Air Asia X To Debut Raiders Plane In California Today

14 September 2009


Despite the return of professional football, we did not have a good weekend. Our favorite team blew it, and apparently fantasy football is not our forte. There’s always next weekend, so we’ll get over it, and for now we’ll focus our football attention towards Air Asia X and their snazzy Oakland Raiders plane. Seeing a big airplane in NFL livery is pretty cool, especially since we’re still secretly hoping that the low cost carrier will announce a plan to serve the US.

We saw the new plane sticking its tail out from the hangar over the summer, but today it’s flying into Oakland to celebrate the start of the season. After all, the Raiders are playing tonight, so the timing is perfect. However, if you head to the team’s website, you’ll see that tonight’s game is being promoted side by side with ads for Hawaiian Airlines. Maybe team officials didn’t get the memo that another airline has honored them with a custom plane.

The Raiders are hoping to spread their fan base across Asia with the partnership with Air Asia X. As for today’s plans, there’s just speculation so far. Readers on the Airliners.net forum are reporting that old Raiders players as well as the Raiderettes—the team's cheerleaders—will be on hand to celebrate the plane’s arrival. Others suspect that the plane will do a fly over the Golden Gate Bridge before landing at the Oakland airport. We’ll definitely let you know if any surprise announcements come out of all the hoopla

UPDATE 1-AirAsia to raise up to $190 mln via share sale

14 September 2009

KUALA LUMPUR, Sept 14 (Reuters) - Malaysia's AirAsia (AIRA.KL), Southeast Asia's largest budget carrier by fleet size, is expected to raise up to 665 million ringgit ($189.6 million) in a new share placement as it seeks to cut its debts.

Demand for full-fare carriers has been hit by the economic downturn, boosting discount airlines. AirAsia said last month proceeds from the share sale would be used to reduce its debt, which has risen sharply following aggressive capacity expansion.

AirAsia will sell 400 million new shares, representing 16.8 percent of its existing share capital, at 1.33 ringgit ($0.380) to 1.40 ringgit a share, according to the deal term sheet obtained by Reuters, to raise up to 560 million ringgit.

But the sale also has an upside of 75 million shares on top of the 400 million shares offered, the term sheet said, meaning AirAsia could potentially raise a total of 665 million.

CIMB (CIMB.KL) and Credit Suisse are joint placement agents for the exercise and bookbuilding will be completed on Sept. 15.

AirAsia stock closed down 0.7 percent on Monday at 1.41 ringgit. Stock exchange regulator Bursa Malaysia said AirAsia shares would be suspended on Tuesday pending an announcement.

Regional budget carriers such as AirAsia and Jetstar Asia Airways have either added capacity or increased flight frequencies to cope with higher demand. [ID:nKLR406078]

Analysts in Malaysia said last month that AirAsia's tight cash flow and high debt level was worrying given its commitment to fund aircraft deliveries. It last month deferred the delivery of eight Airbus A320 (EAD.PA) aircraft to 2014 from 2010, which analysts said signals potential overcapacity in the future.

Malaysia's AirAsia to raise up to $160 mln via share sale

14 September 2009

KUALA LUMPUR- Malaysia's AirAsia (AIRA.KL), Southeast Asia's largest budget carrier by fleet size, is expected to raise up to 560 million ringgit ($159.9 million) by selling shares, according to the deal term sheet.

AirAsia plans to sell 400 million shares via a private placement and has set an indicative price range of 1.33 ringgit to 1.40 ringgit a share for the sale, according to the term sheet obtained by Reuters.

CIMB (CIMB.KL) and Credit Suisse are the joint placement agents for the exercise and bookbuilding will be completed on Sept. 15.

($1=3.503 Malaysian Ringgit)

Routes 09: AirAsia X studies Middle East options

13 September 2009

AirAsia X will be meeting with Middle East airports during Routes as it looks at potential destinations to fly from its new "virtual" Abu Dhabi base. The Malaysian long-haul low-cost carrier begins five-times-weekly flights from Kuala Lumpur to Abu Dhabi in November using Airbus A340s on the route. It marks the carrier's first service to the Middle East.

