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flee

AirAsia X flies into greater turbulence

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I think it also depends on the traffic rights between the cities. Take LH & KL as example, they have fifth freedom rights between BKK-KUL vv and KUL-CGK vv, hence it make sense for them to have tag on flights instead of triangular route for better aircraft utilisation. Likewise the former QR DOH-KUL-HKT vv.

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Triangular routes are never good. I remember the old days (in the 80s) when MH used to fly to SYD/MEL as a triangular route!

Yes, I would imagine a very small number of pax destined for MEL would be on the KUL-ADL-MEL flight. Similarly, a very small number of ADL bound pax will on board the KUL-MEL-ADL flights. With the additional operating costs, the benefits of such triangular routes might not be enough to make it worthwhile.

 

That is why I find that the soon to be offered Airbus A321neo LR is an interesting aircraft for D7 to consider. Its CASK should be very attractive and it should be an aircraft that D7 can use to pioneer new routes. If D7 configures it with 6 premium seats (in 2-1 configuration) and the rest of the cabin with economy class seats of 32" pitch, the capacity of this aircraft should be around 200 seats in total. This kind of capacity is sufficiently different to that of the A330-300 and A330-900.

 

It would be interesting to see if they will consider this option. Otherwise, its route network will be quite limited and the only way to expand is to take on Europe, Aftica and the US. This, will be full of risks and success will be even more difficult than introducing a second aircraft type.

KUL ADL AKL? can pick pax up on across the ditch route. EK has quite a number if flights from bne,syd,mel to akl.Kul mel 7.30 hours,adl akl 4.50 hours.

This might be better, as far as crewing arrangements are concerned. Not sure about the NZ market, though....

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How about D7 leverage their aircraft utilization by operating some AK thick route?

Unlikely - AK flies routes that are up to 4 hours while D7 flies routes above 4 hours. Besides AK prefer frequencies, so having an A333 will halve frequencies!

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AirAsia X places firm order for 55 A330neo

 

Carrier to benefit from even lower operating costs for long haul services
15 DECEMBER 2014 PRESS RELEASE
AirAsia X, the long haul affiliate of Asia’s largest low cost airline, has placed a firm order with Airbus for 55 A330neo aircraft. This is the largest single order to date for the best-selling A330 Family and reaffirms AirAsia X’s position as the biggest A330 airline customer worldwide, having now ordered a total of 91 aircraft. The announcement covers the firming up of a Memorandum of Understanding (MOU) for 50 A330neo signed during the Farnborough Air Show in July 2014, plus an additional five aircraft. Deliveries of the newly-ordered aircraft will begin in 2018.
“This latest deal with Airbus will enable AirAsia X to consolidate its growth rate in 2015-2017 before ramping up deliveries from 2018 onwards.” said Tan Sri Tony Fernandes, Co-Founder and Director of AirAsia X. “The A330 has proven itself to be exactly the right aircraft for our business model, combining low operating costs, long range flying capability and high levels of comfort. We are extremely excited about the even greater levels of efficiency that will come with the A330neo, which will play a key role in enabling AirAsia X to maintain its position as the long haul low cost leader.”
“This order from AirAsia X is a major endorsement of the A330neo as the most cost-efficient aircraft in its size category,” said John Leahy, Chief Operating Officer, Customers, Airbus. “With the A330neo in its fleet, AirAsia X will benefit from even lower operating costs as it expands it network and reach, enabling more people to fly further more often than ever before. We look forward to AirAsia X becoming one of the first operators of the latest version of the highly successful A330.”
Building on the proven economics, versatility and reliability of the A330ceo, the A330neo will incorporate latest generation Rolls-Royce Trent 7000 engines, aerodynamic enhancements and new cabin features. These advances will make the aircraft the most cost-efficient in its size category, with a reduction in fuel consumption of 14% per seat, an increase in non-stop flying range of up to 400 nautical miles and the lowest possible maintenance costs.
The A330 Family is part of the world’s most modern and comprehensive widebody product line, which also includes the larger A350 XWB and double deck A380. Together, the various versions of the aircraft efficiently cover all airline widebody requirements for regional, medium and long haul operations, seating from 250 to over 500 passengers and sharing unique levels of operational commonality.

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How far can these neo fly to? Turkey? Amsterdam?

It has sufficient range to get to London, so Paris and Amsterdam would be no problem. Turkey is already possible with current A330-300s.

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SEPANG, 15 December 2014 – AirAsia X, the long haul affiliate of Asia’s largest low cost airline, has placed a firm order with Airbus for 55 A330neo aircraft. This is the largest single order to date for the best-selling A330 Family and reaffirms AirAsia X’s position as the biggest A330 airline customer worldwide, having now ordered a total of 91 aircraft. The announcement covers the firming up of a Memorandum of Understanding (MOU) for 50 A330neo signed during the Farnborough Air Show in July 2014, plus an additional five aircraft. Deliveries of the newly-ordered aircraft will begin in 2018.


"This latest deal with Airbus will enable AirAsia X to consolidate its growth rate in 2015-2017 before ramping up deliveries with the new A330neo models with the latest Rolls-Royce Trent 7000 engine option series from 2018 onwards.” said Tan Sri Tony Fernandes, Co-Founder and Director of AirAsia X.


“The A330 has proven itself to be exactly the right aircraft for our business model as part of our continuous efforts to drive cost down. With the new fuel efficiency its engine will allow us to optimize utilization whilst flying to new long range destinations. We are extremely excited with the new orders of A330neos, which reaffirms my commitment to leading AirAsia X to the next stage of growth and achieving the same level of success as our short haul airline. The symbiotic relationship between the short haul and long haul businesses will definitely play a key role in enabling AirAsia X to maintain its position as the long haul low cost leader.”



