Airasia Sees Increase In Cargo Revenue

21 January 2010

KUALA LUMPUR -- Low-cost carrier, AirAsia, has target to increase cargo revenue by more than 40 per cent over last year's performance.

In a statement Thursday, AirAsia said its cargo segment would be a major area of growth for 2010, with South Asia being of particular interest to the airline.

As demand for cargo picks up, AirAsia said it was aggresively growing its markets and utilising Special Prorate Agreements (SPA) with various airlines to achieve the 2010 target.

It is also reaching out to markets beyond current routes to more cities in South Asia, East Asia, the Middle East, Africa and Europe, through other airlines via the SPA agreements.

AirAsia is also tying up with more cargo agents and large import-export firms in the markets it flies to.

"We've been signing up more key players in the cargo industry. Our competitive prices allow us to also increase business with individual senders," AirAsia's regional head of cargo, Sathis Manoharen said.

In line with the growth, he said domestic cargo operations are also expected to receive a boost, especially from the seafood industry.

This industry is currently among AirAsia's significant cargo revenue sources.

-- BERNAMA

Fernandes rejects West Ham overtures

21 January 2010

AIRASIA boss Datuk Seri Tony Fernandes has no plans to take any stake on offer by new West Ham United club owners, David Sullivan and David Gold.

“They have been in touch, but I am focusing my attention on AirAsia and The Tune companies. I don’t see myself taking the stake in West Ham,” Fernandes told NST yesterday. On Tuesday, Sullivan and Gold won the bid for a 50 percent stake in the club for a reported sum of £105 million (RM574 million) , with an option to acquire the remaining shares. CB Holdings, a subsidiary of Icelandic bank Straumur still holds the remaining 50 percent.

After winning the bid, co owner Sullivan, told the UK's Telegraph that he was keen to speak to Fernandes about a possible investment in the future. Sullivan had reportedly said that he would approach Fernandes in the hope that he will join Sullivan and David Gold in a kind of national unity purchase of West Ham. Fernandes said, the purchase of the club was to have been a personal investment, which he had planned with long time business partner Datuk Kamarudin Meranun. “I am now concentrating on AirAsia, AirAsia X and the Tune Companies, which includes Formula 1.

We expect a positive year ahead of us and that’s where my attention is,” Fernandes said. It is understood that Fernandes’ planned purchase, was to gain control over the club, giving him a final say in the running of the club.

This makes any option to have a stake without control over the club, undesirable for the business tycoon. In a Tweet yesterday Fernandes said, “What a year. West Ham, Lotus (F1), Asean basketball. Many offers but we will take breather on football. AirAsia is really rocking. It’s a gold mine.”


New Straits Times

No Problems With AirAsia Payment, Says MAHB

20 January 2010

KUALA LUMPUR-- Malaysia Airports Holdings Bhd (MAHB) says there are no problems in the payment of airport charges by low-cost carrier AirAsia Bhd.

MAHB chief financial officer, Faizal Mansor, said airlines operating out of airports in Malaysia would pay up their charges between 45-60 days.

However, he told Bernama that ideally, MAHB would like to see airlines pay up within 30 days.

He said there was no issue as regards to the progress of the payments to MAHB by AirAsia.

"We have a good relationship with AirAsia," he said.

-- BERNAMA

AirAsia introduces self check-in

20 January 2010

SEPANG: AIRASIA BHD has introduced self check-in kiosks at the low-cost carrier terminal (LCCT) here and certain regional airports as a faster and easier way for passengers to check in.

The other airports are at Johor Bahru, Kota Kinabalu, Kuching, Jakarta, Bali, Bangkok, Phuket, Chiang Mai and Hat Yai.

Passengers may also use the airline's web-based check-in service for added comfort and convenience, it said in a statement today.

AirAsia said these services were part of its continuous efforts of using ICT to exploit TECHNOLOGY and practise cost efficiency.

These services will help prevent airport congestion, long queues and reduce waiting time at no additional cost.

"We have invested quite a significant amount to develop our ICT facilities in order to keep up with global standards. This new service is relatively easy to deploy, saves cost and benefits both guests and AirAsia.

"As Asia's biggest low-cost carrier with a strong domestic and extensive network within the Asean region, we believe our amazing low fares and innovative services have an edge over the masses and empower more travellers to fly with us," said AirAsia group CEO Datuk Seri Tony Fernandes.

By Lam Jian Wyn
The Edge

AirAsia X Undertakes Seat Refurbishment Exercise

19 January 2010

SEPANG-- AirAsia X is undertaking a major refurbishment exercise to upgrade all economy and business class seats on board its long-haul aircraft.

Chief Executive Officer Azran Osman-Rani said the first aircraft will be refurbished by Feb 1, 2010.

The entire exercise, to be done in stages, would be completed by June and provide a more valueble experience for our customers, he said.

Besides the economy seats being refurbished to a more comfortable level, business class travellers will also enjoy a pleasurable journey.

" AirAsia X will have lie flat beds for business class passengers, first of its kind for long-haul aircraft to replace XL seats. There will be 12 lie flat beds in A330 and 18 lie flat beds in A340.

