flee 5 Report post Posted September 5, 2012 AirAsia Japan transports 53,939 pax, 84.7% load factor during first month of operation in Aug-2012 AirAsia Japan, which launched operations on 01-Aug-2012, stated (03-Sep-2012) it transported 53,939 passengers, offering 63,720 seats for an average load factor of 84.7% during its first month of operations in Aug-2012. As previously reported, the carrier is targeting one million passengers during its first year of operation as it plans to increase its fleet from two to four aircraft by the end of this year. The LCC also plans to increase annual passenger numbers to 10 million within five years, supported by a fleet of more than 30 aircraft. Source: CAPA Share this post Link to post Share on other sites
flee 5 Report post Posted October 10, 2012 AirAsia expansion of Japan flights eyed The Yomiuri Shimbun Low-cost carrier AirAsia plans to markedly expand its flights to Japan, by increasing the number of its hub airports here, while expanding its Japanese domestic flights, it has been learned. The Malaysian-based LCC (low cost carrier) group, which operates flights on about 150 routes, mainly in Asia, will expand its hub airports in stages from the current one in Narita to Chubu (Centrair), Sendai and Naha. As competition in the airline market is intensifying with the entry of LCCs, AirAsia's expanded flight services are likely to affect the operation of other air carriers, as well as that of airport operators. AirAsia Japan--a joint venture between AirAsia and All Nippon Airways--operates two airplanes based in Narita, making a total of 12 flights a day to Sapporo (Shin-Chitose), Fukuoka and Naha. The carrier plans to increase the number of its aircraft to 30 in the next five years, flying more than 200 flights a day, including those from outside the country. By doing so, it aims to attract potential customers who have seldom used airplanes before. To increase the number of flights, the air carrier must submit its flight schedule for approval to the Land, Infrastructure, Transport, and Tourism Ministry. AirAsia aims to boost its flight network in Northeast Asia in general but will make Japan its key base in the planned expansion for the time being. Making Sendai Airport a hub is also designed to support the reconstruction of the disaster-hit area. The air carrier plans to introduce up to 10 airplanes based at the airport, by increasing the number in stages. The airline is also examining the possibility of increasing the number of airplanes based in Narita. Because airlines cannot land at the airport later than 11 p.m. and the landing charges are relatively expensive, LCCs with slim profit margins often feel it is unprofitable to use. If AirAsia fails to reach an agreement on business deals with the operator of Narita Airport, the air carrier will study the possibility of relocating its hub airport in the Tokyo metropolitan area to Ibaraki Airport in Omitama, Ibaraki Prefecture. Source: http://www.yomiuri.co.jp/dy/business/T121008002881.htm Share this post Link to post Share on other sites
S V Choong 4 Report post Posted October 10, 2012 Looks like they learned something from MH during share swap: how to screw up a good looking livery. IF it was indeed good looking to begin with Share this post Link to post Share on other sites
flee 5 Report post Posted October 10, 2012 AirAsia Japan prepares for Seoul launch AirAsia Japan, the low-cost joint venture formed by AirAsia and All Nippon Airlines (ANA), has confirmed it will launch its first international route from Toyko Narita International Airport to Seoul’s Incheon International Airport on October 28. AirAsia Japan will operate daily services to the South Korean capital, operating an Airbus A320. The airline currently flies from Narita to the Japanese cities of Okinawa, Sapporo and Fukuoka. AirAsia will add some 1,260 seats on the route per week. The new route was announced simultaneously by AirAsia Group CEO Tony Fernandes in Seoul and AirAsia Japan CEO Kazuyuki Iwakata in Tokyo. Commenting on the new route Fernandes said: “This is a great day for all of us, and an even greater day for the consumers & air travelers in Korea. With AirAsia’s low fare, everyone can now travel to more places more often. AirAsia Japan’s announcement of this international route today is a dream come true for us, and I am looking forward to see the Narita – Incheon flights begin operations. Congratulations to Kazuyuki