Liberate Sydney!

08 October 2010

AIRASIA X has stepped up its fight for a Sydney – Kuala Lumpur route by emblazoning its newest plane with the message: Liberate Sydney. End the monopoly.

The low-cost carrier’s new Airbus A330 will take its message – which also features a silhouette of the Sydney Opera House - to the skies on the Melbourne and Gold Coast route.

The Malaysian-based carrier flies out of Melbourne, Perth and the Gold Coast to Kuala Lumpur but has been denied permission to fly from Sydney by the Malaysian Government, despite receiving the green light from local authorities.

“There is an immense demand for capacity on that route but the only thing holding us back from launching direct services is government approval from Malaysia,” AirAsia X CEO Azran Osman-Rani said.

“We hope this paint job comes through loud and clear because we will keep fighting the good fight until we get the go-ahead to fly to Sydney.”

Named the ‘Southern Xross’, AirAsia X Head of Commercial Darren Wright said the aircraft was "dedicated to the Aussie spirit".

"And that means we won’t give up. Sydneysiders deserve greater choice and an end to the monopoly on the route by government-owned carrier Malaysia Airlines,” Mr Wright said.

Air Asia's long-haul offshoot Air Asia X launched flights to Australia in November 2007 with services to the Gold Coast. Perth and Melbourne were added a year later.

AirAsia X also flies to destinations in China, India, Taiwan, Korea, Iran and the UK.

AirAsia, the leading and largest low-cost carrier in Asia, services the most extensive network with over 132 routes covering over 70 destinations.

The airline was named the 2009 and 2010 World’s Best Low Cost Airline in the annual World Airline Survey by Skytrax and last October AirAsia and AirAsia X were awarded jointly the Centre for Asia Pacific Aviation (CAPA) Airline of the Year Award for 2009.
















































Travel BlackBoard

AirAsia X Says GDS Sales Not Paying Off

05 October 2010

AirAsia X’s initial sales from global distribution systems are not yet paying off, with GDS bookings accounting for 3% to 4% of its sales and failing to generate a “material difference” in yield compared to online purchases, says CEO Azran Osman-Rani.

The latter point is critical because low-cost carriers will pay for the GDS distribution model only if the yields are sufficient to offset the cost of using the channel. However, Azran told The DAILY on the sidelines of the World Low-Cost Airlines Conference in London that he is willing to give the experiment another year or so to see if the GDSs produce better results. AirAsia X only recently separated from AirAsia and now has its own commercial team, meaning it can work closely with travel agents and GDSs on how best to market its product instead of paying AirAsia a fee for its GDS connection. “If something good comes out of it, great; I’m not dogmatic about it,” Azran says. “But I think as is, something is not right. Something needs to change. I don’t know what it is.”

What he does not want to give agents is what some of them continue to clamor for—GDS access to AirAsia X’s promotional Internet prices, which he says shows they are focused on selling solely based on price. That’s a marketing challenge because the airline attracts business travelers who are more price-sensitive than customers for other airlines, and right now even customers at million-dollar businesses are telling their secretaries to book online instead if the online price is cheaper than what the agent can offer, Azran says.

Azran reports better results with AirAsia X’s lie-flat seats. The airline has 12 such seats on every aircraft and is filling them at about the same rate as economy class, with about a 75% load factor, he says.

Customers who pay for the seats also get flexibility on ticket changes and food, pillows, blankets and priority baggage included in the fare. The seats are selling particularly well on the airline’s U.K., Australia and Taipei routes, Azran says, but less well on new routes in China and India, where passengers are less familiar with the differentiation in low-fare products. That is demonstrated by the selling patterns in those locations, he says. When load factors in economy seats reach about 80% on a given flight, the fare difference between them and lie-flat seats shrinks to about $20, which should convince travelers to upgrade to lie-flat seats. But customers there are still buying economy.

By Andrew Compart

Aviationweek

Orly airport to launch budget flights to Asia

04 October 2010

Long-haul budget airline AirAsia X has reached a deal with French airport coordination to start operating flights from the Paris Orly airport, French media reports say.

French newspaper La Tribune reports that the budget airline is expected to start flights from Paris to Kuala Lumpur in Malaysia next year. AirAsia X however denies a final agreement has been reached and says talks are still ongoing.

Orly airport director Franck Goldnadel admits he contacted AirAsia X to offer landing slots at Orly. “As an average-sized airport, Orly suits budget airlines because time spent on runways is kept to a minimum,” he said.

Approval for the carrier to land in Paris was announced by Malaysian Prime Minister Najib Razak during a visit to Paris last year after a meeting with French President Nicholas Sarkozy.

