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Old 17th Aug 2006, 08:00
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Air Asia

Malaysias top budget airline AirAsia is in talks to buy up a minority stake in local carrier Holiday Air, which is due to start international flights next year.

`We are in deep discussions with Air Asia and close to a deal,` Arjun Ruzaik, Chief Executive Officer of Holiday Air told Lanka Business Online on Friday.

The joint deal will be the region`s biggest budget carriers first entry into Sri Lanka and will give Holiday Air much needed technical and operational support ahead of its launch into the region.

AirAsia currently has 49 percent joint venture partnerships in Thailand and Indonesia but with full management control, giving it landing rights in those countries.

The airline currently offers over 100 domestic and international flights a day to Malaysia, Thailand, Indonesia, Singapore, Cambodia, Vietnam and the Philippines, carrying 6.2 million passengers last year.

The no frills carrier has been eyeing Colombo, three hours and 15 minutes away from Kuala Lumpur, for its potential to carry Malaysian tourists and Buddhist pilgrims from Thailand.

Holiday Air is one of three contenders to fill a second slot as a Sri Lankan carrier alongside SriLankan Airlines, with plans to operate as a budget carrier.

The airline, together with domestic airline Expo Aviation and local helicopter operator Deccan Air have got provisional licences to fly to India, subject to technical clearances.

`Local operators have asked for three months to submit their technical plan, which includes safety standards and other requirements,` H M C Nimalsiri, Director General of Sri Lanka`s Civil Aviation Authority said.

Ruzaik says he hopes to have the technical plan for Holiday Air complete by October this year, after which recruiting for the new airline will begin ahead of flights being rolled out next year.

Flights to about 16 other destinations including Abu Dhabi, Bangkok, Doha, Muscat and Male are to be rolled out after the second month of operations, Ruzaik says.

`As at today we do not have the six metros of India, because frequencies to those destinations have been filled up by SriLankan Airlines,` Ruzaik said.

The government is in negotiations with India to expand frequencies to top tourist generating markets in India, including Bangalore, Bombay, Chennai and Delhi.

Holiday Air says it will start by leasing out five Boeing 737 planes, which are 148 seat aircraft, with prices possibly slashed by as much as 20 to 30 percent on scheduled rates.

Source: http://www.lankanewspapers.com/news/2006/7/7913.html
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Old 5th Jan 2007, 16:04
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Air Asia starting new long-haul low-cost carrier

Surprised there hasn't been a thread on this started here yet!

At a press conference this morning in KL, Tony Fernandes, AirAsia CEO, announced the company was setting up a long-haul LCC, to be called AirAsiaX. First flight is planned for July. Routes will be KL to two Chinese destinations and to the UK, probably via Sharjah or another Gulf point. UK destinations he mentioned (in a subsequent Bloomberg interview) were STN, MAN and/or BHX.

Airbus is planning a major press conference on Monday and at this stage the smart money appears to be on a large Air Asia order being announced, for anything up to 100 A320s for the existing Air Asia operation and for some number (20?) of A330-300 orders/options for the new long-haul operation. The airline apparently plans to configure the A330-300s with 400 or so seats (!) including 14-21 "economy plus" seats (these numbers imply seven-across in the economy plus cabin, so not too much competition with SQ's new business class then ).

The target operating cost is 1.9UScents per ASK - pretty spectacular if they can achieve that.

STN-SHJ-KUL is about 11000km great circle, which gives operating costs of about US$209 per available seat - let's say a 90% load factor, and you're looking at a breakeven yield of about $230. Some pretty low UK-Asia fares in prospect then, especially if you consider that AirAsiaX's longer (UK) sectors will have lower costs/ASK than the shorter (Chinese) ones.

Interesting times ahead...
C.

See http://www.pprune.org/forums/showthread.php?t=258130
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Old 5th Jan 2007, 16:37
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There is a website for the new AirAsia X?

