flee

This is their latest update to Bursa:

Well I think that AirAsia will just put this on a back burner for now. Maybe they should now focus on Cambodia AirAsia, Laos AirAsia, Australia AirAsia, etc. I think that if they can get the necessary approvals, Australia AirAsia can be another potential winner...

SINGAPORE, Aug 25 — Singapore-listed Tiger Airways will discontinue two loss-making Australian routes in November, when the budget airline will start seven new routes from a new base at Avalon, near Melbourne, it said today. The “underperforming” Adelaide-Brisbane and Adelaide-Gold Coast routes will cease operations from November 10, which the airline said was part of its “re-allocation of aircraft” plan. “It’s a commercial reality that Tiger Airways will operate on routes that are most profitable,” Tiger Airways Australia Managing Director Crawford Rix said in a statement. “Tiger Airways continuously reviews profitability of all routes in the network and will periodically make changes to ensure that our aircraft (assets) are deployed to ensure the best possible return.” The seven new routes to and from Avalon are Adelaide, Gold Coast, Alice Springs, Mackay, Rockhampton, Perth and Sydney. This month, Thai Airways International Plc announced plans to form a budget airline with Tiger to be called “Thai Tiger Airways”. The new airline had planned to acquire 10 new Airbus A320s in 2011 and 2012. Last week, the Thai national carrier said plans for a budget airline alliance with Tiger would not be affected by news that two big Tiger shareholders and its chief executive sold discounted shares in the budget carrier. Indigo Singapore Partners and Ryanasia, along with chief executive Tony Davis, sold 65.796 million Tiger shares at a discounted price of S$1.90 in a transaction worth about S$125 million (RM289 million). Tiger Airways Group now operates a fleet of 19 Airbus A320 family aircraft and is committed to increasing the size of its fleet to 68 by December 2015. By 0245 GMT, Tiger stock was down 1.05 percent at S$1.88 while the Singapore main index was flat at 2922.97. — Reuters

VietJet AirAsia is definitely not on track. If it was, their first flight would have been in July 2010. The postponement of more 2011 Airbus A320 deliveries also indicate that AirAsia Group does not think this problem will be resolved anytime soon.

KUALA LUMPUR, Aug 24 (Bernama) -- Firefly will increase its present turboprop fleet with the purchase of three additional ATR72-500s, two of which will be delivered in December 2010 and the third in January 2011. In a statement here Tuesday, Firefly said this will bring its turboprop fleet size to 10. It said the new aircraft will be used to strengthen Firefly's current network footprint through increased frequency for the high demand sectors. Moreover, it will reinstate some Penang based routes that were previously suspended due to the prevailing unfavourable economic condition last year.

Yes it is - real estate experts believe that will give a better return on investment than a business airport can! The only doubt hanging over this development is that the govt. has privatised it and the job is given to another of their cronies.

It would be good for Firefly to have flights from LCCT. Competition is good for the consumers. However, since the current LCCT does not have any more capacity, Firefly should operate from the MTB until the new PLCCT is ready. On a similar note, should any other airline wish to operate turboprop services from SZB, they should be allowed to do so. I am not sure if the level of business/private jet traffic is high enough to justify turning SZB into a "business airport". If so, then the old Sg Besi Airport would be ideal for such traffic as it is located right in KL City.

Thanks for the info kanehoshi! Very good - I will be going to HCMC in April next year and may include a trip to PQC. I wonder if tickets are bookable on the Internet? Nice pix of the staff - are you an "official photographer" for the airline?

Since the planes are old, FY might be getting dirt cheap lease rates for them, thus making them economical to run despite the high fuel consumption. What is more important is not the age but the number of compression-decompression cycles the planes have undergone. We have also to take into account of the planes' operating environment in humid climate and near the seaside. This may weaken the planes stucture. Remember the B732 of Aloha Airways in Hawaii that broke up in mid air? That was caused by metal fatigue due to the high cycles that it has done. FY should only choose the lower cycle B734s from the available planes so that it procures a reliable and safe aircraft.

Maxis mobile users can use their mobiles when flying MAS and AirAsia... http://www.maxis.com.my/personal/mobile/intl/ir_airasia.asp

Logically, MASWings should also pick up a few old ex-MH B734s themselves so that they can also fly to KUL and other regional destinations.