AirAsia X plans to make Abu Dhabi a virtual hub, where it will not base aircraft but operate onward flights to other cities. Chief executive Azran Osman-Rani says there are various options available. "Abu Dhabi has a lot of connectivity. We are looking to fly to other places in the Middle East, North Africa and Europe from there," he says.He points to fifth freedom rights that allow it to pick up revenue passengers from Abu Dhabi."The UAE has a very liberal air services regime, and other carriers are already flying on from there. It will not be a problem for us."

Routes 09: AirAsia X studies Middle East options

13 September 2009

AirAsia X will be meeting with Middle East airports during Routes as it looks at potential destinations to fly from its new "virtual" Abu Dhabi base. The Malaysian long-haul low-cost carrier begins five-times-weekly flights from Kuala Lumpur to Abu Dhabi in November using Airbus A340s on the route. It marks the carrier's first service to the Middle East.

AirAsia X plans to make Abu Dhabi a virtual hub, where it will not base aircraft but operate onward flights to other cities. Chief executive Azran Osman-Rani says there are various options available. "Abu Dhabi has a lot of connectivity. We are looking to fly to other places in the Middle East, North Africa and Europe from there," he says.He points to fifth freedom rights that allow it to pick up revenue passengers from Abu Dhabi."The UAE has a very liberal air services regime, and other carriers are already flying on from there. It will not be a problem for us."

Amadeus IT solution to help AirAsia expand globally

11 September 2009

KUALA LUMPUR: Amadeus, a global leader in technology and distribution solutions for the travel and tourism industry, has formed a partnership with low-cost airline AirAsia.

For the first time, Amadeus-subscribing travel agencies worldwide will be able to book AirAsia flights in the same way they would for a full-service carrier.

There are now more than 102,200 travel agencies worldwide using the Amadeus Global Distribution System.

Amadeus said the system offers a technology solution for low-cost “ticketless” airlines, named Amadeus Ticketless Access.

This technology enables travel agents to find flight options to suit a broader range of needs, especially for travellers who are particularly budget-conscious.

“Our strategy is to aggressively expand AirAsia’s footprint globally through broader channel distribution, making our low-fares inventory more accessible,” said Kathleen Tan, regional head of commercial in AirAsia Group.

Developed by Amadeus in response to market demand from low cost carriers (LCCs), travellers and travel agents, Ticketless Access helps LCCs target new customer segments, such as corporate travel and sales in global markets.

AirAsia was founded in 2001. It flies to more than 70 domestic and international destinations via 130-plus routes, and operates over 400 flights daily from hubs in Malaysia, Thailand and Indonesia.

Substantial MAHB dues paid, says AirAsia

11 September 2009

AIRASIA Bhd (5099)has paid more than half the amount owing to Malaysia Airports Holdings Bhd (MAHB), according to its chairman.

"A substantial sum has been paid and we are now in talks with MAHB on the balance," AirAsia chairman Datuk Aziz Bakar told Business Times after chairing the group's extraordinary general meeting to approve a 20 per cent private placement in Selangor yesterday. He did not elaborate.

The budget carrier had withheld some RM110 million in payments to MAHB, claiming that it was being overcharged by the airport operator.

On the airline's private placement, Aziz said he is confident that it will be very well-received by investors.
"We are positive that it will be well-received, something that has been reflected in our share price as well," Aziz said.

AirAsia just completed a roadshow to generate interest for the placement in Singapore, Hong Kong, London and Malaysia.

"We have a strong following overseas, and we really hope the local investors will take the cue from foreign sentiments," AirAsia group chief financial officer Rozman Omar said.

The budget airline hopes to raise at least RM500 million from the private placement.

