Showing posts with label Air Asia. Show all posts
Showing posts with label Air Asia. Show all posts

AirAsia X to commence flights to Nagoya

By BA Staff

AirAsia X Berhad, the long haul affiliate of the AirAsia Group, announced the launch of its third destination in Japan; Nagoya.

AirAsia X will commence its first flight into Chubu Centrair International Airport from Kuala Lumpur beginning 17 March, 2014.

AirAsia X will commence four weekly flights into Nagoya, Japan. The airline currently operates daily flights to Tokyo (Haneda) and four weekly flights to Osaka (Kansai) from Kuala Lumpur.

Azran Osman-Rani, CEO of AirAsia X said:
"We are excited to announce our latest route to Nagoya, marking our 3rd destination into Japan. This marks another milestone for AirAsia X and reiterates our expansion commitment in the key markets we operate in with the Asia Pacific Region. With the addition of Nagoya, guests will have more travel options to explore Japan, and we believe Nagoya being a scenic and historical destination will be a popular tourist destination. We have carried over half a million passengers to and from Japan. Japan contributed over 14% of our total revenue in the first half of 2013. Nagoya is strategically located just 50 minutes from Osaka and 1 hour 40 minutes from Tokyo via train. Guests may soon fly direct to Nagoya, and take a train to the metropolitan and capital city of Japan; Tokyo or visit the commercial centre of Japan, Osaka in the Kansai region and return from any of the ports we serve in Japan. Nagoya has much to offer, be it for families or even the back packers, the choices of attractions are endless.”
 He concluded:
“Japanese guest also will be able to fly to a host of destinations from Kuala Lumpur using AirAsia’s Fly-Thru service, which allows guests to easily connect between two different flights via the Kuala Lumpur Low Cost Carrier Terminal without having to worry about checking in twice.”
Fly-Thru routes available from Nagoya are: Adelaide, Gold Coast, Melbourne, Perth, and Sydney in Australia; Kochi in India; Bali, Bandung, Jakarta, Medan and Surabaya in Indonesia; Kota Kinabalu, Kuching, Langkawi andPenang in Malaysia; Singapore; Taipei in Taiwan; Bangkok and Phuket in Thailand; and Ho Chi Minh in Vietnam.
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AirAsia introduces new flexi-fare service 'Hi-Flyer'

By BA Staff

AirAsia has introduced ‘Hi-Flyer’, a new flexi-fare service which offers guests greater convenience, flexibility and added benefits while travelling with both AirAsia and AirAsia X.
  • Complimentary 20kg check-in baggage allocation
  • Complimentary ‘Pick-A-Seat’ for both Standard & Hot Seats (Hot Seats are subject to availability)
  • Priority Boarding
  • Up to 2x flight change - for flights up to 2 hours before the scheduled time of departure without any change fee. Fare difference will apply.
  • Earn 2x BIG Points as a Hi-Flyer
Siegtraund Teh, Group Chief Commercial Officer of AirAsia said:
“Many different groups of people fly with AirAsia, and we would like to ensure that our guests are offered the best options that cater to their needs. Hi-Flyer is specifically tailored to the business traveller group, who are constantly on the go and  benefits such as complimentary 20kg check-in baggage, complimentary seat selection, priority boarding and flexibility to change flights up to 2 hours before their scheduled departure will be a great convenience factor. Business travellers make up a significant portion of our guests’ profile and this new product offering will further add value to their travel experience with AirAsia.”
‘Hi-Flyer’ is available throughout all flights for AirAsia Malaysia (flight code AK), Thai AirAsia (flight code FD), AirAsia Indonesia (flight code QZ), AirAsia Zest (Flight Code Z2 and PQ) and AirAsia X (flight code D7).

Guests who have booked regular promo fares can easily upgrade to ‘Hi-Flyer’ fares by logging onto to the AirAsia website and modify their flights through the ‘Manage My Booking’ option, and guests will only need to pay the fare difference after selecting the ‘Hi-Flyer’ flexi-fare.

Apart from the value-added services, AirAsia guests who are also members of the AirAsia BIG Global Loyalty Programme are able to earn 2x BIG Points when they book the ‘Hi-Flyer’ flexi-fare.
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AirAsia is Business Traveller’s ‘Best Low-Cost Airline’ for two years in a row

By BA Staff

AirAsia was once again distinguished as the best in its class, when the airline was awarded with the ‘Best Low-Cost Airline’ award at the 2013 Business Traveller Asia-Pacific’s Awards ceremony, held at the Conrad Hotel in Hong Kong recently.