AirAsia today will resume flights between Hat Yai and Kuala Lumpur in a pre-emptive move that may prompt rival Firefly to rethink its plan to link the two cities towards the end of this month. AirAsia, Southeast Asia's largest low-cost carrier headquartered in Malaysia, will become the second carrier, after the Singapore-based budget airline Tiger Airways, to operate out of the southern Thai city. AirAsia will offer a daily flight from Kuala Lumpur International Airport in Sepang, to Hat Yai International Airport, on an Airbus single-aisle jet, the A320, capable of seating 180 passengers. It marks the return of AirAsia to Hat Yai after a few years of suspension as traffic demand to the Thai city famous for its entertainment and shopping, especially among Malaysians and Singaporeans, slumped due to security concerns and insurgent attacks in southern Thailand. Suk Puangthum, general manager of Hat Yai airport, said the comeback of AirAsia would help to enhance tourist flows from Thailand's southern neighbouring countries and driving growth in the city's tourism industry after a lull. But AirAsia's return to Hat Yai could lead Firefly, a "community" airline wholly owned by Malaysian Airlines, to reconsider its plan to offer certain numbers of weekly scheduled flights from Subang, the former international air hub near the Malaysian capital, to Hat Yai. Firefly has already received regulatory permission to operate the Subang-Hat Yai route with ATR72-500s, the European-made turboprop aircraft capable of carrying 72 passengers, according to an industry source. By operating a larger capacity jet and offering more frequencies, cut-throat fares and connections with its extensive network throughout Southeast Asia, AirAsia has a competitive edge against Firefly on the Kuala Lumpur-Hat Yai route. Firefly operates two routes to Thailand - a daily service from Subang to Koh Samui, and from Penang to Phuket, using its all-ATR72-500-fleet, currently numbering seven. Hat Yai airport restored direct air links with the outside world last November when the budget carrier Tiger Airways started flying again after a two-year break triggered by the troubles in southern Thailand. Tiger is operating a daily A320 flight between Singapore and Hat Yai. Hat Yai airport is served by four Thai carriers - Thai Airways International, Nok Airlines, Thai AirAsia (49% owned by AirAsia) and One-Two-Go - with connections to Bangkok's Suvarnabhumi and Don Mueang airports. Source: http://www.bangkokpost.com/business/aviation/191765/airasia-revives-its-kl-hat-yai-schedule

Firefly targets flights to Sabah by year-end MALAYSIA Airlines (MAS) (3786) is set to allow wholly-owned FlyFirefly Sdn Bhd to begin operating its B737-400 aircraft to Sabah. Firefly is said to have been in talks with Sabah tourism authorities this week, and is likely to proceed with the move by the year-end. MAS has been reported to have 36 B737-400 aircraft, which are due to exit from service by 2014. Firefly currently operates the ATR 72-500 turbopropeller servicing routes in Peninsular Malaysia, Singapore, Thailand and Indonesia from its two hubs at the Penang and Subang airports. Sources said that both Firefly and MAS will operate the Sabah routes, with Firefly flying out of the KL International Airport in Sepang. On August 9, MAS said Kota Kinabalu would be its eastern hub and gateway to promote travels to and from China, Taiwan, North Asia, Indonesia and Australia. The hub will be developed over three stages from November 15 this year to June 3 next year. MAS said it was targeting 150 flights and a cabin crew of 250 for the Kota Kinabalu hub by next June. Six aircraft, two of which would be the B737-800 and four B737-400, would be based in Kota Kinabalu. An aviation expert, when contacted, said that Firefly would first need to obtain approval from the Department of Civil Aviation (DCA) to fly the new local routes. "The DCA air worthiness division will need to audit the transfer first. This will then be followed by a flight destination approval from the authority's air transport division," the source said. MAS did not reply to questions sent by Business Times. Source: http://www.btimes.com.my/Current_News/BTIMES/articles/fliez-2/Article/