Air Raiders

Courtesy AirAsia

AirAsia plans to mark its first landing in the United States Monday by flying an Oakland Raiders branded jet into Oakland Airport, although it still has not date for actual service in the U.S.

The flight, from Kuala Lumpur, is scheduled to land in time for the Raiders' season opener against the San Diego Chargers.

The Airbus A340 is named "Xcellence," to match the Raiders' motto "Commitment to Excellence," AirAsia said. The "X" part also refers to AirAsia X, which bills itself as "the world's only low-cost long-haul carrier," and is negotiating with U.S. airports for possible routes into the country.

"U.S. destinations are very much in our long term plans, as demonstrated by our recent order for 10 Airbus A350 aircraft," AirAsia X Chief Executive Azran Osman-Rani said in a news release. "These planes would be delivered beginning 2016. However, we are exploring ways of commencing flights to the U.S. much earlier than 2016."

AirAsia is currently a partner of the AT&T Williams Formula One team and previously was the official low-cost airline for the Manchester United Football Club.

Al Davis (Jed Jacobsohn/Getty Images)

The National Football League team and AirAsia partnered in an effort to expand the Raiders' fan base in Asia and promote AirAsia in the U.S.

The news release quoted "Oakland Raiders owner" Mark Davis saying: "This relationship is another example of The Raiders commitment to building a global presence, and we look forward to building on this relationship for years to come."

The Raiders' Web site, however, still lists Mark's iconic dad, Al Davis, as the team's sole owner. Al Davis, of course, travels by UFO.

The Raiders last made the playoffs at the end of the 2002 season, losing to the Tampa Bay Buccaneers 48-21 in Super Bowl XXXVII.

AirAsia partners team MOFAZFortec Motorsport

07 September 2009

Dynamic partnership set to conquer tracks of Europe!

AirAsia and Team MOFAZFortec Motorsport sealed a partnership agreement today, with the prolific venture set to burn the tracks of Europe. The world’s best low cost carrier will be supporting the racing team’s quest to dominate the World Series by Renault Formula 3.5 Championship.

Team MOFAZFortec Motorsport is a Malaysian racing team and an emerging force in the European racing arena. The team’s driver, Fairuz Fauzy, achieved a maiden podium victory at Hungary’s Hungaroring circuit in June this year and second place at UK’s Silverstone circuit in July.

The Team’s other driver is Estonian’ Sten Pentus, who scored his first podium finish at the Circuit De Catalunya in Barcelona, Spain.

The team has won the hearts of motorsport fans with their determination off the track, and surprising competitors with their prowess on the track.

AirAsia Group CEO Dato’ Sri Tony Fernandes said, “We are proud to be in this dynamic partnership and we wish all the best to Team MOFAZFortec Motorsport in their racing endeavours. We would like to congratulate the drivers for their fine achievements, especially to Fairuz Fauzy for his excellent PODIUM win in Hungary. Motorsport involves a lot of determination, courage, technological precision, competence and outstanding teamwork to ensure success. The qualities needed are the same ones that have made AirAsia the World’s Best Low-Cost Carrier in just 7 short years.”

AirAsia was chosen the “World’s Best Low-Cost Carrier” by a majority of more than 16 million airline passengers in a survey conducted by the London-based and leading aviation consultancy SkyTrax.

Fernandes also emphasised that AirAsia’s sponsorship and support for MOFAZFortec Motorsport was another demonstration of AirAsia’s commitment to boosting Malaysian sports and burnishing “Brand Malaysia” across the globe. “We care deeply about the state of Malaysian sports, and sponsoring MOFAZFortec provides us with an opportunity to demonstrate our support for Malaysians and Malaysian teams that excel globally, competing against the best,” he said.

Team MOFAZFortec Motorsport is currently placed fifth in the World Series by Renault Formula 3.5 2009, despite it being its first year in such a global championship. The team managed to defy all odds to constantly produce amazing results at each and every race.

