Saving Airasia Group and Airasia X: Covid-19 Recovery Thread

[BC Tam 2]

On 11/17/2023 at 8:59 AM, jahur said:

Global travel is still not back to 2019 but it has made significant recovery. However if we account to china itself its one of the few remaining operating on very low numbers. The unemployment rate went up earlier this year and many other factors has been contributing to it. It may have also deem mass tourism as no longer beneficial to its own economy. 

For China, I will opine that the way their real estate sector has performed in the last couple of years would not have afforded anymore the heady sense of rising wealth that had driven much of the consumer spending and confidence pre-pandemic. And leisure travel / holidays would be one of the first items to sacrifice in any tightening of the purse strings

Also, I think it's also likely policies / rules are in place to encourage more Chinese domestic tourism (that is one huge industry there that has to be rebuilt) and at same time 'discourage' foreign travel / holidays to lessen money flowing out of the country. Which is fair enough really, we too have also seen surge in our MY domestic tourism 😀

 

[flee 5]

7 hours ago, Chris Tan said:

There has never been such thing as a “free” connecting flight. Fares are priced based on O&D. KUL-SIN-LHR for example has always been priced very differently than SIN-LHR. 

Yes, maybe I was to quick to say that it is FOC! However, if you are looking for a flight ex-KUL, the fares of the competing airlines are similar to those that require a connection in SIN. This gives the apparent impression that the connecting flights to SIN are sacrificed in order to secure your booking. Pax these days are smarter and know that if they want cheaper flights, they would have to go through the inconvenience of not going on direct flights.

[Sii Lw 0]

11 hours ago, flee said:

If what you illustrate here is true, then TR is not really interested in developing the route but more as a feeder to the SIA group network. So it is sacrificing profit on this route for the greater aim of profit on other connecting routes in the SIA group network. It is much like the days when KUL-SIN flights were offered FOC to those who were catching long haul SQ flights.

Against the post Covid background, air fares have risen significantly and revenge travel demand is starting to fade. AK does not need to offer flythru flights to/from SIN as pax can catch flythru from KUL. As such its MYY-SIN flights are for point to point pax. There are simply not enough such pax.

Yes, I'd agree that MYY-SIN would work more like a feeder route to SIA's network, and that the O&D point-to-point pax is low. But it wasn't always the case when AK was the sole operator of the route. I've known people flying to SIN on AK just to catch a flight ex-SIN on a separate ticket. This is now in the past after TR joined the foray and changed the dynamics (ie. how travellers plan their flight plan).

But what I forgot to point out in my last comment was - the yields for MYY-SIN could be rather thin that it only allows 1 airline to survive, but I absolutely disagree that this route has 'death notice written all over'. However, SBW-SIN is a different case: it does have death notice written all over.

[Craig 0]

2 hours ago, flee said:

Yes, maybe I was to quick to say that it is FOC! However, if you are looking for a flight ex-KUL, the fares of the competing airlines are similar to those that require a connection in SIN. This gives the apparent impression that the connecting flights to SIN are sacrificed in order to secure your booking. Pax these days are smarter and know that if they want cheaper flights, they would have to go through the inconvenience of not going on direct flights.

Believe it or not, but at one point, MH's LHR-KUL-SYD/MEL/BNE fares are cheaper than LHR-KUL. Or TK's KUL-IST-JFK is cheaper than KUL-IST, both with free stopovers at the airline's hub

[JuliusWong 0]

 

Quote

Malaysia’s AirAsia Х Plans to Launch Direct Flights to Kazakhstan in 2024
BY STAFF REPORT in INTERNATIONAL on 17 NOVEMBER 2023

ASTANA – Malaysian low-cost airline AirAsia X plans to operate direct passenger flights on the Kuala Lumpur – Almaty route from Feb. 1 next year, reported the Kazakh Civil Aviation Committee’s press service.

The airline will perform regular flights four times a week on Tuesdays, Thursdays, Saturdays and Sundays utilizing an A-330 aircraft.