AirAsia, 'Best Low-Cost Airline' Award 2013
This is the second successive win for AirAsia, a nod to the airline’s growing power and its stature as the market leader in the low cost carrier segment. AirAsia first won the ‘Best Low-Cost Airline’ award category last year, when it was first introduced by Business Traveller Asia Pacific in recognition to the growing force of budget carriers in the region.

AirAsia Group CEO, Tony Fernandes said:
 “This second ‘Best Low-Cost Carrier’ award win represents the unwavering support and belief from our guests towards our services and products. We thank them for choosing AirAsia as the airline of choice for their travels. We will continue to work hard to maintain our leadership spot and uphold our pledge to present our guests with unbeatable low fares and exceptional products and services. This win is also due to the collective contributions of our ‘AirAsia Allstars, whose hard work, passion, dedication and creativity made this recognition possible."
AirAsia was chosen as the inaugural award winner through votes by Business Traveller readers, recognizing the airline as a service provider which has maintained impeccable standards and making journeys seamless and productive. This comprehensive survey was conducted annually among Business Traveller subscribers, and the 2013 results are based on data collected between April and June this year.

AirAsia is a household name which has flown over 200 million guests since it was established nearly twelve years ago with a mission to democratize air travel in the region and has been operationally profitable from day one of its launch as a low-cost carrier. The airline now has operations based in Malaysia, Indonesia, Thailand and the Philippines, servicing the most extensive network with 85 destinations.
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Tatas and Singapore Airlines to form new airline in India


by Devesh Agarwal

Taking advantage of India's recent liberalisation of the aviation sector, the country's most famous conglomerate, Tata Sons, and flag carrier Singapore Airlines (SIA) have signed a memorandum of understanding and applied for Foreign Investment Promotion Board (FIPB) approval to establish a new airline in India, thus adding a well financed full service carrier with strong customer service roots.

The airline will be based in New Delhi and will operate under the full-service model. Tata Sons will own 51 percent and Singapore Airlines will own 49 percent.

The announcement brings full circle, a partnership first commenced by the two companies back in 1995, when they jointly attempted to start an airline in India. In 2000, the two jointly bid for a stake in Air India. At the time the bids were thwarted by a sudden shift in policy, some say politically pushed through by a then fledgling Jet Airways, preventing investment in Indian carriers by a foreign airline.

The initial board will have three members, two nominated by Tata Sons and one nominated by Singapore Airlines. The chairman will be Prasad Menon, nominated by Tata Sons. Mukand Rajan, member of the group executive council of Tata Sons will be the ther director while Mak Swee Wah, executive vice-president (commercial) will represent Singapore Airlines.

Menon said
“It is Tata Sons’ evaluation that civil aviation in India offers sustainable growth potential. We now have the opportunity to launch a world-class, full-service airline in India. We are delighted that we are partnering in this endeavour with the world-renowned Singapore Airlines,”
Singapore Airlines CEO, Goh Choon Phong, added
“We have always been a strong believer in the growth potential of India’s aviation sector and are excited about the opportunity to partner Tata Sons in contributing to the future expansion of the market.” “Tata Sons is one of the most established and respected names in India. With the recent liberalisation, the time is right to jointly bring consumers a fresh new option for full-service air travel. We are confident the joint venture airline will help to stimulate market demand and provide economic benefits to India.”
Details of the airline’s branding, management team and products and services will be announced in due course.

The Tatas are also partnering with Tony Fernandes promoted Air Asia which is well under-way in establishing a new low cost carrier in India, AirAsia India.

Curiously, today's announcement comes just a day after the Delhi high court admitted a petition seeking quashing of the start clearances granted to AirAsia India. The petitioner, Subramanian Swamy, claims the recently liberalised FDI policy allowing investments by foreign airlines in Indian airlines, allows for investments in existing airlines and not fresh start-ups such as AirAsia India.
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Opinion: Approving AirAsia-Tata airline will derail goals of FDI in aviation policy

by Devesh Agarwal

The announcement that AirAsia is joining hands with the Tatas and Bhatias with the intention to start a new airline in India will put the a significant policy dilemma in front of the Government of India related to foreign direct investment (FDI) in civil aviation by foreign airlines, and might just land-up derailing the goals of the fledging policy.