“This order from AirAsia X is a major endorsement of the A330neo as the most cost-efficient aircraft in its size category,” said John Leahy, Chief Operating Officer, Customers, Airbus.“With the A330neo in its fleet, AirAsia X will benefit from even lower operating costs as it expands it network and reach, enabling more people to fly further more often than ever before.”


Building on the proven economics, versatility and reliability of the A330ceo, the A330neo will incorporate latest generation Rolls-Royce Trent 7000 engines, aerodynamic enhancements and new cabin features. These advances will make the aircraft the most cost-efficient in its size category, with a reduction in fuel consumption of 14% per seat, an increase in non-stop flying range of up to 400 nautical miles and the lowest possible maintenance costs.


The A330 Family is part of the world’s most modern and comprehensive widebody product line, which also includes the larger A350 XWB and double deck A380. Together, the various versions of the aircraft efficiently cover all airline widebody requirements for regional, medium and long haul operations, seating from 250 to over 500 passengers and sharing unique levels of operational commonality.


Edited by flee

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What turbulence ?! :D

I think they cut their order by 10 aircraft.

 

In Dec 2013, they ordered 25 A330-300s (see http://www.malaysianwings.com/forum/index.php?showtopic=19606&hl=%2Bairasia+%2Borders). At Farnborough, they ordered 50. So the total should be 75.

 

Now they are talking about 55 A330-900s and 10 A330-300s (http://www.rolls-royce.com/news/press_releases/2014/151214_airasia_x_aircraft.jsp) - so that is a reduction of 10 aircraft...

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Can the A330neo still do KUL to London with the higher passenger numbers that D7 pack into their birds?

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AirAsia X plots rights issue funding to plug cashflow gap, management shakeup imminent

 

SINGAPORE, Jan 28 — Malaysian long-haul budget carrier AirAsia X is set to announce a rights issue of shares as early as Friday to try and close a growing cashflow gap, said two sources with direct knowledge of the matter.
The airline's Chief Executive Officer, Azran Osman-Rani, and Chief Financial Officer, Chew Eng Loke, are also likely to leave the company, the sources said.
The sources did not say how much AirAsia X was targeting to raise from the rights issue but said the airline was also examining other funding options. They declined to be named because the matter was not public yet.
A spokesman for the airline said he was unable to comment on either the rights issue or on the likely management changes.

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web.jpg

 

AirAsia X attracts suitors

 

PETALING JAYA: AirAsia X Bhd (AAX), which has a market capitalisation of RM767mil, has attracted the attention of at least two foreign airlines looking at taking up a stake in the medium haul low-cost airline.
Both suitors are premium carriers, one from the Middle East and the other an established airline from Europe, according to an executive familiar with the industry.
“They are keen to be part of the growth in Asia, hence the interest in AAX and given the cheap valuations,” said the executive.
But at current valuations, the main shareholders of AAX, such as group chief executive Tan Sri Tony Fernandes, were not keen on any tie-up with a premium carrier, said sources.
More:
AirAsia X up in active trade on suitors news

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web.jpg

 

AirAsia X attracts suitors

 

PETALING JAYA: AirAsia X Bhd (AAX), which has a market capitalisation of RM767mil, has attracted the attention of at least two foreign airlines looking at taking up a stake in the medium haul low-cost airline.
Both suitors are premium carriers, one from the Middle East and the other an established airline from Europe, according to an executive familiar with the industry.
“They are keen to be part of the growth in Asia, hence the interest in AAX and given the cheap valuations,” said the executive.
But at current valuations, the main shareholders of AAX, such as group chief executive Tan Sri Tony Fernandes, were not keen on any tie-up with a premium carrier, said sources.
More:
AirAsia X up in active trade on suitors news

 

 

EY has bought into a number of airlines and it be will synergy if EY bought into D7. D7 could feed Europe traffic to EY and EY could use D7 to compete EK on price to Asia and Australia.

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I think D7's main problems are due to local factors - MH dumping fares and capacity growth caused a great deal of pain. Also the delays in klia2 meant that D7's growth was stunted earlier and that made it weaker. When klia2 opened, their rapid expansion coincided with the MH expansion and fare dumping.

 

D7's recovery should come if MH competes normally and for profit. If D7 can overcome the NE Asia and Australia problems, it should not be making losses any more. Then it would not need the middle east investors to buy them. It is a very good problem for TF and co to have - obviously there are people who think that D7 is still of some value.

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Currently, D7 schedule is to maximize aircraft utilization hours; hence, departure and arrival time is at D7 whim and fancy with out pax and transit consideration.

 

If D7 intend to increase transit pax, D7 will need to reorganize departure and arrival in waves to minimize transit time to attract transit pax.

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If D7 intend to increase transit pax, D7 will need to reorganize departure and arrival in waves to minimize transit time to attract transit pax.

It may be that they are adhering to the el-cheapo mindset of "we're cheap, so make do with what we have to offer - there are alternatives otherwise"

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If D7 intend to increase transit pax, D7 will need to reorganize departure and arrival in waves to minimize transit time to attract transit pax.

I think they are already actively promoting their fly-thru products system wide. Not sure what their transit numbers are this year but CAPA reported that they have achieved almost 50% last year: http://centreforaviation.com/analysis/airasia-x-drives-43-transit-traffic-at-kuala-lumpurs-klia-can-singapore-follow-the-same-recipe-164610

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I think this is not a practical configuration for D7 - probably has 28" pitch!

 

A more workable aircraft would be the A321neo LR - this can be configured to D7's standard, giving around 180 seats. That will be about half the capacity of A333s.

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