years.— Bernama

nazrey

March 27th, 2008, 03:03 PM

AirAsia aims to fly to Japan by end-2009
Published: 2008/03/27

There are three airports in Japan which have shown interest, says AirAsia X chief executive officer

LONG haul budget carrier AirAsia X expects to begin flying to Japan by the end of next year or middle 2010, said its chief executive officer Azran Osman-Rani.

“So far, there are three airports in Japan which have been very proactive ... and positive with their level of interest in our products.

“At the earliest, by the end of 2009 or middle of 2010, we will look at our first Japanese destination,” he told reporters after an agreement signing between AirAsia X and Airbus today for the purchase of 10 additional A330-300s aircraft.

He also added that with the deliveries of new aircraft expected by the fourth quarter this year, they will expand more in Australia and China, while looking at the possibility of commencing services in India.

Asked on the possible destinations for India, Azran replied: “Not Mumbai and Delhi, we will go for some other options. For example, Amritsar as alternative to Mumbai, Jaipur as alternative to Delhi, Amhedabad, Poona and Calcutta.”

AirAsia X is operating its low-cost long-haul service with a leased A330 which will be joined by the first of the newly ordered aircraft in October this year. All aircraft will be configured in a 392-seat configuration.

It flies four times weekly to Gold Coast, Australia and five times weekly to Hangzhou, China. — Bernama

aen

March 27th, 2008, 07:22 PM

i flew with them last year; i have to tell u that; they should improve their drink service!

i think their service is fine as a LCC. i don't think there's such a thing as a 'drink service' on board Air Asia because they're not a full service airline. correct me if i'm wrong.

nazrey

March 28th, 2008, 03:19 PM

AirAsia X in US$2b deal with Airbus
By Anna Maria Samsuddin Published: 2008/03/28
BusinessTimes

Meanwhile, Airbus chief operating officer has expressed confidence that Malaysia Airlines will not cancel its order of six A380s

BUDGET long-haul carrier AirAsia X has firmed up orders for 10 additional units of the A330-300, with a list value of US$2 billion (RM6.4 billion), bringing the airline's total order for the aircraft to 25 units.

Under an agreement signed with European-based airframe maker Airbus, the aircraft will be delivered progressively over the next five years.

Chief executive officer Azran Osman-Rani said the additional orders are in line with the airline's aggressive network expansion plans.

It aims to introduce more new medium-haul routes in Australia, China as well as India - targeting cities such as Amritsar, Poona, Jaipur, Calcutta and Ahmedabad.

The airline also plans to start flights to Japan by late 2009 or mid-2010.

To serve its long-haul networks, he said the carrier may buy 25 new generation widebody planes, either the A350s or the Boeing B787s.

"We now have more planes in our arsenal to ramp up our global route network. We will have real scale to dominate Asia Pacific over the next five years," he said at the agreement signing ceremony, witnessed by Transport Minister Datuk Ong Tee Keat in Kuala Lumpur yesterday.

Meanwhile, Azran said AirAsia X is also looking at buying or leasing two long-range A340s for its long-haul flights to London's Stansted Airport, scheduled to take off by the fourth quarter of this year.

"We've got UK and Malaysian government approvals and airport support. Everybody is ready to receive us ... but this depends on aircraft availability," he said.

AirAsia X, which commenced flights in November last year and had carried some 120,000 passengers, has already placed orders for 15 A330s, two of which will be delivered later this year and another two in 2009.

It now flies from Kuala Lumpur to Australia's Gold Coast and to Hangzhou in China using one leased plane.

Airbus chief operating officer John Leahy said the AirAsia group is reshaping the future of the Asia Pacific air transport industry.

"The long term confidence of AirAsia X in the long haul, low-cost model is inspirational and we are delighted to see this further endorsed by the A330."

Meanwhile, on the latest development on Malaysia Airline's six A380s order, Leahy expressed confidence that the national carrier will not cancel its order.

"No, we are not discussing a cancellation at this point. We don't want to comment on ongoing discussions and negotiations but I'll be hopeful that we'll have something to announce in the not-too-distant future," he added.

nazrey

March 28th, 2008, 03:24 PM

AirAsia X orders another ten A330 aircraft
by Gan Yen Kuan, 28 Mar 2008 2:20 PM

KUALA LUMPUR: Low-cost long-haul airline AirAsia X Sdn Bhd has exercised its option for an additional ten A330-300 aircraft, bringing its total order with Airbus to 25 aircraft, after it placed an order for 15 A330s in June 2007.

The ten newly ordered aircraft were valued at about US$2 billion (RM6.4 billion) at list prices, and would be delivered to AirAsia X in stages over the next five years, AirAsia X said in a statement yesterday.

Currently, AirAsia X operates with a leased A330 aircraft. All the aircraft it ordered from Airbus will have a 392-seat configuration. The first aircraft will be delivered in October this year.

AirAsia X chief executive Azran Osman-Rani said the A330 was uniquely configured to be an efficient aircraft that would be critical to it offering long-haul air travel with unbeatable lowest fares.

“Additionally, it will feature various innovative features to provide comfort and entertainment to our guests, and will make our wide-body fleet among the youngest and most modern in the region,” he said.

Meanwhile, Airbus chief operating officer (customers) John Leahy said: “The long-term confidence of AirAsia X in the long-haul, low-cost model is inspirational and we are delighted to see this further endorsed by the A330. Once again, we applaud the AirAsia group’s pioneering spirit as it rapidly progresses in reshaping the future of the air transport industry in the Asia-Pacific region.”

Since the first delivery in 1993, total orders for the A330 family have exceeded 900 aircraft, with over 520 currently in service around the world. In the Asia-Pacific region, there are more than 210 A330s currently in service with 22 airlines.

AirAsia X is 48%-owned by Aero Ventures Sdn Bhd, a company in which AirAsia Bhd CEO Datuk Tony Fernandes has interest. The other shareholders of AirAsia X are AirAsia (16%), Virgin group (16%), Bahrain-based Manara Consortium (10%) and Japan-based Orix Corp (10%).

AirAsia X launched its maiden flight in November last year, flying to Gold Coast, Australia, four times a week. Last month, it started flying to Hangzhou, China, five times a week.

forrestcat

March 31st, 2008, 09:56 AM

MAS to buy 55 Boeing planes for S$4.2b

The planes will help the airline bolster profits under its recovery plan. -AFP

Mon, Mar 31, 2008
AFP

KUALA LUMPUR - NATIONAL carrier MALAYSIA Airlines has agreed to purchase 55 narrow-body aircrafts from the US-based Boeing for RM9.6 billion (S$4.2 billion) a news report said on Monday.

The Boeing 737-800 series costs about US$70 million each but Malaysia Airlines, being a bulk buyer, could receive a discount on the price, The Edge Financial Daily said, citing sources from the industry.

It said the national carrier would probably seal the deal for the Boeing planes, ending months of speculation on which plane manufacturer it would choose for its aircraft acquisition program to replace its existing fleet.

The airline opted for Boeing due to technical reasons, the report said.

It said the planes would also help Malaysia Airlines achieve record profits under its recovery plan. It broke back into the black last year.

The French-based Airbus last Thursday had also submitted an updated proposal to supply the airline with about 50 narrow-body aircrafts - A320s and A321s - for a list price of about US$70 to US$80 million each.

Malaysia Airlines is expected to make an announcement on the deal soon, an official said. -- AFP

More news of same title
http://www.theedgedaily.com/cms/cont...f1400-5c8ce503

nazrey

April 1st, 2008, 02:42 PM

MAS goes ahead with A380 planes
by Doreen Leong, 01 Apr 2008 10:36 AM

KUALA LUMPUR: Malaysian Airline System Bhd (MAS) is buying up to 55 Boeing 737-800 aircraft, which is valued at US$4.2 billion (RM13.44 billion), and is taking delivery of the delayed A380-800 in 2011, after it concluded talks with both the manufacturers.

In a statement to Bursa yesterday, the national carrier said it expected to take delivery of the 737-800 planes starting from September 2010 onwards. It also said that it would take delivery of all the six A380-800 that was supposed to be delivered starting from January 2007.

MAS managing director cum chief executive officer, Datuk Seri Idris Jala said it had placed a firm order for 35 B737-800 with an option for another 20 aircraft. It confirms an article by The Edge yesterday that MAS is purchasing 55 narrow-body planes from US-based Boeing.

“The total cost of the 55 aircraft is US$4.2 billion at list prices. We expect to take delivery of the first aircraft from Sept 2010 onwards, which will be used to replace our existing B737-400 fleet and to allow us to expand to points which were not previously economically viable,” he added.

MAS also have the option to swap the B737-800 to the larger B737-900.

In terms of financing, MAS said, “We will likely partially purchase the B737-800s on our own and partially lease them as that would give us the flexibility to manage our balance sheet and financing commitments, and to sell some of them when the timing is right.”

MAS had previously stated that it was mulling various financing options that included Islamic loans and loans from export credit agencies. Another option included talking to Penerbangan Malaysia Bhd (PMB) with the view of the latter financing the acquisition with a back-to-back leasing arrangement with MAS.

An analyst said that MAS should not face problems financing its plane purchase given its strong net cash position that gave it room to gear up. “Overall, it is a good move for MAS to order the planes now to cater for its expansion plans after two years. Furthermore, the market is still tight in terms of availability of planes in the Asian region.”

Despite the massive capacity coming into the industry from 2009 onwards, the analyst expected demand for travel to remain strong especially from China.

According to the national carrier, the B737-800s would be used to ply the Asean region, China and India.

On the A380-800, MAS is also taking delivery of all the six A380-800 by 2011 following delays. The first A380-800 aircraft is now targeted for delivery in January and the sixth in August.

MAS will be getting compensation from Airbus for the delay but the amount to be received was not made available.

“After extensive discussions with Airbus and PMB, we have agreed on the terms for the delayed delivery. The terms include an agreed amount of compensation for the delay,” Idris said.

Originally, the six A380-800 aircraft was scheduled for delivery from January 2007 to December this year. It was ordered by PMB in 2003.

“We kept the A380 on terms that are win-win for us and Airbus. We placed narrow-body jet orders with Boeing. We are happy to work with both aircraft manufacturers. We are now looking at the widebody aircraft replacement and will intensify our discussions with the manufacturers ,” Idris said.

nazrey

April 5th, 2008, 11:18 AM

Branding:
AirAsia among world's most innovative firms
Published: 2008/04/03

AIRASIA Bhd has been recognised as one of the world's most innovative companies by Fast Company magazine, the only Asean brand and the only airline to make it to the "Fast 50" list.

Other notable companies include Google, Nike, Facebook, Apple, Disney, GE, BMW and IBM.

AirAsia ranked number 43 this year on the "Fast 50" list, announced in the March 2008 issue of Fast Company.

From green consumer-products phenomenon Method to 100-year-old Corning, which spends US$2 million (RM6.38 million) each workday on R&D, the list celebrates companies that are redefining the rules of business through new ideas.

Twelve of the 50 firms are based outside the US. Fifteen of them are based in and around the Silicon Valley.

"This is a feat we are very proud of, considering we are placed in the same platform as some of the most recognised brands in the world. We are humbled by this news as we've evolved from a Malaysian brand to an Asean brand within a short span of six years and to be recognised on the global front by the coveted Fast Company magazine, is indeed very rewarding," AirAsia group chief executive officer Datuk Tony Fernandes said in a statement.

Fast Company editors described AirAsia as "innovative down to its corporate bones".

"Most passengers think of it as one carrier, but it's actually a co-branded collection of several, a unique structure Tony Fernandes devised to allow AirAsia to set up hubs in three countries (Malaysia, Thailand, and Indonesia)," it said.

It also credited AirAsia for operating costs that are the lowest of any airline in the world, and so are its fares.

Previous awards won by AirAsia include "Airline of the Year 2007" by the Centre for Asia Pacific Aviation (CAPA) and the "Best Low Cost Airline in Asia" by Skytrax Research of London.

Fast Company's final 50 were selected from a list of 300 finalist companies. The magazine placed a high premium on companies that had demonstrated significant innovation over the past year. Actual rankings were determined by vote by a panel of editors and writers.

Fast Company is a monthly business magazine that reports on innovation, digital media, technology, change management, leadership, design and social responsibility. It was launched in November 1995 by Alan Webber and Bill Taylor, two former Harvard Business Review editors.

nazrey

April 7th, 2008, 12:04 PM

AirAsia to have check-in baggage fee (updated)
Monday April 7, 2008
By ROYCE CHEAH

SEPANG: AirAsia will be charging all its passengers a fee for check-in baggage from April 21 in a bid to defray rising fuel costs, its group chief executive officer Datuk Tony Fernandes said.

The fee would be RM3 per piece of baggage through online check-in and RM5 per piece of baggage when checking in at the airport.

Checked-in baggage will be charged on a per piece basis up to a maximum combined weight of 15kg. Anything over 15kg will be charged as excess in addition to the checked-in baggage fee.

According to Fernandes, charging the fee for check-in baggage made more sense than charging everyone an additional fuel surcharge, which was what other airlines were doing.

“With the rising fuel costs, we have to find new and innovative ways to keep our fares low.

“When it comes to bags, we notice that many passengers bring a lot of bags making our planes heavier which in the end makes the plane consume more fuel,” he said.

Fernandes said he did not think that there would be a negative reaction to the move as the fee was not high.

“It will help to defray up to 10% of the fuel cost. It is not much, but it adds up with all the other things we are doing such as priority boarding, selling merchandise and food on the flights.”

According to AirAsia’s statement, the airline believed that passengers should be given the option to choose the services they require and pay for those services.

“This approach has enabled AirAsia to provide continuous low fares, which is a priority for us,” it said.

The statement added that AirAsia was looking to change travellers’ behaviour by encouraging people to travel lighter.

“Lighter baggage weight on board the aircraft means burning less fuel, hence, less pollution and a better environment. Fewer checked-in baggage improves airport efficiency and will eventually lead to shorter check-in queues.”

nazrey

April 7th, 2008, 12:06 PM

World's Best Cabin Staff 2007 (http://www.worldairlineawards.com/Awards_2007/CabinStaff.htm)
We Fly (Malaysia Airlines Theme - Original Version)

p7WKuRZ4R70

http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin5.jpg http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin8.jpg

http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin11.jpg http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin10.jpg

http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin7.jpg http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin4.jpg

Malaysia Airlines: (TVC) Beyond Expectations

-69yTWJW88k

http://i102.photobucket.com/albums/m95/fdzy/MAS/kabin9.jpg

MAS still a favourite choice among air travellers
Monday April 7, 2008

ALOR STAR: Malaysia Airline (MAS) is still a favourite choice among air travellers despite stiff competition from other airline companies especially the low-cost airlines.

Malaysia Airports Holdings Berhad (MAHB) senior general manager (operations) Datuk Azmi Murad said the national carrier controlled 65% of the international flights and 35% of the domestic flights in the country.

“This shows that MAS is still a choice among travellers despite facing stiff competitions,” Azmi told newsmen after launching the Health and Safety Campaign 2008 organised by MAHB and MAS.

The campaign was to create safety awareness among MAHB and MAS personnel at the Sultan Abdul Halim Airport in Kepala Batas.

Azmi said the Low Cost Carrier Terminal would be expanded to cater to the increased passenger load and accommodate more low-cost airlines that had expressed interest to set up their bases in the country.

Low-cost airlines currently operating out of the terminal are Air Asia, Air Asia Thailand, Air Asia Indonesia, Tiger Airways and Cebu Pacific.

Azmi said the terminal recorded a total of 7.7 million passengers last year and would hit the 9.7 million mark before the end of this year.

He said that the terminal had a maximum capacity of 10 million passengers and an expansion project would be completed between nine and 12 months' time which could increase the maximum capacity to 15 million passengers.

nazrey

April 7th, 2008, 04:13 PM

AirAsia to charge for handling checked baggage
Published: 2008/04/07

AirAsia has no intention to raise fuel surcharge even though the jet oil in today’s market is at US$130 per barrel, says its group chief executive officer

BUDGET airline AirAsia Bhd will charge a fee for handling checked baggage for flights booked from April 21 onwards.

Group chief executive officer Datuk Tony Fernandes said the fee was only applicable for bookings made after April 21 and would be implemented across AirAsia’s network.

“One of the major causes is obviously fuel ... You use more fuel when the aircraft is heavier.

“What we are going to do is that every bag that you checked in, we will charge RM5 per bag, but if you buy online on the days before then we will charge RM3 per bag.

“AirAsia X has been doing this and has proven quite successful. Hence, we are going to do it at AirAsia from April 21,” he said at a media briefing in Sepang today on its plan to impose checked baggage handling fee.

He said the fee would not be imposed on customers who had already booked the flight.

Fernandes said the airline has to shoulder huge costs, especially in an area that people generally “fly with the house” such as Indonesia and China.

“So, this is a way of passing on some of the extra costs directly to the people who need those extra bags,” he said.

He said the move has already been done in Europe and had proven successful.

“In fact, some of the premium airlines (in Europe) have been doing it,” he said.

Fernandes, however, said passengers travelling with only hand luggage would not be charged.

He said previously, the cost of checked baggage was automatically included in the fees.

“This means that those travelling with only hand luggage were subsidising those travelling with heavier checked baggage.

“Now, the guests will pay for the bags they wish to travel with,” he said.

On whether AirAsia would also raise fuel surcharge, Fernandes said: “We have no intention even though the jet oil in today’s market is at US$130 per barrel. - Bernama

nazrey

April 8th, 2008, 12:23 PM

AirAsia to charge for baggage to offset rising fuel cost
by Doreen Leong, 08 Apr 2008 12:23 PM

SEPANG: While AirAsia Bhd will consider raising fuel surcharges should oil prices hit US$132 per barrel, it will only do as a last resort. Instead, the budget airline has figured out an innovative way of covering the rising cost of fuel — charge customers more for their checked-in luggage.

“It is not fair to penalise everybody by imposing higher fuel surcharges. Instead, they should be given the option to choose certain services and pay only for those services,” its group chief executive officer Datuk Tony Fernandes said.

Previously, the cost of checked-in luggage was incorporated in ticket prices. This meant that those travelling without any checked-in luggage, were effectively “subsidising” those travelling with heavier, check-in bags.

Speaking to reporters at a media briefing on the matter, he said one of the measures to defray higher fuel costs was to impose a fee of up to RM5 per checked-in luggage effective for bookings made after April 21.

Passengers who pre-book their checked luggage online would only have to pay RM3 per luggage while those who check in their luggage at the airport counters pay RM5 per luggage. Passengers travelling with hand luggage alone will not be charged.

“We have no intention of raising the fuel surcharge for now. I don’t think oil prices will go higher than US$130 per barrel,” Fernandes added.

The last time AirAsia imposed a higher fuel surcharge was on Dec 18, 2007 with a minimal increase of between RM2 to RM3 per ticket, depending on sectors. On average, fuel surcharges account for some 30% of Air Asia ticket prices.

Oil prices rose near to US$107 per barrel yesterday in Asia as prospects for further cuts in US interest rates seemed more likely after poor US jobs data at the end of last week. The falling dollar has been one of the key factors supporting oil prices in the past weeks.

Fernandes said luggage is a huge cost for AirAsia, accounting for about 4% of its total cost and the fee on handling checked luggage would help recover cost from heavier planes.

“Lighter luggage weight on board the aircraft means the burning of less fuel. Fewer checked luggage improves airport efficiency and will eventually lead to shorter check-in queues,” he added.

Despite not being able to recover the higher fuel costs completely, Fernandes said AirAsia would continue to enjoy healthy margins as it fills its planes at a faster-than-expected rate and grows its ancillary income.

He added that as AirAsia increases the frequencies on its routes, passengers would be able to enjoy between 15% and 20% cheaper ticket fares on those routes.

Its investor relations officer Mohshin Abdul Aziz told The Edge previously that based on its rough estimates, about half of Air Asia’s passengers carry one luggage while a quarter has two. The rest only carry a hand carried luggage.

“Assuming AirAsia carries 12 million passengers this year, this means the airline will be able to rake in some RM27 million just on luggage alone,” he said.

nazrey

April 9th, 2008, 03:16 PM

Sarawak to consider AirAsia's LCCT request
Published: 2008/04/09

The Sarawak Government will help AirAsia to get a special terminal so that the airline's operations will stay low cost, says the state's chief minister

THE Sarawak government will consider AirAsia’s request for a low cost terminal in Kuching to help make the Sarawak capital a hub for global low cost travel, Chief Minister Tan Sri Abdul Taib Mahmud said today.

The state government, which supports an “open sky” policy, is receptive to the airline’s role in bringing Kuching closer to other parts of the region by opening more entry points for foreign visitors to Sarawak and to allow for better air connectivity.

“We (the state government) will help you (AirAsia) get a special terminal so that your operation will stay low cost as you wish,” he said when launching AirAsia’s inaugural flight of its thrice weekly Jakarta-Kuching service.

However, Abdul Taib did not disclose if a suitable site has been identified for the terminal.

At present AirAsia’s Kuching hub, which also connects to other points in the peninsula and Sabah, serves seven domestic routes - to Penang, Kuala Lumpur, Johor Baru, Kota Kinabalu, Miri, Bintulu and Sibu - as well as three international destinations - Macau, Bali and now Jakarta - with a total of 163 flights a week.

With the direct service to Jakarta, Taib said, there is better justification for Indonesians to visit Sarawak, which recorded 410,000 visitors from the republic last year, the second highest number after Bruneians.

Speaking at a press conference later, AirAsia Bhd Group chief executive officer Datuk Tony Fernandes said he had discussed with the Chief Minister on the need to provide a simpler facility as the airlines will not abandon its low cost principle, in terms of low fares, despite the global hike in petrol prices.

He stressed that it is crucial to set up a low cost terminal as AirAsia is optimistic that its Kuching hub will generate about five million passengers in three years through additional direct air links.

“Since 2001, we have carried over 8.5 million passengers from and into Sarawak from the various AirAsia points in the region and we strongly hope that our robust growth will be supported with an appropriate air terminal to cater to this emerging demand,” Fernandes added.

The passenger volume included two million passengers to and from Kuching and three million for the whole state last year, according to him.

“We are bullish and will work very hard with the Sarawak government,” he assured, pointing out that brand new Airbus A320 aircraft will be deployed for all its flights to Kuching from May 4.

Fernandes said AirAsia is looking at establishing direct flights from Kuching to Manila to exploit the Brunei-Indonesia-Malaysia-Philippines East Asean Growth Area (BIMP-EAGA) as well as to Singapore, Bangkok, Brunei and Perth.

It also hopes to unleash the state’s huge tourism potentials through innovative yet affordable and accessible routes, including a Kuching-Taipei direct link which is scheduled to be introduced by year-end, he added. — Bernama

nazrey

April 10th, 2008, 02:53 PM

MAS sees higher profit from repair business
Published: 2008/04/10

MALAYSIAN Airline System Bhd (MAS) expects its maintenance, repair and overhaul (MRO) business to register higher profit of RM400 million this year compared with RM320 million last year.

Its managing director/chief executive officer, Datuk Seri Idris Jala, said its engineering and maintenance unit’s third-party MRO business was set to grow by utilising its facility at the KL International Airport (KLIA).

“We have a big hangar in KLIA. There is scope for us to utilise (the facility) with our highly-talented engineers and grow the business,” he told reporters at the official visit of Transport Minister Datuk Ong Tee Keat to MAS office in Petaling Jaya, today.

The airline company’s MRO clients are AirAsia, AirAsia X, JetsAir and Lufthansa.

Asked whether MAS planned to review its fuel surcharge following Singapore Airline’s move last month to increase its fuel levy, Idris said that MAS was still studying the matter and that it wanted to ensure that customers don’t end up being burdened.

He said MAS will look at its fuel surcharge cost and also monitor its 43 per cent hedging policy and reduce other costs.

On March 17, oil price recorded a record high of US$111.80, prompting the increase in fuel levy by SIA.

Oil price has since eased to around US$102 a barrel.

“We have submitted our request to the government and at the moment there are discussions between the government and MAS,” Idris said when asked for an update on the government subsidy for the rural routes in Sabah and Sarawak.

“We want to reduce as much as possible the subsidy. So we don’t burden the public (tax payers) and the government to make sure we can run in a very tight shape,” he said.

Currently, MAS continues to operate these zero-profit routes as a social obligation through MASwings. — Bernama

nazrey

April 11th, 2008, 07:31 AM

AirAsia X: London flights will take off
By Anna Maria Samsudin Published: 2008/04/11

AirAsia X's business model and cost structure provide the carrier with a better chance to succeed compared with Oasis, says OSK Research associate director

LONG-HAUL budget airline AirAsia X is unfazed by the collapse of Oasis Hong Kong Airlines and is proceeding with its plans to start flights to London from Kuala Lumpur.

Its chief executive officer Azran Osman-Rani said that its current cost structure, the world's second lowest at US$0.04 (RM0.13) per available seat kilometres after AirAsia Bhd's, enables the airline to stay in good shape to operate its long-haul routes profitably.

Commenting on the closure of budget airline Oasis 18 months after it first took to the skies, Azran said it was not an indicator that the business model had failed.

"It is more to do with the impact of rising fuel cost, which has been putting pressure on the entire airline industry," he told Business Times in a telephone interview yesterday.

"Oasis is not the only casualty. Legacy full-service carriers, too, are not spared from feeling the impact of higher fuel cost. Several premium airlines, such as the US-based Aloha Air, have gone bankrupt because of the current situation," he said.

This makes it more crucial for both low-cost (LCCs) and full-service carriers (FSCs) to stick to their respective business models to better manage their cost structure. "Mixing both models would only bring disaster," he said.

Azran believes that to be a successful LCC, an airline must operate the right aircraft type and have the right seat configuration and efficient use of planes - all of which AirAsia X adheres to.