While the policy is not explicit, so as to avoid any problems before the Competition Commission of India (CCI), the policy is framed to help the weak balance sheets of existing India airlines, and more importantly the banks, many of them government owned, who have already loaned vast sums of money to this sector.

When the cabinet approved the policy on September 14, 2012, the press statement said
"......there has been a need to consider financing options available for private airlines in the country, for their operations and service upgradation, and to enable them to compete with other global carriers. Denial of access to foreign capital could result in the collapse of many of our domestic airlines, creating a systemic risk for financial institutions, and a vital gap in the country’s infrastructure"
Two weeks after the policy was announced, India's civil aviation minister, Ajit Singh, told the Business Standard
“We are not giving licences for greenfield airlines. As of now, FDI (foreign direct investment) in aviation can come only through existing airlines."
Indian civil aviation minister Ajit Singh.
The statements and policy are logical.

Thanks to years of regressive policies of the Indian government, and the ludicrous taxation structure, especially on aviation fuel, Indian carriers carriers' balance sheets are awash with red ink.

Air India has over $10 billion (over Rs. 55,000 Crore) in liabilities, while Kingfisher Airlines is in for over $3 billion ($16,000 Crore).

Even the country's more "financially stable" carriers like Jet Airways and SpiceJet has are stress situations with skewed financial ratios, and growth strongly hampered by a lack of capital.

With much of the money being siphoned in to Air India, and the financial implosion of Kingfisher, Indian financial institutions neither have the funds, nor the appetite, to lend any more to the airline sector. FDI is needed.

However, if foreign airlines are allowed to set-up new greenfield airlines, they need not risk investing in the existing airlines. They can start fresh, with no liabilities, benefit from not making or suffering past mistakes of operations or policy, bring in expertise and massive financial strength, and blow away the fledgling domestic sector.

We have already seen this happen in the international sector, where the government in its infinite "wisdom" required Indian carriers to operate for five years before they could fly international, while allowing even newly formed foreign carriers to operate to India, thus giving foreign carriers time to establish themselves with nil to minimum competition. Today, Indian carriers are restricted to the sidelines, while the unofficial national carrier of India is not Air India, but Emirates; with India contributing over 11% of the airline's total capacity. No small feat, considering Emirates is the world's third largest airline by seat capacity.

India's largest private carrier, Jet Airways, is negotiating with Abu Dhabi based Etihad to sell them a 24% stake for about $300 million (Rs.1,600 Crore), which is a premium considering Jet's total market capitalisation (mcap) is just Rs.4,575 Crore. Just as a comparison, AirAsia Berhad mcap is Rs. 12,842 Crore.

Jet leads Indian companies with a sky-high debt to equity ratio of 84 times, almost 1,000% of the next company in the list, or 4,300% of the 1.95 of AirAsia). Its total debt is in excess of Rs 11,030 crore. Thanks to losses over the years, the company's reserves have depleted almost 50%, thus declining equity, and leading to the increase in the company's debt to equity ratio. The airline needs to raise equity capital by inviting FDI from foreign airlines.

Earlier this week, the Chairman of Etihad, Sheikh Hamed bin Zayed al-Nahyan, delayed the deal citing concerns on policy flip-flops by the government. How will Etihad view an approval to an "India AirAsia"?

That will have to be gauged in the time to come, but, for certain, allowing foreign airlines to set up greenfield airlines will have a negative impact on the attractiveness of existing airlines, and by extension the health of their debts, and the health of the Indian financial sector.

Even as an unabashed believer in capitalism, in my humble opinion, while an "India AirAsia" will lead to lower fares and more competition, ultimately it will be we tax-payers who will be left holding the proverbial bag as the government will be forced to bailout the banks.

Allow foreign carriers to set-up greenfield airlines, but after a period of time, may be three years, for now, get them to invest in Jet, IndiGo, SpiceJet, GoAir, and if the government ever comes to a logical sensibility, Air India.

I am advocating the same approach as of Mr. Ratan Tata, a leading member of the "Bombay Club" which over 20 years ago, proposed a similar go slow approach on liberalisation.

As usual, your thoughts, comments, feedback and counter-views are welcome.

The video below is a panel discussion on FDI in civil aviation, soon after the policy announcement, from NDTV. If you cannot see it on mobile or on the RSS feed, please visit the main Bangalore Aviation website.