WITH the aviation industry on a cyclical upturn, it is no surprise that some major airlines have shown good financial results. But what continues to separate the strong performers from the laggards is the ability to tap the right market segments while managing costs efficiently. In this regard, Malaysian Airline System Bhd (MAS) seems to be lagging its regional peers. One indicator is growth, or lack of it, of MAS’ yield. Yield is defined as average revenue per km per paying passenger, which essentially calculates the revenue airlines get from passengers for every kilometer they travel. For its second quarter ended June 30, MAS’ yield only grew by 2% compared with the same quarter in the previous year. But Singapore Airlines (SIA) grew its yield by 15% for the same period. Hong Kong-listed Cathay Pacific grew its yield by 17% for the six months ended June 30 compared with a year ago. Cathay Pacific and SIA have attributed their yield growth to strong demand from the business and premium passenger market. “The yield growth serves as a leading indicator that MAS is not tapping into the right market segment,” says an analyst. “The full-service carrier seems to be more focused on competing against AirAsia – a low-cost carrier, which is a completely different animal. It’s a wrong strategy for a full-service carrier like MAS to compete against another that operates on a completely different business model,” he explains. Another analyst points out that corporate travel is picking up due to the global economic recovery. “We think MAS should invest more to create greater brand awareness in the international market... how else can you make yourself better known and become the preferred choice of air travel,” he says. The analyst opines that the local carrier seems to be losing out in terms of brand awareness to other international airlines such as Emirates, SIA and Cathay Pacific. MAS has slashed its advertising costs by 36.2% year-on-year (y-o-y) to RM37mil for the first half of this year. The analyst questions this decision given that other airlines continue to invest heavily in advertising campaigns to stay on top of the competition. “It’s not a coincidence why certain airlines are at the top in the world... they invest heavily in their brands,” says an analyst. “There is huge potential for Asian airlines to tap... Some Asian brands are clearly rising as the preferred choice among the Western world, particularly since some Western airlines have been bogged down by the frequent cabin crew strikes,” he points out. Besides aggressive marketing campaigns, aviation analysts also point out that regional airlines have beefed up their operational efficiency by using newer planes. It’s been said that MAS’ ageing planes have been a financial burden to the company in terms of fuel efficiency and maintenance. Older planes tend to consume more fuel and require more maintenance. MAS’ maintenance cost of RM446mil for the second quarter was an increase of 11.8% from the same period last year, and a staggering 42% quarter-on-quarter (q-o-q). Fuel cost was also higher (44% y-o-y and 9.1% q-o-q) for the second quarter, due to oil price volatility, which had also hit other companies in the aviation industry. To be fair, MAS is already addressing this issue by gradually phasing out its older planes. Analysts believe such effort will contribute even more to MAS’ improving operational efficiency. However, MAS’ new planes will only come into operations in the next couple of years. The national carrier will take delivery of its first Airbus A380 plane only in April 2012 (MAS ordered six A380s in 2003, but deliveries had been delayed due to manufacturing problems.) The second half is likely be a better period for MAS as demand for air travel accelerates. Analysts expect MAS to resolve its low yield growth, which is what management has committed to do. The recovery in air travel demand is expected to continue benefiting low-cost carrier AirAsia Bhd. At present, forward bookings for August have already reached 54%, while that of September and October have hit 37% and 24%, respectively. ECM Libra points out in a report that the recovery in air travel demand has increased AirAsia’s earnings visibility. Many analysts regard AirAsia as the primary beneficiary of the rebound in air travel by virtue of its business model that can afford to offer competitively lower fares to the mass market. The low-cost carrier also has the advantage because of the diverse routes it serves. The company saw its core operating profit for the quarter ended June 30 jump 31% y-o-y to RM168.5mil, while total revenue rose 26% y-o-y to RM940.6mil on strong growth in passenger volume, ancillary income and higher average fares. The company is expected to continue to outperform in the second half of the year. Source: http://biz.thestar.com.my/news/story.asp?file=/2010/8/21/business/6895605&sec=business