In addition, being part of the AirAsia group has enabled the airline to benefit from the globally recognised brand, sales infrastructure and resources such as pilots and cabin crew.

OSK Research Sdn Bhd associate director Chris Eng said that AirAsia X's business model and its strong parent company will help the airline weather the challenging aviation climate.

Since AirAsia X is unlikely to start the London-Kuala Lumpur flights this year, the carrier can make use of the opportunity to build up its plane capacity and improve its services to China and Australia.

"I do not see AirAsia X folding anytime soon. As for its long-haul service to London, I think its business model and cost structure provide the carrier with a better chance to succeed compared with Oasis," Eng said.

A local analyst, who declined to be named, said that AirAsia X has an added advantage over other start-up airlines when it comes to market outlook and sharing of resources as it has industry veterans such as AirAsia's Datuk Tony Fernandes and Virgin's Richard Branson as shareholders.

AirAsia X's financial position is sound, he added.

"And if it does need to raise more cash, it can easily do so by selling more of its shares to investors," he said.

aseantraveler

April 12th, 2008, 12:34 PM

AirAsia (http://www.planespotters.net/Airline/AirAsia)

Thai-AirAsia (http://www.planespotters.net/Airline/Thai-AirAsia)

Indonesia-AirAsia (http://www.planespotters.net/Airline/Indonesia-AirAsia)

AirAsia-X (http://www.planespotters.net/Airline/AirAsia-X)

aseantraveler

April 13th, 2008, 06:27 AM

AVIATION

AirAsia drops Xiamen flights

BOONSONG KOSITCHOTETHANA

The no-frills carrier Thai AirAsia (TAA) has dropped Xiamen in southeastern China from its network as it shifts aircraft capacity to two new routes that potentially offer greater economic returns.

TAA said it pulled the plug on its flights to Xiamen, which started in April 2005, due to higher operating costs, a limited load factor and a price war with Thai Airways International.

TAA executives described the withdrawal, effective from March 31, as a temporary suspension. But they gave no indication as to when operations would resume. Its withdrawal gave THAI opportunities to maximise traffic benefits from the route, which it flies three times a week.

The no-frills carrier believes it will be more profitable to use the planes on two new routes, Bangkok-Jakarta and Bangkok-Ho Chi Minh City (HCM), according to TAA chief executive Tassapon Bijleveld.

''With oil prices skyrocketing, the new routes seem to offer a better economic proposition,'' he said, adding that jet fuel cost more China than in other areas where the airline operates.

TAA started flying daily to Jakarta on April 1 and to HCM on April 4, starting with two flights a week. It doubled those to four flights a week on April 27.

With Xiamen removed from its network, the only point in mainland China that TAA is still serving is Shenzhen. TAA inaugurated Bangkok-Shenzhen service in July last year.

TAA's earlier plan to start flying from Bangkok to Guangzhou this year has yet to take off as the airline began to tread more cautiously on its expansion plan in the wake of a global economic slowdown and spiralling oil prices.

Mr Tassapon said the airline would look to consolidate operations on its existing network over the next two years, rather than aggressively pursuing new routes like before. Furthermore, the airline does not have the aircraft capacity to fly new routes, possibly to Bali, Dhaka, Kunming and India.

TAA is advancing the retirement of its Boeing B737-300 fleet and replacing them with brand-new Airbus A320 jetliners. By the end of next year, its fleet will consist entirely of A320s.

TAA has ordered 40 A320s, three of which were delivered last year. Five are due this year and five more next year.

Mr Tassapon said that the airline carried nearly 1.2 million passengers in the first quarter of this year with a load factor of 79%.

nazrey

April 13th, 2008, 03:21 PM

Ambulift launched at LCCT
Sunday April 13, 2008
TheStar

AirAsia launches ambulift for disabled passengers

http://thestar.com.my/archives/2008/4/13/nation/n_15airasiax.jpg

Disabled-friendly move: An AirAsia flight attendant posing with disabled
people in front of the new ambulift at the LCCT at the KL International
Airport on Saturday.

SEPANG: AirAsia launched its first ambulift at the Low Cost Carrier Terminal (LCCT) here to allow disabled passengers to board the aircraft instead of being physically carried into the plane by AirAsia workers.

The airline bought two ambulifts, one to be placed at LCCT and another one at Kota Kinabalu airport.

Ambulift is a lift that is attached to the back of a van to lift passengers from the aircraft to the ground so they do not have to use the steps.

Nine months ago, members of the Barrier-Free Environment and Accessible Transport Group (BEAT) representing the disabled community gathered at the LCCT to protest the carrier’s “discriminatory” policy and demanded disabled-friendly services by AirAsia.

They asked the airline to provide an ambulift to allow disabled passengers to board the aircraft instead of being physically carried into the plane by AirAsia workers.

Former Transport Minister Datuk Seri Chan Kong Choy then ordered Malaysia Airports Berhad and AirAsia to solve the problem.

AirAsia chief executive officer Datuk Tony Fernandez said providing the ambulift was only one part of their initiatives to be disabled-friendly.

He said they were also in talks with Malaysia Airports to provide free aerobridge usage at airports that do not have ambulifts and give staff hands-on training by engaging those from the disabled community.

“We will also enhance our services and accessibility where possible and we hope to set the example for other LCCTs and airlines to work towards an improved environment for our disabled friends,” he said.

However, he hoped Malaysia Airports would improve airport facilities and provide level walkways and designated car parks.

Fernandez also said that the AirAsia’s A320 aircraft could only take a maximum of four disabled guests per flight and two of the seats could accommodate quadriplegic flyers.

BEAT coordinator Christina Lee welcomed AirAsia’s move to introduce disability equality training for the cabin crew and staff.

“This will give them a better understanding of “disability” issues as well as tips on how to relate to and assist disabled passengers,” she said.

David-80

April 16th, 2008, 01:34 PM

nazrey

April 16th, 2008, 03:02 PM

MAS to gain RM70m-RM100m more from hub-and-spoke network
16 Apr 2008 10:51 AM

SUBANG: Malaysian Airline System Bhd (MAS) expects to gain incremental revenue of between RM70 million and RM100 million this year from its enhanced global hub-and-spoke network, said its commercial director Datuk Rashid Khan.

He said the national carrier had over the past two years built an extensive hub-and-spoke network with 25 airline partners, allowing its customers to connect to most destinations worldwide.

Rashid said this in a statement yesterday, which was issued in conjunction with its announcement of the launch of three direct flights per week to Cairo, Egypt.

“There have been lots of requests for us to offer direct flights to Cairo. It’s a magnet for tourists as well as businessmen and we are delighted to code-share with EgyptAir to meet these requests,” he said.

Meanwhile, ECM Libra Research said in order to differentiate its products versus the low cost carriers, it was vital for MAS to provide connectivity for its long-haul passengers to other destinations within the region.

It said MAS was also looking into expanding to Eastern Europe and India via code-share agreements with Turkish Airlines and India’s Jet Airways this year.

“These two agreements are seen as vital pieces to MAS’ hub-and-spoke jigsaw puzzle due to their extensive networks,” it said, initiating coverage on MAS with a buy at the stock’s current price of RM3.74.

“We believe MAS offers an attractive investment proposition should the company continue to deliver. Furthermore, MAS’ huge net cash of RM4.4 billion or RM2.63 per share should limit the downside risk,” it said in a research note yesterday.

ECM Libra said MAS had registered “tremendous improvement” in its balance sheet, as its cash reserve had increased to an “exhilarating” RM5.3 billion as at December 2007.

“We estimate operating cash flows to increase by RM1.3 billion and RM1.7 billion in FY08 and FY09, respectively. With limited capex prior to the delivery of new B737-800, we estimate the cash reserve to increase to RM7.6 billion by FY09,” it said.

ECM Libra said MAS had been historically trading at a discount to its regional peers, probably due to its disappointing operation and financial performances.

“Today, MAS appears to be trading at 5%-35% discount to its regional peers and we expect the gap to narrow as MAS’ profitability continues to improve under the BTP2 (business transformation plan),” it said.

ECM Libra said the constantly evolving landscape of the airline industry would push players against the wall and MAS was by no means sheltered from the increasingly tough environment.

It said in the past two weeks, four airlines, US-based ATA Airlines, Aloha Airlines, Skybus Airlines, and Hong Kong’s Oasis Airlines, had collapsed, citing record fuel prices and intense competition.

ECM Libra identified five potential pitfalls that were expected to suppress the aviation sector’s profitability — a weakening global economy, surging capacity additions, liberalisation of Asean skies, proliferation of LCCs, and record oil prices.

“We believe that MAS is capable of riding out these challenges,” it said, adding that MAS’ success in implementing its business turnaround plan had offered it a platform to build a sustainable long-term profitable airline.

KelvinatorNL

April 16th, 2008, 07:15 PM

planespotters.net is not really up-to-date.

nazrey

April 17th, 2008, 03:58 PM

AirAsia to add flights to Vietnam
Published: 2008/04/17

AirAsia group is also aggressively expanding and strengthening its network in Indochina

AIRASIA is increasing its twice weekly Bangkok-Ho Chi Minh City flights to four times weekly from April 27 to meet the rising demand from passengers at both cities.

“The Kuala Lumpur-Ho Chi Minh City and Bangkok-Ho Chi Minh City services will also enable the people of Ho Chi Minh City to connect to AirAsia’s extensive group network and also attract long-haul guests from Gold Coast, Australia, and Hangzhou, China,” it said in a statement today.

It said AirAsia group is also aggressively expanding and strengthening its network in Indochina.

The low cost carrier has nine points into Indochina, including Phnom Penh and Siem Reap (Cambodia), Vientiane (Laos), Hanoi and Ho Chi Minh City (Vietnam), from Kuala Lumpur.

It also has services to Phnom Penh, Yangon (Myanmar), Hanoi and Ho Chi Minh City from Bangkok.

To date, AirAsia group has carried over 49 million passengers and has grown from a two-aircraft fleet to 70 within of six years of operation. — Bernama

Afghan

April 20th, 2008, 10:59 AM

First of all, these so called "jokes" are out of context - people are discussing Air Asia - and secondly, people with any amount of refinement in their thoughts will not present some rumblings with racial connotations as "jokes". In any case Malaysia has certain amount of jingoism deep entrenched in its social fabric and sadly reinforced through government sponsored policies and compounded by a closed society with limited freedom of expression - no wonder why some folks are able to "joke" about such things without any scruples. Once upon a time Malaysians were at the receiving end as a society and then they badly needed pride and self confidence in themselves, and Abdul Rehman and Mahatir brought about a new found confidence among Malaysians through a massive rebuilding exercise - but the same rebuilding has not yet happened in the minds apparently

Anyway, I have no business to do with Malaysia and I am out of here..

I really wish you said your last statement in the begining and had not shout about Malaysian's mind development. Its a real pity and disgusting seeing an Indian commenting on Malaysians. Subcontinent and Central Asia (including my Afghanistan) should stick to solving their own loads of tremendous problems be it social, political, general or individual level; and had better not comment on anyone else.

Finally one request; Live & Let Live

nazrey

April 20th, 2008, 02:46 PM

AirAsia launches KL, Bangkok-Ho Chi Minh flights
18 Apr 2008 2:34 PM

HO CHI MINH: AirAsia yesterday launched its direct daily Kuala Lumpur-Ho Chi Minh city and twice weekly Bangkok-Ho Chi Minh city flights.

In a statement yesterday, AirAsia said the Bangkok–Ho Chi Minh city flights would be increased to four times weekly starting April 27, 2008. Together, AirAsia group has a combined 11 flights weekly to Ho Chi Minh city.

Collectively, AirAsia group has nine points into Indochina, comprising Phnom Penh and Siem Reap (Cambodia), Vientiane (Laos), Hanoi (Vietnam), Ho Chi Minh (Vietnam) from Kuala Lumpur and Phnom Penh (Cambodia), Yangon (Mynmar), Hanoi (Vietnam) and Ho Chi Minh city (Vietnam) from Bangkok.

The group has a combined 101 routes, 53 destinations serviced by AirAsia group and two international destinations serviced by AirAsia X, AirAsia’s long-haul low-lost affiliate.

“Twenty thousand seats have been snapped up since we opened the Kuala Lumpur — Ho Chi Minh (Saigon) on March 12, 2008 and Bangkok — Ho Chi Minh (Saigon) on March 3, 2008,” said AirAsia chairman Datuk Pahamin Ab Rajab.

To date, AirAsia group has carried over 49 million passengers and has grown from a two-aircraft fleet to 70 today, and now has the most extensive low-cost network in the region.

ddes

April 20th, 2008, 03:28 PM

Looks like AirAsia, Tiger Airways and Lion Air are going to put up a fierce fight against the upcoming Jetstar Pacific...

All are offering competitive fares from their respective hubs...

skynet126

April 20th, 2008, 06:32 PM

JETSTAR is confident it is on a winner with its new partnership with Pacific Airlines and that its latest investment in Asia will not be a repeat of its experience with Singapore-based Jetstar Asia.
Jetstar

The Jetstar jump is about to become familiar to millions of Vietnamese travellers.

Jetstar Asia is still regarded as a strategic part of the Qantas Group's plans to set up an Asian network but a lacklustre performance in a highly competitive market means it has only just moved into profitability.

Qantas believes the latest piece in its pan-Asian puzzle, unveiled this week in Ho Chi Minh City by Jetstar chief executive Alan Joyce and Qantas boss Geoff Dixon, has brighter prospects.

Jetstar Pacific - the rebranded successor to Pacific Airlines - will quickly outgrow its Singapore-based predecessor and Jetstar is supplying significant resources to make sure its newest investment works.

"Last year we had a small loss on the airline but that's because we're investing in building the airline," says Joyce.

"We're also going to be investing money this year in getting the A320s in and we want to invest in various things like ground handling in airports. So we're seeing last year and this year as an investment period and at the end of this its planned that we move into profit."

The Australian carrier has had a team of executives working with Pacific, which is majority-owned by Vietnam's State Capital Investment Corporation, since it bought an 18 per cent stake in the carrier in July last year for $30million.

Former National Jets Systems boss Daniela Marsilli has been brought in to be the airline's chief operating officer and is Jetstar's other representative on the board. Other Australians are in key roles such as chief pilot, heads of safety, security, ground handling and flight operations.

They are helping the Vietnamese bring the nation's second-biggest carrier into the Jetstar fold and to set up the systems and operational integrity to allow it to develop into a sizeable airline.

By 2014, Pacific will have a fleet of 30 leased Airbus A320s - and probably A321s - and will have spread its wings beyond Vietnam's boarders.

Its new aircraft will closely mirror Jetstar planes in Australia, adopting the familiar orange and silver livery, leather seats and taking on the group's manuals and operating procedures.

That will see the airline quickly expand its small fleet of four Boeing 737-400s to nine aircraft by the end of the year and 14 the year after.

At the same time, Qantas is spending another $20 million to expand its investment from the current 18 per cent to 30 per cent, the maximum allowed by the Vietnamese Government.

The joint venture will initially grow services in Vietnam before expanding internationally from late this year to destinations likely to include Thailand, Singapore, Malaysia and Cambodia.

Officials say international services could make up half of the airline's flying within a few years and have not ruled out eventually leveraging the Vietnamese carrier's rights to Europe, although they say there are no immediate plans in this regard. But the focus at this stage is on building Jetstar Pacific's domestic presence and a Vietnamese website is being developed for jetstar.com to expand the brand's penetration among 85 million Vietnamese.

"The priority this year is to continue to build up the domestic network (with) new destinations and to continue to build up frequency," says Joyce, who notes that the Hanoi-Ho Chi Minh City route is bigger than Sydney-Melbourne in terms of numbers.

Joyce says the airline will benefit from growing wealth in Vietnam and an increasing number of people wanting to use air transportation. "That's the market we'll be tapping into," he says. "There's also a huge international tourism market. It's one of the biggest growth areas, and that's people coming into the country but also travelling around the country. Again, that's something we're tapping into."

Joyce predicts a major impact for Australia of Jetstar Pacific's emergence as a carrier will be more services between the two countries. Jetstar International currently operates 303-seat A330-200 services between Sydney and Ho Chi Minh City three times a week.

"The biggest thing here, we think, is the long-haul flying from Sydney and eventually Melbourne when we get more of the 330s," Joyce says.

"With Pacific coming on with Jetstar, that gives us a huge distribution in this market and that was always a weakness.

"We're huge in Australia (and) having Pacific Air with Jetstar here, we'll be the second recognised airline brand and that means we can sell more effectively our Australian direct operations."

Joyce also believes the new airline will help Jetstar keep its pilots.

Operational procedures and manuals at Jetstar Pacific will be eventually similar to those at the Australian operation, making it easier for staff to switch between the two.

"In a tight market, where people are trying to retain pilots, (giving) the young guys who are coming through the operation the opportunity of keeping their seniority number but moving up (to Vietnam) and working ... and then coming back and working in Australia is a huge potential retention activity for us long term," he says.

Joyce says the decision by the Vietnamese to pick Qantas to help them build their new carrier is "all about partnership".

"The Vietnamese were very keen to see this investment as the flagship of their privatisation policy," he says.

"The Deputy Prime Minister himself got very heavily involved in it. The Prime Minister was part of the decision-making process. They wanted a blue-chip company and because of the airline Qantas is, with its record and its history, they felt it was a good partnership."

This, however, will not prevent the Government from allowing other airlines to start up in competition to the Vietnam Airlines and Jetstar duopoly.

Jetstar chief financial officer David Hall is one of two board members on the new airline and says there are a number of new carriers that have announced and applied to the Civil Aviation Authority of Vietnam to start operations.

"The challenge for them will be getting aircraft and infrastructure here and getting good people," Hall says.

"So there are a lot of people out there wanting to start up - four or five think they can make money out of it.

"But we just think there are natural barriers to entry at the moment. We've got to focus our operations on getting as efficient as possible."

Joyce also notes that the law in Vietnam requires that new airline entrants have at least $US36 million ($38.5 million) in seed capital. He says Jetstar will have a first-starter advantage as well as critical mass and science.

"We're the first. We've converted to a low-cost carrier, we've got four aircraft, we've got a fleet plan to get them to 30 aircraft. They're firm plans and our network will become a very comprehensive network and that is the most competitive thing you can do."

Other hurdles include whether the Vietnamese aviation infrastructure can cope with the growth of Jetstar Pacific and the arrival of new carriers and a domestic fare cap, currently $US103, imposed by the Government.

The cap hampers Jetstar Pacific's ability to yield manage but Hall and Joyce are optimistic that the increased competition will prompt the Vietnamese to eventually abandon it. Pacific and Jetstar officials say the Government is aware of the infrastructure shortfall and is moving to address it.

"The issue has been identified, it is important that it has been identified and it will be handled by ministries and organisations," says Jetstar Pacific chief executive Luong Hoai Nam. "So we hope that the airport infrastructure will grow on par with capacity."

The Vietnamese airline executive says Pacific stands to gain significantly from the deal. "It is a sign that we are operating up to the highest commercial standards, operator standards, in order to operate the Jetstar brand. Second, it means we have a strong brand to support our fast,efficient growth."

The Vietnamese Government is said to be pleased with the progress at Pacific, with a top official telling Qantas recently they were happy with the Australian airline; they would like it to do more and do it faster.

Hall, who has been flying to Vietnam every couple of weeks, is also happy with progress at the airline.

While there are cultural differences such as the penchant for a midday nap in Vietnam, he believes staff are generally accepting the changes introduced by the Australians.

He says many of the department heads at Pacific had been figureheads who sat at their desks and did little.

"And then all these Aussies came in and managed and rolled up their sleeves," he says. "That's brought that next generation along with them and really liberated them - the Western way of sort of challenging and communicating a lot more has been very well received."

Not that there weren't challenges, including convincing the Vietnamese of the joys of Western-style governance.

The Jetstar team revamped the board and committee structures - as well as introducing more discipline and accountability to operations - and Hall says acceptance of the changes has been good.

He says revamping these areas was part of the Qantas conditions for entering the deal.

"Daniela and her team spent a good six months before we actually concluded the deal getting it to an acceptable kind of standard," he says.

"The basics were there but they then worked really hard to but some Qantas and Jetstar discipline to it.

"They were encouraging people to report safety instances or potential safety issues. It's really the safety that's built around hearts and minds - people feeling comfortable about reporting safety incidents and the fact that we can learn from them - that culture probably wasn't there."

Hall says the number of safety reports has improved in both quantity and consistency to near Qantas levels. The airline now has a safety committee and the staff are buying into the process.

In addition, Hall has noticed that Pacific staff are reflecting a growing confidence in Vietnam about the country and its prospects.

For their part, the Vietnamese are watching closely to see how the partnership works.

A number of companies, including the ANZ Bank, have made forays into the Southeast Asian nation in recent years.

Australia's ambassador to Vietnam, Bill Tweddell, told local reporters at the airline's launch that the investment marked another important milestone for aviation links between Australia and Vietnam and a further reinforcement of the strong economic ties between the two countries.

"This is a particularly symbolic development in this, our 35th year of diplomatic relations between Australia and Vietnam," he said.

"2007 saw a new wave of Australian investment in Vietnam with licensed projects worth $US122 million, more than a quarter of all Australian foreign direct investment of previous years."

Tweddell says he expects trade links to be further boosted with the arrival of a comprehensive ASEAN-Australia-New Zealand trade agreement due to be completed later this year.

source: The Australian Business

P.S look like there is going to be some fierce competition within the Southeast Asia area, good anyway, cheaper airline tickets for customers like me

nazrey

April 24th, 2008, 07:00 AM

AirAsia spared Airbus price hike
By Anna Maria Samsudin Published: 2008/04/24 BusinessTimes

Airbus’ decision to raise aircraft prices by up to US$4 million will not hit the budget carrier due to a fixed deal to buy 175 units of the A320 aircraft signed earlier

BUDGET carrier AirAsia Bhd, the world's largest buyer of the A320s, will not be affected by Airbus' decision to raise prices of its aircraft.

Chief executive Datuk Tony Fernandes said the airline is spared from additional costs as it has fixed the price for the 175 planes it ordered from the airframe maker.

AirAsia has already factored in the possibility of Airbus reviewing its prices and this was among the areas discussed before signing the deal.

"We are serious in managing our cost and because of that we have to look into everything before we decide to make a huge investment such as the aircraft orders.

"The AirAsia team has made a wise move by fixing the price for these aircraft when we signed the deal," he told Business Times in a phone interview yesterday.

AirAsia has placed firm orders for 175 units of the A320 aircraft, with the option to buy 50 more. So far, it has received 40 units and is on track for full delivery by 2014.

Airbus said it will raise prices by between US$2 million and US$4 million (RM6.2 million and RM12.5 million) per aircraft, as of May 1, to offset rising metal prices and the weak greenback.

"On top of the 2.74 per cent normal escalation for 2007, the price increase comprises an additional US$2 million per single-aisle aircraft and US$4 million per wide-body long range and A380 family aircraft," Airbus said in a statement yesterday.

It was reported that Airbus incurs most of its production costs in euros, but sells its aircraft in dollars, putting it at a disadvantage to US rival Boeing Co.

Airbus said the US dollar is at its lowest rate in 20 years. The US dollar has shed 15 per cent of its value against the euro in the past 12 months from 1.35 to almost 1.60.

Metal prices have also gone up by at least 6.5 per cent, Airbus said.

Titanium, steel, aluminium and aluminium-lithium ac-count for at least 40 per cent by weight in modern aircraft design.

"We have to keep pace with the world market price developments and secure profitable deals," said Airbus chief operating officer (customers) John Leahy.

As at March 31 2008, Airbus sold over 8,800 aircraft to more than 370 customers and operators and has delivered over 5,100 aircraft since it first entered service in 1974.

Its backlog now stands at above 3,700 aircraft, securing up to six years of production.

http://www.btimes.com.my/Current_News/BTIMES/Thursday/Latest/ambeli.xml/Article/Current_News/BTIMES/Images/btgraph7/air24.jpg

nazrey

April 24th, 2008, 07:16 AM

Forested delight at MAS lounge
Thursday April 24, 2008, TheStar

http://thestar.com.my/archives/2008/4/24/nation/raja.jpg

Cool retreat: Sadasivan and Malaysia Airlines corporate marketing and loyalty
programme general manager Raja Datuk Nordiana Zainal Shah testing the
facilities during the opening of the Regional lounge in KLIA yesterday.

KUALA LUMPUR: Malaysia Airlines (MAS) launched its new Regional Golden Lounge at the KL International Airport (KLIA) for regional-bound first and business class passengers.

The lounge design is based on the Rimba concept with visions of lush foliage, pristine forested valleys and perfect serenity, creating a quiet heaven for customers, said Malaysia Airlines’ deputy chairman Datuk S. Sadasivan.

“The Regional lounge will be where you begin your journey with Malaysia Airlines, and I’m confident that the rest of the journey will be well taken care of by our cabin crew,” he said in encouraging Malaysian Airports Holdings Berhad (MAB) to have more outlets.

He added that the RM4mil Regional Lounge had to match the standard of the award-winning KLIA.

The lounge is less than 10 minutes to the departure gates, accommodates 190 passengers and offers a wide range of services and facilities including spa service, reflexology, manicure and pedicure, children’s area, Muslim prayer room, Internet services, hot and cold food and full bar services.

It is open from 5am to 2am daily and Enrich Platinum and Gold Members have access to the lounge regardless of their class of travel.

Enrich Silver members can gain access to the lounge when they opt for the Golden Lounge Privilege programme or redeem their Enrich Miles on per-entrance basis.

Award-winning Malaysia Airlines won its latest “Best Economy Class” award in 2006 with 32 domestic and 86 international destinations.

KLIA now has three lounges – the Satellite Lounge, Domestic Lounge and the Regional Lounge.