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IndiGo becomes first Indian airline to operate A320 with Sharklets. First globally with IAE V2500 engines.

As reported by Bangalore Aviation last month, India's largest domestic airline, IndiGo, has taken delivery of its first Sharklet fitted A320 aircraft, registration VT-IFH, and thus becomes the first Indian carrier, and third globally to operate this new version of the A320 aircraft. IndiGo is the first carrier globally to operate a Sharklet fitted A320 powered by the IAE V2500 engine, since the first two operators, Malaysia's AirAsia and Philippines' Cebu Pacific power their A320s with CFM engines.

Sharklets are newly designed wing-tip devices that improve the aircraft’s aerodynamics and significantly cut the airline’s fuel burn and emissions by four per cent on longer sectors. The devices are named Sharklets since they resemble the dorsal fins of sharks. In the high tax, high cost aviation fuel, environment of India, the improved fuel burn is highly desired.

It appears, all future new A320s inducted into the IndiGo fleet will be equipped with Sharklets. The next A320 aircraft of IndiGo, MSN5460 which will become VT-IFI, and had its first flight last Thursday, January 25th, is also equipped with Sharklets.

In 2005, IndiGo placed an order for 100 A320 aircraft. This was followed up in 2011, with the largest ever jet aircraft order in history, at that time, for 150 A320neo (new engine option), and 30 more A320 Classic. It appears that order has been amended to 180 A320neo and the 30 A320 Classic have been dropped.

IndiGo has a fleet of 62 A320s today, all of them fitted with the IAE V2500 engines.
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Cebu Pacific flies past IndiGo and GoAir with second global A320 with Sharklets

by Devesh Agarwal
Low cost carrier, Cebu Pacific Air beat out India's IndiGo and GoAir, to become the second operator, globally, when it took delivery of its first A320 equipped with Sharklets today during a ceremony in Manila, Philippines.

The first ever A320 with Sharklets was delivered to Malaysian low cost carrier, AirAsia, late last year.

India's IndiGo and GoAir will complete the procession of Asian low cost carriers to operate the A320 Sharklet when they take delivery of their aircraft later this quarter.

IndiGo's A320 Sharklet aircraft serial number MSN 5437 which will become VT-IFH (see photo and read story), and GoAir's A320 Sharklet MSN 5463 which will become VT-GOL (see photo) both had their first flights on January 15th.

In an exclusive interview with Bangalore Aviation, GoAir CEO Giorgio Di Roni had indicated GoAir might be the first Indian carrier to operate the A320 Sharklet. With the neck and neck progress, GoAir might even just pip IndiGo to the post.

Sharklets are newly designed wing-tip devices allowing airlines to reduce fuel burn by up to 4% on longer sectors. Sharklets are made from light-weight composites and are 2.4 meters tall. Cutting airlines’ fuel bills by around four percent, Sharklets offer the flexibility to A320 Family operators of either adding around 100 nautical miles more range or allowing increased payload capability of up to 450 kilogrammes.
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IndiGo will be first operator in India to receive A320 with Sharklets. Update 1 - First flight conducted

by Devesh Agarwal

A week ago, Airbus S.A.S. rolled out an A320 aircraft serial number MSN 5437 from its assembly line. This aircraft is destined to become Indian budget carrier IndiGo's first 'Sharklet' equipped A320 VT-IFH, and when delivered only the second airline aircraft in the world to be fitted with the new fuel saving large wing-tip device.
Photo copyright Gerd Bielfuss. Used with permission. Do not copy or reproduce.

Sharklets are Airbus' answer to the large wing-tip devices already found on the Boeing 737NG family i.e. 737-700, 737-800, and 737-900ER.


'Sharklets', so named, since they resemble the dorsal fin of a shark, are made from light-weight composites and are 2.4 metres tall and are designed to reduce fuel burn and emissions by improving the aerodynamics of the aircraft significantly. Over a longer flight, they are expected to improve fuel burn by 3.5% - 4%. Sharklets offer airline-operators the option of enhancing the performance of their A320s, either by adding around 100 nautical miles more range or allowing increased payload capability of up to 450 kilogrammes.

The first 'Sharklet' equipped A320 was delivered to Malaysian low cost carrier, AirAsia, less than a week ago on December 21. (Click here to see a video).

