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AirAsia
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AirAsia Berhad is a low-cost airline based in Kuala Lumpur, Malaysia. It operates scheduled domestic and international flights and is Asia's largest low fare, no frills airline. AirAsia pioneered low cost travelling in Asia. It is also the first airline in the region to implement fully ticketless travel and unassigned seats. However, as of 5 February 2009, AirAsia has finally implemented allocated seatings across all AirAsia flights, including in their sister airlines, Indonesia AirAsia and Thai AirAsia.
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AirAsia Berhad is a low-cost airline based in Kuala Lumpur, Malaysia. It operates scheduled domestic and international flights and is Asia's largest low fare, no frills airline. AirAsia pioneered low cost travelling in Asia. It is also the first airline in the region to implement fully ticketless travel and unassigned seats. However, as of 5 February 2009, AirAsia has finally implemented allocated seatings across all AirAsia flights, including in their sister airlines, Indonesia AirAsia and Thai AirAsia. Its main base is the Low Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA). Its affliate airlines Thai AirAsia and Indonesia AirAsia fly from Suvarnabhumi Airport, Thailand and Soekarno-Hatta International Airport, Indonesia, respectively.
History
The airline was established in 1993 and started operations on 18 November 1996. It was originally founded by a government-owned 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 flight 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.
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.
AirAsia operates with the world’s lowest unit cost of US$0.023/ASK and a passenger break-even load
factor of 52%. It has hedged 100% of its fuel requirements for the next three years, achieves an aircraft turnaround time of 25 minutes, has a crew productivity level that is triple that of Malaysia Airlines and achieves an average aircraft utilisation rate of 13 hours a day.
AirAsia is currently the main customer of the Airbus A320. The company has placed an order of 175 units of the same plane to service its routes and at least 50 of these A320 will be operational by 2013. The first unit of the plane arrived on 8 December, 2005.
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.
On December 27, 2006, AirAsia's CEO Tony Fernandes unveiled a five-year plan to further enhance its presence in Asia. In the plan, AirAsia will strengthen and enhance its route network by connecting all the existing cities in the region and expanding further into Indochina, 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. Hence, with increase frequency and addition of new routes, AirAsia expects passenger volume to hit 18 million by end-2007.
On September 2007, AirAsia's Kuala Lumpur hub is fully operated with A320s while Thai AirAsia received its first Airbus A320 in October 2007. Indonesia AirAsia will receive its first Airbus by January 2008.
On April 5, 2007, AirAsia announced a three-year partnership with the British Formula One team AT&T Williams. The airline brand is displayed on the helmets of Nico Rosberg and Alexander Wurz, and on the bargeboards and nose of the cars.
On September 27, 2008, has on its list 106 new routes to be added to its current list of 60 over the next few years.
On 12 November 2008 AirAsia abolished fuel surcharges . In doing so claimed to be the ' first airline in the world to abolish fuel surcharges'.
The airline and disabled passengers
Disabled passengers from BEAT 'The Barrier-Free Environment and Accessible Transport Group' protested against the airline for its refusal to fly passengers who were completely immobile. The protesters, headed by the group's co-ordinator Christine Lee, asserted that the disabled were discriminated against when booking AirAsia tickets online, where an icon would appear on the website asking if the ticket purchaser would require “special assistance”. According to Lee, the passenger clicked 'yes', then they would not be able to proceed with the booking. Lee also said that AirAsia charged RM12 for renting out a wheelchair, which a passenger could use to go from the ticketing counter to the departure hall. When interviewed by Malaysia's Daily Express, AirAsia Chief Executive Officer Datuk Tony Fernandes denied that the low cost airline turned away wheelchair using passengers.