Yes, that is why many GLCs do not perform - because the executive officers are never held accountable for the companies' performance. AirAsia Group's fuel hedging policy is only to hedge the fuel requirements of their forward bookings. This means they are trying to match the costs to the sales revenue - a prudent way to hedge. This kind of policy will mean that any fuel price fluctuations will have no effect on the bottom line. Yes ancillary income has gone up because AirAsia has shifted its focus on fares to other income. Thus we have seen substantial increases in their charges for checked-in luggage, meals, premium charges for call centre help, etc. They even slipped in a "convenience" fee for every sector of booking for those paying by credit cards. Load factor has increased by 2% - but that is probably a result of their more aggressive flight cancellation and consolidation policies. You can see how much inconvenience this has caused with their pax in their Facebook page. AirAsia needs to be careful about doing things that will affect pax loyalty. Although right now there seems to be a good cost/benefit ratio for pax to continue supporting them, it may change if they charge for ridiculous items like phone calls to the call centre (Tony Fernandes is thinking hard about this). I think calls can be chargeable if the pax wants to make changes. But if pax need to call as a result of AirAsia making changes, these should remain free. Even then, having to hold 1 or 2 hours means that pax have to pay their telcos for the cost of holding!

Looks like their BKI hub plans are slowly being revealed.

Shelved service depot behind aerotrain ops halt? SEPANG, Aug 19 – Malaysia Airports Holding Berhad (MAHB) operations services chief Datuk Azmi Murad appeared to suggest today that the management’s decision to defer an originally planned maintenance depot is the reason why the country’s premier airport must suspend its aerotrain service for four months during the peak end-of-year holiday season. The airport operator had announced it would shut down the train shuttle service ferrying mainly international passengers between the main terminal and the satellite building at the Kuala Lumpur International Airport (KLIA) from November 1 to March 15 next year. Today Azmi revealed that the maintenance depot had been planned for from the start, when KLIA was being built, but was delayed because “at that point, there was no need [to build the maintenance facility] because the passenger numbers did not justify it yet”. “Now is the time to do [so]. We have to do it progressively,” he said, attributing the push to execute construction to the increase in passenger movement. The Malaysian Insider understands groundwork on the project started two years ago. Azmi also said the shutdown was necessary to complete a RM208 million major overhaul of the train system, including regular maintenance that would not disrupt future service for the passengers. He further explained that the management decided against modifying the system one line at a time after consulting engineering experts who advised about the high risks involved. “If the train stops for whatever reason and we have to rescue passengers, it’s going to be very hard with limited platform space and the electricity still running,” Azmi said. He noted that the hoardings to separate the track in operation from the other side being modified would halve the size of the platform. Among the fixes are the construction of a spur-line alongside the main tracks, which will also route trains to an on-site maintenance depot for checks and repairs. “It doesn’t look very nice to have maintenance at the station,” Azmi said during the media briefing today. “When this is completed, we’ll have two trains running at all times. One [train] will be on standby [as a spare],” he added. KLIA and its aerotrain line began operations in June 1998. The total number of passengers that passed through the airport that year amounted to 6.5 million, MAHB’s operational statistics showed. Currently, KLIA sees some 20 million passengers a year. The figure is expected to grow to 22 million annually in the next four years, Azmi said. The present dual-line train system spanning 1.3km has been running almost round-the-clock for the past 12 years but needed major fixes to provide a fully non-stop service. At the moment, each line has to be stopped an hour daily for maintenance checks. A fuller maintenance check is carried out between midnight and 5am daily, which means that only one line is operational during the graveyard hours. Azmi expects the aerotrain to resume service from March 16 next year, but admitted the service will only be running non-stop after September 2011, when its order of a new three-car train set arrives. MAHB will be using a fleet of 12 buses to shuttle passengers between the main terminal and the satellite building in the meanwhile. Azmi said he did not expect a drop in passenger numbers despite the inconvenience as there will be regular announcements and signs to direct the passenger traffic around. Source: http://www.themalaysianinsider.com/malaysia/article/Shelved-service-depot-behind-aerotrain-ops-halt/