It will be the Southeast Asia's biggest budget carrier second route in Europe after it began a London service in March last year.

An affiliate of regional low-cost carrier AirAsia and Virgin Group, AirAsia X was launched in January 2007. AirAsia and AirAsia X have common shareholders, including AirAsia founder and CEO Tony Fernandes.

The airline currently has eight aircraft and will have 11 by December. It has also placed an order for 17 Airbus A330s and 10 A340s.

by RFI

AirAsia X: Listing will raise funds to buy more planes

29 Sep 2010

KUALA LUMPUR: Long-haul budget carrier AirAsia X Sdn Bhd sees its impending listing as a good avenue to raise capital, says chief executive officer Azran Osman-Rani.

“We see the listing as a good way of raising capital to buy more planes to serve these (underserved) routes,” Azran said during the two-hour CEO roundtable conference yesterday.

He explained that there were limited direct flights from Malaysia to major cities and the larger fleet size would enable it to serve those underserved routes.

Azran Osman-Rani says AirAsia X’s listing is something it really wants to pursue. – Bernama

On top of expanding its fleet size and routes, Azran said the listing exercise would also provide AirAsia X with a good platform to expand its relationship with shareholders.

“It (the listing) is something we really want to pursue. There’s tremendous upside growth in the long-haul market and Malaysia is so deprived of direct flights to some major cities,” he said.

In June, AirAsia X announced its plan for an initial public offering (IPO) in the second half of 2011, subject to market conditions. While it is still uncertain, the IPO was likely to value AirAsia X at between US$500mil and US$600mil.

AirAsia X posted a revenue of RM720mil for the financial year ended Dec 31, 2009 (FY09) and RM231mil for FY08. Net profit for FY09 was RM87mil and the airline is targeting a net profit margin of 7% this year.

Earlier, at the interactive CEO roundtable, Dubai International Financial Centre Authority chairman David Eldon said some of the banks were repositioning themselves since the financial crisis while some regulators might raise the bar higher than the Basel 3 framework.

He said bankers were much respected in the community prior to the financial crisis and were gaining less respect these days as they contributed to the whole financial mess.

Eldon, an ex-banker, joked that these days he would tell people he was a plumber if asked.

Kanoo Group Deputy Chairman Mishal Kanoo at the CEO Rountable forum on the "Dawn of The New Decade: Alternative Investments in Asia" here today. Also present were AirAsia X Chief Executive Officer Azran Osman Rani (left) and Wipro Technologies Asia Pacific and China Chief Sales and Operations Officer, Rajat Mathur (right). - Bernama

While Azran said he did not know much about repositioning, he said AirAsia had reinvented the way people travelled, thanks to “annoying people” like himself.

He said previously travellers had decided where they would like to go but the landscape changed with AirAsia.

Azran cited an example on how travellers might be thinking of going one place but might not get the tickets or dates and ended up going to another place or picking different dates.

Despite its achievement as a young carrier, he said it was not enough and was always on the treadmill of change.

Azran said attracting talent was not just a role of the Government but also corporates and all other sectors.

The Star

Airasia X looks to add two more Japan cities

23 Sep 2010

High aspirations: Azran Osman-Rani, chief executive officer of AirAsia X, is interviewed in Tokyo on Tuesday. KYODO PHOTO

The chief executive officer of AirAsia X, long-haul low-cost carrier based in a Malaysia, said he hopes to add two Japanese airports to its international service by 2012 after starting flights to Tokyo's Haneda airport in December.

"As far as other airports in Japan, we remain interested. I have always said Japan is a market where we can operate at three different airports, including Haneda," Azran Osman-Rani said in an interview Tuesday, adding he would consider airports in Osaka, Sapporo, Nagoya and Fukuoka.

"The cities other than Tokyo are not well known so we will not fly immediately, but once when the people of Malaysia know that we are flying to Japan, word gets around and that's when we can start direct flights there," the 38-year-old Osman-Rani said. "It will take maybe one or two years to build this awareness for these cities."

AirAsia X, an affiliate of AirAsia, one of the biggest low-cost carriers in Southeast Asia, announced Tuesday it will launch a direct service between Kuala Lumpur International Airport and Haneda on Dec. 9, with fares 40 to 50 percent lower than those currently offered by other airlines.

AirAsia X hopes that its attractive pricing and high-quality service will allow it to tap a pool of Asian tourists who have never visited Japan and increase demand for overseas flights among Japanese.

Moves are also increasing among regional airports in Japan to attract low-cost carriers since the number of existing flight services has stagnated.