and his team for making Japanese and Korean skies friendlier and more affordable.” The new route will put AirAsia Japan in direct competition with Korean Air, Delta Air Lines, Japan Airlines, but also shareholder ANA and its fellow Star Alliance carriers Asiana Airlines and United. The only other low-cost airline operating the route is Korean carrier Eaststar Jet. According to data from OAG Analyser, Korean is the dominant carrier on the route, with 8,367 seats representing a 35% market share, followed by Asiana Airlines with 29% market share of 6,919 seats. Having launched operations in August 2012, AirAsia Japan is one of three low-cost airlines which began flying this year, the others being Peach Aviation, also owned by ANA and Jetstar Japan, a joint venture between the Qantas Group, Japan Airlines and the Mitsubishi Corporation. Source: http://www.routes-news.com/news/item/722-airasia-japan-prepares-for-seoul-launch Share this post Link to post Share on other sites
BC Tam 2 Report post Posted October 10, 2012 Anyone else find it odd D7 operates into HND while Air Asia Japan has NRT as her base ? Surely some consolidation is in order, perhaps this Ibaraki place is the solution ?! Share this post Link to post Share on other sites
flee 5 Report post Posted October 10, 2012 Anyone else find it odd D7 operates into HND while Air Asia Japan has NRT as her base ? Surely some consolidation is in order, perhaps this Ibaraki place is the solution ?! It is timing. When D7 got its Tokyo landing rights, only 3 slots at HND was available. It was not ideal (they wanted daily) but that was all that was offered. Beggars cannot be choosers. Since the opening of the new international terminal at HND, it has sort of developed into a premium airport - many international airlines actually prefer to land at HND. D7 will not let HND slots go, despite the bad late night time slots. JW got approval to operate from NRT (they are building a new LCCT too) with daytime landing slots. JW is looking more long term as they intend to move to the NRT LCCT once it is completed. Meanwhile, D7 CEO has tweeted that D7 will operate out of NRT in addition to HND, if there are well timed daytime landling slots available to them. JW also has plans to operate long haul routes to places like SIN, BKK, etc. using wide bodied A330 aircraft. It would appear that AirAsia X will wet lease some of their aircraft to JW. All in all, it would appear that D7 and JW will be working very closely to make this whole thing work. Don't be surprised to see some "fly thru" connections from Japan and Korea via a JW/D7 itinerary tie up! Share this post Link to post Share on other sites
flee 5 Report post Posted October 10, 2012 AirAsia Japan Launches International Flight To Korea KUALA LUMPUR, Oct 10 (Bernama) -- AirAsia Japan, an affiliate of the Malaysia-born low cost carrier, AirAsia, on Wednesday announced that it is set to fly to Seoul (Incheon), Korea later this month. The Narita to Seoul (Incheon) international route will begin operations on October 28, with daily flights operating from Narita International Airport, a statement from AirAsia said. The announcement of the new international route was made simultaneously by AirAsia Group Chief Executive Officer, Tony Fernandes, in Seoul and AirAsia Japan CEO, Kazuyuki Iwakata, in Tokyo. In conjunction with the international flight debut celebration, AirAsia Japan will be also putting on offer seats from as low as KRW2,000 (RM5.53) for grabs. It said seats between the Narita and Seoul (Incheon) route would be priced from KRW30,000 one way, inclusive of airport tax and fees. "The announcement of our new international routes to Korea gives me much pleasure as AirAsia Japan can now further expand the AirAsia Group's existing extensive route network, connecting Japan and other countries in Asia," Kazuyuki said. AirAsia Japan's international flights will be operated on Airbus A320 aircraft with a capacity of 180 seats, similar to its domestic flights. Share this post Link to post Share on other sites
Amirul Mazlan 0 Report post Posted October 10, 2012 heard cabin crew already trained on A330. Share this post Link to post Share on other sites