AirAsia Q2 net profit 43% up on higher passenger load PETALING JAYA: AirAsia Bhd’s net profit jumped 43% to RM198.9mil for the second quarter ended June 30, from RM139.2mil a year ago, on the back of strong growth in passenger volumes, ancillary income and higher average fares. Its revenue for the quarter was 26% higher at RM940.6mil from RM747.9mil a year ago. It reported earnings per share of 7.2 sen versus 5.9 sen a year ago. For the six months ended June 30, AirAsia posted a net profit of RM423mil on revenue of RM1.82bil. While AirAsia posted a record quarter, Malaysia Airlines posted a net loss of RM535mil due mainly to derivative losses from its fuel hedges. MAS’ revenue stood at RM3.2bil for the quarter ended June 30. In a teleconference yesterday, group CEO Datuk Seri Tony Fernandes was confident of a strong second half for AirAsia. He sees a tremendous upside for its operations in Thailand and Indonesia while its ancillary income registered massive growth. “Forward bookings are looking very good, The fourth quarter is traditionally our strongest quarter. To head into our strongest season on the back of a soaring first quarter and a record-breaking second quarter puts us in a fantastic position,” he said. During the second quarter, the group’s core operating profit for the period was RM168.5mil, a 31% increase over RM128.4mil core operating profit achieved a year ago. The core operating profit margin for the period was at 17.9%, 0.7 percentage point higher than the 17.2% core operating profit margin achieved a year ago. “There were no unrealised translation gains in the quarter as gains from the slight strengthening of the ringgit were offset by losses from the change in the fair value of currency derivatives,” it said in the notes accompanying AirAsia’s financial results. Commenting on its ancillary growth, Fernandes said: “We have actually reached our target of RM40 spending per pax that we set for the last quarter. We have unearthed a gushing revenue stream that can boost the bottom line and also serve as a buffer to rising fuel prices.” He said baggage fees and AirAsia Cargo were significant contributors to ancillary income for the group. Meanwhile, AirAsia’s associates Thai AirAsia Co and Indonesia AirAsia recorded good performance in the second quarter. “Indonesia AirAsia has staged a strong turnaround and we expect greater things,” Fernandes said, adding that passenger volume grew by 10% year-on-year to 947,786 from 863,440 last year. In the second quarter, Thai AirAsia recorded a net profit of RM4.9mil on revenue of RM267.4mil while Indonesia AirAsia’s net profit rose to RM39.6mil on revenue of RM233.2mil. During the quarter, the group carried a total of 6.07 million passengers while the load factor increased to 77% from 75% in the same period last year. Fernandes said its cost per average seat per km (ASK) of 3.62 US cents was mainly due to higher average fuel cost. He said the average fuel price in the second quarter was US$100 per barrel against US$60 a barrel in the same period last year. However, its revenue ASK grew by 26% to 4.88 US cents in the second quarter from 3.87 US cents perviously. “I think we remained prudent with hedging, but it’s very useful too – that we’re not trying to bet where the market’s going, we’re just trying to match our forward sales with our oil hedging,” he said when asked on its hedging status. Fernandes said its net gearing was expected to improved after the deferment of aircraft in 2011. “We have deferred seven A320s for 2011 to 2015. We are planning to reduce aircraft deliveries to 10-12 from 2012 onwards,” he said. He expected AirAsia’s gearing ratio to be below two times from 2011 onwards. On aircraft financing, he said the financing for all the aircraft in 2010 was secured. As of June 30, the group has a total of 85 planes. Of the total, 50 planes are for Malaysian operations, while Thailand has 20 and Indonesia 15. Fernandes was confident that the group’s cash balance would surpassed RM1bil by year-end. It has a current cash balance of RM858mil. “We’ll easily surpass that by year-end. We will be getting re-payment from our associates in Thailand and Indonesia.” He added that with the listing of associates, the amount due from associates could potentially be converted to new shares to maintain shareholding in Thai AirAsia and Indonesia AirAsia. “It is very premature for me to comment. We believe we have a very strong brand in Thailand. We are not duly concerned. We are not focusing on our competitor, but ourselves,” Fernandes said when commenting on Tiger Airways’ venture into Thailand. Analysts contacted said AirAsia’s strong performance was above their expectation. “They (AirAsia) did superbly despite the significant rise in the fuel bill due to the higher oil prices. And that’s largely thanks to the strong growth in ancillary income which sort of ‘offset’ the higher fuel expenses. The deferment of aircraft significantly reduces the debt burden, and should contribute positively to earnings via lower financing costs and better yields through higher loads,” an analyst said. Another analyst said AirAsia’s operational numbers look very good and were slightly above his expectations. Source: http://biz.thestar.com.my/news/story.asp?file=/2010/8/19/business/6881852&sec=business From Business Times: Budget carrier AirAsia Bhd (5099) posted a 43 per cent growth in its second quarter net profit of RM198.93 million, mainly due to a deferred tax credit recognition of RM58.7 million. But the airline's revenue for the three months ended June 30 2010 was up 26 per cent to RM940.66 million due to higher passenger volumes and a rise in average fares. Group chief executive officer Datuk Seri Dr Tony Fernandes said forward bookings for the second half of the year looked good. "September will be a strong month for us given the Muslim religious holiday, more so for Malaysia and Indonesia," he told analysts during a conference call on the company's results yesterday. The airline will continue to grow its market in India, especially from its other hubs in Thailand, and continue to connect the Asean capitals from Kuala Lumpur. Load factors are expected to climb as these routes begin to mature. Fernandes said that the second quarter results was the first time that AirAsia and two of its associates in Thailand and Indonesia have made a good profit whereby both are reaping the benefits from the replacement of the older B737 aircraft with new A320 planes. Listing plans for both associates will be within the next 12 months, he added. AirAsia carried some 3.9 million passengers for the second quarter, an 11 per cent year-on-year growth while the average fare was up 8 per cent to RM173. Ancillary income jumped 59 per cent to RM43 per passenger. Load factor also gained 2 per cent to 77 per cent from a year ago. AirAsia Thailand posted a net profit of 49 million baht (RM4.9 million) in the quarter compared with a loss of 80 million baht (RM7.9 million) a year ago. Its revenue grew 30 per cent to 2.66 billion baht (RM265 million) due to a 11 per cent passenger volume growth, stronger ancillary income contribution and improving yields. AirAsia Indonesia made a net profit of 111 billion rupiah (RM39 million) in the second quarter from a loss of 64 billion rupiah a year ago. Its revenue was up 44 per cent to 656 billion rupiah (RM229m million) due to a rise of passenger volumes by 10 per cent, 88 per cent growth in ancillary income per passenger and higher base fares. "AirAsia Indonesia has grown from strength-to-strength and this is its best quarter ever. We plan on continuing the expansion of its international routes," said Fernandes. For the first half of the year, AirAsia saw its net profit rising by 24 per cent to RM423.04 million and revenue growing by 18 per cent to RM1.82 billion. Sourece: http://www.btimes.com.my/Current_News/BTIMES/articles/jdoc-2/Article/index_html This is something from CAPA: Head over here for the full and comprehensive analysis: http://www.centreforaviation.com/news/2010/08/19/airasia-reports-record-quarter-in-2q2010-43-surge-in-profits-ancillary-revenue-and-passengers-i/page1 How about this?