The MAS Golden Lounges are also available in Johor Baru, Kota Kinabalu, Kuching, Langkawi and Penang airports. Its International Airport lounges are in Brisbane, Frankfurt, London, Los Angeles, Melbourne, Perth, Singapore and Sydney.

MALAYSIAN

April 24th, 2008, 09:31 AM

KUALA LUMPUR, April 24 (Bernama) -- Malaysia Airlines (MAS) will finalise its plans to purchase wide-body aircraft to replace its ageing Boeing 777 and 747 by end of this year, group managing director and chief executive officer Datuk Seri Idris Jala said today.

"We will take time to carefully look at our needs (the number of aircraft needed) and study the scenario of the aviation industry in the next five to 15 years' time," he said.

MAS also needed to determine on which routes the new aircraft will be deployed to, he told reporters after delivering his keynote address at the Fourth Annual Airline Distribution Conference here.

Idris said some of the new planes will replace its existing capacity while others will be deployed to new routes.

"We believe we will win the game with our new Business Transformation Plan. We will clearly grow in the next five to six years and it must be profitable growth," he said in explaining why MAS needed the new aircraft.

However, Idris said MAS has yet to identify how many of its ageing planes will be replaced "as we see how our business model pans out".

"We will keep some of our old ones and put in new ones in addition to them. We have the flexibility," he said.

Asked if the airline will sell its old aircraft, Idris said: "At that time, we might decide on it."

-- BERNAMA :banana:

OshHisham

April 24th, 2008, 01:24 PM

http://i15.photobucket.com/albums/a377/promulgate2/917813.jpg
dah alang2 beli aircrafts baru...buatlah semua camni...plz, it's for the sake of you company's image...

more ads...more promotions...more cheaper tickets...free mealbox to all...free noodle....free this...free that...come on...these will help...if you wanna cut budget, plz don't to that on marketing your product. currently no advertisement in international magazine at all for MAS, what happen?

ddes

April 24th, 2008, 01:56 PM

Guess what? According to reliable sources on a particular aviation forum, the Hibiscus 744s together with the other colorful 777s are going to be painted back in the airline's livery...

nazrey

April 25th, 2008, 09:02 AM

AirAsia’s Internet sales to account for 80% of total sales in two years
by Doreen Leong, 24 Apr 2008 2:05 PM, THEEDGEDAILY

KUALA LUMPUR: AirAsia Bhd hopes to increase its Internet sales to 80% of its total sales from the present 65% in two years’ time. This would effectively help boost sales without incurring additional costs.

“We want to grow our Internet sales as this would help increase sales tremendously without having to set up additional sales counters and manpower,” its head of sales and distribution Rayner Teo said. Currently, the remaining portion of AirAsia’s sales channel is via call centres, sales counters and travel agents.

He added that ticket sales via its Internet portal has grown over the years from less than 50% since it first started operations six years ago.

When AirAsia introduced the online sales facility in 2002, total sales generated via the Internet was 25% but it grew to over 40% of its total sales or about RM50 million the following year.

Speaking at an airline distribution conference here yesterday, Teo said AirAsia was also exploring the possibility of tying up with PayPal as one of its payment methods.

PayPal, which is a subsidiary of eBay, is an e-commerce business allowing payments and money transfers to be made through the Internet. PayPal performs payment processing for online vendors, auction sites, and other corporate users, for which it charges a fee.

Currently, passengers booking AirAsia’s flights have the option to pay via credit card, debit card, online banking or Pos Malaysia.

Meanwhile, Bernama reported that AirAsia is increasing its Macau route frequency from Kuching to daily flights from May 15, 2008 in an effort to enhance the city’s international connectivity.

In a statement yesterday, Air Asia said it was currently serving three flights a week to Macau.

“With a strong average load of 80% since its inception, the airline is gearing up for the strong travel demands by locals and visitors alike to and from Kuching for the rest of the year with the increased capacity,” it said.

OshHisham

April 25th, 2008, 03:01 PM

Guess what? According to reliable sources on a particular aviation forum, the Hibiscus 744s together with the other colorful 777s are going to be painted back in the airline's livery...

painted back...?i don understand....u mean, painted to the original white theme back?

emm...the hibiscus livery is more 'malaysian' indeed, but i love the blue one more..

btw, hehe...i don't take forumer's post that serious....just let be a 'rumor'

alsen

April 25th, 2008, 03:12 PM

OshHisham

April 25th, 2008, 03:38 PM

Times...?which issue?...i've never seen them since last 3 months....

http://cdn-www.airliners.net/aviation-photos/middle/8/1/5/1054518.jpg

aseantraveler

April 25th, 2008, 05:46 PM

http://www.geocities.com/aseantraveler/akindia.jpg

AirAsia will fly to Tiruchirapalli in Tamil Nadu and Tiruvananthapuram in Kerala while its sister airline AirAsia X ply the Kuala Lumpur-Amritsar route

AIRASIA Bhd and sister airline AirAsia X will both begin flights to India in late 2008, AirAsia chief executive officer Datuk Tony Fernandes said.

AirAsia will service cities in southern India, while its long-haul affiliate will fly to cities in northern India.

Fernandes said the budget airline had secured landing rights to Tiruchirapalli (Trichy) in Tamil Nadu and Tiruvananthapuram (Trivandrum) in Kerala.

"AirAsia will start first, starting with Tiruchirapalli," Fernandes told Business Times in an interview.

"AirAsia X will fly to Amritsar (in Punjab)," he added.

Fernandes said AirAsia, which will use A320s, will fly daily to the south Indian cities, while AirAsia X, which will use A330s, will ply the Kuala Lumpur-Amritsar route three to four times a week.

"We hope to fly to four destinations each for AirAsia and AirAsia X in the two to three years after we start flying to India," he said.

Fernandes, who voiced hopes of AirAsia flying to all major destinations in India, said it was unable to at this point in time because its aircraft did not have extended-range twin-engine operational performance standards (ETOPS) capability.

"Our plane has to fly near land because it has two engines. We have to have a special system, called ETOPS, in which the plane is allowed to fly on one engine over sea. We have not got that capability, (and) we are not sure if we want that capability as it costs a lot and we don't know the benefits that will accrue to us just for a few points into India.

"Without ETOPS, one cannot take the most direct route into India. There is an island (en route to India), Port Blair (Andaman Island), which we can pass, which allows us to fly direct, but it is only open for a certain number of hours," he said.

nazrey

April 27th, 2008, 03:16 PM

Mandarin now accepted at MAS call centre
Sunday April 27, 2008, TheStar

KUALA LUMPUR: Customers can now use Mandarin when they call Malaysia Airlines’ call centre.

Malaysia Airlines’ Senior General Manager (Network and Revenue Management), Datuk Bernard Francis said this was the third language customers can use to communicate, besides Malay and English.

However, the service is not available for calls related to Enrich loyalty card, customer feedback and mishandled baggage.

“This enhancement is introduced due to the increasing number of Mandarin-speaking customers who patronise our flights,” Francis said in a statement.

He said Tamil would be offered within the next three months.

The service is available from 8am to 10pm on weekdays and from 9am to 6pm on weekends. The call centre number is 1-300-88-3000 and it handles calls from Malaysia, Singapore and Brunei.

fuitze89

May 5th, 2008, 04:09 AM

Source (http://www.thestar.com.my/news/story.asp?file=/2008/5/5/nation/21151876&sec=nation)

KUALA LUMPUR: Travel to any domestic destination for zero fare on Malaysia Airlines – that's the new product to be launched today.

These tickets can only be obtained through the MAS website www.malaysiaairlines.com. However, passengers must make bookings within the next 14 days and pay the airport tax and surcharges.

MAS managing director/chief executive officer Datuk Seri Idris Jala said the airline has set aside one million tickets for this offer, which is valid for travel between June 10 and Dec 14.

It is understood that MAS will soon announce its campaign for its Asean routes.

“It could be zero fares or minimum charges but they will be lower than those offered by our competitors at present,” he said.

For the domestic offer, the total charge for travel between the peninsula and Sabah and Sarawak is RM122.40.

For domestic travel without crossing the South China Sea, the charge will be RM81.45.

Previously, the cheapest one-way fare between KL International Airport and Kota Kinabalu – the furthest possible domestic route – cost RM529. A normal ticket for a trip from KLIA to Penang costs RM229 one-way.

MAS' subsidiary Firefly is also offering zero fares for its destinations on its turboprop aircraft.

Idris said MAS had set aside 30% of each flight for “these special Everyday Low Fares” offer.

However, he said that tickets purchased were not refundable and the travel dates could not be changed.

“What we are offering gives everyone a win-win situation. It helps us to meet our business objectives and it provides our customers with an excellent deal.

“You get to enjoy the best of both worlds – really low prices plus our five-star services – our food and beverages, entertainment, luggage allowances and other benefits that come with travelling with MAS,” Idris said.

The zero fare product is part of a business transformation plan that Idris launched last year after MAS managed to record its best-ever profit of RM851.42mil, compared with losses of RM136.43mil in 2006.

nazrey

May 5th, 2008, 07:16 AM

MAS: Full benefit from hub-and-spoke from 2009
From Presenna Nambiar Published: 2008/03/21, BusinessTimes

http://www.btimes.com.my/Current_News/BTIMES/Friday/Frontpage/parag.xml/Article/Current_News/BTIMES/Images/btgraph7/code21.jpg

The RM70 million-RM100 million contribution yearly will come in full force once MAS consolidates its network and cross-selling between airlines accelerates, says MAS managing director

GUANGZHOU: Malaysia Airlines (MAS) said its enhanced global hub-and-spoke network is expected to produce RM70 million to RM100 million per year in additional revenue from next year.

"We will see some contributions this year, but the full benefit of the hub-and-spoke programme will only be felt next year," MAS managing director Datuk Seri Idris Jala told Malaysian reporters here yesterday.

He said the contribution will come in full force once the national carrier consolidates its network and cross-selling between airlines accelerates.

He was speaking before the formalisation ceremony of a code-share agreement between MAS and China Southern Airlines, the largest airline in China.

"We will leverage on the strong growth of Chinese outbound travellers, and expect to see a seven per cent increase in the number of passengers for our China-Malaysia flights," Idris said.

MAS saw the number of passengers on the flights double since the implementation of the code-share arrangement in November last year.

The code-share arrangement between the two airlines now allows MAS passengers to travel to 90 destinations in China from Guangzhou and 38 from Beijing on China Southern.

China Southern chairman Liu Shao Yong said the airline has transported 300,000 passengers and seen a 10 per cent increase in sales from the code-sharing with MAS since November.

Meanwhile, MAS expects to sign two more code-share agreements, with Turkish Airlines in Turkey and Jet Airways in India, in the second quarter of this year.

"With Turkish Airlines, we are looking at a hub-and-spoke arrangement that goes beyond Istanbul to the rest of central Europe. There are some technical issues that we are dealing with now," Idris said.

The two agreements are seen as vital pieces to MAS' hub-and-spoke jigsaw puzzle due to their extensive network.

Idris said the weakest link in the hub-and-spoke network at present is the code-share arrangement with the Bahrain-based Gulf Air.

"Gulf Air currently has limited spokes and we are thinking of strategies to improve the network."

On its six A380 superjumbo order and fleet expansion plans, Idris said that MAS will make an announcement next month.

He did not say whether MAS might scrap its order for the A380, which is two years late in delivery.

Airbus had announced delays in delivery because of wiring complications.

nazrey

May 7th, 2008, 07:12 AM

AirAsia wants more flights to Singapore
by Gan Yen Kuan, 06 May 2008 10:37 AM, THEEDGEDAILY

PETALING JAYA: As Malaysian Airline System Bhd (MAS) launched an initiative to offer zero- or low-fare seats, AirAsia Bhd has fought back by submitting applications to the transport ministry yesterday to run six additional daily flights to Singapore out of its hub in the low-cost carrier (LCC) terminal in Sepang.

In addition, AirAsia had also applied to fly to Singapore out of Langkawi, Penang, Kota Bharu, Kuala Terengganu, Kuching and Kota Kinabalu, its group chief executive officer Datuk Tony Fernandes said.

“There is no reason why we shouldn’t be given these routes to Singapore,” he told The Edge Financial Daily via telephone yesterday. Fernandes, who was in London, was responding to MAS’s move to offer low fares, an attempt seen to tap the market currently dominated by AirAsia.

“We have no problem with competition, provided it’s fair competition,” he said, “Idris cannot say anymore that AirAsia shouldn’t compete with MAS on the KL-Singapore route.”

“You want to compete, then open it up completely. We want them (more flight frequencies to Singapore) now,” Fernandes added.

The KL-Singapore route was partially open to low-cost carriers (LCC), namely AirAsia and Tiger Airways, on Feb 1. AirAsia now operates four flights a day to and from Singapore.

Previously, this lucrative route was dominated by MAS and Singapore Airlines Ltd. All routes within the major cities in Asean will only be fully opened on Jan 1, 2009, under the Asean open skies policy.

Now that MAS had gone after AirAsia’s market, Fernandes said AirAsia would now “fight for every bit of the market, including the business class market.”

MAS yesterday launched its “Everyday Low Fares” initiative, under which it is offering 30% of its seats for domestic routes at zero fare or low fares, excluding fuel surcharge and airport tax. It will roll out low fares for its Asean routes within this month.

MAS managing director and chief executive officer Datuk Seri Idris Jala said these seats would have been “unsold anyway,” given the average load factor of 70% for its domestic routes, thus it decided to offer low fares to generate additional income.

While AirAsia welcomed MAS’s low fares that would ultimately benefit the consumers, Fernandes said MAS would likely “struggle” with its latest business model.

“MAS is slowly becoming more and more like an LCC. They are neither a FSC (full-service carrier) nor an LCC. They are in between, just like Oasis Hong Kong Airlines.

“I definitely think it (MAS) is going to struggle. History has shown you can only be either one,” he said. Oasis, an LCC that operated long-haul flights from Hong Kong to Vancouver and London, is undergoing a voluntary liquidation after operating for more than a year, incurring accumulated losses of HK$1 billion (RM405.06 million).

MALAYSIAN

May 7th, 2008, 09:19 AM

by Gan Yen Kuan
SUBANG: Malaysian Airline System Bhd (MAS) has refuted statements made by AirAsia Bhd group chief executive officer Datuk Tony Fernandes that the local airline industry has not been liberalised fully for free competition.

MAS said in a two-page statement yesterday that Malaysia has open skies agreements with the United States, the United Arab Emirates, New Zealand, Taiwan and the Scandinavian countries.

MAS managing director and chief executive officer Datuk Seri Idris Jala said AirAsia “is free to fly to any of these destinations with no limitations on frequency or capacity”.

Malaysia also has liberalised agreements with countries such as China, the Maldives, the United Kingdom and Germany, he pointed out.

“There are enough destinations for AirAsia to fly to, if they really want to do so.

“AirAsia has also introduced new services to a number of routes which Malaysia Airlines serves, such as Hong Kong and Saigon. We are fine with this as it is allowed under the bilateral arrangements,” Jala added.

However, Fernandes’ arguments on Monday revolved around the partial opening of the lucrative Kuala Lumpur-Singapore route.

On that note, MAS said the Asean open skies policy was a result of a collective agreement between all the Asean ministers, and that the agreement had “a clear timetable”.

“All routes within the capital cities in Asean will be opened on Jan 1, 2009, with phased liberalisation for all other points with full liberalisation targeted to take place by 2015.”

Fernandes had opined that MAS’ move to introduce zero- or low-fare seats on Monday had given privilege to MAS to fight against AirAsia and thus, AirAsia was lobbying for fair competition, particularly on the KL-Singapore route.

He had said AirAsia should now be given the rights to run more flights to Singapore to honour the spirit of free competition. He said AirAsia had submitted applications to the Transport Ministry for more flight frequencies into the island republic.

Fernandes had also said the government should remove the subsidies, if any, given to MAS. On that note, Jala said: “We successfully returned the airline back to profitability without any aid or subsidies.” MAS’s subsidiary MASwings is subsidised to operate the rural air services in Sabah and Sarawak. However, it should be noted that MASwings’ profit and loss is separated from that of MAS.

Meanwhile, MAS reiterated its stance yesterday that its “Everyday Low Fares” initiative was meant to create new demand and to encourage people who are not planning to travel to do so.

Jala said it would also boost domestic tourism, counter inflation and encourage better planning among travellers. “Response to Everyday Low Fares has been excellent with Malaysia Airlines’ Internet sales exceeding 900% in the first day of offer.”

On Fernandes’ allegation that MAS spent less than AirAsia and its associate AirAsia X Sdn Bhd in bringing in Australian travellers, Jala said MAS and Tourism Malaysia were jointly investing more than RM1.3 million for this year’s marketing campaign.

“Last year, MAS and Tourism Malaysia jointly invested more than RM2 million in direct promotional activities with tour wholesalers, the Australian media and direct consumer events, contributing to a 15.6% increase in the growth of Australian tourists into Malaysia,” he said.

^^

nazrey

May 10th, 2008, 06:57 AM

AirAsia ready to fly global aid to cyclone-hit Myanmar
Saturday May 10, 2008, TheStar

KUALA LUMPUR: AirAsia is coming forward to offer air assistance to transport aid to cyclone-hit Myanmar.

The assistance includes sponsoring flights for aid workers and freeing up cargo space for aid materials, said the budget carrier in a statement yesterday.

“This will be a collaborated effort from the AirAsia Group and AirAsia X across more than 100 destinations, utilising its extensive network in all the Asean countries including China and Australia,” said the airline.

Non-governmental organisations (NGOs), and aid and humanitarian agencies as well as members of the public from around the region, can send in their requests to transport aid to helpmyanmar@airasia.com.

Each request will be evaluated on a case-by-case basis and is subject to seat availability, the airline said.

AirAsia has five flights daily to Bangkok, while its Bangkok hub currently provides daily flights to Yangon.

hkskyline

May 15th, 2008, 02:19 PM

AirAsiaX to start second Australian destination amid fare wars

KUALA LUMPUR, May 15, 2008 (AFP) - Malaysia's long-haul budget carrier AirAsia X Thursday announced an expansion of its Australian operations amid fears that a fare battle with the national carrier could lead to its demise.

The launch comes as national carrier Malaysian Airlines (MAS) Wednesday announced it would give-away airfares to 20 regional destinations a week after AirAsia airline similar offers for domestic flights.

AirAsia's group chief executive Tony Fernandes criticised MAS for copying the budget carrier's everyday low fares policy saying it was unclear how badly Air Asia would be hit by it, the New Straits Times reported.

"The government will never allow MAS to fail but a private company? Who is going to save us," Fernandes told the daily.

"I'm not against competition but it has to be a level playing field. You can't send me into a boxing match with one hand tied behind my back," he said referring to a subsidy the government provides only to MAS for some of its international flights.

AirAsia also wants to be given equal rights to fly the Singapore-Kuala Lumpur air route, one of the region's most lucrative routes.

At present, MAS has 69 flights per week between the two neighbours while AirAsia is only allowed to mount 14 weekly flights.

AirAsia X, a sister company of budget-carrier Air Asia, will offer six return flights per week between Perth and Kuala Lumpur starting November 2, the airline said in a statement.

Perth will be the airline's second destination in Australia after its four-weekly return flight to the gold Coast which began in November last year.

"Looking at what we've done with these two routes, we are confident of creating a bigger market in Western Australia," Fernandes said.

The airline said it plans to launch flights to Britain in the fourth quarter of 2008, with London and Manchester being considered. It is also eyeing more destinations in China as it expands its network.

nazrey

May 16th, 2008, 12:51 PM

AirAsia X launches cheap fares to Perth
by Doreen Leong, 16 May 2008 11:31 AM, THEEDGEDAILY

KUALA LUMPUR: AirAsia Bhd’s sister airline AirAsia X, which is commencing flights to Perth in November, is looking at mounting flights to Japan and South Korea by 2009.

However, plans to fly to Japan and South Korea were still preliminary and the long-haul low cost airline would first add on new destinations to China and start flights to India.

“AirAsia X’s plans to fly to Japan will definitely happen…sometime next year depending on our plane arrivals,” its director Datuk Tony Fernandes told reporters after the launch of the Kuala Lumpur-Perth route yesterday.

Perth is AirAsia X’s third destination following its launch to Hangzhou, China, in February and Gold Coast, Australia, last November.

He said the average return fare to Perth would be priced below RM400, which includes surcharges, while its premium seats were priced at RM2,000.

For a start, AirAsia X is giving away 5,000 free seats on the KL-Perth route to passengers who book between May 16 and 17. The travel period is between Nov 2 and April 30, 2009.

Fernandes expects passenger load for the newly launched route, which would start its inaugural flight on Nov 2, to exceed 80%.

AirAsia X is offering six return flights per week between Perth and Kuala Lumpur and plans to increase the frequency to daily return flights by March next year.

“To date, we have carried over 50,000 guests between Gold Coast and Kuala Lumpur, and 30,000 between Hangzhou. Looking at what we have done with these two routes, we are confident of creating a bigger market in Western Australia,” he added.

Meanwhile, Westralia Airports Corp general manager of business development Scott Norris said more than half of the forecast 2.5 million international passenger arrivals and departures for Perth Airport in the next two years were expected to be to and from Southeast Asian destinations.

He said Perth Airport has recently announced a A$1 billion (RM3.07 billion) vision for the future, with new regional, domestic and international terminal facilities to be built within the existing domestic terminal.

Meanwhile, commenting on the impact on AirAsia from Malaysia Airlines’ zero fare campaign, Fernandes said: “Competition is good. But allow competition to be fair. Don’t give extra subsidies to MAS and don’t build an alternative airline operating from Subang. How this will affect us, I don’t know but it doesn’t appear to be affecting us.”

Despite MAS low fare campaign, Fernandes said AirAsia saw record sales of RM27 million on Wednesday, which represented a surge of six times.

On another note, Fernandes said AirAsia X was close to concluding a deal to purchase Airbus 350 aircraft and looking at buying A340 aircraft as well.

On the RM5.4 million claims owing to Malaysia Airports Holdings Bhd, Fernandes said, “We are still in dispute. We obviously feel we have been overcharged in some areas. But I am confident it would be sorted out in the next few weeks. We pay MAHB about RM80 million a year, so RM5 million is a very small amount.”

He was also confident of turning in profitable operations despite operating in a challenging environment. “Every airline has reported earnings down this quarter but watch our first-quarter results.”

nazrey

May 17th, 2008, 07:24 AM

MAS, SIA to scrap shuttle pact
Published: 2008/05/17, BusinessTimes

MALAYSIA Airlines (MAS) and Singapore Airlines (SIA) have both decided to scrap a 30-year-old pact on flights between Kuala Lumpur and the island republic as the route is being opened up progressively.

The lucrative route was previously dominated by MAS and SIA but the two governments have allowed limited flights by budget carriers AirAsia Bhd, Tiger Airways and Jetstar Asia.

The Shuttle Agreement, which lets MAS and SIA fix fares, will be terminated, effective June 1 this year, both companies said in a joint statement.

MAS commercial director Datuk Abdul Rashid Khan said its code-share agreement with SIA allows each airline to determine its own fares and also carry each other's passengers, making it only natural to phase out the shuttle arrangement.

MAS and SIA have an expanded code-share deal which offers air travellers 13 daily flights in each direction on the KL-Singapore route.

This took effect on January 28 2008.

Under the Shuttle Agreement, the carriers agree on a common fare to charge customers who turned up at the airport on standby for the next flight.

MAS said that doing away with the Shuttle Agreement will not cut frequencies or change the variety of fares available on the route now.

The two national carriers started the shuttle in 1982, in response to demand for shuttle-like flights between the two cities.

"We extend our appreciation to customers who patronised both our airline services through this arrangement, and assure that the new superseding arrangements will still benefit customers," Rashid said.

nazrey

May 18th, 2008, 09:02 AM

Ready to Fly
A window seat view of Air Asia's Airbus A320 parked on KLIA LCT terminal.
by mkdm2 (http://flickr.com/photos/mkdm2/2477437783/)

http://farm4.static.flickr.com/3110/2477437783_90324b1938_o.jpg

nazrey

May 18th, 2008, 09:11 AM

AirAsia starts Perth route on Nov 2
Friday May 16, 2008, TheStar
http://www.thestar.com.my/images/video.gif 5,000 free AirAsia Perth-KL tickets (http://thestaronline.tv/default.aspx?vid=1355)

http://thestar.com.my/archives/2008/5/16/nation/n_12airasia.jpg

Budget babes: AirAsia X cabin crew (from left) Zuhaizah Isa, Eistisha Saleh,
Shihal Awang and Stella Quek at the announcement of their new direct
service.

KUALA LUMPUR: AirAsia X’s service to Perth will start from Nov 2 and it is offering 5,000 free seats.

The offer will only be available for bookings today and tomorrow and for the travel period between Nov 2 and April 30.

“From midnight today (yesterday), you can try to get free seats to Perth. I’ve already received 27 SMSes from Malaysians and Australians in Perth asking what time they can start booking,” AirAsia X director Datuk Tony Fernandes told reporters after the announcement of the long-haul destination here yesterday.

He said the average fare to Perth would be under RM400 including fuel surcharge and the return fare for business-class seats was about RM2,000.

“Many people have been asking when we are going to Perth. It has the largest Malaysian student population as well as Malaysians and Singaporeans,” Fernandes said.

Perth is the third international destination following its launch to Hangzhou, China, in February with five return flights per week and to the Gold Coast Australia last November with four return flights.

AirAsia X will offer six return flights per week between Perth and here, and is already planning to increase to daily return flights by March 2009. The airline’s new wide-bodied Airbus A330 aircraft will service the route.

When asked later about AirAsia still owing Malaysia Airports Holdings Bhd RM5mil as raised in Parliament, Fernandes said the matter would be sorted out in the next few weeks.

