AirAsia

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AirAsia
IATA
AK
ICAO
AXM
Callsign
Asian Express
Founded 1993
Hubs Kuala Lumpur International Airport
Focus cities Suvarnabhumi Airport
Soekarno-Hatta International Airport
Kota Kinabalu International Airport
Kuching International Airport
Senai International Airport
Fleet size 51
Destinations 48
Parent company AirAsia Berhad
Headquarters Kuala Lumpur
Key people Tony Fernandes (CEO)
Website: http://www.airasia.com

AirAsia is a low-cost airline based in Kuala Lumpur, Malaysia. It operates scheduled domestic and international flights and is Asia's leading low fare, no frills airline. It is also the first airline in the region to implement fully ticketless travel and unassigned seats. AirAsia has been expanding rapidly and is very popular among the travelling public thanks to its frequent low fare deals. Its main base is the Low Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport.

Contents

[edit] History

An AirAsia Airbus A320 aircraft.
An AirAsia Airbus A320 aircraft.

The airline was established in 1993 and started operations on 18 November 1996. It was originally founded by a government-own conglomerate DRB-Hicom. On December 2, 2001 the heavily indebted airline was purchased by former Time Warner executive Tony Fernandes's company Tune Air Sdn Bhd for the token sum of one ringgit. Fernandes proceeded to engineer a remarkable turnaround, turning a profit in 2002 and launching new routes from its hub in Kuala Lumpur International Airport at breakneck speed, undercutting former monopoly operator Malaysia Airlines with promotional fares as low as RM1 (US $0.27).

In 2003, AirAsia opened a second hub at Senai Airport in Johor Bahru near Singapore and launched its first international flights to Bangkok. AirAsia has since started a Thai subsidiary, added Singapore itself to the destination list, and commenced flights to Indonesia. Flights to Macau started in June 2004, while flights to Mainland China (Xiamen) and the Philippines (Manila) started in April 2005. Flights to Vietnam and Cambodia followed later in 2005 and to Brunei and Myanmar in 2006, the latter by Thai AirAsia.

On 22 July 2005 AirAsia announced a partnership with Manchester United Football Club. The sponsorship deal saw AirAsia advertisements appearing at Old Trafford Stadium in Manchester which provides exposure to millions of television viewers worldwide.

A new budget terminal, the first of its kind in Asia was opened in Kuala Lumpur International Airport on 23 March 2006. Built at a cost of RM108 million (US $29.2 million) and spanning some 35,000 square metres (116,000 square feet), the Low Cost Carrier Terminal (LCCT) is the new home for AirAsia Bhd. LCCT will initially handle 10 million passengers a year. AirAsia Group is expected to carry 18 million passengers in 2007.

On 27 March 2006, the Government of Malaysia announced that AirAsia will take over 96 non-trunk routes, in addition to 19 domestic trunk routes. This was part of Malaysia Airlines route rationalization programme which saw a large number of its domestic sectors being transferred to AirAsia from 1 August 2006.

[edit] Associate companies

[edit] Thai AirAsia

Main article: Thai AirAsia

Thai AirAsia (Thai: ไทยแอร์เอเชีย) was established on 8 December 2003 as joint venture with Shin Corporation. Flight operations commenced on 13 January 2004 from its base in Don Muang International Airport. Since 25 September 2006, the airline is based at the new Suvarnabhumi Airport.

[edit] Indonesia AirAsia

Main article: Indonesia AirAsia

AirAsia acquired the then defunct Awair in 2004 with a 49% stake in the airline. Awair commenced services on behalf of AirAsia in December 2004; full rebranding to Indonesia AirAsia was completed on 1 December 2005. The airline is based in Soekarno-Hatta International Airport.

[edit] FlyAsianXpress (FAX)

Main article: FlyAsianXpress

AirAsia subcontracts the operations of Rural Air Service within Sabah and Sarawak previously operated by Malaysia Airlines to a new airline, FlyAsianXpress (FAX). Established on 1 August 2006, the airline is a privately owned by the management team of AirAsia.

[edit] AirAsia X

Main article: AirAsia X

AirAsia X, is a service operated by FlyAsianXpress as a franchise of AirAsia.[1] It will offer long-haul services from Kuala Lumpur using Airbus A330-300 or Boeing 777-300 with fares starting from RM9.99 (excluding tax and airport charges).[2] It is expected to begin operations, in August 2008.

[edit] Bangladesh AirAsia

AirAsia has signed a memorandum of understanding with East West Airlines, a sister concern of Bangladesh’s Orion group, to run the first-ever airlines joint venture and budget airlines in Bangladesh.[3]

[edit] AirAsia Lanka

AirAsia Lanka now trading as 'airSOUTHasia'[citation needed], formerly HolidayAir, is an upcoming LCC based in Sri Lanka. The airline is presently 100% owned by Sri Lankan interests, but it plans to use AirAsia's expertise, booking engine and pilot training facilities, with an option for AirAsia to acquire a stake at a later stage. Flights are tentatively scheduled to start in June/July 2007.[4]

[edit] Tune Hotels

Main article: Tune Hotels

The first AirAsia "no-frills" hotel, Tune Hotels will be ready for occupancy by Aprilv2007 in Kuala Lumpur, and later in Penang, Kota Kinabalu, Johor Bahru, and Kuching. Web booking is already available on its website. [1]

[edit] Destinations

Main article: AirAsia destinations

AirAsia operates about 200 flights a day, to 48 destinations in 10 countries.