He said, the airline's ground staff take the disabled to the aircraft and physically carry them onboard, "We do not even charge for this service and there is certainly no discrimination against them," he claimed . AirAsia's 'Service Fees' post a charge of RM12 Malaysian Ringgit for wheelchair service fees. Several consumerist groups have rallied behind the disabled and wheelchair-bound travellers, lobbying to bring about changes in Malaysia's anti-discrimination legislation; among them the 'Fly Air Asia? Not Me' website utilizes viral advertising to pressure legislators. In '07 the activist group used AirAsia's sponsorship of the Williams Formula One Team and the fact that team owner Sir Frank Williams is wheelchair bound to garner public attention and apply pressure upon legislators and the carrier. It is unclear whether such groups have had any measure of success. AirAsia has provided two ambulifts, however, one in its LCC Terminal hub at Kuala Lumpur and another in its Kota Kinabalu hub. A year after the BEAT protest these remain the two hubs that are equipped - while the airline's December 2007 Annual Report affirms that AirAsia flies over 100 routes across 11 countries in Asia and states, 'AirAsia has a firm commitment with a purchase order for 225 Airbus A320 aircraft.' It does not stipulate whether it has any plans to expand access for disabled passengers beyond the two domestic ambulifts.
Rights-based advocate for an inclusive and accessible Malaysia and former assistant coordinator of BEAT, Peter Tan writes from The Digital Awakening, 'Despite assurances by AirAsia CEO Datuk Tony Fernandes on July 20 and again on August 4 this year that disabled passengers will be treated with dignity, the airlines is still subjecting disabled passengers to discriminatory policies.' after he was required to sign an indemnity releasing AirAsia from all liabilities before being allowed to board the aircraft at Kota Kinabalu International Airport's Terminal 2, agreeing to surrender rights to hold AirAsia liable for damages, injuries or other claims.
Subsidiaries
Thai AirAsia
Thai AirAsia was established on 8 December 2003 as joint venture with Shin Corporation. Flight operations commenced on 13 January 2004 from its base in Don Mueang International Airport. Since 25 September 2006, the airline is based at the new Suvarnabhumi Airport.
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.
Associate companies
AirAsia X
AirAsia X is a service operated by AirAsia X Sdn. Bhd. (previously known as FlyAsianXpress Sdn. Bhd.) as a franchise of AirAsia. It will start offering long-haul services from Kuala Lumpur to Australia and China using an Airbus A330-300. Its inaugural flight is on 2 November 2007 to Gold Coast, Australia
FlyAsianXpress was an airline subcontracted by AirAsia for 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. With the formation of MASwings by Malaysia Airlines, FAX ceased all it's rural air services on October 1, 2007 and will concentrate on long haul routes by AirAsia X.
In August 2007, Sir Richard Branson announced his intention to take a 20 percent stake in AirAsia X.
Tune Hotels
Tune Hotels.com is a limited service hotel chain founded by AirAsia CEO Dato' Tony Fernandes, Currently has hotels in operation in Kuala Lumpur and Kota Kinabalu with three more scheduled to open in the first quarter of 2009 at Kuching, Penang and the Low Cost Carrier Terminal in Sepang.
Tune Money
Tune Money is Asia's first "no-frills" online financial service owned by Tune Air Sdn. Bhd. Modelled after Virgin Money, it comprises life, home and motor vehicle insurance as well as prepaid cards.
Destinations
AirAsia operates over 200 flights a day, to over 75 domestic and international routes covering Malaysia, Thailand, Indonesia, Singapore, Brunei, Myanmar, the People's Republic of China, Vietnam, Laos, Cambodia, Australia, United Kingdom, India and the Philippines.
In 2007, 19 new routes had been introduced over the AirAsia wide network. These include routes from Kuala Lumpur to Gold Coast (Via AirAsia X), Vientiane, and Banda Aceh; and the connection of Southern China (Macau and Shenzhen) with different Malaysian hubs and Bangkok. In 2008, new routes were introduced which included destinations in India and China.
Future plans include:
- AirAsia has gained approval from Indian authorities to start flying to destinations in India (Chennai, Madurai, Kochi)
- AirAsia is seeking to set up a hub in Malacca serving Medan, Pekan Baru, Palembang, Padang, Penang and Langkawi
- New route for Penang to Macau will begin in 1 March 2009 with 4 flights from Penang to Macau and 3 flights from Macau to Penang per week.