“We’re in dispute. The Finance Ministry is helping us sort it out. I am confident that we will sort it out soon. We obviously feel that we’ve been overcharged in some areas.”

nazrey

May 18th, 2008, 09:12 AM

AirAsia to remain profitable despite challenges
Friday May 16, 2008, TheStar

http://biz.thestar.com.my/archives/2008/5/16/business/b_05airasia.jpg

Datuk Tony Fernandes with AirAsia stewardesses
after the announcement of its new direct service.

KUALA LUMPUR: AirAsia Bhd expects to remain profitable this year despite rising jet fuel prices and the heightened competition, group chief executive officer Datuk Tony Fernandes said.

He said the zero fare campaign had yet to hurt its business but it was still early days.

“We have absolutely no problem with Malaysia Airlines' (MAS) zero fares but please allow competition to be fair,” he said yesterday after announcing the group's long-haul budget carrier, AirAsia X, would launch flights from Kuala Lumpur to Perth on Nov 2.

Perth is AirAsia X's third destination in its first year of operation after the Gold Coast in Australia and Hangzhou in China. It will also be giving away 5,000 free seats for the new route for bookings made on May 16-17.

The group would also be launching flights to Japan next year, Fernandes said, adding that he would be going to Japan in July with AirAsia X chief executive officer Azran Osman Rani to iron out details and the airline was looking to serve three cities, including Nagoya.

Saying that AirAsia would be defending its low-cost market, Fernandes urged the Government to remove subsidies on loss-making domestic routes for MAS and allow AirAsia to increase its flight frequencies to Singapore.

AirAsia, which is currently offering a RM5 discount on fuel surcharge in retaliation to MAS' fare campaign, has no plans to roll back the reduction despite rising oil prices.

“We will live with it (rising fuel price). We will just have to be more ingenuous and creative. We have to manage increases in fuel costs more effectively,” Fernandes said, adding that the fuel surcharge discount would be compensated by higher passenger volume.

Some analysts said AirAsia could also face a cash crunch due to high oil prices and the increasing competition.

“We do not have any cash problem but the analysts seemed to be predicting otherwise since we started. Just look out for our first-quarter results,” Fernandes said, adding that AirAsia might be hit if competition remained unfair.

“Yesterday (Wednesday) was a record day for AirAsia. We achieved RM27mil sales in a single day. It was about six times more than our daily average daily record,” he added.

“AirAsia has to compete as we to ensure job stability for our employees; provide fares that are affordable and, at the same time, maintain financial viability to our shareholders. God willing, we will all survive the current challenging time,” deputy group CEO Datuk Kamarudin Meranun said.

AirAsia had proposed to issue a RM500mil bank-guaranteed sukuk programme of up to five years for capital expenditure and debt-refinancing purposes.

Kamarudin said the group was not raising the money just to finance its fleet expansion programme but also as “insurance”.

He also said there was no reason for the group to raise additional funds.

hkskyline

May 19th, 2008, 12:23 PM

By Mark Tang from HKADB :

http://www.hkadb.com/forum/files/dsc_2004_149.jpg

http://www.hkadb.com/forum/files/dsc_2168_204.jpg

nazrey

May 23rd, 2008, 07:12 AM

MAS to code share with Etihad
by Doreen Leong, 22 May 2008 11:20 AM, THEEDGEDAILY

KUALA LUMPUR: Malaysian Airline System Bhd (MAS) is expected to sign a code share agreement with Abu Dhabi-based Etihad Airways today that will pave the way for the national carrier to create a hub in the Middle East, said sources.

Similarly, Etihad would be able to sell tickets to points such as Penang and other final destinations that MAS services in the region. At the moment, Etihad’s only destination of sales in Malaysia is Kuala Lumpur.

Yesterday, MAS said in a press invite that it planned to sign a partnership agreement with Etihad but did not provide more details.

The tie-up with Etihad will add to the existing 25 airline partners that MAS currently has code share agreements.

The latest addition to MAS’ code share partner list would help the airline achieve incremental revenue of between RM70 million and RM100 million per annum.

MAS’ ties with Etihad chief executive officer James Hogan goes back to two years ago when Hogan was the president and chief executive officer of Gulf Air. MAS had then entered into a code share agreement with Gulf Air.

Not long after the code share pact, Hogan resigned from Gulf Air and took up the position of CEO at rival airline Etihad.

Etihad, established only five years ago, is the fastest growing airline in the commercial aviation industry, currently serving 46 destinations in Africa, Asia, Australia, Europe, the Middle East and North America. The airline launched flights to Beijing in March and it would be flying to Kozhikode (Calicut) and Chennai (Madras) soon.

Etihad aims to carry six million passengers by end of the year. It has carried 1.4 million passengers during the first quarter of the year, compared with one million a year ago.

The airline’s average seat factor was 75% in the first three months of the year. This has increased by 7% year-on-year as the airline continues to expand its capacity.

Etihad operates one of the youngest and most environmentally-efficient fleets in the world. Its fleet size is expected to grow to 40 by year end and 52 by end 2011.

nazrey

May 25th, 2008, 03:24 PM

Airasia Once Again To Help Victims Of Calamity
May 24, 2008 18:46 PM

KUALA LUMPUR, May 24 (Bernama) - AirAsia has donated free seats to raise funds for the earthquake victims in China's Sichuan Province.

In a statement Saturday, it said the Hainan Red Cross will sell the 100 free seats and the proceeds will be donated entirely for aid relief and re-building efforts.

A mock voucher for the 100 free seats amounting to 283,600 Renminbi (RMB1 =46 sen) was presented to the president of the Hainan Red Cross, Zhao Guo Wei, at his office in Haiku recently by a representative of AirAsias Commercial Department.

-- BERNAMA

nazrey

May 28th, 2008, 03:23 PM

Call for direct flights to Langkawi
Monday May 26, 2008 MYT 7:43:39 PM
By SIRA HABIBU, TheStar

LANGKAWI: Malaysia Airlines and AirAsia should look into providing direct international flights or transit flights via Langkawi, said Tourism Minister Datuk Seri Azalina Othman Said.

“The airport, which is an international airport, is not getting international flights, other than from Singapore," she said, adding that the ministry would write to MAS and AirAsia to provide direct international flight services to Langkawi.

She said Langkawi needed more direct international flights to attract more tourists.

She also said the ministry had allocated RM10mil to implement tourism projects in Langkawi last year and this year.

The projects include upgrading the pedestrian walkway in Pantai Cenang and upgrading public toilets at tourist attraction sites including in Pasir Hitam.

Azalina said having Langkawi declared as part of the Unesco (http://www.skyscrapercity.com/showthread.php?t=603456) network of global geopark was something to be proud of.

“But we need to package the product and make it saleable.

“This is in line with our objective to sell unique attractions in Malaysia,” she said.

She also noted that Langkawi was a duty-free zone, “but people are complaining there are no new products.”

nazrey

June 3rd, 2008, 06:54 AM

Bumpy flight ahead for MAS
Tuesday June 3, 2008, By WONG SAI WAN, TheStar

ISTANBUL: Malaysia Airlines is bracing for tough times ahead due to rising fuel prices.

In view of this, its managing director/chief executive officer Datuk Seri Idris Jala said MAS had introduced cost-cutting measures and put off all unnecessary spending.

Saying the situation would be “even worse than SARS or the time when the airline nearly went bust three years ago,” he said he had met unions and other workers associations to inform them of the situation. The warning comes in the midst of jet fuel prices reaching US$171 (RM550) per barrel.

Analysts said the alarm bell raised by MAS was significant because the airline was one of the better performers in the industry over the past two years. The airline made almost RM1bil in profits last year.

The freeze on spending include freezing all recruitment and training (except with MD/ED approval), review of loss-making routes and flights, prioritising projects and expenditure.

Idris, who was speaking to Malaysian

journalists covering the International Air Transporters Association annual general meeting here, said the cost-cutting mea-sures were necessary until the situation improved.

“This time last year, jet fuel was at US$80 (RM258) per barrel and we made a profit of RM133mil for the first three months. This year, fuel prices have reached US$171 per barrel and yet we made RM120mil.

“If not for the fuel prices, our first quarter profits would be about RM800mil.”

He expressed confidence that MAS would survive the crisis because “everyone had been through it before”.

He pointed out that at least a dozen airlines in the world had folded up because of the oil crisis and he expected this figure to rise.

He confirmed that MAS fares would increase between 3% and 20% on all routes and that the Everyday Low Fare campaign was a success with MAS netting RM23mil in profits in its first two weeks.

nazrey

June 3rd, 2008, 06:54 AM

IATA urges govts to help prevent airlines from going bust
Tuesday June 3, 2008, TheStar

ISTANBUL: International airlines have issued a warning that the industry is fighting for its survival as it faces an extra US$99bil (RM330bil) in costs due to rising fuel prices.

International Air Transporters Association (IATA) director-general and chief executive officer Giovanni Bisignani said 24 airlines had gone bust in the past six months because of rising oil prices.

He pointed out that the industry which transported 2.3 billion people globally, was worth US$3.5trillion (RM11.5trillion) and employed 32 million people.

Bisignani warned that fuel prices were now threatening this situation.

“Airlines are struggling to survive and massive changes are needed.

“Governments must stop crazy taxation, regulate monopolies effectively, ensure that the cost of energy reflects its true value, fix the infrastructure and change the rules of the game.

“Labour must understand that jobs disappear if costs don’t come down,” he said in his speech at the opening of IATA’s 64th annual general meeting here yesterday.

Bisignani noted that although the industry had a revenue of US$11trillion (RM36.3trillion), profits were only US$32bil (RM105.6bil) – an average profit margin of just 0.3%.

He said governments must rethink issues like excessive security, which created more inconvenience than actual security.

“Security is an uncoordinated mess. Since 2001, airlines and their customers have paid more than US$30bil (RM99bil) for security measures. For this, we get more frustration than value,” he added.

Calling for more liberalisation from governments, Bisignani said the 3,000 bilateral air agreements should be done away with and replaced with a single agreement to allow airlines to compete openly.

The IATA head also called on more consolidation in the industry, especially cross-border mergers, which had proven to give value to shareholders.

nazrey

June 4th, 2008, 03:11 PM

by Clive Ngu

http://farm4.static.flickr.com/3272/2548507201_d6e284e9a0_o.jpg

nazrey

June 5th, 2008, 06:50 AM

AirAsia wants 4 more KL-Singapore flights
by Yong Min Wei & Azie Izzati, 04 Jun 2008 10:54 AM, THEEDGEDAILY

SEPANG: AirAsia Bhd hopes to secure an additional four daily flights for the Kuala Lumpur-Singapore route from its existing two, said its chief executive officer Datuk Tony Fernandes.

He said more frequencies for AirAsia on the Kuala-Lumpur-Singapore route would provide flexibility to international travellers, who used the low-cost carrier terminal (LCCT) here as a transit to other destinations.

Fernandes said AirAsia and AirAsia X departed from LCCT to many towns and cities which Singapore’s airport did not provide. “We need a level playing field and Malaysia Airlines should not block us in getting our rights to Singapore,” he told reporters after AirAsia’s AGM here yesterday.

He said any effort to block its progress was akin to telling a local bank or telecommunication company that it could operate anywhere in the country except Kuala Lumpur.

He said AirAsia planned to get approvals to fly to Singapore from Penang, Kuching and Kota Kinabalu in an effort to bring low fares to more Malaysians as well as to increase tourist arrivals.

He also said AirAsia would launch its maiden flight to India in late August, with the south Indian town of Thiruchirapally as its first destination. “We will be completing all air routes to Indonesia when AirAsia flies to Makassar and Balikpapan soon,’’ he added.

Fernandes said AirAsia’s Kuala Lumpur-Guangzhou route had been well received since it started service five months ago. The airline has announced a second daily flight to Guangzhou effective next month.

On an International Air Transport Association (IATA) report that the aviation industry could suffer losses of up to US$6.1 billion (RM19.8 billion) this year, Fernandes said the company would not be cutting capacity but would continue to grow its market share by adding new destinations and frequencies.

Commenting on the company’s near-term outlook, Fernandes acknowledged the second quarter of the year a seasonally a tough quarter, with the lowest number of travellers.

Meanwhile, in a statement to Bursa Malaysia yesterday, AirAsia announced the retirement of its chairman Datuk Pahamin Ab Rajab, 62, with effect from yesterday. Pahamin, who has been chairman of AirAsia since Dec 14, 2001, holds over three million shares in the company.

Chrisvenz

June 5th, 2008, 11:45 PM

Air Asia should fly the City of Davao, Cebu, and Iloilo in the Philippines. Iloilo City has a new International Standard airport and terminal and it is near in the world famous beach of boracay island. Cebu is the second city of the Philippines and the tourist capital of the Philippines. Davao is the best place for investment and everything. Air Asia or Air Asia X should compete with Cebu Pacific.

smoothcake

June 6th, 2008, 02:27 AM

its nt like they don't wanna fly...but Philippines are most likely protecting their sky market....wait until air liberisation and air asia will conquer them

nazrey

June 6th, 2008, 06:30 AM

MAS: More online payment options
05 Jun 2008 11:45 AM, THEEDGEDAILY

KUALA LUMPUR: Malaysia Airlines is partnering with Malayan Banking Bhd and CIMB group to allow direct debit from current or savings accounts as a payment option for purchases of air tickets through the MAS Internet booking engine (IBE).

In a statement yesterday, MAS senior general manager (network and revenue management) Datuk Bernard Francis said: “This is yet another seamless and flexible offering, which will ensure that our customers who do not have credit cards, will still be able to enjoy Malaysia Airlines’ attractive online offers.”

He said the payment facility was now available for all ringgit fare transactions. “We are exploring similar transactions with other establishments,” he added.

nazrey

June 6th, 2008, 06:48 PM

MAS confirms to take all six Airbus A380s
From Kang Siew Li, Published: 2008/06/04, BusinessTimes

ISTANBUL: Malaysia Airlines (MAS) has confirmed taking all six A380s from Airbus, of which the first delivery will be in 2012.

"We will use them to operate long-haul routes like KL-London-Sydney-Amsterdam. The aircraft will have a three-class configuration," said chief executive Datuk Seri Idris Jala.

He was speaking to Malaysian reporters covering the International Air Transport Association's 64th Annual General Meeting and World Air Transport Summit here yesterday.

MAS will also review its plans to buy 40-50 wide-body aircraft given record fuel prices. It was supposed to make a decision by the end of this year.

"We have to review our plans one more time on whether to buy new planes and the number," said Idris, adding that it is considering buying airplanes from airlines that have gone bust.

"There may be spare aircraft around. We will be watching them carefully," he added.

On competition with budget carrier AirAsia Bhd, Idris said, "There is certainly room for both of us. They take the low cost end of the market, we take the premium. It is the middle we are now fighting hard to compete for."

nazrey

June 7th, 2008, 06:51 AM

MAS passengers can pay for ‘green’ fees
Saturday June 7, 2008
By TEH ENG HOCK, TheStar

PETALING JAYA: Passengers can “compensate” for how much they pollute the environment when they fly under a new green scheme offered by Malaysia Airlines.

Anyone flying on MAS, Firefly and MASWings can voluntarily contribute amounts which depend on the distance travelled.

The money collected would be sent to a trust fund managed by the Forest Research Institute of Malaysia.

FRIM will then channel the money to select United Nations’ sanctioned forest conservation projects in Malaysia. So far, three sites in Pahang, Sabah and Sarawak have been identified.

A carbon calculator will help compute the amount to offset, depending on the flight destination.

MAS managing director and CEO Datuk Seri Idris Jala said passengers could also choose to submit a one-off contribution from as little as RM5.

He said the International Air Transport Association (IATA) reported that the aviation industry only contributed to 2% of global carbon emission.

Shell, Maxis and Malaysia Airports, which have agreed to participate in the programme, would contribute to the fund when their staff travelled.

MAS corporate safety security, health and environment general manager Kapt Dr Ooi Teong Siew signed an agreement to formalise the programme with Natural Resources and Environment Ministry secretary-general Datuk Suboh Mohd Yasin yesterday.

nazrey

June 10th, 2008, 08:00 AM

AirAsia slashes fares to just RM1
Tuesday June 10, 2008, TheStar

KUALA LUMPUR: AirAsia has returned with irresistible promotions with some 250,000 seats up for grabs with fares from as low as RM1 to domestic and regional destinations in line with the Mega Sale Carnival 2008.

Fares as low as RM1 are for one-way from Kuala Lumpur hub to popular destinations in Peninsular Malaysia including the new stop, Kuantan, and international destinations such as Singapore, Banda Aceh, Medan, Padang and Palembang.

One-way tickets to certain destinations in Sabah and Sarawak and Southeast Asia are priced at RM20.

Fares to Chiang Mai, Phnom Penh, Siem Reap, Hanoi, Clark (Manila), Macau, Shenzhen and the new destinations of Haikou (Hainan) are at RM70 and Hong Kong at RM150.

To top it off, this promotion also includes AirAsia X service to Gold Coast, Australia, at RM199.

These low fares come with the lowest surcharges and airport tax in the country.

“From the past Mega Sale promotion, there was an increase in the number of tourists to Malaysia which helped stimulate the growth of the tourism industry,” said AirAsia group chief executive officer Datuk Tony Fernandes.

“Therefore, we believe this year’s campaign would encourage more visits from tourists.

“The Mega Sale also gives us a chance to enhance our customer satisfaction by providing exceptional holiday experience for a minimal fare,” he said.

Booking period is from today to June 22, while travel period is from July 1 to Sept 25.

nazrey

June 11th, 2008, 07:01 AM

MAS launches new website
10 Jun 2008 12:09 PM, THEEDGEDAILY

SUBANG JAYA: Malaysia Airlines hopes its new website www.malaysiaairlines.com will help increase its Internet penetration to 60% by 2010.

In a statement yesterday, the national carrier said the new website was launched in line with its business transformation plan (BTP 2).

“The Everyday Low Fares product offering has helped to spring board the penetration to 30%. These additional features and enhanced infrastructure are timely as everything is now in place for the subsequent waves of Everyday Low Fares,” said its senior general manager of transition management, Amin Khan.

By September, the website will be available in additional languages such as Malay, simplified and traditional Chinese, Korean, Japanese, French as well as German, so that it would be accessible from all 22 country sites.

nazrey

June 11th, 2008, 07:02 AM

http://img37.picoodle.com/img/img37/4/6/10/f_01m_9fb53c7.jpg

hetfield85

June 13th, 2008, 04:57 AM

http://malaysia.news.yahoo.com/bnm/20080612/tbs-airasia-china-ceeeaba.html

AIRASIA'S KL-HAIKOU ROUTE GETS GOOD RESPONSE

By Yai Ban King Bernama - Friday, June 13

HAIKOU (Hainan Island), June 12 -- The response to AirAsia Bhd's latest route, Kuala Lumpur-Haikou, has exceeded expectations since it was inaugurated on May 22.

AirAsia group executive officer, Datuk Tony Fernandes, said the low-cost budget carrier sold more than 35,000 seats, both ways, since it started receiving bookings over the Internet about two months ago.

"AirAsia recorded an amazing 100 per cent load factor for the inaugural flight," Tony said.

"It is also noteworthy that AirAsia's load factor for this route in May was 78 per cent which is quite strong for a new sector not previously served by any airline" he told reporters after the launch of the route by Transport Minister Datuk Ong Tee Keat today.

The promotional fare for a one-way flight from KL to Haikou begins at RM32 or RMB68.

AirAsia is the first airline to offer daily direct flights from Kuala Lumpur.

Tony said a reason why AirAsia started the daily direct flight to Hainan island was because of strong families ties between the people there and in Malaysia.

Speaking to reporters later, Ong who is also a Hainanese, welcomed the new route to Haikou.

"It used to take a whole day to get to Haikou with connecting flights from Hong Kong, Macau or Shenzhen.

"But now with the direct flight, it takes only about three hours," he said. -- BERNAMA YBK THS AS

nazrey

June 13th, 2008, 06:48 AM

East Malaysia top pick under MAS' cheap fares campaign
By Doreen Wan, 12 Jun 2008 9:25 AM
THEEDGEDALY

KUALA LUMPUR: Malaysia Airlines’ “Everyday Low Fares” campaign saw most of the tickets sold were for travels to East Malaysia.

In a statement yesterday, the national carrier said its customers, who purchased the first wave of zero and low fares campaign to domestic destinations, started travelling on June 10. There were more than 100,000 passengers who booked through the website between May 5 and 19.

Recently, its managing director and chief executive officer Datuk Seri Idris Jala said Malaysia Airlines made a net profit of RM23 million from the sale of tickets during the first wave of the campaign.

The third wave of the campaign is currently on offer online until June 22 for domestic routes, Asean and selected routes between Malaysia and China, Australia, Pakistan and Bangladesh.

nazrey

June 14th, 2008, 06:35 PM

MAS to raise fuel surcharge in two weeks
By Doreen Leong, 13 Jun 2008 3:18 PM
THEEDGEDAILY

SUBANG: Malaysian Airline System Bhd (MAS) will raise its fuel surcharge significantly in the next two weeks to cope with escalating fuel prices.

Its managing director Datuk Seri Idris Jala said the airline, which has raised its fuel surcharge at least five times since last year, would continue to do so along with its competitors but still remain competitive.

“We will be making some increases (in fuel surcharge) two weeks from now on a route-by-route basis. The quantum of increase will depend on our competitors. I would expect the increment to be quite high simply because some of the airlines have moved their surcharges to quite high.

“Over the last year, we have already increased our fuel surcharges five or six times. When our competitors who are key players on that particular route raise their fuel surcharge, we will match them. Where we are the key player on a particular route, we will decide on the fuel surcharge,” he added.

Speaking to reporters after the launch of MAS’ 2nd Quality Assurance Conference yesterday, he said MAS has to be mindful of competition and would not increase fuel surcharge beyond its competitors’ as this might render itself uncompetitive.

The cost of light, sweet crude for July delivery rose as high as US$138.30 (RM456.39) per barrel on news of an unexpectedly large drop in crude stocks over the last week.

MAS chairman Tan Sri Dr Mohd Munir Majid said the oil price to a certain extent was driven by speculation. “To discourage speculation, something has to happen fast.”

Despite the high oil prices, Jala said MAS was still sticking to its annual profit targets of at least RM1.5 billion by 2012 as outlined in its business transformation plan (BTP2).

“Targets do not change. We will be declaring a new target for 2009 by year-end. The overall target for 2012 is there with different scenarios,” he added.

To mitigate the impact of rising fuel, Jala said MAS would continue to find ways to increase revenue, cut cost, cut capacity and innovate.

He expected a shift in travel patterns with the current fuel scenario. “Corporations may downgrade to economic class travel for those who have been travelling on business class. For discretionary travellers, they may opt for shorter-haul destinations instead of more expensive long-haul destinations.”

Meanwhile, on its latest quality assurance initiative “Business Assurance and Control Assessment (BACA)”, Munir said the initiative would help strengthen the airline’s corporate governance practices.

“Self-assessment is de rigueur in corporate governance today. With BACA, we aim to strengthen our risk and control culture and move towards a mature control environment that will support and drive us to achieve BTP2,” he said.

The initiative will see 16 assurance functions collaborating to provide reasonable assurance and enhance the internal control system, risk management and overall corporate governance in the airline.

According to a survey by Minority Shareholder Watchdog Group, MAS ranks at 23rd in terms of best corporate governance practices.

nazrey

June 16th, 2008, 07:13 AM

MASkargo bullish on China operations
By Azlan Abu Bakar Published: 2008/06/15, BusinessTimes

http://www.btimes.com.my/Current_News/BTIMES/Industries/Logistics/masko.xml/Article/Current_News/BTIMES/Images/btgraph8/mdcargo.jpg

MAS' cargo arm sees its Shanghai station remaining its biggest contributor in terms of revenue although it plans to reduce the number of flights but carry more cargo there

MALAYSIA Airlines Cargo Sdn Bhd (MASkargo), the cargo arm of Malaysia Airlines (MAS), expects its operations in China to continue to show growth this year, despite soaring fuel prices and the less favourable global economy climate.

Managing director Shahari Sulaiman said the bullish outlook is largely attributable to its freight network, which is servicing lucrative trade lanes, namely Asia to Europe, Europe to Asia as well as Europe to Australia.

"We are serving the right markets. We are big in China, Europe and Australia," he told reporters covering Air Cargo China 2008.

"Furthermore, since the end of February, we have diverted 70 per cent of our flights into Europe to Uzbekistan. This has allowed us to serve the same market at a much reduced cost."

Air Cargo China 2008, which starts in Shanghai tomorrow, is dubbed as one of the largest gatherings of the international air cargo community. It is expected to be attended by more than 10,000 executives from the airlines, airports, freight forwarders, shippers, suppliers and service providers from all over the world.

Shahari said MASkargo saw a 10 per cent year-on-year growth in cargo throughput at the KL International Airport (KLIA) in Sepang for the first two months of this year and is optimistic that the trend will sustain for the medium term.

On its Chinese operations, its station in Shanghai will remain its biggest contributor in terms of revenue and expects the margin to expand although MASkargo plans to reduce the number of flights but carry more cargo there due to rising fuel cost.

Fuel makes up about 40 per cent of its total operating cost.

"We have reduced our capacity (flights) by about seven per cent in the first quarter this year. This has resulted in an improvement in yields and profits," Shahari said.

Another factor that would contribute to growth would come from the new cargo building located near the Pudong International Airport which is near completion.

"The new cargo building will be able to accommodate one million tonnes of freight and there will be more parking bays for freighters," he said, noting that Pudong is leading growth in cargo by more than 10 per cent.

The company also plans to look for more strategic partnerships with other airlines that would improve its operations.

MASkargo operates four B747-200 and two B747-400 freighters. It also offers belly space capacity on MAS' passenger fleet, servicing almost 100 destinations worldwide.