flee 5 Report post Posted January 28, 2013 heard cabin crew already trained on A330. I know that Airasia X uses Japanese cabin crew on the A330-300 flights from KUL-HND and KUL-KIX. Not aware that Airasia Japan crews trained on A330. What went wrong at AirAsia Japan? The market, looking for explanations on the performance of AirAsia Japan, has focused on the professional career of the former CEO, Mr Iwakata. A storied ANA veteran who joined the carrier in 1988, Mr Iwakata in 2010 was the head of strategic planning Asia Pacific, the very department that examined the potential of LCCs in Japan and created the base for how ANA could enter. Some believe that Mr Iwakata was judged as a natural fit for the AirAsia Japan CEO position given his analysis of the market, but in the end did apparently not have enough of a naked LCC mindset after over two decades at full-service ANA, which can be a common problem in the industry. But his successor as AirAsia Japan CEO, Mr Odagiri, was also a member of the strategic planning Asia Pacific division before joining AirAsia Japan. The CEO position at AirAsia Japan is not an easy one. Besides the typical competitive challenges, there is the need to balance the interests of ANA and the AirAsia Group. ANA has theoretical control with its 51% shareholding but, as is typically the case in these cross-border JVs, it is the branding airline (in this case, AirAsia) that seeks to control operational activities. Some strategic elements are even carried out at its main office in Kuala Lumpur. Cultural clashes are inevitable, given AirAsia's shoestring nature versus ANA's more bloated organisation. AirAsia Japan may have sought to reduce the number of hands involved when, at the time of the CEO switch, it reduced its directors from 10 to seven. The ownership challenges are less at Peach and Jetstar Japan. Peach has a minority stake from ANA and is adamant, publicly at least, that ANA does not interfere. Jetstar Japan has the most formalised relationship with JAL and Australia's Jetstar Group, which are some of the investors in Jetstar Japan. The carrier replicates the Jetstar-Qantas "flying committee" to determine which unit should fly where in an effort to optimise profits and the strategy of each carrier. While this may be formal, it does not guarantee straight forward outcomes; negotiations can be extensive, but at least they are expected. AirAsia Japan also may not have targeted its flights effectively. The carrier charged a JPY1,000 (USD11) fee for passengers checking in at counters as opposed to kiosks or online, before dropping it on 19-Dec-2012 in the wake of the CEO changeover. The carrier on 23-Jan-2013 expanded its distribution channels by accepting payments from half a dozen convenience store chains whose countless outlets dot the country. AirAsia Japan also incorporated payments direct from bank accounts. Credit cards are usually the staple of online ticket purchases but credit cards have a low take-up rate in Japan. Cash is popular, as are re-loadable chip cards associated with public transport but available for use at other stores. Australia's Jetstar, which commenced long-haul services international operations to Japan mid-last decade, has had time to build up its distribution and its brand recognition. In launching Jetstar Japan, the Jetstar Group routinely noted its experience in the country and the Jetstar brand ranking in the top 100 in Japan, a respectable feat for a young and foreign airline. Read the full analysis here: http://centreforaviation.com/analysis/peach-holds-strong-airasia-japan-drops-ceo--jetstar-japan-reduces-kansai-nagoya-new-battleground-95426 Share this post Link to post Share on other sites
flee 5 Report post Posted February 5, 2013 Nagoya soon! Share this post Link to post Share on other sites
Waiping 12 Report post Posted February 5, 2013 I thought AirAsia Japan was doing "excellent". Share this post Link to post Share on other sites
Mohd Azizul Ramli 2 Report post Posted February 7, 2013 Nagoya confirmed. http://airlineroute.net/2013/02/06/jw-ngo-s13/ Share this post Link to post Share on other sites
Mike P 0 Report post Posted February 7, 2013 So it is confirmed AirAsia Japan is doing well. Anyway, I hate the idea of AirAsia Japan is based in Narita while AirAsia X is flying to Haneda, really poor connection. Share this post Link to post Share on other sites
flee 5 Report post Posted February 7, 2013 So it is confirmed AirAsia Japan is doing well. Anyway, I hate the idea of AirAsia Japan is based in Narita while AirAsia X is flying to Haneda, really poor connection. D7's CEO has not rulled out flying to NRT, provided they can allocate daytime slots to them. If JW decides to make NGO its second hub, D7 will now have the option to consider starting KUL-NGO services to connect with them. I believe daytime slots in NGO are much easier to get. Share this post Link to post Share on other sites