I think AirAsia has changed the travelling habits of many of us forever. I remember laughing at the British when they plan their summer holidays in December, more than 6 months ahead. Now, most people who take advantage of their cheaper tickets plan their flights up to 11 months ahead! Looks like Tony Fernandes is not confident that MAHB can keep to their revised completion date of the permanent LCCT. That was why they had to defer more aircraft deliveries.

KUALA LUMPUR, Aug 18 – Leading budget airline AirAsia reported RM199 million in profit for its second quarter today, up from RM139 million during the same period last year thanks to strong performance at its regional subsidiaries. AirAsia’s 43 per cent rise in net profit contrasted with national carrier Malaysia Airlines which reported a second quarter net loss of RM535 million, partly due to RM217 million in derivative losses from fuel hedging. AirAsia Thailand reported a net profit of THB49 million (RM4.89 million) as compared with a loss of THB80 million (RM7.97 million) during the same period last year while AirAsia Indonesia reported a net profit of IDR111 billion (RM38.95 million) in the second quarter as compared with a loss of IDR64 billion (RM22.46 million) last year. AirAsia CEO Datuk Seri Tony Fernandes said that he expects the Thai and Indonesian operations to continue to grow strongly. “I am confident of a strong second half performance in Thailand,” he told analysts and media in a briefing today. “Indonesia is going to go from strength to strength.” AirAsia hedges 26 per cent of its fuel as opposed to Malaysia Airlines which hedged 60 per cent of its fuel requirement for 2010 and 40 per cent of its fuel requirement for 2011 at US$100 per barrel. “We don’t try to bet where the market is going,” said Tony. “We just match forward sales with hedging.” He added that he does not expect the new low cost carrier terminal (LCCT) to be ready by 2012 as originally projected by Malaysia Airports Holdings Berhad “but more like 2013”. AirAsia enjoyed an 11 per cent increase in passengers during the quarter under review to 3.9 million while revenue rose 26 per cent from RM748 million last year to RM941 million. Fernandes said that he expects the airline to perform strongly over the next two quarters due to “very good” forward bookings. “The fourth quarter is traditionally our strongest quarter,” he said. “To head into our strongest season on the back of soaring first quarter and a record breaking second quarter puts us in a fantastic position.” Source: http://www.themalaysianinsider.com/business/article/airasia-net-profit-up-43pc-on-strong-regional-business/