"After taking into consideration complaints (on leg room), we believe the new seats will be more comfortable and relaxing to our customers," he added.

Azran told this to reporters after launching ExxonMobil's "Discover Travel @ Asia" promotion in conjuction with Esso and Mobil's latest Smiles Driver Rewards promotion here Tuesday.

Meanwhile, Esso Malaysia's Retail and Business Director Faridah Ali said the latest Smiles promotion with AirAsia, which began in December, was a way of rewarding and thanking some 1.5 million Smiles members for their loyalty.

The first batch of eight winners awarded today will fly to Abu Dhabi with RM10,000 cash. The three-month promotion ends in February.

"For the final two months, there are 16 grand prizes up for grabs which includes trips to Ho Chi Minh and Hangzhou with RM10,000 cash," she said.

Smiles members who own an AirAsia co-branded credit card will automatically be entitled to five entries when they charge their fuel purchases to the card.

Esso Malaysia Bhd, ExxonMobil Malaysia Sdn Bhd and ExxonMobil Borneo Sdn Bhd operate 560 service stations throughout Malaysia.

-- BERNAMA

AirAsia launches Kota Kinabalu - Taipei Flights

19 January 2010

AirAsia has launched flights between Kota Kinabalu and Taipei, establishing Kota Kinabalu as the second largest hub in Malaysia.

Minister of Transport of Malaysia, YB Dato’ Sri Ong Tee Keat said, “This is a fantastic milestone for Malaysia’s aviation industry and for AirAsia; establishing Kota Kinabalu as its second largest hub in Malaysia. The Ministry is working closely with AirAsia to enhance international air services, which will result in more inbound tourists to Malaysia, boost our economy and increase tourism revenue. There are countless attractions in East Malaysia and I am pleased to be here today to celebrate AirAsia’s inaugural flight from Taipei. The introduction of this new route will provide greater accessibility and connectivity across South East Asia and beyond.”

Kota Kinabalu (Sabah) is perfect for those looking to enjoy the beach or more adrenalin-filled activities. Mount Kinabalu, home to the world's highest via ferrata at Mountain Torq, is the third tallest mountain of South East Asia and one of the stunning tourist attractions in Sabah. Other primary Eco-tourism attractions include its outstanding national parks such as Kinabalu National Park and the Sepilok Orang Utan Sanctuary.

Taiwan is renowned for its cuisine, culture, arts, architecture and bustling business activities. Taipei is a melting pot of the great culinary traditions, both Chinese and foreign, with hundreds of restaurants creating a gourmet's paradise. This most popular city in Taiwan is also littered with large shopping centers and department chain stores. Combining diverse leisure and entertainment facilities, these venues offer shopping for clothing, lifestyle products, bookstores, amusement centers, and many others. It is also a favourite destination for cyclists from within the region.

Besides Taipei, Kota Kinabalu also connects guests to other international destinations such as Brunei, Jakarta, Shenzhen, Macau, Clark and Singapore. Domestically, travellers can connect to Kuala Lumpur, Sandakan, Sibu, Tawau, Miri, Labuan, Penang, Kuching and Johor Bahru from the hub.

The new route will be served by AirAsia’s brand new Airbus A320 aircraft.

AsiaTravelTips.com

Most AirAsia shares in foreign hands

16 January 2010

PETALING JAYA: The majority of AirAsia Bhd shares are in the hands of foreigners while the bulk of shares in its rival Malaysia Airlines (MAS) are held by local institutions.

AirAsia announced to Bursa Malaysia yesterday that 50.36% of its issued and paid-up share capital was held by foreigners as at end-2009, compared with 37.98% foreign shareholding in June. It did not name the foreign shareholders.

AirAsia told the exchange that foreign ownership of shares in the company had exceeded the limit of 45% of its total issued and paid-up share capital.

The airline, however, did not say how it would regularise the shareholding but an analyst contacted by StarBizWeek said AirAsia would have to take steps to regularise it but it had some time to do so.

“It (the share transaction) is market driven as those who bought the shares must have believed that the travel sector was seeing signs of improvement for them to buy into AirAsia,” said the analyst.

The airline said the shares held by foreigners within the prescribed limit shall be entitled to all rights and entitlements attached to the shares. Shares held by foreigners which have exceeded the prescribed limit shall also be entitled to all such rights and entitlements except for the exercise of voting rights in respect of the shares.

Meanwhile, the Employees Provident Fund (EPF) had over the past month also been picking up some more shares in MAS. Its shareholding in the national carrier increased marginally from 12.57% as at April 20, 2009 to 13.59% as at end December. Accordingly, local institutions now hold 90.4% stake in MAS. EPF also had a 8.91% direct stake in AirAsia as at end of last year.

As at April 20, 2009, MAS was 52% owned by Penerbangan Malaysia Bhd, Khazanah Nasional Bhd has 14.33%, EPF 12.57%, Skim Amanah Saham Bumiputera 5.34%, State Financial Secretary Sarawak 2.71% and Warisan Harta Sabah Sdn Bhd 2.4%.

MAS was down 0.3 sen to RM2.96 while AirAsia shed 0.2 sen to RM1.41 yesterday.

By B.K.Sidhu

The Star