Osman-Rani stressed that his priorities for future expansion are Fukuoka and Osaka.

"I like Nagoya, but in my mind I'm not sure because in Nagoya you are just over one hour from Tokyo. Maybe later when there is a lot of demand. Osaka and Fukuoka are the higher priorities," he said.

On Ibaraki airport, which AirAsia had once considered serving, Osman-Rani said: "An airport like Ibaraki probably needs to develop more of its short-haul network before it becomes viable for long-haul networks such as ours. The power of Haneda, by contrast, is very strong with a domestic network of dozens and dozens of flights to Sapporo, Osaka, Fukuoka and many other places."

AirAsia X hopes to see a load capacity of 75 percent in the first year of service between Tokyo and Kuala Lumpur, with an aim of boosting that to 80 percent by the end of the second year. It targets mostly young tourists, some businesspeople and retirees.

"I think Southeast Asia is very unique and the best part of Southeast Asia is you don't need to choose where to go. You can go to the beach islands for a few days and to the city for shopping, nightlife and also go to adventure destinations. Everywhere is a one-hour flight and very cheap, $10, $20," he said.

By JUNKO HORIUCHI

Kyodo News

AirAsia X optimistic over Tokyo route in December

22 Sep 2010

PETALING JAYA: Long-haul budget carrier AirAsia X will fly to Japan in December, with three non-stop flights a week from KL International Airport to Haneda in Tokyo.

Chief executive officer Azran Osman Rani said considering its status as the world’s largest metro­politan city, Tokyo was an important feeder market for the airline to move into the growing international network.

“The three weekly flights will strengthen our historic business and tourism links with Japan’s commercial centre,” he said.

Azran said he estimated that more than 60% of the passengers between Kuala Lumpur and Tokyo would be first-time visitors, adding that new market segments could be created from the tourism growth.

To mark its new destination, Air Asia X is offering promotional fares for a one-way ticket from Kuala Lumpur to Tokyo from as low as RM99. The tickets will be available from Sept 23 to Sept 26 for travel period Dec 9 to Jul 31, 2011.

The seats are offered on a first-come, first-served basis and tickets are only available online via www.airasia.com and mobile.airasia.com.

Passengers will travel in a brand new A330 aircraft with standard business class “Premium Flat Bed” seats that feature universal power sockets, adjustable headrests and built-in personal utilities, such as tray table, drink holder, reading light and privacy screen.

AirASia X currently flies to destinations in Australia, India, Taiwan, China, Europe and Korea.

The Star

AirAsia X opens tickets to Tokyo from next week

15 September 2010

Airline will be first foreign low-cost carrier serving Haneda airport from Dec 9

PETALING JAYA: AirAsia X will begin flights to Haneda airport in Tokyo on Dec 9 and open ticket sales for the sector next week.

The airline plans to mount three weekly flights and it will be the first foreign low-cost carrier serving the airport that is expected to open for international flights in late October.

Asashi newspaper in Japan reported that AirAsia X was expected to price fares far lower than those charged for existing services between the capitals of Japan and Malaysia offered by Japan Airlines and Malaysia Airlines (MAS).

Azran Osman-Rani says flying to Tokyo would be ‘super exciting.’

AirAsia X chief executive officer Azran Osman-Rani declined to reveal any pricing when contacted yesterday by StarBiz. But the market is abuzz with talk that the introductory price could range from RM99 to RM199.

Azran said that flying to Tokyo would be “super exciting as finally people will have choices and low fares to go to great places.’’

Three flights per week may be too few for AirAsia X but for now the airline does not have much of a choice.

It is learnt that the Japanese authorities had accorded seven rights and the Malaysian authorities awarded three each to AirAsia X and MAS, and one to Transmile.

“Japan is a high fixed cost city and with so few flights it would be difficult to make the sector sustainable so we will have to convince the authorities to grant us daily flights,” Azran said.

MAS will introduce three flights a week between Kota Kinabalu and Haneda from Nov 15.

Haneda airport is the main domestic hub for Tokyo but due to congestion in Narita, it will start receiving international flights next month. Haneda is just a 20-minute monorail or cab ride from downtown Tokyo whereas Narita is at least an hour’s train ride, and the trip can take over two hours by car on clogged roads.

To beat potential competition from six foreign low-cost carriers from China and South-East Asia, both Japanese carriers – Japan Airlines and All Nippon Airways (ANA) – want to set up low-cost airlines.

ANA has inked a deal with Hong Kong’s First Eastern Investment Group to set up a new airline that will start operations in the second half of 2011. ANA will own 39% in the venture and Far Eastern 33%. The balance equity will be sold to other investors.

