New budget airline debuts in Malaysia
Malaysian aviation tycoon Tony Fernandes launched a new long-haul budget airline named AirAsia X on January 5, which will start flying to destinations in China and Britain in July.
The new carrier is owned by Fly Asian Express, or FAX, a small airline serving rural routes in Malaysia, and will collaborate with AirAsia, which Fernandes rescued from bankruptcy in 2001 and turned into the region’s biggest low-cost carrier. He owns part of both airlines.
“We are proud in being able to continue to lead and revolutionize aviation industry in Asia, just as we did with AirAsia,” Fernandes said at the launching ceremony.
“Ultimately the launch of AirAsia X will bring independence to the long haul low cost traveler by providing a choice of service for their long-haul travel requirement.” He told a news conference AirAsia X expects 500,000 passengers in first year of operations, which will ultimately cover China, India, Europe, Australia, Asia and the Middle East.
Average ticket prices will be about half the price of full service airlines, he said. Online sale of tickets will begin next month for initial service to Tianjin and Hangzhou in China, and to either Manchester or London in the United Kingdom. If AirAsia X ends up flying to London, it will operate from Stansted airport, said Fernandes, who is the majority owner of FAX with a 50 percent stake.
Under a 30-year franchise, AirAsia X will use the AirAsia brand, its Web site for bookings and other services. But AirAsia X, which will cover destinations which are more than four hours flying time from Kuala Lumpur, will maintain its own fleet and staff. Fernandes said AirAsia X is expected to buy 20 aircraft, either Boeing 777-300ER or Airbus 330-300, with shareholders’ money. A decision on the type of aircraft will be made by the end of the month.
By Eileen Ng
Courtesy of Associated Press
Chitra Mogul
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