Hopefully we shall see VT-IFH grace the Indian skies in January.

Update 1 - January 17, 2013.


MSN 5437 conducted its first flight successfully on January 15th.

Photo copyright Gerd Bielfuss. Used with permission. Do not copy or reproduce.

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Video: The first Sharklet equipped Airbus A320 is delivered to AirAsia

A well made video showing off the first Wingtip device (called Sharklets) fitted A320, which was delivered to AirAsia.

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Press Releases - December 14, 2012

Dear Readers

From today, we are starting a new feature called Press Releases. Every day we receive many releases from companies, despite our best efforts, we are unable to cover all of them. However, it is our endeavour to keep you, our readers, to be informed, and therefore we will post the raw releases in one batch for the day.

It does take some effort, and we shall endeavour do this on a daily basis.

Please share your feedback and your thoughts on this idea, do you find the information helpful? and compliment us or blast us, on how we progress in the coming days.

Corporate communications can send their releases to pr [at] bangaloreaviation.com.

Thanks

Devesh Agarwal


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AirAsia orders 100 more A320s


Another major order for ongoing growth at Asia’s largest low cost carrier
13 December 2012

AirAsia, the largest low cost airline in Asia, has placed a new order with Airbus for 100 more A320 Family aircraft. The contract covers an additional 64 A320neo and 36 A320ceo aircraft for operation across the carrier’s network.

The order was announced during a visit by British Prime Minister David Cameron to the Airbus wing manufacturing facility at Broughton in the UK, where Mr Cameron witnessed the signing of documents by Tan Sri Tony Fernandes, Group Chief Executive Officer, AirAsia and Fabrice Brégier, President & CEO, Airbus.

The contract reaffirms AirAsia’s position as the largest A320 Family airline customer in the world. Altogether, the carrier has now ordered 475 single aisle aircraft from Airbus, comprising 264 A320neo and 211 A320ceo. Over 100 aircraft have already been delivered to the airline and are flying out of its bases in Bangkok, Kuala Lumpur, Jakarta, Manila and Tokyo.

Tan Sri Tony Fernandes, Group Chief Executive Officer of AirAsia said during the signing: “We have three gold mines in Malaysia, Thailand and Indonesia. On the other hand, Philippines and Japan have enormous potential growth. With these added aircraft, it goes in-line with our strategy to further build our already extensive network through new routes and added frequencies and allow AirAsia to maintain its market leadership."

“AirAsia is one of the great success stories of recent years in the airline business,” said Fabrice Brégier, President & CEO, Airbus. “The repeated confidence the airline places in the A320 is a clear endorsement of the reliability, efficiency and unbeatable operating economics offered by the world’s most modern single aisle product line.”

AirAsia’s all-A320 fleet currently flies to some 70 destinations on a route network spanning 20 countries across Asia. In addition, affiliate AirAsia X operates widebody A330-300s on longer services from Kuala Lumpur to Northern Asia and Australia.

The A320 Family is the world’s best-selling and most modern single aisle aircraft Family. To date, more than 8,800 aircraft have been ordered and over 5,300 delivered to more than 380 customers and operators worldwide.

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Air Astana takes delivery of its first A321 directly ordered from Airbus


The Airline to further benefit from the A320 Family’s unique fuel efficiency and commonality

14 December 2012

Air Astana, Kazakhstan’s flag carrier, has taken delivery of its first A321 out of a total of six A320 Family aircraft ordered from Airbus in May 2008. The delivery was celebrated in Astana, the capital of Kazakhstan. The aircraft will join Air Astana’s fleet, which already includes 10 A320 Family aircraft, operated on the airline’s domestic and international network.

The airline’s A321, powered by IAE V2500 engines, features a two class cabin layout, seating 28 passengers in business class and 151 in economy.

Air Astana started commercial service with its first Airbus aircraft, an A320, in 2006, and is currently operating one A319, seven A320s and two A321s.

“The arrival of the first owned Airbus A321s at Air Astana is not only a major event for the airline, but also for the government of Kazakhstan. Having launched the airline with minimal capital in 2002, we are pleased to have built up sufficient financial strength to the point where we are now taking delivery of a new fleet of substantial value. Air Astana has entered an important new phase of its development,” said Peter Foster, President of Air Astana.