By B.K.Sidhu

The Star

AirAsia X still in talks to start Paris route

09 September 2010

'It is still premature (to set a date), it is definitely not this year,' AirAsia X's chief executive officer Azran Osman-Rani said. -- PHOTO: AP

KUALA LUMPUR - LONG-HAUL budget airline AirAsia X said on Thursday it has no plans to begin flights to Paris this year, according to a top official, after French reports it had been given a slot at Orly Airport.

French media had reported that the carrier, which will operate the route after its affiliate AirAsia won landing rights in October last year, has been given a slot at the southern Paris airport starting from next month.

'We are not looking at flying to Paris on October 31,' AirAsia X's chief executive officer Azran Osman-Rani told AFP.

'It is still premature (to set a date), it is definitely not this year,' he said, adding that the carrier was still in talks with the French authorities on 'operational matters'.

French newspaper La Tribune, without specifying its source, reported that AirAsia has been given a slot to operate the Kuala Lumpur-Paris route twice a week from October 31.

The paper said the airline however intends to start these flights in 2011 and was targeting to fly four times a week. -- AFP

StraitsTimes

AirAsia X Appoints Carat Korea

09 September 2010

Woohyun Nam, General Manager of Carat Korea, announced today the agency has won the AirAsia X account following a pitch against incumbent Group M.

Carat Korea will become the hub for the client to design integrated communications planning, including media buying, detailed media planning of offline, outdoor and digital.

Carat Korea is able to offer the client a communications strategy that goes beyond a typical media execution, together with a strategic direction integrating online and offline.

“We were very impressed with the Carat team’s understanding of the market insight and their passion for our business. We know Carat will be our key partner to grow our business in South Korea,” said Spencer Lee, AirAsia X Marketing Manager.

Woohyun Nam added, “ I believe it is a great opportunity to partner with AirAsia, who have been named the world’s best low cost airline. Carat Korea will utilise the experiences of previous global brand launches such as H&M to achieve success for AirAsia.”

AsiaMediaJournal

AirAsia X Launches Ex-Australia Promotion

31 August 2010

AirAsia X is slicing 20% off all Australian flights to Kuala Lumpur and back to celebrate the arrival of Spring.

AirAsia’s 20% Off Spring Sale is on from Wednesday, 1 September, until 5 September 2010, with 20% off all flights between the Gold Coast, Melbourne and Perth and the Malaysian hub of KL.

The travel period runs between 1 September 2010 and 14 November 2010. The sale also applies to AirAsia X’s new Premium FlatBed seats.

The Premium seats offer standard business class specifications of 20” width, 60” pitch and stretch out to 77” in full recline position.

They also feature universal power sockets, adjustable headrests and built-in personal utilities such as tray table, drink holder, reading light and privacy screen.

AirAsia X is also offering hot deals on some old favourites departing Kuala Lumpur including Ho Chi Minh from $3, Phuket from $5, Penang from $26, Langkawi from $30, Singapore from $32, Bangkok and Siem Reap from $67 and Bali (Denpasar) from $71. Terms and conditions apply.

AsiaTravelTips.com

AirAsia X low fare promotion

16 August 2010

PETALING JAYA: Travelers are in for a real treat with the latest low fare campaign offered by AirAsia X.

The three-day campaign, from Aug 17 to 19 for travel from 1 April to 11 August, 2011, offers unbelievable low fares to all of its destinations except Korea.

Dubbed the X-traordinary low fare campaign, the offer is limited and available on a first-come, first-served basis and made exclusively online via www.airasia.com and mobile.airasia.com.

Besides offering free seats to Mumbai and New Delhi with guests merely paying airport tax from as low as RM25 one way, the airlines is also offering fares from as low as RM499 to London.

Australian destinations such as Gold Coast, Perth and Melbourne are available from RM199 whilst fares to China are offered from as low as RM99 to Tianjin and Chengdu and from RM149 to Hangzhou.

The fare to Taiwan is also offered from RM149.

AirAsia X has also revamped its economy class seats with new ergonomical, reclineable seats at 31 pitch equipped with comfortable adjustable headrests.

Guests will also have the opportunity to experience the new comfortable flatbed Premium seats on AirAsia Xs brand new A330 and A340 aircrafts with premium low fares from as low as RM449 to India, from RM499 to Taiwan, from RM549 to China, from RM899 to Australia and from as low as RM2,249 to London.