- AirAsia will introduce flights from Penang to Singapore and Singapore to Jakarta soon in line with the ASEAN Air Service Liberalisation.
- AirAsia wants to expand its network in The Philippines, particularly in the city of Cebu, Davao City, Manila and Zamboanga City.
- AirAsia Bhd will fly to new destinations in China and Taiwan in 2009, these new destination are Tianjin, Chengdu, Chongqing, Xi'an in China as well as Taipei by AirAsia X and Kaoshiung in Taiwan by AirAsia.
- According to AirAsia Website, there are some upcoming routes will be launch soon include Singapore - Jakarta, Singapore - Bali, Singapore - Bandung, Singapore - Yogyakarta and Bali - Perth.
- AirAsia will soon open new routes of Surabaya - Kota Kinabalu and Surabaya - Kuching.
- Thai AirAsia has planned new routes to India and China in year 2009, but the yet to name the planned destination.
Fleet
The total AirAsia fleet (including Thai AirAsia, AirAsia X and Indonesia AirAsia) consists of the following aircraft as of 18 February 2009:
AirAsia fleet (including Thai AirAsia, AirAsia X and Indonesia AirAsia) | Aircraft | Total Deliveries | Total Order | Passengers
(XL/Economy) | Notes |
|---|
| Airbus A320-200 | 58 | 175 | 180 (-/180) | 44 with AirAsia, 5 with Indonesia AirAsia, 9 with Thai AirAsia | | Boeing 737-300 | 17 | 0 | 148 (-/148) | 10 with Indonesia AirAsia, 7 with Thai AirAsia | | Airbus A330-300 | 3 | 25 | 312 (36/276)
383 (28/355) | 9M-XAA leased from AWAS
All (except 9M-XAA) are 9 abreast in economy & fitted with IFE | | Airbus A340-300 | 1 | 1 | 286 (30/256) | London-Kuala Lumpur route |
The total AirAsia fleet (excluding Thai AirAsia, AirAsia X and Indonesia AirAsia) consists of the following aircraft as of 18 February 2009:
AirAsia fleet (excluding Thai AirAsia, AirAsia X and Indonesia AirAsia) | Aircraft | Total Deliveries | Passengers
(XL/Economy) | Notes |
|---|
| Airbus A320-200 | 44 | 180 (-/180) | |
Fleet renewal
AirAsia began a gradual conversion of its fleet from the Boeing 737-300 to the Airbus A320-200, with the first order made for 40 Airbus A320 aircraft and 40 more on option in a Memorandum of Understanding made in 17 December 2004. When the contract was signed on 25 March 2005, the order was increased to 60 firm orders with 40 on option. The first six Airbus A320s were delivered on 9 December 2005, with the remaining 54 aircraft from the 2005 order to be delivered by June 2009.
On 19 July 2006, the airline exercised the options of 40 Airbus A320-200s to increase its total firm orders to 100 aircraft, with another 30 on option. It made a third order of 50 firm A320-200s and increased the options to 50 on 8 January 2007, with delivery expected to be completed by December 2013. The Airbus A320-200 was expected to completely replaced the Boeing 737-300 fleet at the Kuala Lumpur base by July 2007. The airline made its latest order of 25 firm orders on 25 November 2007, bringing its total orders of Airbus aircraft to 175 with 50 on option.
On 6 July 2007, the airline placed another order with Airbus for a further 25 A320-200s making it the largest customer of the type.
Inflight services
AirAsia offers "Snack Attack," a buy on board programme offering food and drinks for purchase. Air Asia is accredited by the KL Syariah Index, and as per Shariah law it does not serve alcohol and pork. However, this is only applicable on the regional AirAsia group flights, and not applicable to the AirAsia X flight as it does sell wine and beers on board.
In addition it does not distribute materials that it considers to be pornographic.
Incidents and accidents
- November 7, 2004, AirAsia Flight 104 skidded off the runway in heavy rain after it touched down at Kota Kinabalu International Airport. Two passengers suffered minor injuries.
See also
External links
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