Established in 2006, Air Asia X is part of the Air Asia Aviation Group, with a fleet consisting of over 270 aircraft, and operating flights on more than 400 routes to 25 countries.

https://astanatimes.com/2023/11/malaysias-airasia-х-plans-to-launch-direct-flights-to-kazakhstan-in-2024/

Quote

Malaysian AirAsia X Launching Direct Flights to Kazakhstan
November 18, 2023 by Binayak Karki

AirAsia X, a Malaysian budget airline, intends to start offering direct flights between Kuala Lumpur and Almaty beginning on February 1 of the upcoming year, according to an announcement by the Kazakh Civil Aviation Committee’s press service.

The airline plans to conduct regular flights four days a week—Tuesdays, Thursdays, Saturdays, and Sundays—using an A-330 aircraft for the Kuala Lumpur-Almaty route.

AirAsia X, established in 2006, is a segment of the AirAsia Aviation Group. It boasts a fleet exceeding 270 aircraft and operates flights across 400 routes spanning 25 countries.

AirAsia X ‘s most popular destinations are: Asia (Bali, Sapporo, Tokyo, Osaka, Seoul, Busan, Jeju, Taipei, Kaohsiung, Xi’an, Beijing, Hangzhou, Chengdu, Shanghai, Chongqing, Wuhan, Maldives, New Delhi, Jaipur, Mumbai and Kathmandu), Australia (Sydney, Melbourne, Perth and the Gold Coast) New Zealand (Auckland), the Middle East (Jeddah and Medina) and the United States of America (Hawaii).

The airline operates out of three hubs: Kuala Lumpur, Bangkok and Denpasar, Bali.

AirAsia X is the first low-cost airline in Asean to be given approval by the Federal Aviation Administration (FAA) to operate into USA.

https://eturbonews.com/malaysian-airasia-x-direct-flights-to-kazakhstan/

 

[JuliusWong 0]

AirAsia Malaysia will be launching Thiruvananthapuram, India and Perth, Australia soon. Thiruvananthapuram frequency unknown for now. Perth x14 weekly. 

Perth using A321neo

On a side, I just noticed that Capital A is now calling AirAsia X as medium haul affiliate, no longer mid-to-long haul. Did a research on this, apparently this has been the case since its rebirth in June 2022. https://aviationweek.com/air-transport/airports-networks/airasia-x-prioritizes-medium-haul-recovery

Edited November 21, 2023 by JuliusWong

[flee 5]

AirAsia X gets its wings back

Bursa Securities announced today the airline’s classification as a Practice Note 17 (PN17) company will cease with effect from tomorrow.

https://www.freemalaysiatoday.com/category/highlight/2023/11/21/airasia-x-gets-its-wings-back/

Edited November 21, 2023 by flee

[Tom/PER 0]

16 hours ago, JuliusWong said:

AirAsia Malaysia will be launching Thiruvananthapuram, India and Perth, Australia soon. Thiruvananthapuram frequency unknown for now. Perth x14 weekly. 

Perth using A321neo

On a side, I just noticed that Capital A is now calling AirAsia X as medium haul affiliate, no longer mid-to-long haul. Did a research on this, apparently this has been the case since its rebirth in June 2022. https://aviationweek.com/air-transport/airports-networks/airasia-x-prioritizes-medium-haul-recovery

https://www.travelnewsasia.com/news23/2111-AirAsiaMalaysia.shtml
 

The new AK Perth flights will be operating in addition to the daily D7 flights. Is AK due to take delivery of any additional A321Neo’s soon? 

[JuliusWong 0]

4 hours ago, Tom/PER said:

https://www.travelnewsasia.com/news23/2111-AirAsiaMalaysia.shtml
The new AK Perth flights will be operating in addition to the daily D7 flights. Is AK due to take delivery of any additional A321Neo’s soon? 

Yes, the new AK Perth flight is in addition to those D7 daily flight. With the addition, they will have 14x weekly flights.