Premium seat guests will get to enjoy the following premium complimentary product and services: Pick A Seat, Priority Check-in, Priority Boarding, Priority Baggage, Baggage Allowance, Combo Meal and Comfort Kit made-up of a pillow and a blanket.

AirAsia X chief executive officer Azran Osman-Rani said the promotion was the best opportunity for guests to maximize on the airlines extensive route network to travel to more places with its amazing low fares.

“Our aggressive promo campaign on both our economy and premium class seats will allow guests a better flying option and choice of comfort.

“With our rapid expansion plans, AirAsia X is committed and poised to position Malaysia and Kuala Lumpur as its dynamic capital, as Asia's biggest low-cost hub,” said Azran.

He added guests could start planning and booking their flights for their next year travel plans and take advantage of Kuala Lumpur’s status as a gateway to Asia, Australia and Europe and connect globally.

Those flying on the AirAsia X network are also offered fares from as low as RM1 from Kuala Lumpur to Penang, Alor Star, Johor, Kota Bharu, Singapore, Begawan and Hatyai among others.

The offer, for the travel period as same as the international routes campaign, was kicked off on Aug 10 and will end on Aug 19.

Guests can also get online hotel deals and tour packages via AirAsiaGo at www.airasiago.com where they have wide choice tours, activities and accommodation in over 70,000 hotels worldwide.

All fares quoted are applicable for one-way travel only and is inclusive of airport tax.

By Wani Muthiah

The Star

AirAsia X notches record sales for Seoul route

10 August 2010

PETALING JAYA: Long-haul budget airline AirAsia X has set a new sales record for its new destination Seoul, South Korea, with over 80,000 seats snapped up.

The airline recorded over RM20mil in introductory sales for its RM99 fare to Seoul through bookings on its web portal, surpassing those for London, Melbourne and Taipei.

Flights on the new route between Kuala Lumpur and Seoul will start on Nov 1.

Its chief executive officer Azran Osman-Rani said the airline was thrilled about flying more tourists to Malaysia from Seoul, following the Government’s approval for its flight to Incheon International Airport.

“We are confident that the route will also deliver strong new passenger traffic, similar to the significant growth rates we have recorded for the Melbourne, Perth and London routes which grew by 41%, 66% and 31% respectively last year,” he said.

The airline, he added, expected over 100,000 passengers for its daily Seoul service in the first year of operation.

Azran said AirAsia X had also received overwhelming interest from the Korean public, who were keen to take advantage of the low fares it offered to travel to Malaysia during winter.

“Tourists from Malaysia and other neighbouring countries will also be able to enjoy South Korea during the winter season and opt for a skiing holiday as there are many ski resorts in the country,” he said.

Azran said the airline would also work with the Korea Tourism Organisation and Tourism Malaysia to launch campaigns and offer travel packages to lure in tourists from South Korea.

The Star

Promotional offer from AirAsia X

05 August 2010

Passengers flying AirAsia X, the low-cost long-haul affiliate carrier of AirAsia, from New Delhi to Kuala Lumpur can avail themselves of a Re.1 promotional offer which is being offered by the airline on the occasion of launch of its services here.

As per the offer, passengers will have to pay a one-way fare of Re.1 plus airport taxes of Rs.2,377. On return, however, regular fares will be applicable.

This is the second Indian city in the airline's network after Mumbai where operations were launched in May.

The inaugural flight of AirAsia X from Kuala Lumpur to Delhi landed with 300 passengers earlier this week at Indira Gandhi International Airport's Terminal-3 which recently commenced international operations.

“The passengers were not just from Kuala Lumpur but also Australia and other countries,” AirAsia X chief executive officer, Azran Osman-Rani said at the launch of the airline's services here on Thursday.

The promotional offer can be availed of between August 10 and September 30 for which passengers should book their tickets on August 7 and August 8.

Daily flights will operate from Kuala Lumpur to New Delhi and back.

The Hindu

AirAsia X crossing trans-Tasman

04 August 2010

AirAsia X could be including flights between Australia and New Zealand by the end of the year but will not be catering to popular cities Melbourne and Sydney.

The Sydney Morning Herald reported the airline, which is 16 percent owned by AirAsia, is expected to designate flights from the Gold Coast and Perth to either Auckland or Christchurch.

Mr Osman-Rani said, "The airline would have a golden opportunity to enter the trans-Tasman market if Virgin Blue's proposed alliance with Air New Zealand resulted in the airlines shedding flights."

TravelBlackBoard

AirAsia joins budget airline boom in Korea

03 August 2010

While low-cost carriers are gearing up to provide affordable air travel for budget-savvy tourists, AirAsia seeks to lead the way by opening up a new route via Seoul.