flee 5 Report post Posted June 10, 2013 ANA Considers Ending AirAsia Tieup on Japan Discount Carrier ANA Holdings Inc. (9202), which owns a majority stake in a Japanese discount carrier set up in partnership with AirAsia Bhd. (AIRA), said it is considering dissolving the tie-up as it aims to improve sales at the unit. Ending the partnership in the venture, AirAsia Japan Co., is one option and no final decision has been made, Megumi Tezuka, a spokeswoman for Tokyo-based ANA, said by phone today. AirAsia Group chief Executive Officer Tony Fernandes said by e-mail that he would comment “in due course.” ANA would continue operating the business as a low-cost carrier from Narita airport even if the partnership with AirAsia is dissolved, Tezuka said. AirAsia Japan has struggled to fill as many seats as low-cost carriers Peach Aviation Ltd., partly owned by ANA, and Jetstar Japan Co., which also began flights in Japan last year. “ANA should be able to turn around the carrier,” said Ryota Himeno, an analyst at Barclays Securities Japan Ltd. “They’ve already shown they can be successful with Peach. AirAsia may have discovered the difficulties of flying from Narita,” rather than Japan’s downtown Haneda airport, he said. The Nikkei newspaper reported earlier today that ANA will acquire AirAsia’s stake in AirAsia Japan, without saying where it got the information. 33 Percent Stake ANA, which owns 67 percent of AirAsia Japan, may buy out AirAsia’s stake in the venture, Tezuka said. Narita, Japan-based AirAsia Japan filled 67.6 percent of seats on its domestic flights during Japan’s Golden Week holiday period from April 26 to May 6, the company said in a statement last month. In comparison Peach, which flies from Kansai airport in Osaka, Japan, filled 91.3 percent of its domestic seats, according to the company. Jetstar Japan, which only flies within the country and is also based in Narita, filled 78.8 percent of seats, according to the company. ANA has said that it aims to fill 80 percent or more of its seats on low-cost carrier operations. AirAsia Japan, which began operations in August, has five domestic services and also flies to Seoul and Busan in South Korea. The carrier will add flights to Taiwan next month and is considering another overseas flight before the end of March as it more than doubles its fleet to nine planes from four, Yoshinori Odagiri, chief executive officer of the carrier, said last week. ANA rose 3.6 percent to 204 yen at the close of trading in Tokyo and is up 13 percent this year. AirAsia, based in Sepang Selangor, Malaysia, rose 0.6 percent to close at 3.35 ringgit in Kuala Lumpur. Source: http://www.bloomberg.com/news/2013-06-10/ana-may-end-partnership-with-airasia-for-japan-discount-carrier.html Share this post Link to post Share on other sites
Mulyadir Fitri 0 Report post Posted June 10, 2013 AirAsia to cut ties with Japan's ANA POSTED: 10 Jun 2013 6:00 PM Asia's largest budget carrier AirAsia is to pull out of its partnership with Japan's All Nippon Airways because of slumping business, a report said on Monday. TOKYO - Asia's largest budget carrier AirAsia is to pull out of its partnership with Japan's All Nippon Airways because of slumping business, a report said on Monday. Malaysia-based AirAsia has decided to withdraw from AirAsia Japan, a company it jointly formed with ANA to begin low-cost carrier operations out of Tokyo's Narita International Airport in August 2012, the Nikkei business daily said. AirAsia's CEO Tony Fernandes reached a basic accord on the dissolution after discussions with senior officials of ANA Holdings, which owns ANA, the newspaper said. Under their accord, the Japanese airline plans to buy the 49 percent stake held by its Malaysian counterpart and turn the joint venture into a 100 percent subsidiary, it said. AirAsia aims to establish a new budget airline operator in partnership with another Japanese company, the paper said. The airline's Japan's service is likely to continue under the Peach Aviation brand when AirAsia Japan's service finishes at the end of October, it said. Peach Aviation is an ANA group budget carrier based at Kansai International Airport, western Japan. An ANA spokesman said: "Nothing has been decided, but