The company more than doubled its operating profit to RM38 million last year, from RM18 million in 2006.

nazrey

June 16th, 2008, 07:14 AM

AirAsia presses ahead with new routes
Published: 2008/06/16

AIRASIA, the region's largest low-cost carrier, said yesterday that despite surging fuel prices it will not scale back growth plans and will press ahead with an ambitious route expansion programme.

"We will continue to put on new routes. As long as we can make a profit from our operations, we will not hold back our growth plans," chief executive officer Datuk Tony Fernandes said.

"I am taking a contrarian view. There is a limit to how much I can cut costs. If I cut my routes, where is my growth going to come from? In our case, we still can make money from our routes," he said.

Airlines worldwide including Virgin Blue, Qantas Airways and US Airways have cut back their growth plans and axed loss-making routes to weather spiralling fuel prices.

AirAsia recently launched three new routes - one to Kuantan in Pahang, and to Haikou (China) and to Hong Kong.

"By year-end, we will fly to south India, new destinations in India and mount more flights to Singapore," the aviation tycoon said.

Fernandes also said the carrier's new A320 Airbus jets were more efficient.

"Our operational costs have come down due to the Airbus's better fuel burn," he said.

The c arrier's fuel cost represents 50 per cent of total operational costs.

He said AirAsia has frozen the hiring of new staff who are not related to fleet growth, but that it would not reschedule the delivery of the A320 Airbus aircraft.

The carrier has to date received about 67 A320s and is phasing out its old Boeing 737s. It has agreed to buy a total of 175 aircraft.

Fernandes remained upbeat about the carrier's performance amid economic uncertainties due to escalating food and fuel prices worldwide.

"We are seeing a slight increase in passenger volume. Our business is still good. I expect our revenue to be better than budgeted in 2008," he said. - AFP

nazrey

June 17th, 2008, 07:41 AM

AirAsia going after the five-star market now
By Rupinder Singh Published: 2008/06/17, BusinessTimes

BUDGET carrier AirAsia Bhd says the number of corporate passengers using its no-frills service has increased by 300 per cent in the last three months, taking a chunk of the premium market largely served by full-service carriers like Malaysia Airlines (MAS).

In yet another show to compete directly with MAS, group chief executive officer Datuk Seri Tony Fernandes said AirAsia is taking initiatives to improve its five-star services - in both products and services - to add more value to its low-fare airline tag.

With the introduction of new aircraft and increased connectivity between regional destinations, he said, the corporate sector, mindful of escalating prices, has been starting to use the budget carrier.

"The five-star market isn't exclusive. Just as the same way the zero fare market (referring to MAS zero fare campaign) isn't exclusive. We are now going after the five-star market," Fernandes told a news briefing to introduce its "AirAsia On Time Guarantee" programme in Kuala Lumpur yesterday.

Fernandes said he got the "inspiration" to market the top-end business as he foresaw MAS zero fare campaign neglecting its full-service paying passengers.

Fernandes also said that surging fuel prices will force the global aviation industry to consolidate whereby some carriers will merge and some others go into bankruptcy.

On AirAsia's part, it has been approached by other airlines about tie-ups and operating deals, but did not elaborate.

Meanwhile, AirAsia plans to beat the fuel price pressure by expanding routes, increasing flight frequency and accelerating the delivery of the remainder of its 175 new A320s.

On the "AirAsia on Time Guarantee" programme, Fernandes said passengers whose flights are delayed for more than three hours from the scheduled time of flight departure will be entitled to a RM200 AirAsia e-gift voucher.

The e-gift voucher is valid for a three-month period and can only be used for a one-time payment for one booking only.

killerk

June 17th, 2008, 11:38 PM

nazrey

June 18th, 2008, 07:17 AM

MASkargo Shanghai unit to see flat revenue growth
From Azlan Abu Bakar Published: 2008/06/18, BusinessTimes

http://www.btimes.com.my/Current_News/BTIMES/Wednesday/Nation/azlan17.xml/Article/Current_News/BTIMES/Images/btgraph8/song18.jpg

SHANGHAI: Malaysia Airlines Cargo Sdn Bhd (MASkargo), the cargo arm of Malaysia Airlines, expects revenue growth for its Shanghai unit in 2008 to be flat due to increasing fuel prices and a less favourable business climate.

Its Shanghai unit posted revenue of RM600 million last year.

MASkargo country manager for China Northern Region, Jackie Song, said several measures have been implemented to ensure the company continues to show growth, including improving its cargo movements and efficiency, increasing flight load and reviewing its fuel surcharge from time to time.

Fuel makes up some 40 per cent of MASkargo's operational costs.

"With the global economy slowing down, it would be difficult for us to forecast higher revenue this year, but we are optimistic of maintaining the figures achieved in 2007," Song told Malaysian reporters covering the Air Cargo China 2008 here yesterday.

So far this year, MASkargo has revised its fuel surcharge up to five times.

Song said last year MASkargo handled 93,000 tonnes of cargo, representing a five per cent share of the total cargo tonnage of 2.2 million coming in and out of Shanghai.

The bulk of the cargo comprise information and communication technology products that are destined to Australia and countries in Southeast Asia and Europe.

Its major clients include Dell, Hewlett Packard, Sony and Toshiba.

"Although the fuel hike has caused a number of companies turning to sea freight as an alternative to reduce costs, we expect it would not affect our business with the attractive services and packages we have to offer to customers with 13 flights per week," Song said.

Meanwhile, the Air Cargo China 2008, which ends on tomorrow, is dubbed as one of the largest gatherings of the international air cargo community.

It is attended by more than 10,000 executives from the airlines, airports, freight forwarders, shippers, suppliers and service providers from all over the world.

bootluy

June 20th, 2008, 05:05 AM

Do you know what type of airbus they flying from Hong Kong? It is A330-300 or 200. Are them equipped with in-flight entertainment?

nazrey

June 20th, 2008, 07:09 AM

MAS: We offer wider choice for civil servants
by Tony C H Goh, 19 Jun 2008 12:25 PM
THEEDGEDAILY

KUALA LUMPUR: Malaysia Airlines issued a statement yesterday stating that the national carrier remained the premier air transport group for government officials.

This follows a news report that AirAsia Bhd is targeting one million civil servants to fly the low-cost carrier (LCC) instead.

MAS said the group, including its subsidiaries Firefly and MASwings, offered a wider choice of domestic and international routes to government officials.

The Edge Fnancial Daily reported yesterday that AirAsia planned to announce this week an agreement with the government that would allow the more than one million civil servants to fly with the budget carrier.

Its chief executive officer, Datuk Tony Fernandes, said adding the large pool of potential customers was a “big step” for the company as there had been an “unwritten rule “ that government servants could only fly with MAS for work-related travel.

MAS said it had partnered the government since it took to the skies on Oct 1, 1972 and had transported many civil servants within the country and overseas on Government of Malaysia (GOM) travel, providing them vital connectivity for their official duties.

The national flag-carrier said the government had, in 1998, allowed its officials on GOM travel to use Malaysia-based LCCs — Pelangi Airways, Berjaya Air and Transmile Air — in addition to the airline, for domestic travel. It said the government had also approved international sectors GOM travel on Malaysian LCCs from Feb 1, 2008.

“We welcome the increased travel options for our civil servants. Since our business turnaround plan (BTP1) in 2006, our passenger uplift for this GOM traffic rose from around 450,000 in 2006 to more than 500,000 last year, representing an increase of 11%,” MAS commercial director Datuk Abdul Rashid Khan said.

“Whilst we remain the preferred air carrier for GOM business, we also assist our subsidiaries and code-sharing partners by directing this business to them when we do not operate the specific destination or on days GOM travel is required to provide a wider global reach for our GOM customers,” he said.

nazrey

June 20th, 2008, 07:18 AM

AirAsia in deal to fly Malaysian civil servants
By Jeeva Arulampalam Published: 2008/06/20, BusinessTimes

http://www.btimes.com.my/Current_News/BTIMES/Friday/Nation/jbumit19.xml/Article/Current_News/BTIMES/Images/btgraph8/budget20.jpg

MALAYSIAN civil servants on official duties can now opt to fly either Malaysia Airlines (MAS) or budget carrier AirAsia to destinations plied by the two airlines.

This comes in the wake of Prime Minister Datuk Seri Abdullah Ahmad Badawi's announcement last week on austerity measures to save public spending amounting to RM2 billion annually.

Previously, civil servants were allowed to fly only on the national carrier as a means of supporting the government, said Bumiputra Travel and Tours Association of Malaysia (Bumitra Malaysia) president Syed Mohd Razif Syed Yasin.

AirAsia Bhd chairman Datuk Aziz Bakar said it hopes to secure half of the RM500 million spent per year for flight tickets by civil servants on work-related travel.

"They can travel (with AirAsia) at fares 20 per cent to 30 per cent lower than the published fares offered by other airlines," he told reporters after signing a memorandum of understanding with Bumitra Malaysia in Kuala Lumpur yesterday.

Aziz said the special fare for government officials include an in-flight meal, priority boarding and complimentary checked baggage handling fee for one bag.

He added that civil servants will soon be able to use long-haul budget airline AirAsia X for work-related travel as it finalises discussions by the end of the third quarter.

"It is a cost-efficient decision as government officials can enjoy low fares. It also seals the government's dedication in keeping costs at a minimum," he said.

The number of domestic and international trips made by civil servants amount to 250,000 per year.

AirAsia is said to have access to a new group of one million civil servants.

Bumitra Malaysia has 250 agents nationwide facilitating the booking of tickets for all government officials using the airline as a mode of transport for official duties through AirAsia's warrant booking system.

The programme, made available since January, was not fully implemented due to technical issues but has since been rectified.

nazrey

June 23rd, 2008, 03:05 PM

Malaysia gets 2 more landing rights in France
by Doreen Leong, 23 Jun 2008 11:21 AM, THEEDGEDAILY

KUALA LUMPUR: The Malaysian government has secured extra landing rights on two secondary airports in France following the conclusion of talks between the governments recently, said sources.

This means that national carrier Malaysia Airlines and budget carrier AirAsia X are able to fly to Lyon airport and Nice airport in France starting next year.

“Malaysian carriers are given three times weekly slot for next year and this will increase to five times weekly in 2010,” said a source.

An announcement on the matter is expected to be made this week by the Ministry of Transport.

However, another source said Malaysia Airlines might not be keen to fly to the two secondary airports as it was already operating daily flights to Paris DeGaulle Airport.

Initially, Malaysia Airlines had wanted to cut this loss-making route from its network when it underwent a network rationalisation exercise but decided to keep the route after the airlines managed to find ways to salvage it.

It was unclear if budget long-haul carrier AirAsia X would want to fly to the two airports in France.

For Malaysia Airlines, it could tap into Air France-KLM’s network in the country if the two airlines agree to code-share. According to a source, Malaysia Airlines is in talks with Air France-KLM to explore code share arrangements.

In the fiscal year ended March 31, 2008, the total revenue of Air France-KLM amounted to €24.11 billion (RM122.5 billion), with a net profit of €748 million, a net profit decrease of 16% compared to the previous year’s.

Air France-KLM is one of the most profitable companies in Europe. The airline is the world leader in terms of international passenger traffic; and its cargo activity (not including integrators) is one of the world’s major maintenance service providers.

Passenger transport is Air France-KLM’s main business, accounting for 80% of turnover in FY2008, with 74.8 million passengers carried, a fleet in operation of 607 aircraft, and 258 destinations worldwide.

hetfield85

June 24th, 2008, 03:37 AM

http://www.forbes.com/afxnewslimited/feeds/afx/2008/06/23/afx5142133.html

Thomson Financial News
Malaysia Airlines announces new round of cost-cutting
06.23.08, 7:13 AM ET

KUALA LUMPUR (Thomson Financial) - Malaysia Airlines said Monday it would reduce flight frequencies and impose a hiring freeze as it resorts to a new round of cost-cuts and a fuel surcharge hike to battle soaring energy prices.

'The oil price is rising at levels never seen by mankind,' the national carrier's managing director Idris Jala told reporters, adding that he may also cancel an option to purchase new aircraft.

Jala said the airline would impose a 'freeze on recruitment, defer spending, adjust fares and review routes and flights which are losing money,' in a bid to maintain its profit forecast.

'We are reducing about 6 percent of our capacity,' he said, adding that the airline would announce the new fuel surcharge on Friday.

'The focus is predominantly on cutting costs. I would not discount cutting routes if oil goes to 200 dollars a barrel,' he said.

Airlines worldwide including Virgin Blue, Qantas Airways and US Airways (nyse: LCC - news - people ) have cut back their growth plans and axed loss-making routes to weather spiralling fuel prices.

Jala said that while the airline will pursue its firm plan to buy 35 narrow-body 737-800 aircraft from U.S.-based Boeing (nyse: BA - news - people ) as part of its fleet upgrading plan, it may not exercise the option to purchase another 20 aircraft.

'We may not even exercise the option. We will continue to treat it as an option,' he said. The total cost of the 55 aircraft is $4.2 billion at list prices.

Malaysia Airlines hopes to achieve record profits under its recovery plan after it broke back into the black last year.

It posted an all-time record profit of 851 million ringgit for the 2007 financial year, ending a series of disastrous losses.

But in May it announced that its profits in the first quarter slipped 9.8 percent from a year earlier to 120 million ringgit ($37 million).

The carrier hopes to post profit of between 400 million and 1.0 billion ringgit this year.

The return to profits was the culmination of a sweeping transformation plan, which saw the airline slash staff and routes and sell non-core assets after suffering losses of 1.3 billion ringgit in the first nine months of 2005.

afp

nazrey

June 24th, 2008, 08:19 AM

One million MAS seats at zero or nominal fare
Tuesday June 24, 2008, TheStar

MORE than one million seats at zero or nominal fee are up for grabs during Malaysia Airlines' 'Never Before Asean' promotion covering its Asean destinations and selected routtes between Malaysia and China.

MAS northern region area manager Wan Mohd Ebrahem said the promotion was for travels between July 1 and Dec 14 booked online.

“Instead of wasting unsold seats, we are offering them at zero or low fares so that customers who would normally not fly would now have an opportunity to do so,” he said.

Ebrahem said passengers who reserved tickets under this promotion would be entitled to the same in-flight benefits as regular fare- passengers.

“It’s a value-added opportunity and passengers get good return for their money,” he added.

The destinations covered under this promotion are Bandar Seri Begawan, Bangkok, Brisbane, Cebu, Denpasar, Dhaka, Guangzhou, Hanoi, Ho Chi Minh City, Hong Kong, Jakarta, Karachi, Manila, Medan, Perth, Phnom Penh, Phuket, Shanghai, Siem Reap, Singapore, Surabaya and Yogyakarta.

Retired senior manager Ng Choo Hee said he would be taking ad-vantage of the promotion by brin-ging forward his travel plans for next year to this year.

Flight reservations must be made at least 30 days before departure. For enquiries, visit http://www.malaysiaairlines.com or call their 24-hour centre at 1-300-88-3000.

hetfield85

June 25th, 2008, 02:58 AM

AIRASIA GIVING 15,000 FREE SEATS FOR NEW KL-MAKASSAR ROUTE

Bernama - Tuesday, June 24

KUALA LUMPUR, June 24 (Bernama) -- Low-cost carrier AirAsia Bhd is handing out 15,000 free seats for its newly launched Kuala Lumpur-Makassar route.

Makassar is AirAsia's 14th Indonesian destination and it is the first international airline to fly the route.

The service is expected to provide AirAsia with greater access to new traffic from Manado, Ambon, Maluku and other neighbouring islands in Indonesia.

"Makassar is the regional hub for other destinations in Indonesia," AirAsia said in a statement today.

The free seats will be available for the June 25 to 29, 2008, period and the July 25, 2008, to April 30, 2009, period, the airline said.

The offer is available exclusively via online at AirAsia’s website and all fares quoted exclude airport taxes, surcharges and fees, and applicable for one-way travel only. -- BERNAMA

hetfield85

June 26th, 2008, 02:48 AM

AIRASIA HITS 50 MILLIONTH PASSENGER MARK

By Yai Ban King Bernama - Thursday, June 26

SEPANG, June 25 (Bernama) -- Budget airline AirAsia Bhd celebrated its 50 millionth passenger mark today after six years of operation.ADVERTISEMENT

Leading the celebration was the carrier's guest star Miss Wendy Ng Tze Wee, a 34-year-old boutique owner from Kuching, who was picked as AirAsia's 50 millionth guest.

Speaking to reporters here, Ng said AirAsia's low fares made it possible for her to travel frequently without hurting her budget.

"The carrier's has vast domestic and regional network, affording good connectivity for business trips. Hence, choosing AirAsia is not only a smart business decision but also a great way to travel with family and friends to various interesting holiday destinations, both domestic and around the region," she said.

Ng flies twice a month for business purposes to places like Shenzhen, Macau, Jakarta and Thailand.

AirAsia's group chief executive Officer Datuk Seri Tony Fernandes said that the low-cost carrier has once again proved its sceptics wrong.

"When we first started, many people thought it was a crazy idea to offer low fares as it was not economically viable. Especially with an airline with high aspirations like us, we were expected to fail," he said.

"However, with strong persistence and the right strategies, we persevered and we are now the leading and largest low-ocst carrier in Asia with many awards and accolades received. And today we are celebrating our 50 millionth guest carried. It feels good to prove the sceptics wrong," he added.

Also present at the event was Tourism Minister Datuk Seri Azalina Othman who gave away the prize to the lucky winner.

For Ng, she was treated to a VIP reception, chauffeured in a limousine from her hotel to the Low-Cost Carrier Terminal (LCCT) for the event. She was presented with 50 free seats valid for use on any AirAsia routes for one year and exclusive AirAsia freebies. -- BERNAMA

nazrey

June 30th, 2008, 03:03 PM

AirAsia X to rake in RM1b revenue next year
by Doreen Leong, 30 Jun 2008 1:20 PM, THEEDGEDAILY

KUALA LUMPUR: Long haul low cost carrier, AirAsia X is expected to post RM1 billion revenue next year as it expands its network after taking delivery of two new planes this year.

“We are already doing about RM200 million sales and by next year, with three planes we are going to be a billion ringgit company,” its chief executive officer Azran Osman-Rani told The Edge Financial Daily.

He added that this year’s revenue target would be US$100 million (RM330 million) and it aimed to be profitable by 2010. Only then will AirAsia X consider listing on the local stock exchange.

However, Azran said it was more important to be cash positive than to merely look at profits. “In April and May, we were already RM25 million cash positive. For the five-month period, net cash was about RM15 million. What is more important is that we are adding to our cash reserves of about RM10 million to RM15 million a month,” he added.

To facilitate its expansion plans, AirAsia X has recently firmed up orders of 25 Airbus 330 planes to be delivered from October 2008. It currently operates a single aircraft on an operating lease.

“The new planes will start coming in October and December. We will immediately get 24% reduction in terms of cost per seat. Our total cost remains the same but our unit cost will be lower as we will get more seats on our new planes,” Azran said.

He added that currently, AirAsia X’s cost per available seat per kilometre (ASK) was four US cents, which is lower than other low cost carriers (LCCs).

Despite views that long haul low cost carriers would find difficulties in surviving in a high fuel cost environment, Azran believed that AirAsia X would succeed as its strategy was to ride on creating volume.

“Airlines are now increasing fares and cutting capacity. But there is another way to cope with high fuel cost. For instance, Ryanair is also expanding. The strategy here is volume. When other airlines retreat from a certain route, that’s where we will go,” he said.

Azran said AirAsia X would start flying to Perth, Australia, in November this year and start adding frequencies in China and Australia once it takes delivery of its planes. Next year, it would go to Stansted, Essex (UK), India and either Japan or Korea.

While demand for the travel industry may slow down due to economic uncertainties, Azran said its products would become more competitive as other airlines start raising prices.

Also, critics said in general, LCCs may find it tough to reduce costs further as its fuel costs could account for as high as 70% of its total costs.

However, Azran said even though fuel accounts for half of its total cost, in absolute term, it was still lower than that of full service carriers (FSCs).

For example, AirAsia X’s total cost per ASK is four US cents, of which about two US cents per ASK is fuel cost. But for FSCs such as Malaysia Airlines, its total cost per ASK is 17.5 sen (5.4 US cents), of which about 40% or seven sen (2.16 US cents) is fuel cost.

Azran said when fuel price increased, AirAsia X had advantage over its FSC peers due to its new planes, which were more fuel-efficient and had more seats.

“We are flying new planes. In comparison, for airlines flying to London using old Boeing 747-400s planes, they are 12% less fuel-efficient and 18% more costly to maintain. Every dollar hike in fuel, the planes will see higher fuel burn rate.

“We also have more seats than 747s, we will have 390 seats on the A340 while MAS has 349 seats. In terms of incremental fuel cost per seat, they will suffer more because they are spread over fewer seats,” he added.

Azran admitted that AirAsia X would fail if it operated on a standalone basis, like Oasis Hong Kong Airlines. He said AirAsia X depended on the strong branding of its parent company AirAsia and support of its shareholders to pull through.

“For instance, 70% of our Gold Coast-KL passengers don’t make KL their final destination. They will get on AirAsia flights to go to Bangkok and other destinations. It is the network that we provide. That connectivity is important,” he said.

Meanwhile, AirAsia share price, which fell to its low of 79 sen last Tuesday, recovered to close at 86.5 sen last Friday after huge off-market transactions. Data compiled on Bloomberg showed some 162.9 million shares or 6.86% changed hands in block trades between 79 sen and 88 sen on June 26.

nazrey

July 2nd, 2008, 06:35 PM

Budget airline Airasia launches variety in-flight menu
TheStar

http://thestar.com.my/archives/2008/6/28/central/m_47airasia.jpg

Hot meals: Artists like Norman of KRU (second from left) and Afdlin Shauki
(squatting) as well as chef Ismail were on board to be a part of AirAsia’s
launch of its in-flight food experience.

AIRASIA, showcased a vast selection of hot meals, available onboard recently.

The “In-Flight Food Experience” event was held at the Borneo Baruk Club in Kuala Lumpur, graced by the presence of local celebrities in the likes of Afdlin Shauki, Camelia, Norman KRU, Noryn Aziz and celebrated food expert chef Ismail unveiling wider choices of hot meals made available on AirAsia flights.

To add to the excitement, AirAsia also showcased new merchandise and memorabilia such as caps, T-shirts, keychains and other exclusive items.

The regional menu offers a wide range of Malaysian and Asian delicacies. Served hot and fresh, the menu provide choices that are guaranteed to satisfy the guests.

Guests can choose from a selection of hot sellers, like Pak Nasser’s nasi lemak and popular 1901 hotdogs.

Sri Melur Jaya’s nasi briyani with chicken curry, roti canai and roti jala are also available, all prepared fresh from the best ingredients available.

For dessert, guests will be spoilt for choice by the selection of local fruits, handpicked to ensure freshness and quality.

The new dishes soon to be available are chicken rice, and Indonesian fried rice with satay.

Its chairman, Datuk Aziz Bakar, said: “There is nothing better than a good selection of hot meals onboard.

“The best thing is, you can have it at 30,000ft.

“We have a new Airbus fleet, supple leather seats, spacious cabins and the new on time guarantee which makes perfect air travel a dream come true.

“Among the delicacies available on our Thai flights are roasted chicken in French bread, crabstick and ebiko sandwich, chicken fried rice, rice with chicken krapro with healthy drinks; lemon, lemongrass and ginger juices.

Guests onboard Indonesia flights can have a choice of nasi kuning, chicken, beef and tuna sandwiches. Passengers may pre-book their meals online at www.airasia.com when buying their tickets.

nazrey

July 9th, 2008, 07:41 AM

AirAsia mounts more flights to Thailand, Indonesia
08 Jul 2008 10:39 AM, THEEDGEDAILY

KUALA LUMPUR: AirAsia Bhd is increasing flight frequencies to Krabi in Thailand and Palembang and Banda Aceh in Indonesia to meet higher demand from passengers.

In a statement yesterday, it said AirAsia was now offering daily flights from here to those destinations in Thailand and Indonesia starting from July 8. Previously, the low-cost carrier offered only four weekly flights to Krabi and Palembang and three weekly flights to Banda Aceh from Kuala Lumpur.

AirAsia regional head of commercial, Kathleen Tan said: “Currently, we are the only airline to offer daily direct flights from Kuala Lumpur to Krabi, Palembang and Banda Aceh.

nazrey

July 10th, 2008, 07:40 AM

AirAsia to take only commercially viable routes
by Doreen Leong, 09 Jul 2008 1:57 PM, THEEDGEDAILY

KUALA LUMPUR: Neither AirAsia Bhd nor its associate AirAsia X is jumping in at the chance of taking over all the unprofitable international routes that Malaysian Airline System Bhd (MAS) has given up in the last two years because some of those routes do not make commercial sense.

"We apply for routes that make sense to us, where we believe we can create new markets and offer consumers choice. It does not make sense to have our strategy being dictated by another airline's failures," AirAsia X chief executive officer Azran Osman-Rani told The Edge Financial Daily .

AirAsia X is the long haul budget carrier of AirAsia. He added that it also did not make sense to stop AirAsia X from flying on overlapping routes when foreign airlines were allowed to compete directly with MAS.

Azran was responding to comments by Transport Minister Datuk Ong Tee Keat that AirAsia was "welcomed" to apply for those routes cut by MAS.

Ong told the Dewan Rakyat in a parliament session yesterday that it was up to AirAsia to apply to take over the routes before the requests could be considered.

Those international routes deemed unprofitable by MAS include the Kuala Lumpur-Manchester, KL-Vienna, KL-Nagoya, KL-Xi'an, KL-Kolkata, KL-Padang, KL-Ahmedabad as well as Kuching-Perth, Kuching-Sydney, Langkawi-London and Penang-London flights.