AirAsia, Asia’s largest low-fare airline, announced at a press conference on Monday its newest international route starting Nov. 1, which will connect Kuala Lumpur and Seoul.

To mark the launch of its latest route, the Malaysian company introduced a promotional round-trip fare of 120,000 won ($102.30) including all taxes and fees, for the travel period from Nov. 1 to Aug. 11, 2011, for those who book tickets on its website between Aug. 4 and Aug. 8.

After the promotional period, travelers will be able to purchase tickets for 25 to 30 percent lower than traditional airlines charge, depending on their purchase date, for the daily operation.

It took more than a year for the airline to earn an approval from the government, noted Azran Osman-Rani, CEO of AirAsia X, AirAsia’s long-haul affiliate.

“Seoul has been our priority market for the long-haul destination since 2007,” he said. “Malaysians have gone crazy about the Korean Wave. We couldn’t wait to launch this route for so long.”

According to an online survey conducted by AirAsia on social networking websites such as Facebook and Twitter, more than 2 million customers picked Seoul as the No. 1 destination they wish the airline to fly to.　

Seoul is the eleventh destination for the Malaysian company followed by cities in Australia, India, Taiwan, China and the U.K.　

AirAsia’s CEO Azran Osman-Rani poses with the Korea Tourism Organization’s president Lee Cham (fourth from right) at a press conference in Seoul on Monday.

Established in 1993, AirAsia was named the world’s best low-cost airline for two years in a row in 2009 and 2010 by Skytrax, a U.K.-based aviation research firm.　

Currently, AirAsia and AirAsia X operate more than 132 domestic and international flights collectively through a fleet of 94 aircraft.

The market for low-fare flights has grown over the past several years with an increasing number of budget carriers flying across Asia Pacific, enabling cost-sensitive customers to enjoy air travel more affordably.

Major players in the Asian sector such as Tiger Air, Thai Air and AirAsia have brought challenges to legacy European and American carriers, offering no-frills service at dramatically reduced prices, with a wide variety of options on in-flight services.

In spite of growing global demand, Korea has not been an easy market for budget carriers during the past few years.

In 2008, Singaporean Tiger Air initially intended to fly from Korea to China, Japan and Russia beginning in August last year, but eventually withdrew the plan after delays in its application process, due to the global economic slowdown and regulatory uncertainties.

Organizations like the Center for Asia Pacific Aviation argued that Korean government protectionism has been a major hurdle for the market, as the Ministry of Land, Transport and Maritime Affairs failed to reject a request brought by national airlines to protect themselves from competition with overseas companies in 2008.

Meanwhile, Yeongnam Air and Hansung Airlines, two Korean low-cost carriers, suspended operations in 2008, citing rising competition and lack of demand.

By Shin Hyon-hee (heeshin@heraldm.com)

TheKoreaHerald

AirAsia evaluating domestic Australian operation

28 July 2010

Malaysia-based AirAsia is evaluating whether to launch a domestic operation in Australia.

Azran Osman-Rani, the CEO of AirAsia's long-haul carrier Asia X, made the announcement on the sidelines of the Australia Pacific Aviation Outlook Summit in Sydney.

AirAsia's launch of an Australian base would depend on one of the existing mass-market carriers moving up-market and the remaining carriers rationalising capacity and increasing fares, Azran says.

"The way it is now, if you've got three players competing aggressively for the mass market segment that's all the industry can take," Azran says.

Although he does not explicitly name Virgin Blue, the latter has made clear its intention to increase its corporate market share and continue to move away from its low-cost roots.

Virgin Blue moving up-market would leave Tiger Airways and the Qantas Group's Jetstar Airways as the only domestic carriers targeting Australia's mass market. Under Azran's reckoning, Virgin Blue leaving the market would create room for AirAsia.

"If the market dynamic changed and suddenly there is space and existing players start to rationalise fights and increase fares, it will be very tempting," he says of AirAsia launching a domestic Australian operation.

An AirAsia operation in Australian would easily have a lower cost base than Tiger and could offer cheaper fares consistently, says Azran.

He adds the carrier would use Airbus A320s and would be majority foreign-owned. The Australian market is unique for permitting majority foreign-owned carriers to operate domestically.

Australia is also attractive to AirAsia for its transparent regulations, says Azran.

"It's a lot easier to operate here than it is trying to get into markets like Vietnam," he says. AirAsia has partnered with Vietnam's VietJet to create a low-cost carrier in Vietnam. But Vietnamese regulators have objected to the carrier using AirAsia's name. Vietnamese regulators also took issue with Jetstar group's Jetstar Pacific carrier using Jetstar branding. Earlier this month Vietnam released two Jetstar Pacific executives who since December had been barred from leaving the country while regulators investigated the carrier's fuel-hedging losses.