no matter what happens, we are determined to maintain the current LCC (Low-cost carrier) operations at Narita airport." Shares in ANA rose 3.55 percent to 204 yen on the Tokyo Stock Exchange on Monday as the benchmark Nikkei index closed up 4.94 percent on the back of a weaker yen and better-than-expected US jobs data. - AFP/de http://www.channelnewsasia.com/news/business/international/airasia-to-cut-ties-with/703980.html ANA has Peach at Kansai. It also has its own domestic services throughout Japan. Conflict of interests bound to happen. Tony should just ditch ANA and find another partner, maybe a conglomerate ala Tata of India. Surely Japan ops is salvageable, no? Share this post Link to post Share on other sites
flee 5 Report post Posted June 10, 2013 Well, TF did say before that there is a clash of cultures. ANA still wants to run an LCC like a FSC and not prepared to slash costs to the bone. Other analysts have also pointed out that operating out of NRT compromises the utilisation of aircraft as it cannot fly during curfew hours. So if Airasia wants to look for another partner, they should hub at HND and link up with D7 there. Share this post Link to post Share on other sites
Isaac 0 Report post Posted June 10, 2013 So if Airasia wants to look for another partner, they should hub at HND and link up with D7 there. That'd be tough though. And Japanese are a nationalistic bunch. Share this post Link to post Share on other sites
Cheng Long 0 Report post Posted June 11, 2013 We know Air Asia's foreign ventures are not making heaps of money, but I'm bit surprised to see that their Japan venture is faring worse than Peach and Jetstar.. It's like defeated in their own game.. Malaysia is still where they make the bulk of their profits but now it's underseiged by Malindo. Share this post Link to post Share on other sites
Isaac 0 Report post Posted June 11, 2013 It's official! Air Asia and ANA to end partnership! http://www.japantoday.com/smartphone/view/business/airasia-to-cut-ties-with-ana Share this post Link to post Share on other sites
Mike P 0 Report post Posted June 11, 2013 I think it's already quite a flaw for AirAsia Japan to set up the based in NRT instead of HND, separating from their sister airlines, D7. Share this post Link to post Share on other sites
BC Tam 2 Report post Posted June 11, 2013 I think it's pretty impressive how hard nosed the red group is towards maintaining profitability Not making money, even not making enough money, get out before getting burnt further - no qualms about start up efforts going down the drain and all that sentimental stuff You need very strong leadership to be able to shove that through on regular basis Share this post Link to post Share on other sites
flee 5 Report post Posted June 11, 2013 I think it's pretty impressive how hard nosed the red group is towards maintaining profitability Not making money, even not making enough money, get out before getting burnt further - no qualms about start up efforts going down the drain and all that sentimental stuff You need very strong leadership to be able to shove that through on regular basis I think there are indeed serious problems at Airasia Japan - it is a management deadlock. It is ANA vs Airasia. End result - biz not doing well and no prospects of changing. Airasia have already proven themselves in JVs - they were patient with loss making Thai and Indonesian JVs. Now, they are reaping the profits of Thai Airasia and soon, Indonesia Airasia will have its IPO as it is starting to make profits on an increasing scale. Airasia is prepared to wait for the business to improve. However, with Japan, management is the problem and it would be hard to resolve. So it is best to part company and look for new partners. There is one other thing in the back of my mind - Airasia Japan has 4 aircraft now and due to receive 5 new ones this year. Maybe AK are thinking of re-deploying these 9 aircraft to Airasia India. The latest info from India is that the JV should get its full approval soon. If the Japanese JV end, they will terminate at the end of October. That timing is ideal for Airasia India! Share this post Link to post Share on other sites