Azran said except for the KL-London route, other European routes were not commercially viable, as its planes to be used for ultra-long haul destinations would not have enough seats to make those routes profitable.

It plans to use an Airbus 340 plane, which would have 390 seats for the KL-London route, which is expected to start commercial service early next year.

"What we want is trunk routes such as Sydney, Melbourne, New Delhi, Mumbai, Tokyo, Shanghai and Beijing, not those non-trunk routes that MAS has abandoned," Azran added.

He said it was vital to enable AirAsia to connect passengers on those trunk routes in order not to lose out to its low cost competitors such as Jetstar and Tiger Airways that were aggressively expanding their networks.

"Competition is biting at our heels. The government should make strategic decisions based on what is good for the country, not reactive to what MAS can or cannot do," Azran added.

Meanwhile, AirAsia chief executive officer Datuk Seri Tony Fernandes said the access to routes should be driven by the principle of safeguarding consumer interest to ensure that there were choices available and competition to keep airfares in check.

"Limiting access to any airline would deprive air travellers of choice and reasonable fares. The issue of non-competition between AirAsia and MAS should not arise because there is overwhelming concrete proof that all routes where our airlines compete, the overall market has grown by leaps and bounds

"MAS has also benefited as it is now making money in the domestic sector, whereby previously it was losing despite being the sole operator," he added.

Fernandes said it would also be a "travesty" to hold back AirAsia X from certain routes, while at the same time, Malaysia Airports was providing incentives to foreign carriers to fly routes that competed head-to-head with MAS.

"Moreover, history shows that these foreign carriers such as British Airways, Air France and now Jetstar have no loyalty to KLIA - retreating at the first sign of trouble," he added.

nazrey

July 15th, 2008, 03:01 PM

MAS to formalise Boeing deal Wed
Published: 2008/07/15

The Malaysian carrier will begin taking delivery of 55 B737-800 aircraft from September 2010 onwards

LONDON: Malaysia Airlines (MAS) will formalise the deal with the US aircraft manufacturer Boeing to buy up to 55 B737-800 aircraft at the Farnborough Airshow tomorrow.

In announcing the purchase last March as part of its fleet expansion programme, the national carrier said the total cost of the 55 aircraft was US$4.2 billion.

MAS will take delivery of the aircraft from September 2010 onwards.

The Farnborough Airshow outside London is the largest show for the aerospace industry and the public in the United Kingdom. — Bernama

nazrey

July 15th, 2008, 03:11 PM

Jala to steer MAS for another 3 yrs
by Regina William, 15 Jul 2008 10:50 AM, THEEDGEDAILY

PENANG: Datuk Seri Idris Jala is set to remain at the helm of Malaysian Airline System Bhd (MAS) for the next three years after the expiry of his present contract at the end of the year.

Jala, who became the national carrier’s managing director and chief executive on Dec 1, 2005, said discussions were currently underway and he had indicated positively to continue in his current capacity.

“The government, Khazanah (Khazanah Nasional Bhd) and the board (MAS board of directors) have invited me to continue and the conversations are going very well and I think we have reached a mutual agreement.

“We are having a good discussion and I have given a positive response to their request for me to continue for another three years.

“We are now going through the official process,” Jala told reporters after a Universiti Sains Malaysia (USM) Alumni public lecture.

Asked how long does he see himself at the helm of MAS, Jala said there was still much to do.

“When I came orginally it was to do the business turnaround which I did and it was very clear in my mind that if the turnaround wasn’t successful, I would have to move on and continue on a new journey.

“Hence, we published our business transformation plan that would put MAS on an entirely new pedestal as we think about reinventing ourselves for the future,” he said.

He said MAS’ reinvention involved giving the best product and services to the customers at the most affordable prices and fares and increasing quality while reducing costs.

“It is a paradox in logic, and by reducing costs and increasing quality we can translate this into affordable fares — that is the ideal situation.

“But to do that, we need to put a lot in place in the company and we need to customise our offer based on the customer demand and so that is the new journey for us. We have started doing that and we hope to move on steadily with it,” he added.

Jala said MAS was not reviewing its aircraft orders, which included 55 units of 737-800 narrow bodied aircraft, 35 of which had been firmed up as replacement for its B737-400 fleet.

The total cost of the 55 aircraft is US$4.2 billion (RM13.74 billion) at list prices with the delivery of the first aircraft slated for September 2010.

Jala said MAS had not firmed up the option for another 20 units of 737-800s, as he predicted a turmoil in the airline business in the next two to three years.

He said there was a risk of overcapacity coming in in the next two or three years and the airline business would tank, and there would be airlines that could not handle their orders.

“I do believe that by leaving 20 of the orders optional and hoping there will be distressed sales of aircraft by airlines which over-ordered and they cannot take or absorb them and they will “jual murah”. If that happens, I will not exercise the option for 20 aircraft and rather take it from those selling.

“If you go by the traditional approach, people will simply determine that if they need 55 aircraft, they order 55 aircraft, but I have done otherwise as we have negotiated the deal so that the price for the optional ones is the same as the firmed ones anyway. So it makes no sense to firm up and you do not have the flexibility,” he said.

On the ATR aircraft deal, Jala said the option of 10 more ATRs for Firefly and five more for MASwings are still in place. MAS had purchased 20 ATR 72-500 airplanes from Aerei da Trasporto Regionale (ATR) with 10 for Firefly and 10 for MASwings. The aircraft cost US$18.5 million each with MAS using its own cash and borrowings for the purchase.

On the A380s, Jala said the first of the six ordered would start arriving in January 2011, one each every month until all the aircraft are delivered by mid-June 2011.

nazrey

July 15th, 2008, 03:18 PM

MAS and India’s Jet Airways to link networks
by Regina William, 15 Jul 2008 10:55 AM, THEEDGEDAILY

PENANG: Malaysia Airlines (MAS) is confident of sealing the hub-and-spoke network agreement with Jet Airways India within the next few months.

MAS managing director and chief executive Datuk Seri Idris Jala said no particular date had been set for the deal to take off, as it would depend on the systems issues being resolved.

“The CEO (of Jet Airways) and I (have) already “shook hands” on the main principles and now it is the minor details which has to do with the systems. Our systems have to “talk” with their systems and once we do that it should be within the next few months.

Making the system click had not been easy, he said at a press conference after delivering a public lecture at Universiti Sains Malaysia (USM).

Asked if MAS was looking at other hub-and-spoke networks, Jala said essentially, the deal in India would see MAS covering most of the key points.

MAS’ hub-and-spoke network is one of the national carrier’s four strategies to sustain its financial turnaround.

When Jala took over the stewardship of MAS in 2005, the airline was operating an inefficient network, flying point-to-point to too many destinations. That has changed. MAS only flies to selected regional hubs, with feeder passenger traffic coming from connecting routes or spokes operated by other airlines under code-share agreements.

Jala said MAS already had a hub-and-spoke network in Africa with South African Airways, Australia with JetBlue Airways, China with China Southern Airlines, Southern Europe with Alitalia, northern and northwest Europe with KLM Airlines, UK with British Midland Flight (BMI) and the Middle East with Gulf Air and Ethihad.

“We will basically have all the key points covered once we ink the deal with Jet Airways,” he added.

nazrey

July 16th, 2008, 04:12 PM

MAS To Raise Fuel Efficiency With New Boeing Planes
July 16, 2008 22:00 PM
From Mikhail Raj Abdullah

FARNBOROUGH (United Kingdom), July 16 (Bernama) - The new Boeing 737-800 aircraft purchased by Malaysia Airlines will enable the national carrier to transform and compete effectively in Asean, China and India as well as domestically.

This is because the 35 B737-800 airplanes valued at more than US$2.6 billion at current list prices are faster and more fuel efficient, crucial ingredients for it to keep ahead as the "race heats up" for air traffic in these markets, MAS executive director Tengku Datuk Azmil Zahruddin, said here Wednesday.

Like many airlines, fuel efficiency is vital for MAS as jet fuel now accounts for 40 percent of airline costs from 13 percent before, no thanks to skyrocketing crude oil prices which just last week hit a new high of US$147 per barrel.

Boeing, the aircraft manufacturer, said the B737-800 is the best selling version of the successful Next Generation 737 family, known for its reliability, fuel efficiency and economical performance.

The new planes would replace some 37 B737-400 fleet.

It would allow MAS to expand to points which were not previously economically viable and create a strong platform for it to grow profitably, Azmil said in his speech at the signing of the aircraft purchase deal between MAS and Boeing at the Farnborough International Air Show.

Also present to witness the signing were Transport Minister Datuk Ong Tee Keat, MAS Chairman Tan Sri Dr Munir Majid, Boeing Commercial Airplanes (BCA) President and Chief Executive Officer Scott Carson and Dinesh Keskar, BCAs Vice-President, Sales, South and Southeast Asia.

Tengku Azmil signed for MAS, while Carson represented Boeing.

The Farnborough International Air Show on the outskirts of London, is the United Kingdoms largest show for the aviation industry.

Azmil also said the timing of aircraft delivery - beginning 2010 or even earlier - was also important as 400 new aircraft hit the skies of Asia Pacific, India and Middle East last year and a similar number slotted for this year.

"By then, we are optimistic that the weakness in the current global economy would have rectified and air travel will pick up again."

He said the strategic timing will also put Malaysia Airlines in a very solid position to capitalise on the growth that will take place, enabling it to sustain its profitable growth.

MAS has also acquired purchase rights for an additional 20 Next-Generation 737-800s.

Against a backdrop of stiff competition, the liberalisation of Asean skies and rising fuel costs, "we need to transform and transform quickly," said Azmil, who is also the airline's Chief Financial Officer.

"As the race heats up, it is crucial for us to continue to drive growth through increasing our load factor, leveraging on our hub-and-spoke network and maximizing our aircraft utilisation," he said.

He said the MAS-Boeing partnership would help to grow its core network in Asean and build capacity under its Business Transformation Plan.

This entails developing new routes and increasing frequency on existing routes with growth potential and more importantly, position MAS well so that it evolves into the Worlds Five Star Value Carrier.

The 737-800 incorporates an advanced technology wing design that helps increase fuel capacity and efficiency, both of which increase range.

Azmil said MAS would be purchasing these aircraft directly from the manufacturer (Boeing).

He said this would allow MAS to lease the aircraft to other airlines at market value and in the process help to finance the acquisition.

He said the acquisition would be financed through a combination of commercial and structured loan, loans from the EXIM Bank of the U.S as well as proceeds from the proposed rights issue in the fourth quarter of 2007.

However, he said it was too early to decide on the actual form of financing.

Under the airline's financial restructuring in 2002, aircraft for the national carrier were purchased and owned by Penerbangan Malaysia Bhd, MAS' parent company.

He said MAS would finance the purchase "on our own balance sheet as well as use operating leases. This would also give us the flexibility to manage our balance sheet and financing commitments."

-- BERNAMA

nazrey

July 17th, 2008, 06:59 AM

MAS to pay US$2.6b for Boeing planes
From Lokman Mansor Published: 2008/07/17, BusinessTimes

http://img29.picoodle.com/img/img29/4/7/16/f_fleet17m_3924fee.jpg

Malaysia's national carrier says the delivery of 35 next-generation 737-800s is timed to gain from an expected global economic recovery and pick-up in air travel in 2010

FARNBOROUGH: Malaysia Airlines (MAS) yesterday agreed to pay US$2.6 billion (RM8.4 billion) for 35 next-generation Boeing 737-800 airplanes, to be delivered beginning 2010 and timed to benefit from a turnaround in the airline industry.

The airline has also acquired purchase rights for an additional 20 aircraft, which it will only have to decide on from 2016 onwards.

Chief financial officer Datuk Tengku Azmil Zahruddin said MAS will acquire the planes directly, and will partially sell and lease back from Penerbangan Malaysia Bhd. He said this gives it the flexibility to better manage its balance sheet and financing commitments.

Several funding sources are available, including proceeds from its end-2007 rights issue, commercial loans, or various structured products, Azmil said at a press conference after the signing ceremony here yesterday.

Boeing was represented by its president and chief executive officer (commercial) Scott Carson. Also present were Transport Minister Datuk Ong Tee Keat and MAS chairman Tan Sri Dr Munir Majid.

Azmil said MAS hopes to avoid the common industry mistake of ordering aircraft at the peak of the economic cycle and then taking delivery during a downturn.

"We are fine with the fact that the delivery of the first aircraft is only expected in 2010. By then, we are optimistic that the weakness in the current global economy would have been rectified, and air travel would pick up again," he said.

Azmil said the strategic timing puts MAS in a very solid position to capitalise on the growth that would take place as the global economy recovers, enabling it to sustain its profitable growth and help achieve its vision to be a 5-Star Value Carrier.

The new fleet will replace the existing 37 B737-400s and allow MAS to expand to points which were previously not economically-viable.

"The new fleet will support our aim towards the usage of more agile and fuel-efficient aircraft for our core network in the Asean region, including in the domestic sector in Malaysia as well as China and India. We are gearing ourselves to benefit from the growth in this region," Azmil said.

The single-aisle jet, which can seat between 162 to 189 passengers, can fly 290 nautical miles farther and consume seven per cent less fuel while carrying 12 more passengers than the competing model.

Boeing has forecast a US$3.2 trillion (RM10.3 trillion) market for new commercial airplanes over the next two decades, driven by increasing demand for airplanes to replace older, less efficient aircraft.

The aircraft maker's 2008 Current Market Outlook report expects to see 29,400 new commercial airplanes (passenger and freighter) by 2027, with a balanced demand in aircraft by region.

nazrey

July 17th, 2008, 07:05 AM

Flight training centre to propel MAS growth
By Marina Emmanuel Published: 2008/07/17, BusinessTimes

MALAYSIA'S first flight training centre for turboprop planes has drawn strong demand from regional airlines and it could become a lucrative business for Malaysia Airlines (MAS).

The centre, based in Subang airport, is already almost fully booked until the end of the year. It started operations last month.

It has a US$10 million (RM32 million) full-flight simulator for planes made by French-Italian turboprop maker Aerei da Trasporto Regionale (ATR). MAS bought the simulator from Canadian firm CAE Inc.

ATR has set up the centre in cooperation with Firefly Sdn Bhd, the low-cost travel arm of MAS, ATR said in a statement released at the Farnborough Airshow in the UK on Tuesday.

Firefly and MASwings, another MAS subsidiary, are each set to get 10 new ATR aircraft which have been sold at US$18.5 million (RM59.6 million) apiece.

"We plan to acquire more simulators later and have another building to accommodate the simulator bays for third-party training use," Firefly managing director Eddy Leong told Business Times in a phone interview.

Leong said a total of 60 Firefly and MASwings pilots are expected to be trained at the new centre this year.

"In addition, we have already begun welcoming regional ATR pilots here for training," he added.

"When we said we are building Firefly as a passenger airline, we not only fly the planes but also stress on training our pilots.

"From a cost perspective, we no longer have to send our pilots for training abroad, they can simply go next door for more training."

The centre is the second training outfit for ATR in Southeast Asia, after the one in Bangkok.

ATR chief executive officer Stephane Mayer said the Bangkok centre, operated jointly with aircraft avionics maker Thales, is reaching saturation point with growing requests from Asian customers.

"The Southeast Asian market needs highly qualified pilots to keep pace with its growth, and we are glad to contribute to this development, in addition to recognising a good opportunity to partner with our customer, Firefly," he said in a statement.

nazrey

July 17th, 2008, 03:45 PM

MAS & Italian Firm In MRO Deal
July 17, 2008 21:05 PM
From Mikhail Raj Abdullah

FARNBOROUGH (United Kingdom), July 17 (Bernama) -- MAS Aerospace Engineering, a wholly-owned subsidiary of Malaysia Airlines, will team up with Italy's aeronautical firm, Alenia Aeronavali to form a comprehensive aircraft maintenance and repair overhaul (MRO) joint venture company.

While they would market these services to other airlines at highly competitive costs in both the local and regional MRO markets, their partnership would provide a boost to the government's aggressive efforts to promote Subang as an aviation hub.

"We can leverage on our collective expertise to continue to offer a high level of safe and secure flight operations," MAS Aerospace Engineering (MAE)'s Managing Director, Mohd Roslan Ismail, said.

He said MAE is to be one of the major MRO providers in Asia.

Mohd Roslan said the facility in Subang, which mainly services the Fokker-50 aircraft, would be able to service the Avions de Transport Regional (ATR) aircraft by the year end with minimal investment comprising tooling and training as the hangar was already there.

As for efforts to enhance Subang as a major MRO hub in the Asia Pacific region, he said the potential was there given that 160 ATR aircraft had already been delivered and a further 272 ordered.

Subang was already among the top three MRO centres regionally. He said potential customers from India, Vietnam, Indonesia, the Philippines would find it cheaper to service their ATR in Subang rather than sending the aircraft back to Toulouse in France.

"We are also finalising the equity shareholding but MAE will be the major shareholder in the joint venture," he said. Meanwhile MAS executive director and chief financial officer Tengku Azmil Zahruddin said MAE, which turned in a revenue of RM350 million last year, hoped to chalk up considerably higher earnings when the ATR servicing operations come onstream fully. Both MAE and Alenia Aeronavali, a company within the Italian conglomerate Finmeccanica and controlled by Alenia Aeronautica, marked the formation of the joint venture with the signing of a memorandum of agreement (MoA) Thursday.

Mohd Roslan signed for MAE while Alenia was represented by its chief executive officer Gennaro Di Capua.

The MRO JV would support the future fleet of 15 ATR aircraft that would join two MAS subsidiaries, Firefly and MASwings, as well as other potential operators in the region during its first stage of operations.

The deal to supply 15 ATR aircraft to Firefly and MASwings was signed in January.

ATR are manufacturers of turboprop aircraft.

In the second stage, the joint venture would develop additional business opportunities in the cargo conversions and specialised activities.

Under the MoA, MAE would be the majority shareholder and fully supported by ATR.

Mohd Roslan and Alenia Aeronavali's Chief Executive Officer, Gennaro Di Capua signed the MoA at the Farnborough International Air Show outside London.

It was witnessed by Minister of Transport, Datuk Ong Tee Keat, Malaysia Airlines Chairman, Tan Sri Dr Munir Majid and Alenia Aeronauticas Chief Executive Officer, Giovanni Bertolone.

"This is a significant occasion for MAE, as Aeronavali has more than 50 years of experience in MRO jobs and is an experienced ATR service provider," Mohd Roslan said at the signing.

Di Capua, in his remarks, said the new JV would combine the efficiency and effectiveness of an experienced airline like MAS and the know-how of the Finmeccanica Groups companies in the MRO sector.

"We are sure that the new joint venture will produce outstanding results in the Malaysian and the regional MRO markets," said Di Capua.

Mohd Roslan said large percentage of the new aircraft deliveries will go to Asia in general, and Southeast Asia in particular, and "we want to capitalise on this".

Alenia Aeronautica is the largest Italian aeronautic player which operates world-wide in the commercial and military aviation, unmanned aerial vehicles and aerostructures.

Alenia Aeronautica also coordinates the activities of Alenia Aermacchi and Alenia Aeronavali - wholly owned companies - respectively active in the design and manufacturing of military trainer aircraft and in the overhaul, maintenance and modification of military and civil aircraft.

Alenia Aeronavali is active in the field of the maintenance and modification of military and commercial airplanes, specifically, in the cargo modification.

It works in the maritime patrol version of the ATR and has developed the freighter conversion of the ATR 42/72, along with its mother company Alenia Aeronautica, which, among other things, is deeply involved in the manufacturing of the fuselage of the aircraft within the Gie ATR.

So far, in addition to performance by Alenia Aeronavali of the continuous maintenance support to ATR operators and Gie ATR, eight ATR aircrafts have been modified with the installation of a large cargo door.

With its joint ventures ATR and SuperJet International, Alenia Aeronautica is the world leader in the regional turboprop market and a top player in the regional jet sector.

MAE started as Malaysia Airlines Engineering and Maintenance division in 1972 and has over 35 years of experience in the MRO field.

With advanced heavy maintenance facilities and six fully equipped hangars at the KL International Airport and its headoffice in Subang, it manages MAS' aircraft fleet that includes B747-400, B777-200, A330-200/300, B737-400.

It also provides MRO support for the Fokker 50 and Twin Otter aircraft in its subsidiary companies, MASwings and Firefly.

-- BERNAMA

nazrey

July 18th, 2008, 06:51 AM

MAS to pay RM8.5b for 35 planes
by M Shanmugam, 17 Jul 2008 11:51 AM
THEEDGEDAILY

LONDON: Malaysia Airlines System Bhd (MAS) has clearly put behind its tormenting past marked by constricting cash flows to conclude the purchase of 35 Boeing 737-800 that will cost the national carrier US$2.6 billion (RM8.5 billion).

The national airline, which will start taking delivery of the new planes from 2010, also purchased the rights to another 20 B737-800. The option, which starts from 2016, includes the rights to swap the planes for the larger B737-900 model.

Interestingly, the purchase comes at a time when airlines are tumbling under the weight of increased oil prices and reduced global travel. At least six airlines in the US and two in Asia have shut down down their operations in the past three months. Less than three years ago, MAS was also on the road towards collapse.

Struggling with cash flow problems, MAS, which is majority owned by Khazanah Nasional Bhd, saw the appointment of a new managing director, Datuk Seri Idris Jala, who embarked on its transformation.

The national carrier sold its building in Jalan Tun Dr Ismail, cut unprofitable routes, reduced manpower, improved operations and had a fund-raising exercise to build its cash which stands at a healthy RM3.5 billion and is increasing.

Management of cash flow has always been the key point in MAS’ turnaround, even in its timing of taking delivery of the new planes.

MAS chief financial officer Tengku Datuk Azmil Zahruddin, who is a key member of Idris’ turnaround team, said by the time the planes are delivered in three years’ time, the airline was optimistic the weak global economic scenario would have been rectified and air travel improved.

“This strategic timing puts Malaysia Airlines in a solid position to capitalise on the growth that would take place, enabling us to sustain our profitable growth and help achieve our vision to be a five-star value carrier,” said Tengku Azmil at the signing ceremony for the purchase of the 35 B737-800 on the sidelines of the Farnborough International Airshow here yesterday.

Tengku Azmil said MAS had the flexibility of taking early delivery if the need arose. On the financing of the deal, Tengku Azmil said it had various options and could even look into the possibility of selling the planes to a leasing company such as Penerbangan Malaysia Bhd or any others and leasing them back.

But industry observers felt that such a scenario was unlikely as the airline industry is going through a consolidation phase now.

The delivery date of 2010 for the B737-800 was also a surprise as Boeing and Airbus, the two main manufacturers of airlines, had until the middle of last year stated that their manufacturing slots were full until 2012. To this, Boeing Commercial Airplanes president and CEO Scott Carson said: “MAS drove a challenging deal.”

Tengku Azmil said based on industry estimates, about 400 new aircraft had hit the skies in Asia-Pacific, India and the Middle East last year and another 400 were expected to hit the region this year.

Coupled with the liberalisation of Asean skies and rising fuel costs, Tengku Azmil said that MAS needed to transform quickly.

As the race heats up, it is crucial for MAS to continue to drive growth through increasing the load factor, leveraging on the hub-and-spoke network and maximising aircraft utilisation.

The new single-aisle B737-800s will replace the existing B737-400. The new planes have better fuel capacity and efficiencies which increase its range, higher seat configuration and is capable of cruising at a higher altitude of 41,000ft compared with 39,000ft for its competition.

Tengku Azmil said the new fleet would support MAS’ objective of more agile and fuel-efficient aircraft to serve its core network in the Asean region including the domestic sector in Malaysia, China and India.

The B737-800 is the first major purchase of jet engine planes by MAS in recent years. Early this year, it signed a deal with France-based ATR, a joint- venture company between Italy’s Alenia Aeronautica and EADS, the manufacturer of Airbus.

The deal was to seal the purchase of 15 turbo-prop planes to boost its fleet for its sister company Firefly. There is an option for another 15 ATRs.

Apart from the single aisle B737-800, MAS is also looking to purchase 50 wide-body planes in its move to replace the existing fleet with higher fuel efficiency planes. MAS also will take delivery of six A380-800 in 2011.

So far, only Singapore Airlines has taken delivery of the giant A380 which is the showcase of EADS.

nazrey

July 18th, 2008, 07:04 AM

MAS unit plans venture with Alenia Aeronavali
From Lokman Mansor Published: 2008/07/18, BusinessTimes

FARNBOROUGH: MAS Aerospace Engineering (MAE), a wholly-owned subsidiary of Malaysian Airline System Bhd (MAS), plans to set up a joint venture in Malaysia with Italy's Alenia Aeronavali to provide aircraft maintenance, repair and overhaul (MRO) services.

Both companies signed a memorandum of agreement (MoA) at the Farnborough International Air Show here yesterday that will see MAE having majority stake in the venture.

MAE managing director Mohd Roslan Ismail said the proposed MRO will support the future fleet of 15 Avions de Transport Regional (ATR) aircraft that will join two MAS subsidiaries, namely Firefly and MASwings, as well as other potential operators in the region during its first stage of operations.

"In the second stage, the joint venture will develop additional business opportunity in the cargo conversions and specialized activities," he said at the signing ceremony.

Alenia Aeronavali was represented by its chief executive officer Gennaro Di Capua. Also present were Transport Minister Datuk Ong Tee Keat, Malaysia Airlines chairman Tan Sri Dr Munir Majid, Malaysia Airlines executive director and chief financial officer Tengku Datuk Azmil Zahruddin, and Alenia Aeronautica chief executive officer Giovanni Bertolone.

Alenia Aeronautica, a Finmeccanica Company, is the largest Italian aeronautic player which operates world-wide in the commercial and military aviation, unmanned aerial vehicles and aerostructures.