AirAsia has subsidiaries in Indonesia and Thailand in addition to its partnership in Vietnam.

FlightGlobal.com

High flyer Darren Wright new AirAsia X Head of Commercial

22 July 2010

Leading low-cost airline AirAsia X has appointed its General Manager Australia Darren Wright to the position of Head of Commercial ahead of its proposed public listing.

Mr Wright, who has been with the Malaysian-based carrier since its inception in November 2007, will head up all commercial and marketing functions for AirAsia X across its long-haul network covering destinations in Australia, China, India, Taiwan and the United Kingdom.

The role has been created ahead of the airline's plan to list as a separate entity of its parent company AirAsia in the second half of next year.

Mr Wright will be based in Kuala Lumpur and will report to AirAsia X CEO Azran Osman-Rani, and will in the short term split his time between the Malaysian capital and his hometown of Brisbane. He will continue to oversee commercial operations in Australia.

"It's an exciting time for AirAsia X with the proposed listing, network growth and big plans to fly to more exciting destinations like Korea and Japan, and with the move to the NewSkies booking platform, connectivity across the entire network is also a core focus for us," Mr Wright said.

"Since its maiden flight between Kuala Lumpur and the Gold Coast in 2007, I'm proud to have been a part of AirAsia X growing into an award-winning airline which is now reaching sufficient scale economies to stand on its own instead of relying on services provided by AirAsia.

"I'm thrilled that I will be able to continue helping this exciting airline further expand as it enters its next growth phase."

Mr Wright's previous roles include Marketing Manager at Virgin Blue Airlines, National Marketing Manager for Flight Centre and Queensland Manager of global music provider DMX Music.

AirAsia and AirAsia X have been named the 2009 and 2010 World's Best Low Cost Airline in the annual World Airline Survey by Skytrax, as well as the Centre for Asia Pacific Aviation (CAPA) Airline of the Year in 2009.

AirAsia X was the first low-cost carrier in the world to introduce flatbed seats with standard business class specifications which feature universal power sockets, adjustable headrests and built-in personal utilities.

The plan to list AirAsia X will give it financial independence from AirAsia and the ability to develop better capabilities in long-haul services. It will also allow the carrier to employ its own wide-body pilots, cabin crew, ground staff and commercial and marketing teams.

AirAsia X's Australian routes include Melbourne, Perth and the Gold Coast from Kuala Lumpur. AirAsia Indonesia also operates a Perth to Bali service.


TravelBlackBoard

AirAsia launches its lowest premium long-haul fare

19 July 2010

Kuala Lumpur AirAsia X, the leading long haul low fare arm of AirAsia has announced it will be offering guests its lowest premium flatbed fares yet – with premium fares from Kuala Lumpur to India, China, Taiwan, Australia and India from as low as RM529 (all in) one way.

The promo fare is available for online bookings from today 19 July until 1 August, 2010 for travel between 2 August 2010 and 15 November 2010.

Guests will be able to enjoy premium fares from as low as RM529* to India (Delhi, Mumbai), RM549* to Taiwan, RM599* to Chengdu, RM699* to Hangzhou and RM799* to Tianjin, China. Premium fares for Australian destinations are offered from as low as RM949* to Perth, RM1, 499* to Gold Coast and Melbourne. Guests opting for Stansted, London on premium will be able to fly premium from as low as RM2, 549*.

The Premium FlatBed seats, which offer executive level comfort for a fraction of typical business-class fares on legacy carriers, have a seat pitch of 60” and are 20” wide. Once in the full bed position, AirAsia X Premium passengers can stretch out to 77”.

AirAsia X’s new premium offering includes complimentary seat assignment, premium check-in, priority boarding, 20kgs baggage allowance, meals and non alcoholic drinks as well as a pillow and blanket.

AirAsia X CEO, Azran Osman-Rani, said: “We are constantly looking for ways to drive down fares and are thrilled to offer our lowest fares yet on the brand new FlatBed seats.”

“With this latest offer both business and leisure travellers can now treat themselves to luxury and still get great savings. Travel expenses are a growing issue for businesses but with AirAsia X’s extra low fares it is now cheaper than ever to stay well connected to clients and business partners.”