Yes, AirAsia will resume A321neo delivery in 2024, with 362 on order. https://www.thestar.com.my/business/business-news/2022/08/27/airasia-to-resume-airbus-a321neo-deliveries-in-2024-as-growth-returns Looking at current production list, I would think it should be arriving at Q3, 2024, unless they are going for lessor's which can be delivered earlier.

[jani 0]

Wonder if there has ever been an instance where both AK and D7 fly the same route?

[JuliusWong 0]

6 minutes ago, jani said:

Wonder if there has ever been an instance where both AK and D7 fly the same route?

Yes, Singapore, Denpasar, Hong Kong and Bangkok Suvarnabhumi. AirAsia Malaysia also leased an ex-D7 A330-300 9M-VVA. It did mostly KUL-BKI last time. Now it is in storage.

[jani 0]

1 minute ago, JuliusWong said:

Yes, Singapore, Denpasar, Hong Kong and Bangkok Suvarnabhumi. AirAsia Malaysia also leased an ex-D7 A330-300 9M-VVA. It did mostly KUL-BKI last time. Now it is in storage.

Did those fly with a D7 code? As I recall it was as you say, a "lease" from D7 to AK, meaning it was still AK

[JuliusWong 0]

1 hour ago, jani said:

Did those fly with a D7 code? As I recall it was as you say, a "lease" from D7 to AK, meaning it was still AK

Yes, all these flights are/were operated under D7 code in addition to those under AK code. Pilot and crew are/were from D7. As for the sole A330-300 sub-leased under AK name saw limited use for BKI before being put into storage.

Edited November 22, 2023 by JuliusWong

[JuliusWong 0]

14 hours ago, flee said:

AirAsia X gets its wings back

Bursa Securities announced today the airline’s classification as a Practice Note 17 (PN17) company will cease with effect from tomorrow.

https://www.freemalaysiatoday.com/category/highlight/2023/11/21/airasia-x-gets-its-wings-back/

With the upliftment, AirAsia X can now purchase AirAsia Malaysia to get the latter out of PN17 status and consolidate Malaysia operation under one company. Quite a mess they did there with the organisation structure and Group structure.

[flee 5]

52 minutes ago, JuliusWong said:

With the upliftment, AirAsia X can now purchase AirAsia Malaysia to get the latter out of PN17 status and consolidate Malaysia operation under one company. Quite a mess they did there with the organisation structure and Group structure.

Yes, it was messy because they considered Airasia X to be high risk and are prepared to let it fail. However, they did not want D7's failure to take down AK. But it appears now that they used D7 to take the haircut for AK!

The operations side is already started integration as we see both D7 and AK on the same routes. Once the corporate restructuring is done, I guess they routes will be even more shared between them.

[JuliusWong 0]

AirAsia X officially launches Almaty, Kazakhstan with free ticket giveaway to Almaty on its IG account 

https://www.instagram.com/p/Cz57gRKR3OC/?hl=en

Did a check in their booking engine KUL-ALY, not bookable yet.

[flee 5]

7 hours ago, JuliusWong said:

AirAsia X officially launches Almaty, Kazakhstan with free ticket giveaway to Almaty on its IG account 

https://www.instagram.com/p/Cz57gRKR3OC/?hl=en

Did a check in their booking engine KUL-ALY, not bookable yet.

What kind of demand is there for this route?

[Pall 0]

5 hours ago, flee said:

What kind of demand is there for this route?

Central Asian folks escaping the harsh winter to our region and Malaysians/SE Asians enjoying their nice spring.

[Chris Tan 0]

There’s also sizeable Kazakh/Central Asian student population in Malaysia.

[JuliusWong 0]

8 hours ago, flee said:

What kind of demand is there for this route?

I read Bernama news article in 2019, almost 15,000 tourists from Kazakhstan visited Malaysia and about 10,000 tourists from Malaysia visited Kazakhstan during the same period. The same goes to Uzbekistan. Rather than fighting with Batik Air and Uzbekistan Airlines on the latter, I guess AirAsia X wants to test Central Asia market with Kazakhstan first. I wonder if Air Astana plans to return to KUL, their return was brought forward to last month but I am not sure if they actually return.