This collaboration will help AirAsia promote Malaysia and ASEAN to the European market and beyond. It seeks to attract travellers from Europe to experience the wonders of Malaysia and an array of exotic ASEAN destinations, all within reach thanks to AirAsia’s low fares, unparalled connectivity of routes and frequency of flights.

“Our relationship and association with AirAsia is truly timely, what with the stakes being raised higher for all teams in the World Series by Renault with only 2 race meetings left in the season”, said Haji Fauzy, the Team Principal of MOFAZFortec Motorsport. “Both organisations have shown that through hard work and diligence, any obstacles could be overcome, and thus, the beginning of this strong and driven alliance between the two globally-forward enterprises will help fortify brand MALAYSIA across the globe, and also provide the opportunities for our fans throughout the world to know how united we are under the banner of One Malaysia”.

The World Series by Renault Formula 3.5 has marked itself as one of the primary routes to Formula 1, with Robert Kubica, Fernando Alonso, Sebastian Vettel and Jamie Alguersuari amongst its recent graduates. The new Formula Renault 3.5 machines incorporate the latest aerodynamic technology which appears on Formula 1 cars in recent years, and is equipped with a 3.5 litre V6 engine peaking at 500 bhp utilising ‘flexfuel’ technology.

Renault has put into implementation the technological advancement that it has garnered over the years through its involvement in Formula 1 to allow competitors in the World Series Formula Renault 3.5 to be prepared for the highest level of motorsports, whereby several similarities are put in place in the cars to help drivers familiarise themselves with the rigors and challenges demanded of a Formula 1 driver.

KL second best for biz travellers, AirAsia is ‘Best Budget Airline in Asia’

06 September 2009

BANGKOK: Kuala Lumpur has been ranked second best for Business in Asia in the SmartTravelAsia.com" target="_blank">SmartTravelAsia.com’s “2009 Best in Travel Poll”.

The city — which was ranked fourth last year — finished behind Hong Kong, which remained the top destination for business, and was followed by Singapore.

Bangkok — which had been in the top three last year — dropped one rung to fourth place.

SmartTravelAsia.com, the region’s dedicated online travel magazine with over one million readers worldwide, said the category took into account the perceptions and actual experiences of business travellers dealing with factors such as the efficiency of transport and general services, signposting, hotels, airports and others.

Malaysia’s low-cost carrier AirAsia was again voted the “Best Budget Airline in Asia” for the fourth consecutive year, polling 38% of the votes, while Jetstar Asia and Singapore-based Tiger Airways came in second and third respectively.

SmartTravelAsia.com said voters of the poll, which ran from May to July, took an average of 12.84 air trips over the past 12 months and earned some US$170,401 (RM606,628) in household income.

About 60% of the voters were based in Asia, mostly in Singapore, China and Malaysia, 20% in Europe and the rest in United States.

Kuala Lumpur also came in fourth under the “Best City for Shopping” category, which was topped by Hong Kong, Singapore and Bangkok.

The Kuala Lumpur International Airport (KLIA) grabbed fourth placing for the “Best Airport” category, behind Singapore’s Changi Airport, Hong Kong International Airport and Bangkok’s Suvarnabhumi.

Singapore Airlines grabbed the top spot for the “Best Airlines Worldwide 2009” as well as the “Best Business Class” and “Best Cabin Service categories”.

Malaysia Airlines was ranked eighth.

The islands of Bali, Maldives and Phuket were the top three “Best Holiday Destinations in Asia”, while Langkawi and Penang took the sixth and 10 spots respectively.

AirAsia in talks with GoI to introduce direct flights from Kuala Lumpur to various cities in India

03 September 2009

According to a UNI report, AirAsia is in talks with the Government of India (GoI) to introduce direct flights from Kuala Lumpur to various cities in India including Chennai, Kolkata, Trivandrum, Kochi, Delhi, Mumbai and Amritsar. Moses Devanayagam, Head (Operations), AirAsia said that efforts were on to introduce a direct flight to Abu Dhabi from Kuala Lumpur from October this year. The airline is also planning to introduce direct flights between Kuala Lumpur and UK, US, Australia, China, Japan and Korea.