ExpressIndia.com

AirAsia X becomes first LCC to offer low-cost flatbed seats, as expansion rolls on

24 June 2010

AirAsia X CEO, Azran Osman-Rani

AirAsia X has become the first LCC to offer flatbed seats on its long-haul route network, with the low-cost long-haul carrier claiming that its product "combines the comfort of premium travel with the affordability of no-frills flying". The new Premium FlatBed and economy class seating product was installed this month on its A340 aircraft operating on the Kuala Lumpur-London sector, ahead of a fleet-wide roll out.

AirAsia X premium product

London Stansted Commercial and Development Director, Nick Barton, called the product the "next evolution" of low-cost flying, adding that it would revolutionise air travel "between Europe, Asia and beyond".

To have highest-density configuration on both A340 and A330 equipment in the region

The new configuration for the AirAsia X A340 is 18 flatbed seats (30 currently) and 309 economy seats (256 currently), for a total of 327 seats (286 currently), which will make it the highest-density A340 configuration in the region (compared to mid-range at present). The carrier also upgraded its economy class seating, to feature reclineable seats at 31” pitch equipped with adjustable headrests. The airline also decided to move away from traditional black leather to a mix of red and grey.

Asia Pacific carriers’ A340 seating configurations: Jun-2010

Operator	Aircraft Type	Seats	In Service	Total
China Eastern Airlines	A340-300	322	5	5
SriLankan Airlines	A340-300	314	3	3
SriLankan Airlines	A340-300	313	2	2
Air Tahiti Nui	A340-300	294	5	5
Air China	A340-300	291	6	6
China Eastern Airlines	A340-300	287	5	5
AirAsia X	A340-300	286	2	2
Hainan Airlines	A340-600	286	3	3
Safi Airways	A340-300	286	1	1
Cathay Pacific	A340-300	283	11	11
China Airlines	A340-300	276	6	6
Thai Airways	A340-600	267	6	6
Philippine Airlines	A340-300	264	4	4
Thai Airways	A340-500	215	4	4
Singapore Airlines	A340-500	100	5	5
Total			68	68

Source: Centre for Asia Pacific Aviation and Ascend

Refurbishment process to be competed by Jul-2011

AirAsia X is currently upgrading its entire fleet with the new seats in stages for all long-haul flights to Melbourne, Gold Coast, Perth, Taipei, Hangzhou, Tianjin, Chengdu, London, Mumbai and New Delhi.

The refurbishment process is expected to be completed by Jul-2011 and will allow AirAsia X’s A330 to have a seat configuration of 12 flatbed premium seats (28 currently) and 365 economy seats (355 currently), for a total of 377 seats (compared to 383 currently on five of its six A330-300s in service). With the new configuration, AirAsia X will remain the highest-density A330 operator in the region, giving it a 20% unit cost advantage over its nearest rival, Vietnam Airlines on seating density alone. Add in higher utilisation rates and the advantage could be 30-50% over rivals flying the same aircraft type.

Centre for Asia Pacific Aviation

AirAsia X unveils low-cost flatbed seats

23 June 2010

Good news for long-haul travellers who fly on a budget – AirAsia X has just become the first low-cost carrier in the world to offer flatbed seats on its long-haul route network.

The airline, which runs daily flights to Kuala Lumpur from London Stansted Airport , claims that its product combines the comfort of premium travel with the affordability of no-frills flying.

With fares starting from £649 one-way its new offering will be out of reach for many, but for those who simply want a comfy seat without the bells-and-whistles it could be perfect.

Seasoned business travellers will immediately pick out the low-cost elements of the new product, which lacks backseat TVs and includes a meagre 15kg checked baggage allowance.

But AirAsia X is right to hail its product as revolutionary. The £649 price-tag is a fraction of what legacy carriers at Heathrow charge for similar comfort, and the seat's ergonomic design allowed our 6ft 3in correspondent to lie outstretched in the fully-reclined position without impediment.

Universal power sockets, adjustable headrests and privacy screens add to the air of luxury premium travel, though it's the groundbreaking flatbed option that puts this seat in a league of its own.

Speaking at the official launch, AirAsia X chief executive Azran Osman-Rani commented: "As frequent flyers ourselves, we understand the great need for comfort especially for long-haul flights. Both business and leisure travellers can now enjoy greater low-fare connectivity than ever before."

Nick Barton, Stansted's commercial and development director, called the product the "next evolution" of low-cost flying and said it would revolutionise air travel "between Europe, Asia and beyond".

AirAsia X is increasing its London Stansted to Kuala Lumpur route to nine weekly flights in November. The airline offers onward connections to destinations such as Australia, Thailand and China via its parent brand AirAsia, which operates more than 400 daily flights in the region.

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