Also, AirAsia X has been allocated Istanbul (IST) for some time, but no official launch announcement yet. IMO, IST will be very tricky with TK and EK dominating the market. Profit margin will be razor thin. 

Edited November 23, 2023 by JuliusWong

[JuliusWong 0]

18 hours ago, JuliusWong said:

AirAsia X officially launches Almaty, Kazakhstan with free ticket giveaway to Almaty on its IG account 

https://www.instagram.com/p/Cz57gRKR3OC/?hl=en

Did a check in their booking engine KUL-ALY, not bookable yet.

KL-Almaty, as low as RM1499(one-way); RM2994(Round-trip)
Travel period: 14 Mar - 26 Oct 2024 (Every Tue, Thu, Sat, Sun)

Inaugural flight: 14 Mar 2024

[flee 5]

3 hours ago, JuliusWong said:

I read Bernama news article in 2019, almost 15,000 tourists from Kazakhstan visited Malaysia and about 10,000 tourists from Malaysia visited Kazakhstan during the same period. The same goes to Uzbekistan. Rather than fighting with Batik Air and Uzbekistan Airlines on the latter, I guess AirAsia X wants to test Central Asia market with Kazakhstan first. I wonder if Air Astana plans to return to KUL, their return was brought forward to last month but I am not sure if they actually return.

Also, AirAsia X has been allocated Istanbul (IST) for some time, but no official launch announcement yet. IMO, IST will be very tricky with TK and EK dominating the market. Profit margin will be razor thin. 

Yeah, I think they are trying to go on a route where competition is not so severe. IST is not a good route because D7 has no partner to connect to the rest of Europe and beyond. If it flies to IST, it might as well reintroduce LGW and make it a one stop flight until it gets its new A339s.

[Izanee 0]

5 hours ago, JuliusWong said:

I read Bernama news article in 2019, almost 15,000 tourists from Kazakhstan visited Malaysia and about 10,000 tourists from Malaysia visited Kazakhstan during the same period. The same goes to Uzbekistan. Rather than fighting with Batik Air and Uzbekistan Airlines on the latter, I guess AirAsia X wants to test Central Asia market with Kazakhstan first. I wonder if Air Astana plans to return to KUL, their return was brought forward to last month but I am not sure if they actually return.

Also, AirAsia X has been allocated Istanbul (IST) for some time, but no official launch announcement yet. IMO, IST will be very tricky with TK and EK dominating the market. Profit margin will be razor thin. 

The original plan was for Air Astana to fly to KUL in Oct 2024 (with a SIN tag on). Then last year they said that they would bring KUL forward to Oct 2023. But they haven’t restarted KUL yet - not sure what the hold up is. Perhaps it is the aircraft (A321) as they need an auxiliary tank for the distance (IIRC). 

[jahur 0]

looks like 9M-DAF is wearing the same hybrid paint now. That makes it 2 former myairline a320 transferred to airasia.

[JuliusWong 0]

42 minutes ago, jahur said:

looks like 9M-DAF is wearing the same hybrid paint now. That makes it 2 former myairline a320 transferred to airasia.

Thank you for the update. Bo Lingam stated earlier they were in negotiation to take five airframes. So far, these airframes remain in KUL. The rest have left the country.

1. 9M-DAB (formerly  Thai AirAsia HS-ABL) MSN 4126 -> “Airasia-MYAirline hybrid livery”
2. 9M-DAE (formerly AirAsia Malaysia 9M-AFR/ Philippines AirAsia RP-C8970) MSN 3064
3. 9M-DAF (formerly AirAsia 9M-AHU/RCF) MSN 4070 -> “Airasia-MYAirline hybrid livery”
4. 9M-DAG (formerly Thai AirAsia HS-ABK) MSN 4088
5. 9M-DAN (formerly Virgin America/ Alaska N640VA) MSN 3349