Google it please. No advertising links allowed.
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Old 5th Jan 2007, 18:12
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BHX is interesting. I guess a stop en-route at somewhere like Amritsar (as mentioned in some press reports over the last week) would be needed to make the route work
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Old 5th Jan 2007, 19:29
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Malaysian said they tried hard to make their MAN-KUL route work even with a 777 but it couldn't work no matter what. so how come Air Asia say that they can make it work with an A330 at cut price levels? Mind you if any pax on these flights want to get to London then the fare for the 30 minute flight will be just as much as the flight from KUL!
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Old 6th Jan 2007, 15:33
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Malaysian said they tried hard to make their MAN-KUL route work even with a 777 but it couldn't work no matter what. so how come Air Asia say that they can make it work with an A330 at cut price levels? Mind you if any pax on these flights want to get to London then the fare for the 30 minute flight will be just as much as the flight from KUL!

sorry to correct you but it did work....

they were actually getting 90% load factors...they pullled due lack of aircraft and internal money pressures, that is why Air Asia belive that this is a good bet....!

I also understand Air Asia are also looking at Hong Kong which was also a money spinner until BA got into bed with CX and then forced CX to pull, same thing with Qantas some years back which is why Jestar are also looking at MAN on del' B787.

Yields re 1st class are a problem anywhere other than London but economy has never been a problem.

Also can you get a an A340 direct to KUL out of BHX..?

Just curious ?
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Old 6th Jan 2007, 16:52
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340/bhx

Bagso

I have not got the technical data but the general consensus is when
discussing BHX and A430's on 8 hour plus flights, is...Not a chance.

As far as I am aware BHX has still to have a visit from a 340.

One rumour is that any BHX flight might stop at Amritsar, which is
predictable and could put a squeeze on Turkmen and Uzbek of course
let alone Air India.

OP
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Old 6th Jan 2007, 19:58
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Air Asia

From Malaysian Straits Times

Air Asia X

In announcing the new budget airline that proposes to introduce budget
flights from the far east to Europe the Malaysian press said and I quote; "
The budget route will not be serving Heathrow Airport but secondary airports
such as Stanstead, Manchester, Coventry and Birmingham"
Coventry could be interesting !!!!!!!!!!!!!!
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Old 6th Jan 2007, 20:08
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Air Asia

There was me worrying about 340's and BHX........Coventry

OP
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Old 6th Jan 2007, 21:57
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The Air Asia website has a shop link where they sell Manchester United merchandise on board the planes. They have one A320 painted in Man Utd colours. Flying to Machester is an act of homage for them.

Air Asia can do links through their hub at KL to Macau, which is a ferry ride away from Hong Kong City.
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Old 27th Jan 2007, 09:15
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Man U A320

alangirvan

I was pleasantly surprised last Thursday when my KL to bangkok flight was on the MAN U painted ac, I am not a fan of Football but my friends are so I got some photos. There is a glass window dividing the right hand side seats from the front galley which has the signatures of the players on the team . It was a nice flight. But I have to say the leg room on Air Asia is the worst of any LCC I have ever experieced. I did a few flights over the last 2 weeks around asia with AK/FD and mostly on 733, the leg room was even worse, many of the 733s are in bad condition. They have huge emphasis on Manchester UTD merchandise!

The A320 has 162 seats and the 733 has 148 with Air Asia. However, the new 320s are arriving and serve the airline well. Interestingly at the new BKK, the Air Asia A320s use Jettys whereas all the 733s are parked at a remote stand and you get bused out to the ac from the terminal. I must say it felt like a cattle herding exercise going on the bus !!!!He he .

On a much more positive not I flew BKK REP on Bangkok air/Siem Reap on A320 and it was one of the best short haul flight I have ever taken. An excellent airline by all accounts.