[edit] Ground arrangements

AirAsia offers convenient ground and ferry transfer from the following destination in partnership with local operators.

[edit] Fleet

AirAsia's Boeing 737 at KLIA contact terminal
AirAsia's Boeing 737 at KLIA contact terminal

As of January 2007 the AirAsia fleet includes[5][2] :

Aircraft Number in Service Number on Order Number of Seats
Airbus A320-200 17 133 180
Boeing 737-300 35 - 148

AirAsia has ordered 150 Airbus A320 with the option of 50 more,[6] the first of which arrived in December 2005. The new A320 enables AirAsia to further add capacity to existing popular routes and introduce new routes.

The first 60 A320 schedule to be delivered from Dec 2005 - June 2009 The remainder 90 A320 will be delivered from March 2009 to Dec 2013 AirAsia's Kuala Lumpur hub will be fully operated with A320s by July 2007.

[edit] Incidents and accidents

  • On July 7, 2004, AirAsia's Boeing 737 aircraft skidded lightly off the runway in heavy rain after it touched down at Kota Kinabalu International Airport. Two passengers and the two pilots suffered minor injuries.[7]

[edit] Awards and recognition

Main Article : AirAsia Awards & Recognition

[edit] Future plans

  • AirAsia has been granted the rights to fly to Shenzhen and Xiamen from Malaysia; flights will be operated from Kota Kinabalu[8]
  • AirAsia will make Kota Kinabalu the main hub for flights to China from Malaysia as the distance is considerably less than from Kuala Lumpur[citation needed].
  • CEO is not ruling out Kuching-Perth service in the future following Malaysia Airlines withdrawal from the route[9]
  • AirAsia is setting up another hub at Penang International Airport, Penang, Malaysia. The arrangement regarding the airport charges will conclude by March 2007.[10]
  • Malaysia's AirAsia is introducing six more routes in 2007. This includes to Ho Chi Minh City, Vientiane and Myanmar. [11]
    • Meanwhile, Thai AirAsia will add flights to Shenzhen and Kunming in China, and Jakarta and Bali in Indonesia in 2007, all from its hub, Bangkok. [12].
    • For Indonesia AirAsia, Jakarta-Johor Bahru and Jakarta-Kuching will be introduced. [13]

[edit] AirAsia's second chapter plan

After five years in the market, AirAsia's Ceo Tony Fernandes unveiled a five-year plan to enhance further its presence in Asia.[14]

In the plan, AirAsia will strengthen and enhance its route network by connecting all the existing cities in the region and expanding further into Indo China, Indonesia, Southern China (Kun Ming, Xiamen, Shenzen) and India. The airline will focus on developing its hubs in Bangkok and Jakarta through its sister companies, Thai AirAsia and Indonesia AirAsia.

On the pipeline, AirAsia will introduce web check-ins, PDA check-ins, and the ability to print boarding passes.

To date, 75% of AirAsia’s fleet in Kuala Lumpur is Airbus A320 and by July 2007, AirAsia’s Kuala Lumpur hub will be fully operated with A320s. Thai AirAsia will receive its first Airbus A320 in October 2007 and Indonesia AirAsia by January 2008.

With increase frequency and addition of new routes, AirAsia expects passenger volume to hit 18 million by end-2007.

Malaysia Airport will be upgrading the LCCT KLIA in 2007 since it is reaching its design capacity of 10 million and in anticipation of AirAsia X scheduled long haul budget flight.

[edit] External links

Wikimedia Commons has media related to:

[edit] References

  1. ^ "X-citing deal for air travellers", The Star, 2007-01-06.
  2. ^ "AirAsia X London flights from RM9.99", The Star, January 5, 2007.
  3. ^ Nazrul Islam. "Air Asia eyes Bangladesh skies", New Age.
  4. ^ Munza Mushtaq. "Sri Lanka's first ever budget airline ties up with Asia's best", Asian Tribune, 2 September 2006.
  5. ^ Flight International, 3-9 October 2006
  6. ^ "AirAsia orders 40 more A320 Family aircraft", Airbus.com.
  7. ^ "7 Nov 2004 - AirAsia 737-300 over-runs runway in heavy rain", 737 Technical site.
  8. ^ "Air Asia given rights for Xiamen and Shenzen flights", The Star.
  9. ^ "Kuching-Perth flights in the pipeline", The Star.
  10. ^ "Talks on low cost carrier terminal in Penang", The Star, February 8, 2007.
  11. ^ Chan Chin Thut. "AirAsia plans more new routes", The Star, March 7, 2007.
  12. ^ "Thai AirAsia expects to fly 4.2m passengers this year", Business Times, March 14, 2007.
  13. ^ Chan Chin Thut. "AirAsia plans more new routes", The Star, March 7, 2007.
  14. ^ Leong Hung Yee. "AirAsia embarks on 2nd chapter", The Star, 27 December 2006.