Devanayagam mentioned that the company initially launched operations with three aircraft and in a short span this has increased to 70 aircraft. He added that during the recently concluded Air Show in Paris, the company had placed order for procuring ten new version of A350 wide bodied and long-haul aircraft, which will be delivered to them in 2015-16. He also informed that after the ongoing renovation of the existing terminal at Kuala Lumpur to improve passenger amenities and handling more cargo, necessary arrangements will be made to provide air link to passengers from Tiruchirapalli and other destinations to Australia.

OFWs to benefit from AirAsia flight to Abu Dhabi

04 September 2009

ABU DHABI, United Arab Emirates — A cheaper passage to the Middle East is now open to overseas Filipino workers (OFWs) with a Malaysia-based budget airline opening direct Kuala Lumpur-Abu Dhabi flight five times a week starting this November.

Azran Osman-Rani, chief executive officer of budget airline AirAsia X, the long-haul flight unit of Asian budget airline AirAsia, announced recently their online promotional offer of a number of seats through their website airasia.com, at a low, all-inclusive 99 Malaysian ringgits or 99 dirhams, equivalent to about P1,440, for one-way travel between Nov. 23 and July 31, 2010.

Osman-Rani said they are very optimistic about the new route, expecting it to boost tourism between Abu Dhabi and its neighboring emirates in the UAE and Southeast Asia.

He gave assurance that the seats for sale beyond the introductory promo will be 40 to 60 percent lower than those in the market.

“It is a promo price which we will keep revisiting similar to what we do with our other flights during our frequent promo sales,” he said.

Kathleen Tan, AirAsia group regional head for commercial, said the Kuala Lumpur-Abu Dhabi route will be a big benefit for OFWs working in the Middle East, especially those bound for or working already in the UAE, especially in the emirates of Abu Dhabi, Dubai and Sharjah, and even in neighboring states such as Bahrain and Kuwait.

“With our low fare, they can go home to the Philippines or send for their families to visit them more often because air travel will be more affordable,” Tan told The STAR.

AirAsia operates a daily flight to the Diosdado Macapagal International Airport at the Clark Freeport in Pampanga.

Filipinos are second to Indians in terms of expatriate population working in the UAE, where 80 percent of the population comprises expatriate workers.

According to Dubai and Abu Dhabi-based OFWs, the usual fare going to the UAE costs from 2,400 to 3,000 dirhams (a dirham is worth P13.25 to P13.50).

The Kuala Lumpur-Abu Dhabi route is the latest addition to AirAsia X’s long-haul flights operating out of Kuala Lumpur’s low-cost carrier terminal.

AirAsia X also flies to Gold Coast, Perth and Melbourne in Australia; Hangzhou and Tianjin in China; Taipei, London, and now, Abu Dhabi.

The opening of the Kuala Lumpur-Abu Dhabi flight was made possible with the support of the Abu Dhabi Tourism Authority and the Abu Dhabi Airports Company (ADAC), which both expect the new route to boost tourism in the emirate.

Ahmed Al Haddabi, ADAC senior vice president for airport operations, said the AirAsia X flight from Kuala Lumpur could help them attain their goal of doubling the two million tourists they had in 2008 by 2015.

“We are ecstatic with our first long-haul route into the Middle East from Kuala Lumpur. This clearly indicates that our expansion plans are on track which represent our determination in providing truly low fare on our long-haul, low-fare services across the globe,” Osman-Rani said in ceremonies to formally launch the online sales of the Kuala Lumpur-Abu Dhabi seats at the Shangri-La Hotel in Qaryat Al Beri, Abu Dhabi last Aug. 19.

Rani explained that the R99/AED99 offer was an introductory offer for about 10 percent of the seats during the concerned travel period.