Last edited by Evileyes; 27th Jan 2007 at 14:39. Reason: ADQ
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Old 10th Feb 2007, 19:18
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Air Asia (X)

Has anyone got any updates on AirAsiaX, nothing muttered for a while.
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Old 13th Feb 2007, 17:06
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AirAsia X to announce aircraft purchase in March

AirAsia X to announce aircraft purchase in March

KUALA LUMPUR –– Malaysia’s long-haul budget carrier AirAsia X will announce its choice of 20 aircraft worth some four billion dollars next month for its service to Britain and China, a senior official said Sunday.

“An evaluation to pick either Airbus 330-300 or Boeing 777-200 for the new long-haul carrier AirAsia X has been completed and an announcement will be made in March,” Raja Mohamad Azmi, chief executive officer of Fly Asian Express (FAX) told AFP.

“Both are great aircraft,” he added. He did not elaborate. AirAsia X, a new long-haul, low-cost carrier was unveiled in early January and is expected to carry half a million passengers in its first year of operation.

The airline will be operated by FAX, which currently operates rural air services on Borneo island.

Airline officials familiar with the purchase plan said price and availability of aircraft are among the major factors in deciding the winner.

Raja Azmi said the new service will take off in August with inaugural flights to Britain and China being launched simultaneously.

“We will initially lease three aircraft—either the Boeing 777-200 or the Airbus 330-300 to begin the service,” he said.

It also has plans to fly to India and Australia. Raja Azmi, who is also a shareholder of leading low-cost carrier AirAsia, said the new aircraft would come into service in the third quarter of next year.

AirAsia was launched as a budget carrier in December 2001 with just two aircraft but now offers more than 100 domestic and international flights to Malaysia, Thailand, Indonesia, Singapore, Cambodia, Vietnam and the Philippines.

Times Of Oman
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Old 15th Mar 2007, 17:30
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Air Asia X

Not good news for the new longhaul routes from AirAsia, see link
http://news.bbc.co.uk/1/hi/business/6443181.stm
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Old 12th Apr 2007, 17:54
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Air Asia X (new start date).

AirAsia X is reported to start service in the fourth quarter of 2007 by leasing several aircraft until it takes delivery of the new Airbus aircraft
in Aug 2008.

The first three destinations are expected to be Hangzhou and Tianjin in China; and London or Manchester in the UK. Other potential destinations are Amritsar in India, Sharjah in the UAE, Melbourne in Australia and Osaka in Japan. It is reported that the Malaysian government has given AirAsia X rights to 36 international destinations.
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Old 22nd Apr 2007, 22:44
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AirAsia X places A/C order with Airbus

http://www.smh.com.au/news/business/...180480606.html
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Old 22nd Apr 2007, 23:34
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Taken from that link....

It is already in talks with BAA, the UK airports operator, about starting services to Birmingham or Manchester by September next year.
Funny how neither BHX or MAN are owned by the BAA. Someone needs to get their facts straight. On the subject is Stansted still the focus for their long-haul operation?
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Old 23rd Apr 2007, 01:58
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Air Asia X Service Launch

Press Conference due at 3.00pm (Malaysia) to announce launch of services and order for 15 aircraft.
Tony Fernandez in interview on BBC World Asia Business News this morning indicated that the services would start with routes within Asia (China?) in September 2007 using leased aircraft.
Indicated that they would be announcing an order for 15 new aircraft with delivery starting in 2008 - confirmed that the leased a/c would be airbus and indicated that the order for he 15 aircraft would be the same "established" model.
Also stated that they hoped to launch services to Europe in late 2008 with Stansted and Manchester under consideration as UK routes
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Old 23rd Apr 2007, 06:13
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BBC news this morning indicated Manchester looked like being the UK destination.
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Old 23rd Apr 2007, 11:47
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With the Olympics being held in London, I would have
thought that they would want a London link, if not
they will have missed out on alot of cash.

Manchester and Stansted have been talked about
since the Airline was announced, depending on which
news report you read they talk about STN/MAN being
the first UK destination.
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