OT: The A380 statistics show the operational truth of the matter but does not claim to show whole picture of SQ's operations on that part of the route network. That is why we have to look at more data to get the whole picture. Everyone who knows SQ's history will know that SQ management protects its shareholders' funds jealously. It is not too bothered about how it looks in terms of prestige. SQ does not do things only to look good. It does things if it makes sense for the travelling public and also to increase the value of shareholders' investments. They have accepted that it is more profitable to move from B77W double daily to A380 daily. They can always restore the second flight if and when demand picks up. Well run airlines adjust their capacity according to demand. It is a normal day to day activity for their managers.

KUALA LUMPUR, August 18 (Bernama) -- AirAsia Bhd's pre-tax profit rose 4.38 per cent to RM144.213 million for its second quarter ended June 30, 2010, from RM138.161 million in the same quarter last year. Revenue increased 25.76 per cent to RM940.656 million from RM747.996 million previously, it said in a filing to Bursa Malaysia on Wednesday. "The revenue growth was supported by 11 per cent growth in passenger volumes and average fare that was eight per cent higher at RM173 as compared to RM160 achieved in second quarter last year," the budget carrier. For the first six months of this year, AirAsia reported higher pre-tax profit of RM400.400 million compared with RM262.279 million recorded in the same period last year. Its revenue also jumped to RM1.819 billion from RM1.545 billion previously. AirAsia said the group's cash from operations was at RM188 million, a decrease of RM108 million against the immediate preceding quarter ended March 31, 2010. Commenting on prospects, AirAsia said based on the current forward booking trend, the underlying passenger demand in the third quarter and fourth quarters for the Malaysian, Thai and Indonesian operations remained positive. The airline said load factors achieved in July were in line with the prior year, while there have been significant improvements in yield. "Barring any unforeseen circumstances, the directors remain positive with the prospects of the group for the second half of 2010," it said. AirAsia said it will take delivery of six A320 aircraft in the third quarter of the year, two of which will be operated in Malaysia and four in Thailand. In the fourth quarter, four A320 aircraft will be delivered, one of which will be operated in Malaysia and three in Indonesia, it said. The new aircraft will be used to replace the B737s and provide additional capacity across the network.

Yes, although statistics may not present the full picture, the SQ management has decided to deploy its equipment more efficiently. The bottom line will show the result of this efficiency and this has been demonstrated in SQ's strong Q2 2010 financials.

The airline is scheduled to fly from Hanoi and Ho Chi Minh City to Da Nang, Nha Trang, Da Lat and Phu Quoc. In addition,it has also asked permission to fly from HCM City to Con Dao, Buon Me Thuot, Hai Phong and Vinh. On Aug 15, the airline received delivery of four made-in-Canada Bombardier CRJ 900 aircraft owned by Skywest Leasing Inc of the US. Each aircraft has 95 business and economy-class seats. Air Mekong was established in 2009 by Ha Long Investment and Development Company. It will be headquartered at Phu Quoc Airport. The other two private carriers in Vietnam are Indochina Airlines and VietJet AirAsia. The CAAV said there were a number of organisations and individuals planning to launch airlines. To qualify, private operators must have a charter capital of at least 500 billion VND (US$26.3 million) to fly internationally and 200 billion VND (US$10.5 million) to launch domestic flights. Airlines must also meet strict aviation and security standards.

AirAsia Bhd, a Malaysian budget carrier, said second-quarter net income rose to RM198.9 million from RM139.2 million a year ago. Revenue climbed to RM940.7 million in the three months ended June 30, from RM748 million a year earlier, it said in a statement today. -- Bloomberg AirAsia Q2 2010 Announcement