Roslan said Aeronavali has more than 50 years experience in MRO jobs and is an experienced ATR service provider.

"We can leverage on our collective expertise to continue to offer a high level of safe and secure flight operations. We can also market these services to other airlines at highly competitive costs," he added.

Di Capua, meanwhile, said the new venture will combine the efficiency and effectiveness of an experienced airline like MAS and the knowhow of the Finmeccanica Group's companies in the MRO sector.

"We are sure that the new joint venture will produce outstanding results in the Malaysian and the regional MRO markets," he said.

MAE started as Malaysia Airlines' Engineering and Maintenance division in 1972 and has over 35 years of experience in the MRO business.

With heavy maintenance facilities and six fully-equipped hangars in KL International Airport and its head office in Subang, it manages Malaysia Airlines' aircraft fleet and provides MRO support for the Fokker 50 and Twin Otter aircraft in its subsidiary companies, MASwings and Firefly.

Roslan said MAE also perform third party maintenance work for other airlines such as Qantas and Lufthansa, which comprises about 40 per cent of the business.

nazrey

July 18th, 2008, 07:05 AM

Malaysia Airlines to add capacity to shorter haul routes
By Chong Pooi Koon Published: 2008/07/18, BusinessTimes

MALAYSIA Airlines plans to reshuffle its capacity to shorter haul routes as it foresees more travellers, hit by the expensive airfares, opt for nearer holiday destinations.

The carrier recently raised its fuel surcharge on international routes by up to 80 per cent, warning at the same time that travellers should be prepared for more expensive air travel due to the skyrocketing oil prices.

Despite the sharply higher airfares, MAS managing director Datuk Seri Idris Jala does not expect passengers to stop travelling altogether. Instead, he expects them to shift their holiday destinations from faraway places to cities nearer to home.

"People will still fly and the load still there, but we expect them to shift their path. From long haul they will move to the medium, and from medium to the short distance," Idris told reporters after the Bloomberg Leadership Forum in Kuala Lumpur yesterday.

"So what you can do is divert some of the capacity onto the routes where you think the shift will take place. We will rejig some of our capacity and put more capacity on the shorter haul routes," he added.

He said MAS' load factor has been holding up well at 70 per cent in the first six months this year and it haven't seen a drop in demand. Its planes were 69 per cent filled during the same period last year.

Idris said some corporate customers may downgrade to business class or economy from first class before as they try to save costs.

"But the passenger (in total) still spend the same amount of money," he said.

Echoing many others, Idris, who had spent a good part of his career working with oil major Shell, blames the dizzyingly high crude oil prices on financial speculations.

"The price of oil at about US$140 a barrel is very unfair to the world economy," he said.

"If you look at the portfolio of most oil companies, it is already commercially viable for them to extract and produce when crude oil trades at US$40 per barrel. Anything above that is speculation," he said.

nazrey

July 18th, 2008, 05:44 PM

AirAsia To Start Pekan Baru-Singapore Flight August 14
July 18, 2008 22:24 PM

KUALA LUMPUR, July 18 (Bernama) -- Low cost carrier, AirAsia, is scheduled to have its first flight from Pekan Baru, Indonesia to Singapore on August 14 this year. In a statement Friday, AirAsia said it will fly from Pekan Baru to Singapore three times a week. The new route, managed by AirAsia in Indonesia, is the first to be offered by a local based airline in Indonesia.

"We see the latest Pekan Baru-Singapore route as a sign of AirAsia's confidence in capturing the ASEAN market," said its group chief executive officer, Datuk Seri Tony Fernandes. With this new addition, AirAsia now serves three international destinations from Indonesia, namely Malaysia (Kuala Lumpur, Penang, Kota Kinabalu, Kuching), Thailand (Bangkok) and Singapore plus eight Indonesian domestic routes from Jakarta.

Tony added that this new route, supported with the already established Pekan Baru-Kuala Lumpur route, will provide enhanced connectivity for locals to the rest of the region. The booking period for special fares from Pekan Baru to Singapore and from Singapore to Pekan Baru which started on July 17 will end on July 27.

-- BERNAMA

nazrey

July 20th, 2008, 03:20 PM

AirAsia adds new route to its Indonesian network
Sunday July 20, 2008, TheStar

SEPANG: AirAsia has added a new route to its Indonesian network.

The Pekan Baru-Singapore route, managed by AirAsia in Indonesia, will be the first to be offered by a local-based airline in the archipelago. Currently, the airline serves two international destinations from Indonesia, which are Malaysia and Thailand, as well as eight domestic routes from Jakarta.

AirAsia group chief executive officer Datuk Seri Tony Fernandes said the latest route was a sign of the airline's confidence in capturing the Asean market.

“This new route, supported with the already established Pekan Baru-Kuala Lumpur route, provides enhanced connectivity for Indonesians to the rest of the region.

“It is a pleasure for us to provide accessibility and low fares to the people of Pekan Baru and Singapore. We expect our low fares and innovative services to continue to attract guests to fly with us,” said Fernandes in a statement on Friday.

nazrey

July 22nd, 2008, 07:09 AM

AirAsia opens ticket sale for KL-Manado route
Published: 2008/07/22

AIRASIA Bhd will open for sale today tickets to the new route to Manado, Indonesia, from Kuala Lumpur where it will start its inaugural flight with three direct weekly flights on September 12.

In a statement yesterday, AirAsia said Manado was its 15th destination and it was the first international airline to service the route from KL.

Manado, the capital of North Sulawesi, is the main gateway to the Indonesian archipelago comprising Minahasa, Bolaang, Mongondow and the island of Dangihe Talaud.

Group chief executive officer Datuk Seri Tony Fernandes said AirAsia’s guests in North Sulawesi could take advantage of its vast network to over 102 routes.

“With this new air connectivity, the people of Manado will have a better access to more low-cost and other international routes where AirAsia and affiliate, AirAsia X, flies to and from KL,” he said.

The promotional fare starts from as low as RM49 for the booking period from July 22-27, 2008 for the travel period from September 12, 2008 to April 30, 2009. — Bernama

David-80

July 22nd, 2008, 04:56 PM

Nice that Air Asia Indonesia and its Air Asia bhd are doing very well in the market...growing routes within Indonesia and outside the country.

Now every month i always heard new routes from AirAsia Indonesia.

cheers

aseantraveler

July 23rd, 2008, 09:40 AM

AirAsia is to launch four direct weekly flights between Kuala Lumpur’s Low Cost Carrier Terminal and Liangjiang Airport in Guilin, China, from 3 September 2008.

To celebrate the new route, AirAsia is offering a special launch fare of just RM88 (CNY200) for bookings between 23 – 27 July 2008 and travel between 3 September 2008 and 30 April 2009. The promotional fares are for one way travel and exclusive of all taxes, service fees, surcharges etc.

Guilin, situated in the northeast of the Guangxi Region, is one of China’s most popular tourist destinations, welcoming over 13 million foreign visitors in 2007. Renowned for its unique scenery and cultural heritage, the city of Guilin is home to some of the world’s most famous natural tourist attractions including Seven Stars conversation park and Ri rivers.

Guilin is famed for its captivating natural beauty, serene rivers and majestic natural formations and is without a doubt, one of the most beautiful natural landscapes in Asia. Surrounded by mountains 200 million years in the making, Guilin’s landscape is a product of the earth’s movements; karst formations moulded through years of erosion to form rock hills with bizarre shapes. If that isn’t enough to keep one enthralled, Guilin also has two crystal clear rivers running through the city, around which many fairytales and fables have been woven.

Dato’ Sri Tony Fernandes, CEO AirAsia, said, “As a key tourist destination in China, Guilin is a valuable addition to AirAsia’s growing route network in Southern China. Considering the region’s popularity as a holiday destination, we are confident that there will be plenty of demand for the Guilin route.”

The launch of the new Guilin route marks the airline’s seventh destination to China, a route network which has carried over 2.2 million passengers to date.

=================================================

Flight Info

Coming Soon!
Kuala Lumpur - Balikpapan
Kuala Lumpur - Batam
Kuala Lumpur - Tiruchirapalli
Kuala Lumpur - Tianjin

==============================
New Destinations
Kuala Lumpur - Guilin
Kuala Lumpur - Manado (North Sulawesi)
Kuala Lumpur - Makassar
New Routes
Pekanbaru - Singapore
Bali - Kuching
Bali - Kota Kinabalu
Jakarta - Kuching
Jakarta - Kota Kinabalu
Jakarta - Penang
Pekanbaru - Kuala Lumpur
Medan - Penang
Surabaya - Johor Bahru

nazrey

July 24th, 2008, 07:16 AM

Guilin is AirAsia’s seventh China stop
Thursday July 24, 2008

KUALA LUMPUR: AirAsia has announced its seventh destination in China – Guilin in the north-east Guangxi Province.

Guilin is one of China's most popular tourist spots, having welcomed over 13 million foreign visitors last year, the budget airline said in a statement.

The inaugural flight is set for Sept 3.

The airline will operate four weekly flights between the Low-Cost Carrier Terminal in Sepang and Liangjiang Airport in Guilin.

AirAsia will be the first and only airline from Malaysia to offer a direct service between the two cities, it said.

To mark the Kuala Lumpur-Guilin route, AirAsia is offering a special launch fare starting at RM88 (200 yuan) for the booking period until Sunday.

Travel period for the promotion is from Sept 3 to April 30.

Online bookings for the special fare can be made via www.airasia.com. – Bernama

nazrey

July 26th, 2008, 04:27 AM

MAS flying Chelsea on its Asian tour
Saturday July 26, 2008, TheStar

PETALING JAYA: Chelsea is being flown by Malaysia Airlines for its 2008 Asian tour which will also see them in action at the Shah Alam Stadium on Tuesday.

The national carrier has already taken the 2005/6 English Premier champions to Guangzhou for their first game against Guangzhou Pharmaceutical where Chelsea won 4-0 on Wednesday.

The MAS chartered flight took the team to Macau yesterday where they will play Chengdu Blades on Saturday before heading to Malaysia to take on the national selection.

After that, Chelsea will fly MAS to Russia for the Railways Cup.

MAS signed an agreement yesterday with football consultancy ProEvents International Sdn Bhd to be the Chelsea official air charter for the tour.

Last year, Malaysia Airlines (MAS) chartered football club Manchester United.

“When it comes to providing air charter services for world-class soccer clubs, MAS has consistently maintained its competitive edge for many years as the preferred carrier for these recognised teams.

“This is evidenced by our success in securing the business to fly 5-star soccer clubs like Manchester United, Real Madrid, Barcelona and now Chelsea with an entourage of about 100 persons,” said its executive director and chief financial officer Tengku Datuk Azmil Zahruddin.

Fast-tracked check-in for departures, specially made in-flight seat headrests with the Chelsea Asia Tour 2008 insignia, seamless baggage restoration on arrival and exclusive in-flight entertainment are among the special treatment arrangements the airline has put in place for this purpose.

The Chelsea-Malaysian selection match will kick-off at 8.45pm. For ticketing details visit www.ticketpro.com.my or call 03-7880 7999.

nazrey

July 26th, 2008, 04:53 AM

MAS buckles up for bumpy ride
By Lokman Mansor, Published: 2008/07/26, BusinessTimes

WHILE airlines worldwide grapple with heavy losses from escalating fuel prices, with some even on the brink of bankruptcy, Malaysia Airlines (MAS) is buckling up for the bumpy ride but, at the same time, planning for brighter skies ahead.

"In the short term, we are looking at some capacity cuts, but we are also building the base for growth and expansion in the medium to long term," executive director and chief financial officer Datuk Tengku Azmil Zahruddin said.

Beginning late next month or early September, MAS will start reducing frequencies on some routes or deploy smaller aircraft to optimise capacity. Where previously it flew to Los Angeles seven times a week, for example, this might be cut down to five, he said.

In total, MAS is looking at a reduction of 1.75 billion available seat kilometres (ASK) this year. It will involve certain regional flights as well as the Americas, North Asia, Australia/New Zealand, Europe and South Asia.

Briefing the Malaysian media during the Farnborough International Airshow in the UK recently, Tengku Azmil said MAS was also taking steps to grow its network in anticipation of a turnaround in the air travel sector.

It wants to better match aircraft to network, operate more cost-efficient planes and simplify its fleet to only one model each for narrow-body, wide-body and ultra-large wide-body aircraft.

"From our perspective, now is the right time to look at it. At Farnborough, we are seeing fewer orders than in previous years. And because demand is dropping, this is the time to get a more decent deal from aircraft manufacturers," Tengku Azmil added.

At the airshow, MAS signed a US$2.6 billion (RM8.5 billion) deal to buy 25 next-generation Boeing 737-800s. Delivery will start in September 2010. It has options for another 20 narrow-body planes.

Through Penerbangan Malaysia Bhd (PMB), MAS will also take delivery of six wide-body A380-800s from 2011. This year, MAS subsidiaries Firefly and MASwings will start receiving up to 15 ATR turboprop aircraft.

"For the ultra wide-body model, discussions are being held with both Airbus and Boeing. There is no fixed timeline for orders to be placed, but we're targeting for the end of 2008.

"This will be the last piece of our fleet plan

"We've been quite busy in terms of ordering new aircraft. This is a period of renewal for us, based on medium- to long-term growth plans, irrespective of what it looks like in the short term," Tengku Azmil said.

While waiting for the new planes to arrive, MAS is refreshing its existing fleet for domestic and regional routes.

This involves 41 A330s and B737s and includes refurbishing seats and installing larger video screens.

Tengku Azmil believes that by the time the new planes arrive, the economy will have begun to turn around, with Asean, China and India showing the highest growth potential.

"We are fortunate to be in proximity to these growth areas and the strategic timing of aircraft delivery means we will be ready to capitalise on this growth," he said.

Over time, MAS will likely move towards a mix of direct ownership and lease of aircraft, beginning with the ATRs, Tengku Azmil added.

At present, all its aircraft are leased from PMB.

http://www.btimes.com.my/Current_News/BTIMES/Monday/OurPick/azmil21.xml/Article/Current_News/BTIMES/Images/btgraph9/seat.jpg

ntly1

July 26th, 2008, 09:50 AM

source:www.thestar.com.my

MAS flying Chelsea on its Asian tour

PETALING JAYA: Chelsea is being flown by Malaysia Airlines for its 2008 Asian tour which will also see them in action at the Shah Alam Stadium on Tuesday.

The national carrier has already taken the 2005/6 English Premier champions to Guangzhou for their first game against Guangzhou Pharmaceutical where Chelsea won 4-0 on Wednesday.

http://img59.imageshack.us/img59/6572/n03frankpp0.jpg (http://imageshack.us)
The preferred choice: Chelsea’s Frank Lampard being greeted by a MAS stewardess when he boarded the flight in London.

The MAS chartered flight took the team to Macau yesterday where they will play Chengdu Blades on Saturday before heading to Malaysia to take on the national selection.

After that, Chelsea will fly MAS to Russia for the Railways Cup.

MAS signed an agreement yesterday with football consultancy ProEvents International Sdn Bhd to be the Chelsea official air charter for the tour.

Last year, Malaysia Airlines (MAS) chartered football club Manchester United.

“When it comes to providing air charter services for world-class soccer clubs, MAS has consistently maintained its competitive edge for many years as the preferred carrier for these recognised teams.

“This is evidenced by our success in securing the business to fly 5-star soccer clubs like Manchester United, Real Madrid, Barcelona and now Chelsea with an entourage of about 100 persons,” said its executive director and chief financial officer Tengku Datuk Azmil Zahruddin.

Fast-tracked check-in for departures, specially made in-flight seat headrests with the Chelsea Asia Tour 2008 insignia, seamless baggage restoration on arrival and exclusive in-flight entertainment are among the special treatment arrangements the airline has put in place for this purpose.

The Chelsea-Malaysian selection match will kick-off at 8.45pm. For ticketing details visit www.ticketpro.com.my or call 03-7880 7999.

nazrey

July 28th, 2008, 11:04 AM

Visa rule could scupper AirAsia X flights to Japan
Monday July 28, 2008, TheStar

KUALA LUMPUR: Long-haul budget airline AirAsia X is likely to drop plans to fly to Japan next year due to tough visa rules, said a top official with the airline.

“Give me a chance now and I’d rather fly to South Korea, the Middle East and India ... other countries are competing for Malaysian tourists,” AirAsia X chief executive officer Azran Osman-Rani told AFP in an interview.

“To get a Japanese visa, a Malaysian has to visit the embassy in Kuala Lumpur twice and even then the person is not sure a visa will be issued,” he said.

The Australian-based Centre for Asia Pacific Aviation (Capa) said recently that Japan’s highly restrictive visa system virtually rules out AirAsia X from starting a service in 2009 as it had planned.

Capa said Japan would have to remove the visa restrictions to make it attractive to regional budget carriers.

Azran said that when he visited airports in Japan earlier this month, the operators were eager to accept AirAsia X flights to “compensate” as full-service carriers like Qantas had cut back their frequencies.

An affiliate of regional low-cost carrier AirAsia and Virgin Group, AirAsia X was launched in January 2007.

Meanwhile, AirAsia has extended its service to Makassar’s main gateway, the Hasanuddin International Airport, making it the first international airline to service the route.

The airport in Sulawesi, Indonesia, connects to other international routes via Kuala Lumpur and domestic destinations in the region.

nazrey

July 28th, 2008, 11:11 AM

Chelsea players get a kick out of satay
Monday July 28, 2008, By Y.P. SIVAM, TheStar

IT was satay, the all-time favourite among Malaysians, that the Chelsea players tucked into during their journey from London to Guangzhou – the first stopover for the Blues in the Samsung-Asian Tour 2008.

According to Malaysia Airlines (MAS) Hajj and Charter services assistant general manager Nik Ahmad Huzlan Nik Hussain, the Chelsea players found the delicacy irresistible.

“Satay was included in the special menu, prepared by MAS after consulting Chelsea’s team of nutritionists and dieticians. The menu was proposed to the Chelsea management when MAS was appointed as the official air charter for the Blues’ Asian Tour.

“The menu was also proposed on the length of the trip. For instance, the flight from London to Guangzhou was about 12 hours and we had to look at breakfast, lunch and dinner. And it also depended on the time zone,” said Nik Ahmad Huzlan.

MAS will be responsible for Chelsea’s Asian Tour with stoppages in Guangzhou, Macau, Kuala Lumpur and Moscow.

The tour started on July 20 and will end with the team returning to London on Aug 3. The Chelsea entourage comprises players, officials, sponsors and medical team.

http://thestar.com.my/archives/2008/7/28/central/m_25satay.jpg

Delicious: A stewardess serving satay during
the team’s flight from London to Guangzhou.

“We are responsible for the team’s travelling programme from the time they check in and until they check out,” he said.

Nik Ahmad Huzlan said MAS had deployed a group of 30 dedicated employees, who were handpicked for the exclusive flight.

“The Chelsea entourage could be from 80 to 120 at any one time. We will ensure that staff members involved in the programme are not star-struck. They are also not allowed to solicit for photos or autographs unless authorised.

“The staff are also competent on safety requirements and must be obliging,” added Nik Ahmad Huzlan.

Upon the contingent’s arrival, MAS will have to make arrangements for special checkout. MAS staff manning the check-outs, have the ability to handle cargo and excess baggage.

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Thorough planning: Nik Huslan (second from right)
discussing Chelsea's Asian Tour with his staff.

MAS has vast experience with foreign teams. They have flown teams like Manchester United (2005 and 2007); Barcelona (2004); Real Madrid (2003) and Juventus (2004).

Nik Ahmad Huzlan said the experience gained from the previous expeditions would come in handy when they welcomed Chelsea.

After the match, the Chelsea entourage will depart to the KL International Airport (KLIA) where MAS would have made arrangements for the players to freshen up at the airport.

“Preparation for the flight to Moscow will begin four hours prior to departure,” added Nik Ahmad Huzlan.

Chelsea will take on the Malaysian Selection at the Shah Alam Stadium tomorrow. The match will kick off at 8.45pm.

The match will be telecast live to England, Italy, Portugal, the Balkans, Serbia, Poland, CIS States, Indonesia, China, South Korea, Hong Kong, Macau, Singapore and the Middle East.

The official match sponsors include Samsung Malaysia, adidas, Maxis, Astro, Malaysia Airlines and the Palace of the Golden Horses.

Tickets, priced at RM33, RM53, RM83, RM103 and RM303 (VIP), are on sale at Ticket Pro outlets and selected adidas stores.

For more information call 03-78807999 or log on to www.ticketpro.com.my

nazrey

July 29th, 2008, 04:38 PM

MAS To Introduce Over-The-Counter Payment Service By Early 2009
July 29, 2008 20:13 PM

PETALING JAYA, July 29 (Bernama) -- Malaysia Airlines (MAS) is expected to launch its over-the-counter payment service by early 2009 to increase online booking transactions, its senior general manager of network and revenue management, Datuk Bernard Francis said.

He said the airline was in talks with three local banks and a few others in in Asean to introduce the service. He however declined to name the banks.

"We are actually at an advanced stage of discussions involving technology and integration," he told reporters after the presentation of MAS' online payment service via CIMB Clicks, here Tuesday.

He added that MAS was looking to collaborate with selected banks which had branches in the region.

"The new service enables customers to make online bookings and payments at any bank, the post office or institution recognised by us," he said.

On the new online payment facility via CIMB Clicks, Francis said the service ensured customers with no credit cards could still enjoy MAS' attractive online offers.

"The online payment facility via CIMB Clicks is simple and user friendly. Once the flight booking is confirmed at www.malaysiaairlines.com, customers will be directed to the payment page, where they select CIMB Bank and the account for the payment to be debited," Francis explained.

The online facility has registered RM250,000 in transactions since its launch in May this year.

MAS has targeted to increase its internet penetration rate to 60 percent by 2010 from the 15 percent at present.

The national airline first rolled out its internet booking portal in January 2004 to cater for the domestic sector and moved to cover international air travel effective Aug 14 the same year.

It offers payment options via Visa and Mastercard credit cards.

-- BERNAMA

nazrey

July 30th, 2008, 02:57 AM

AirAsia starts special promotion
Published: 2008/07/30, BusinessTimes

AIRASIA Bhd, Asia's largest low-cost carrier (LCC), is offering airfares from Kuala Lumpur to eight domestic destinations for as low as RM9 each way, excluding taxes, fuel surcharges and fees.

The destinations comprise Alor Star, Johor Baru, Kota Baru, Langkawi, Penang, Kuala Terengganu, Kuantan and Labuan.

In a statement yesterday, AirAsia said the booking period for this special promotion began on Monday to August 5 for travelling between September 1 and November 13.

The move is in conjunction with Tourism Malaysia's ZOOM Malaysia tourism campaign, which aims to strengthen and stimulate domestic tourism.

Other routes offered under the promotion include Bintulu, Kuching, Miri and Sibu in Sarawak and Kota Kinabalu, Sandakan and Tawau in Sabah, which are priced from RM29 one way.

http://img37.picoodle.com/img/img37/4/7/29/f_farem_e9b96d4.jpg

nazrey

July 30th, 2008, 03:35 AM

MAS in talks with banks to expand online sales
Wednesday July 30, 2008, TheStar

PETALING JAYA: Malaysia Airlines (MAS) is in discussions with more banks to provide additional payment modes to its customers worldwide.

This follows the success of the national carrier’s partnerships with Maybank and CIMB Bank since May by which clients of the two banks can pay for their tickets online without using credit cards.

“We are looking at giving our customers additional payment modes in order to simplify their air travel transactions,” said MAS network and revenue management senior general manager Datuk Bernard Francis.

Francis said MAS was in talks with three other banks in Malaysia and several others in the Asean region on similar partnerships.

On its partnership with Maybank and CIMB Bank, Francis said once bookings were finalised, customers would be guided to the online payment option page where they could authorise payments to be debited directly from their bank account.

“This will encourage more customers to buy online as it is more cost effective, and travellers can view, select and purchase value-for-money deals from the airline from the comfort of their homes and workplace,” he told reporters at a news conference here yesterday.

“At the global level, we are in discussions with big financial institutions, especially those with branches around the world,” he said, adding that MAS was soon introducing over-the-counter payments through its partnered financial institutions locally and globally.

It is learnt that the exercise is to further strengthen the airline’s distribution network.

Since its e-ticketing service was wholly implemented in May, MAS has seen nearly three million hits a month, equivalent to RM100mil in online ticketing sales.

The carrier aims to do 60% of its transactions online by 2010.

nazrey

July 30th, 2008, 07:07 PM

MAS to launch OTC payment by 1Q09
By Sharmila Ganapathy, 30 Jul 2008 4:26 PM, THEEDGEDAILY

http://www.theedgedaily.com/cms/storage/images/com.tms.cms.image.Image_7312df3e-cb73c03a-c2419300-d5decb43/1/cover_inside.jpg

CIMB Bank head of retail banking Peter England (left), Francis (centre) and
MAS air stewardess Siti Rohana at the launch of its online payment facility
in partnership with CIMB Bank. Photo by Suhaimi Yusuf

KELANA JAYA: Malaysia Airline System Bhd (MAS) plans to launch its over-the-counter (OTC) payment system by year-end or at the very latest the first quarter of next year, the company said yesterday.

Its senior general manager of network and revenue management, Datuk Bernard Francis, told reporters here yesterday that the new service would allow travellers to book and pay for their tickets online at any bank, post office or institutions recognised by the airline.

“We are in discussions with three banks in Malaysia and a number of banks in Asean and the rest of the world,” he said, adding that the discussions were at an advanced stage involving technology and integration. He did not divulge the names of the banks.

“We want to start (this service) in Malaysia, once successful we will introduce in all the markets we are in,” he added.

