New airline to operate A330-300s or 777-300ERs and could serve Australia and UK
Some of the owners of Asian short-haul low-cost carrier AirAsia are establishing a long-haul, low-cost carrier that will start operations in July with three leased aircraft.
The new long-haul airline will be called AirAsia X to differentiate it from Malaysia-based AirAsia, but it will come under the auspices of privately held company Fly Asian Xpress. Its potential destinations include the UK, Australia and parts of Asia.
AirAsia group chief executive Tony Fernandes says the new carrier will have only one aircraft type in its fleet, and the airline is evaluating the Airbus A330-300 and Boeing 777-300ER. The carrier plans to place an order for 20 widebodies as early as this month, Fernandes adds.
The aircraft will have a two-class configuration - "economy" with a seat pitch greater than AirAsia's, and "super economy" that will have "almost" flat-bed seats, says Fly Asian Xpress chief executive Raja Mohd Azmi Raja Razali.
If the A330 is chosen, the aircraft will have around 400 passenger seats, including 14-21 super economy seats, he adds. Food and beverages will be offered, but "you will probably have to pay for these", he says.
Fly Asian Xpress is a turboprop operation that Fernandes and his business partners established last year to take over some Malaysia Airlines routes within east Malaysia.
The airline's other owners are Raja Azmi, who was previously AirAsia's chief financial officer, and AirAsia's deputy group chief executive Kamaradin Meranun. The three men are also the founders of the publicly listed AirAsia.
The move into long haul will spark a change in Fly Asian Xpress's ownership structure. Conor McCarthy, the former Ryanair executive who was instrumental in helping AirAsia adopt the short-haul low-cost carrier business model, is to be a shareholder in Fly Asian Xpress, according to Fernandes.
AirAsia will also get a 20% stake in Fly Asian Xpress with an option for a further 10%. This is part of a deal giving Fly Asian Xpress a 30-year licence to use the AirAsia brand name, according to Raja Azmi.
The new venture will use AirAsia's online booking engine but, unlike the short-haul operation, also make more use of travel agents to generate sales.
Source: Flight International