flee 5 Report post Posted June 25, 2013 BURSA ANNOUNCEMENT Termination of AirAsia Japan Joint Venture Further to the press statement of AirAsia Berhad (“AirAsia” or the “Company”) dated 11th June 2013 in relation to the AirAsia Japan joint venture, the Company wishes to announce that it has terminated the joint venture relationship with ANA Holdings Inc. (formerly known as All Nippon Airways Co., Ltd.) (“ANA”) by entering into an Agreement regarding Share Transfer and Termination of Agreements (“Termination Agreement”) with ANA and AirAsia Japan Co., Ltd. (“JV Company”) today. The parties have entered into the Shareholders Agreement dated 21st July 2011, Brand License Agreement dated 1st November 2011, and all relevant agreements and documents in relation to the joint venture (“JV Agreements”). The total amount of issued and paid-up share capital of the JV Company is JPY 5,000,000,000. The Company has subscribed, through its wholly-owned subsidiary AirAsia Investment Ltd. (“AAIL”) (formerly known as AA International Ltd.), 25,120 voting shares and 23,880 non-voting shares at JPY 50,000 per share, representing forty-nine percent (49%) of the paid-up share capital in the JV Company (“Shares”). 1) The rationale of the termination: The joint venture has faced several challenges due to a difference in opinion of managing the JV Company between the shareholders. The challenges faced from its launch stemmed from cost management issues, as well as the inability of the management team, predominantly comprised of ANA staff to cultivate a culture that embraces the low cost business model. Up to 31st March 2013, the JV Company has recorded an accumulated net loss of RM163.94 million. ANA has offered to purchase the Shares from AAIL and the parties have entered into negotiations to terminate the joint venture relationship through the Termination Agreement. 2) Salient terms of the Termination Agreement: a ANA shall acquire the Shares for JPY 2,450,000,000 (approximately RM 80,475,150 based on current exchange rates); b The effective date for the payment of consideration sum and the transfer of the Shares is 28th June 2013 (“Closing”); c The JV Company shall discontinue using the AirAsia brand including changing the JV Company’s name with effect from 1st November 2013; d The parties have agreed on a scheduled re-delivery of all aircraft leased to the JV Company commencing from 1st September 2013 to 1st November 2013. All monies accrued in respect of the leased aircraft including rentals, maintenance reserves and all other payments related to the aircraft during the lease period to the date of redelivery shall remain liabilities of the JV Company and will be paid to the relevant lessor at redelivery; and e The JV Company shall pay all outstanding invoices due to the Company within 90 days of Closing. 3) Financial and Legal Impact The termination of the JV Agreements will have a material impact on the Company’s earnings upon consolidation with AAIL but will have no material impact on the net assets or gearing of the Company for the financial year ending 31st December 2013. Save for the obligations provided under paragraph 2 of this announcement, the parties shall release each other from all obligations under the JV Agreements. 4) Effective Date of Termination Following the payment and the transfer of the Shares on 28th June 2013, the JV Agreements shall be terminated immediately. The JV Company shall cease to use the AirAsia brand including changing the JV Company’s name with effect on 1st November 2013. 5) Approvals The termination of the joint venture is not subject to the approval of the Company’s shareholders. 6) Directors’ and Substantial Shareholders’ Interests None of the directors or substantial shareholders of the Company and persons connected to them has any interest, direct or indirect in the above-mentioned termination. 7) Document available for inspection The Termination Agreement is available for inspection at the registered office of the Company at B-13-15, Level 13, Menara Prima Tower B, Jalan PJU 1/39, Dataran Prima, 47301 Petaling Jaya, Selangor Darul Ehsan, Malaysia during normal business hours from Mondays to Fridays (except public holidays) for a period of 3 months from the date of this announcement. This announcement is dated 25th June 2013. Share this post Link to post Share on other sites
Sharil Abdul Rahman 0 Report post Posted June 25, 2013 Always maintained personally that HND should have been the starting point. D7 can feed into JW and vice versa. And yes, conflict of interest - when ANA can pump more resource into 'their' main LCC Peach. Hope Tony can recover and find another partner. Share this post Link to post Share on other sites