MAS, he said, planned to work with local banks in Malaysia. In the Asean region, the airline would explore working directly with local banks in the respective countries, as well as with Malaysian banks with presence elsewhere in Asia, for instance CIMB Bank which has a presence in Indonesia.

“We are also in discussions with a few global banks with branches around the world, some of which have 20,000 branches worldwide,” Francis said.

He was speaking after the launch of a new online payment facility in partnership with CIMB Bank, where travellers can make payments directly via CIMB Clicks, thus eliminating the need for credit cards. Payments are debited directly from the customer’s savings or current account in real-time.

“There are also no interest charges or fees for this convenience, which is available anywhere in the world, 24 hours a day, seven days a week,” said CIMB’s head of retail banking Peter England.

Bernard said the online facility had booked RM250,000 transactions since it went operational in May. The service is part of the airline’s longer-term plan to increase its Internet penetration rate to 60% by 2010 from about 15% currently. It first introduced its online booking portal in January 2004.

nazrey

July 30th, 2008, 07:08 PM

AirAsia launches Zoom promotion fares
30 Jul 2008 3:10 PM, THEEDGEDAILY

SEPANG: AirAsia has launched a new promotion which offers fares from as low as RM9 to selected domestic destinations, in conjunction with Tourism Malaysia’s Zoom Malaysia tourism campaign.

In a statement yesterday, AirAsia said the move was in line with the government’s effort to strengthen and stimulate domestic tourism. All fares exclude airport taxes, fuel surcharges and fees.

Fares are priced as low as RM9 one way from Kuala Lumpur to domestic destinations such as Alor Setar, Johor Bahru, Kota Bharu, Langkawi, Penang, Terengganu and Kuantan. East Malaysian route Labuan is also offered at RM9.

Other domestic routes offered under the Zoom promotion, which are priced at RM29 one way, include Bintulu, Kuching, Miri and Sibu in Sarawak plus Kota Kinabalu, Sandakan and Tawau in Sabah.

The booking period for this latest promotion begins on July 28 until Aug 5, 2008 for the travel period of Sept 1 to Nov 13, 2008.

hetfield85

July 31st, 2008, 02:48 AM

AIRSIA'S DEBT ISSUE TO BE RESOLVED WITH MAHB WILL SETTLE WITHIN NEXT TWO WEEKS, SAYS AIRASIA CEO

Bernama - Thursday, July 31

PENANG, July 30 (Bernama) -- Budget carrier AirAsia will resolve problems relating to it reportedly owing RM100 million to Malaysia Airports Holdings Bhd for the use of the latter's airports in the country within the next two weeks.

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AirAsia's chief executive Datuk Seri Tony Fernandes said discussions were ongoing with MAHB and both sides have reached an agreement.

"I have met Datuk Seri Basher Ahmad, Malaysia Airports' managing director and I'm optimistic that within the next two weeks, there would not be any issue between AirAsia and Malaysia Airports," he told reporters after a dinner meeting with the Penang business community.

During the dinner, he met Basher Ahmad where they discussed the issue.

He said both parties had a fruitful dinner and that they would be happy with the resolution.

It was reported in May that the low-cost carrier owes MAHB more than RM100mil for its use of airports in the country since 2002 until March 31 this year.

AirAsia's debts included RM5.4mil that the low cost carrier owed when it was operating the Rural Air Services (RAS) in Sabah and Sarawak.

It had appealed for the amount to be reduced.

However, he said the budget airline is urgently in need of low cost terminals in Malaysia as it was not getting low charges for using the country's airports.

"I am very keen on setting up our own low-cost terminal but its really in the hands of the Federal government to decide and work on it," he said.

Despite the the recent fuel hike, he said AirAsia will continue to expand its route and will not increase the fuel surcharge.

"It will certainly be a wrong move for the company to cut back on routes as we want to take a different view. We have launched a new "ZOOM" domestic flight package in cooperation with Malaysia Tourism," he said. -- BERNAMA

nazrey

July 31st, 2008, 02:55 AM

AirAsia expects to resolve LCCT debt issue in 2 weeks
By Marina Emmanuel Published: 2008/07/31, BusinessTimes

BUDGET carrier AirAsia Bhd expects to resolve any outstanding issues it has over the Low-Cost Carrier Terminal (LCCT) charges in two weeks.

Group chief executive officer Datuk Seri Tony Fernandes said he met with Malaysia Airports Holdings Bhd (MAHB) managing director Datuk Seri Bashir Ahmad on Monday to discuss the amount it owes the airport operator.

"I am optimistic that we can resolve this because it was a meeting of minds... the issue with MAHB is coming to an end," he said, but did not elaborate.

Fernandes was speaking to reporters at the inaugural session of investPenang's "The CEO Speaks" series in Penang yesterday.

Fernandes presented a talk on "Branding: Jazzing Up Your Business", which was launched by Penang Chief Minister Lim Guan Eng.

AirAsia is disputing the amount it owes MAHB because it believes that charges at the LCCT should be lower than the KL International Airport's main terminal.

It was reported that the actual amount accumulated since 2002 varies from the RM60 million mentioned in some reports to up to RM110 million as reported in Parliament.

The matter was reported to have been brought to the Finance Ministry to resolve.

"It is a bonus for us to clear that," Fernandes said, adding that the low-cost carrier business is a new one and therefore took a little longer for various parties to understand its operating concept.

Asked whether AirAsia is planning to settle its debts with MAHB, Fernandes said: "We have resolved whatever historical issues which are outstanding and will need further discussions on the future."

On the business outlook for AirAsia amid rising fuel costs, Fernandes said: "Despite 24 airlines around the world going bust, I am optimistic that people will still want to fly and we will continue doing what we are doing and ride through the storm."

nazrey

July 31st, 2008, 07:18 PM

AirAsia To Offer Fares From As Low As RM15 At Matta Fair
July 31, 2008 22:39 PM

KUALA LUMPUR, July 31 (Bernama) -- AirAsia Bhd will offer fares as low as RM15 from Johor Baharu (JB) hub to Kuala Lumpur in conjunction with the 10th Malaysian Association of Tour & Travel Agents (Matta) Fair which will be held in JB from Aug 1-3.

In a statement here Thursday, the company said the fares would also be priced as low as RM40 from JB to Penang with two flights available daily while the JB to Kota Kinabalu daily flights would be at as low as RM70.

AirAsia said it would also include several regional destinations as an added treat for budding travellers.

"A one-way flight to Jakarta or Surabaya is offered from as low as RM50 from JB with three flights a week for each route.

"Daily flights to Macau are also offered with fares from as low as RM100," it said.

It said it would also give away free return flights from JB hub to Macau, Bangkok, Kuala Lumpur and Jakarta and from Kuala Lumpur hub to the Gold Coast, Banda Aceh and Vientiane.

Four free seats are allocated for each destination, it said.

AirAsia regional head of commercial, Kathleen Tan, said the MATTA fair gave the company an opportunity to reach out to the public.

"With low fares going even lower at the fair, it is the time for the public to take full advantage as the routes offered are among our best sellers," she said.

-- BERNAMA

nazrey

August 2nd, 2008, 02:39 AM

AirAsia’s inaugural flight to Makassar receives warm welcome
Saturday August 2, 2008
TheStar

The largest low-cost carrier in Asia, AirAsia celebrated its inaugural flight from Kuala Lumpur to Makassar (Ujung Pandang) in a warm welcoming ceremony held at the Hasanuddin International Airport recently.

Hasanuddin International Airport is Makassar’s main gateway and it connects to other international routes which AirAsia flies to via Kuala Lumpur.

It also serves other domestic points in that region such as Bajarmasin, Kendari, Palu, Mana-do, Gorantalo, Ambon and Jayapura.

Guests on Flight AK1026 from Kuala Lumpur were welcomed with a traditional cultural dance before being garlanded by the VIPs.

Among those present at the ceremony were South Sulawesi Governor Dr H. Syahrul Yasin Limpo, director-general of Indonesia’s Marketing Culture and Tourism Department Sapta Nirwandar, CEO of Indonesia AirAsia Capt Dharmadi and H. Jafrie Arief, Indonesia AirAsia’s director of airport & public policy as well as representatives from the Culture and Tourism Office of South Sulawesi.

Guests from Makassar who were travelling to Kuala Lumpur received goodie bags courtesy of Tourism Malaysia.

AirAsia group chief executive officer Datuk Seri Tony Fernandes said: “AirAsia’s low fares has enabled this new route to escalate in terms of the growth of passenger traffic between both countries and stimulate the local economies and tourism. This is evident as our first flight today recorded over 77% of load factor and this is a good indication of the strong growth for this sector.

“We hope that with this new air connectivity, the people of Makassar will have access to more low-cost alternatives to international routes and additional destinations from Kuala Lumpur.

“Many Malaysian Malays are of Bugis descent with roots in South Sulawesi, hence the striking resemblance in terms of food and culture. Perhaps our revolutionary low fares will also initiate them to renew family ties and visit each other more frequently.”

Governor Dr Syahrul said: “We are pleased that AirAsia has become the first international airline to service this route, opening up our market to the world once again.

“Indeed this service has been long awaited by the people of Makassar and certainly will increase the integration between Makassar and Kuala Lumpur, enhance the trade and tourism industry of both countries in addition to further drive passenger traffic between the two cities.”

For more information, visit www.airasia.com

nazrey

August 5th, 2008, 04:05 AM

AirAsia will launch 2nd KL-HK direct flight
Published: 2008/08/05

AIR Asia Bhd will launch its second direct daily flights from Kuala Lumpur to Hong Kong to meet the increase demand from business and leisure travellers.

In a statement, its regional head of commercial, Kathleen Tan, said Hong Kong has always been a prominent destination due to its significance as a growing centre of international commercial and financial hub.

The promotional fares start from as low as RM88 for the booking period from Aug 5 to 8, 2008 for the travel period from Aug 27 to Apr 30, 2009. — Bernama

hetfield85

August 6th, 2008, 03:20 AM

Agence France-Presse - 8/5/2008 3:09 AM GMT

AirAsia X denies passenger weigh-in

Malaysian long-haul budget carrier AirAsia X on Tuesday denied it was considering charging passengers according to how much they weigh.

An Australian executive with the airline had been quoted as telling a travel industry magazine that an initiative to charge larger passengers "could help Aussies lose weight".

But the carrier said the comment had merely been a joke.

"We never planned nor even considered charging passengers by weight," chief executive Azran Osman-Rani said in a statement.

An affiliate of regional low-cost carrier AirAsia and Virgin Group, AirAsia X was launched in January 2007.

From its base in Kuala Lumpur it operates services to Australia's Gold Coast and Hangzhou in China.

It is set to begin flying to Perth from November but plans to fly to Britain are yet to be finalised.

nazrey

August 6th, 2008, 03:30 AM

MAS hot meals set to rake in RM50m annually
Published: 2008/08/05

http://www.btimes.com.my/Current_News/BTIMES/Tuesday/Nation/hotm.xml/Article/Current_News/BTIMES/Images/btgraph9/hotmeal.jpg

HOT meal boxes, currently offered on selected Malaysia Airlines (MAS) flights, are likely to bring RM50 million in additional revenue annually, managing director and chief executive officer Datuk Seri Idris Jala said yesterday.

Hot meal boxes are currently offered on selected flights from Kuala Lumpur to Penang, Kuching, Miri and Kota Kinabalu.

The boxes are also available on Asean flights between Kuala Lumpur and Bangkok, Yangon, Ho Chi Minh City, Phnom Penh, Jogjakarta, Phuket, Bandar Seri Begawan, Denpasar, Hanoi, Jakarta, Manila, Siem Reap, Surabaya and Singapore.

At a media briefing in Petaling Jaya yesterday, Idris said the national carrier was introducing the meal boxes in response to customer preferences while optimising aircraft utilisation in line with MAS' business transformation plan.

"Many full-service carriers in the region like Thai Airways and Garuda as well as European carriers such as Lufthansa and KLM are already offering meal boxes, especially in their short- to medium-haul flights. Consequently, we decided to test this out," he said.

"This hybrid approach will see the return of all-time favourites such as nasi lemak and nasi goreng kampung as well as the introduction of new varieties. In addition, we have more menu options available and customers can now choose between an Asian or western meal," he added.

A total of 37 menus are on offer over an eight-week cycle rotation to ensure that frequent travellers will be able to enjoy a variety of meals.

New offerings include nasi impit with lontong, black pepper chicken balls with spaghetti and waffles with fruit fillings.

A permanent feature of the menu is the option of western meals. Passengers will continue to enjoy unlimited in-flight beverages such as coffee, tea and fruit juices.

New children and special meals, including vegetarian, are also being developed progressively and will be introduced by the end of the current quarter.

"We are currently conducting a one month in-flight survey until August 15 and we will use the findings to continuously refine our meal offerings," Idris said. - Bernama

nazrey

August 6th, 2008, 03:33 AM

MAS: Improved turnaround time to bring in RM50m more
Published: 2008/08/06
BusinessTimes

MALAYSIA Airlines (MAS) has clarified that efforts to improve aircraft turnaround time, including through the introduction of meal boxes, could bring RM50 million in additional revenue annually for MAS.

It was commenting on a Bernama report yesterday, which misquoted MAS managing director and chief executive officer Datuk Seri Idris Jala as saying that the hot meal boxes are likely to bring in that amount.

"When we introduced the light meal boxes last year, our primary objective was to increase in-flight service efficiency with the aim of aircraft turnaround time.

"By improving each aircraft's turnaround time by five minutes, we are able to increase our aircraft utilisation which is equivalent to one B737-400 aircraft. This translates to potential additional revenue of RM50 million per year," Idris had said.

nazrey

August 12th, 2008, 09:48 PM

MAS 2nd best among top 10 legacy airlines
Published: 2008/08/12

AirAsia is ranked seventh among the top 10 low-cost/regional airlines, says Aviation Weeks latest top-performing companies report

NEW YORK: Aviation Weeks latest top-performing companies (TPC) report has ranked Malaysia Airlines (MAS) as the second best among the world's top 10 legacy airlines.

On the other hand, Malaysia's private low-cost carrier, AirAsia Bhd, ranks seventh among the top 10 low-cost/regional airlines.

The TPC study measures survivability in a tough competitive environment which focuses on the global airline industry, indicating which carriers are best fit to surmount the daunting economic challenges confronting them.

TPC project manager Michael Lowry used proprietary formulae to rank airlines in three categories.

According to a statement released by Aviation Week, a division of the McGraw-Hill Companies, the metrics have been significantly revised this year to place more emphasis on survivability, reflecting the problems airlines face as a result of soaring fuel costs and faltering demand.

The TPC feature is carried in the latest issue of Aviation Week & Space Technology.

The TPC study shows that the best of the Asia-Pacific and European airlines perform far better than their peers among the major legacy carriers.

Singapore Airlines, again, takes the top position of the list followed by Malaysia Airlines. The US major airlines are entrenched in the bottom half of the table.

“The gap between the Asian and European top performers, and the US airlines has only grown larger over the past year,” the article maintains.

Other categories of airlines include low-cost and regional airlines, and the major cargo carriers.

There are five US airlines in the list compiled by Lowry which face the greatest risk of filing for Chapter 11 bankruptcy protection over the next two years.

The best-performing airlines in each category feature strong liquidity, good financial health, cost discipline and a focus on efficiency.

In the list of top major legacy airlines, Singapore Airlines and MAS are followed by Iberia Lineas Aereas de Kapana S.A. (3), Aer Lingus Group PLC (4), Deutsche Lufthansa (5), Qantas Airways Ltd (6), Finnair Oy (7), Cathay Pacific Airways (8), British Airways PLC (9) and Air France (10).

The list of the top 10 low-cost/regional airlines is headed by Ryanair Holdings, followed by easyJet (2), Allegiant Travel Co (3), Hainan Airlines Co Ltd (4), Southeast Airlines Co. (5), Transat (6), AirAsia Bhdd (7), Copa Holdings, S.A. (8), WestJet Airlines Ltd. (9), Norwegian Air Shuttle (10).

The United Parcel Service Inc was the highest ranked cargo carrier. — Bernama

nazrey

August 15th, 2008, 03:48 AM

AirAsia Launches Direct Pekanbaru-Singapore Route
August 14, 2008 21:43 PM

KUALA LUMPUR, Aug 14 (Bernama) -- Asias largest low cost carrier, AirAsia Bhd launched its first direct flight from Pekanbaru, Indonesia to Singapore Thursday.

Pekanbaru, located along the Siak River on the Sumatra Island is the capital city of Riau province, Indonesia.

Chief executive officer, Indonesia AirAsia Captain Darmadi said this latest service will not only complement AirAsias aggressive growth in Indonesia, but also support the Visit Indonesia Year 2008 by feeding more traffic to the country.

"The new sector will also enable greater access to a whole new market of cost-conscious travellers from Singapore and Pekanbaru as both are established gateways," he said in a statement here Thursday.

-- BERNAMA

nazrey

August 15th, 2008, 04:26 PM

MAS box meal with cover
by b.d30

http://farm4.static.flickr.com/3277/2583716128_9f667b53b2_b.jpg

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nazrey

August 15th, 2008, 04:27 PM

by b.d30

http://farm4.static.flickr.com/3083/2583720246_397bc43aa8_b.jpg

http://farm4.static.flickr.com/3176/2583718978_a11682de5e_b.jpg

nazrey

August 15th, 2008, 04:35 PM

MH = Malaysian Hospitality
Malaysia Airlines Self Service Check-in Kiosk at KLIA
From MH = Malaysian Hospitality (http://www.malaysiaairlinesblog.com/)

http://farm3.static.flickr.com/2102/2589974968_aecbc92a66_b.jpg

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LCD screens on A330 Malaysia Airlines

http://farm4.static.flickr.com/3257/2590060048_c1bc3f8926_b.jpg

nazrey

August 17th, 2008, 02:08 PM

MAS Plans To Run MH Advocates Programme On Quarterly Basis
August 16, 2008 13:38 PM

KUALA LUMPUR, Aug 16 (Bernama) -- Malaysia Airlines (MAS) plans to run its MH Advocates Programme on a quarterly basis in an effort to identify emerging issues and collect feedback which can be used to further spur improvements.

The national carrier said in the statement today the programme was also a platform for the airline to update and pre-empt customers about new developments, product and services.

Its managing director and chief executive officer Datuk Seri Idris Jala said the programme was MAS' latest initiative in line with its plans to tranform the airline.

Idris said the programme was developed with the intention of turning complainants into advocates and for delighted customers to remain loyal and satisfied.

"By being transparent and open with our customers, we hope to be able to make improvements within the organisation and turn customers into our champions," he said.

The MH Advocates Programme consists of a mix of customers, frequent flyers and influencers.

-- BERNAMA

nazrey

August 20th, 2008, 04:18 PM

AirAsia X to offer Melbourne-London service
Published: 2008/08/20 BusinessTimes

The airline hopes to extend its service to Europe and the UK soon, reports the Herald Sun newspaper

MELBOURNE: Low-cost airline AirAsia X plans to fly Australians to London for A$500.

The airline today announced its latest international route between Melbourne and Kuala Lumpur would begin on November 12, with one-way fare starting at A$199.

AirAsia X chief executive Azran Osman-Rani said the airline hopes to extend its service to Europe and the UK soon, reports the Herald Sun newspaper

“With the exception of peak periods, I think normally we would be looking at a A$299 fare from KL to London, so all-in (a return flight) of within A$1,000,” Azran is quoted as saying.

“That would probably be in the first half of next year as soon as we get our UK service going,” he said.

Azran said the cheap flights would also help encourage Europeans to visit Australia.

“When we start tapping into some of the growing markets, especially central and eastern Europe, there will be a lot of interest to come down here as well,” he said.

He said the Melbourne-KL service would begin with four return flights a week but would increase to daily return flights during the peak season of mid-December through to mid-January.

Kathleen Tan, regional head of AirAsia X, said the Melbourne route was one of the most-requested Australian destinations by Malaysian travellers.

“Many Malaysians send their children to universities in Melbourne and with our low fares, families can now visit their children more often and turn their trip into a holiday,” Tan told the newspaper. — Bernama

nazrey

August 20th, 2008, 06:47 PM

MAS remains a buy in challenging times
by Doreen Leong, 20 Aug 2008 1:50 PM
THEEDGEDAILY

KUALA LUMPUR: While higher fuel costs will continue to put a dent on Malaysian Airline System Bhd’s (MAS) earnings this year, analysts are positive on the stock as the airline is expected to reap the benefits of its efforts to keep operating costs low.

“We are encouraged by MAS’ improvements in many areas — including growth through its Everyday Low Fares drive. Looking past quarter-to-quarter gyrations in crude oil prices, we remain bullish on MAS’ continuing operational improvements,” Aseambankers said in a note yesterday.

The research house maintained its buy recommendation with a target price of RM3.96 based on 9.5 times mid-2010 valuations on the assumption of crude oil at US$120 per barrel in the second half of this year until 2010.

“We maintain our earnings forecasts on expectations that second half of FY2008 will see lower crude oil prices and higher seasonal factors pushing full-year earnings towards our forecast,” it added.

For the first six months to June 30, 2008, MAS’ net profit declined 35% to RM160 million from RM245.56 million a year earlier while revenue rose 7% to RM7.53 billion. This was in line with Aseambankers’ estimates.

The research house noted that MAS was among the four profitable airlines in the second quarter of this year so far. Among the airlines that stayed above water in the second quarter are Singapore Airlines and Southwest Airlines.

“MAS posted a lower but commendable second-quarter FY2008 net profit of RM39.6 million. Furthermore, unlike many airlines, MAS does not intend to reduce headcount but is instead growing operations such as those at 100% subsidiaries Firefly and MAS Engineering,” Aseambankers said.

The airline reported non-fuel costs were 13% lower year-on-year in 2QFY2008, but this was completely offset by higher fuel costs, resulting in a 10% increase in total costs.

However, on a positive note, Aseambankers said MAS has negotiated lower lease rates with parent company, Penerbangan Malaysia Bhd for existing aircraft that have not been sold.

MAS recorded lower lease cost of RM144 million in 2QFY2008, much of which will not be repeated in the second half of FY2008.

Meanwhile, ECMLibra Investment Research reiterated its buy call with a target price of RM5.40 on the counter.

“We believe that our FY2008 forecast of RM265 million is still within reach, given that MAS has increased its fuel surcharge by 35% in June and crude oil prices have slipped recently,” it said.

Crude oil prices have been trending downwards since hitting a record high of US$147 per barrel last month.

The research house was keeping its average crude oil price assumptions of US$110, US$100 and US$95 for FY2008, FY2009 and FY2010 respectively.

“We see demand for oil continuing to ebb amid growing concerns of US and China’s economies slowing down,” ECM added.

MAS has increased its fuel hedging to 48% at US$102 for FY2008 and 26% at US$104 for FY2009.

downsouth

August 21st, 2008, 03:23 AM

I read in local newspaper "Tribun Pontianak" yesterday (20/08/2008), the chief of PT Angkasa Pura II Pontianak Branch (Airport Manager) said that Air Asia will be plying the PNK - CGK starting next week, it means us here in PNK will be able enjoy bargain flights too :banana::banana::banana:.

Hope they will also open up routes from PNK to SIN, KUL, BKI and DPS too :cheers:.

pedang

August 21st, 2008, 09:40 AM

AirAsia X to fly to Britain in March: Founder
Published: 2008/08/21

AirAsia X favours Stansted but will finalise its plans in September when it meets with officials from Stansted as well as Manchester airport, says Datuk Tony Fernandes

BUDGET carrier AirAsia X said today it plans to fly to Britain in March with London’s Stansted airport the likely destination, and that high fuel prices will not deter its expansion plans.

“Definitely it is going to happen and I am optimistic that it will happen in March,” said Datuk Tony Fernandes, AirAsia X director and founder of Southeast Asia’s largest budget carrier, AirAsia.

The Malaysia-based long-haul budget carrier had planned to launch flights to Britain in December but difficulties in securing a leased airplane forced it to postpone.

It now operates with one leased A330-300 with flights to Australia’s Gold Coast and Hangzhou in China. It is scheduled to fly to Perth and Melbourne in November.

Fernandes said AirAsia X favours Stansted, on the outskirts of London, but would finalise its plans in September when it meets with officials from Stansted as well as Manchester airport, which is its other option.

He said the carrier would use a leased A340-300 to mount a direct flight from the Malaysian capital Kuala Lumpur, which will act as a hub for other regional destinations in the AirAsia network.

“From Stansted there would be people who will fly to Malaysia and from Malaysia to anywhere else in Southeast Asia or Australia,” he said.

Fernandes said that high fuel costs will not deter the budget carrier from expanding its routes, and unveiled plans to fly to South America and Africa.

“With that (Britain) flight we are connecting two-thirds of the world. Only the Americas — South America and Central America — and Africa are not in our network, but that will come in due course,” he said.

“We have always been very optimistic. Many airlines have cut capacity but we are happy to add all our new routes. It is not expensive for us. We are still running a very high load factor and our business has been booming.”

Azran Osman Rani, CEO of AirAsia X, rejected pessimism among aviation analysts about the prospects of long-haul budget carriers, after the recent failure Hong-Kong based Oasis.

“Our model proves that low-cost long-haul can work if you do it right. The faster I expand, the faster my costs drop and the faster I can be more aggressive on my pricing. We do need to bulk up and get scale quickly,” he said.

AirAsia X has purchased a total of 25 Airbus A330-300 aircraft and is expecting delivery of the first two in October and December this year.

Hong Kong’s budget long-haul airline Oasis wound up in June after only 18 months in operation, blaming soaring fuel costs and a decision to buy aircraft instead of leasing them.

AirAsia X is an affiliate of AirAsia and Virgin Group and was launched in January 2007.

Richard Branson’s Virgin Group has taken a 20 per cent stake in the airline and the British billionaire has vowed to ensure that the project turns a profit. - AFP