“We congratulate Air Astana on their first delivery of directly ordered Airbus aircraft. We are confident that the market leading A320 Family will strongly contribute to Air Astana’s growth”, says John Leahy Airbus Chief Operating Officer, Customers.

To date, more than 8,800 Airbus A320 Family aircraft have been sold and more than 5,300 delivered to 380 customers and operators worldwide, making it the world’s best-selling commercial jetliner ever. With proven reliability and extended servicing periods, the A320 Family has the lowest operating costs of any single-aisle aircraft. The A320neo, with almost 1,580 firm orders from more than 30 customers since its launch two years ago, is the fastest selling commercial aircraft ever and is on track to enter service from 2015.


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Boeing Appoints Pratyush Kumar to Lead Boeing Business in India


NEW DELHI, Dec. 13, 2012 – Boeing (NYSE: BA) today named Pratyush “Prat” Kumar as president of Boeing India, effective Dec. 14. He joins Boeing with significant business leadership experience and insight into the Indian market, having served in senior executive positions at GE Transportation since 2003. Kumar succeeds Dinesh Keskar, who earlier this year returned to Boeing Commercial Airplanes in a senior Sales leadership role.

As the company’s senior in-country leader, Kumar is responsible for leading the development and implementation of the Boeing India strategy. He will coordinate business activities; align priorities; expand the Boeing presence; and develop, maintain and enhance local relationships and in-country partnerships with India’s business and government stakeholders.

“Prat has a distinguished business career and brings considerable experience and success in the Indian market to Boeing,” said Shep Hill, president of Boeing International and senior vice president of Business Development and Strategy. “Prat will focus on growing our business and will build on Dinesh Keskar’s outstanding accomplishments as president of Boeing India.”

Kumar was Delhi-based president and CEO, GE Transportation for South Asia. Previously, he led GE Infrastructure businesses in India, which included Aviation, Transportation, Energy, Oil & Gas, and Water business lines. Before joining GE in 2003, Kumar founded a biotech start-up in Boston. He began his career as a McKinsey & Company management consultant in its Atlanta and Delhi offices.

He is co-chair of the Federation of Indian Chambers of Commerce and Industry’s Infrastructure Committee. He is also chair of American Chamber of Commerce India’s Infrastructure and Energy committee and a member of The Energy & Resources Institute advisory board.

Kumar earned a Massachusetts Institute of Technology (Cambridge) doctorate in materials manufacturing in 1994 and holds an Indian Institute of Technology (New Delhi) Bachelor of Technology degree in mechanical engineering.

The close relationship between Boeing and India dates back 70 years to when Tata Airlines first flew DC-3 passenger aircraft. India entered the jet age on the wings of Boeing commercial jetliners, and Boeing jets continue to be the mainstay of the country’s domestic and intercontinental commercial fleets.

New opportunities for partnership have developed in the areas of defense, industry and technology. The government of India has selected the P-8I to fulfill its long-range maritime reconnaissance and antisubmarine requirements. It is also acquiring 10 Boeing C-17 Globemaster III strategic transport aircraft. In March 2009, Boeing opened the Boeing Research & Technology center in Bangalore to advance aerospace innovation.

In addition, Boeing is focused on creating sustainable value in the Indian aerospace sector. The company has developed important relationships with suppliers in India and is actively pursuing technical and business partnerships with Indian companies and institutions. Boeing is uniquely positioned for growth in the burgeoning aircraft services and support market.

Boeing is the world’s largest aerospace company and leading manufacturer of commercial jetliners and defense, space and security systems. The company employs more than 170,000 people across the United States and in 70 countries.

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This Christmas, discover the exclusive selection of gift ideas at the Air France online store


Thursday 13 December 2012

This Christmas, Airfranceshopping.com is offering a selection of articles from over 400 products available, all aimed to celebrate travel.

This Christmas, discover the exclusive selection of gift ideas at the Air France online store In December, discover exclusive new Bilum travel kits made ​​from recycled Air France lifejackets. These limited-edition kits are an original and sustainable accessory to any trip you take with Air France, all year round.

To take advantage of the Christmas holidays, you can also discover the new range of ROMEO suitcases available in three sizes and four colours: blue, aluminum grey, black and red. This range is in addition to the many others developed by Air France to always ensure you travel in style. Air France is also developing partnerships with major brands such as Le Tanneur, Jack Russell and Eden Park.

Earn miles with Air France Shopping
The website has so much to offer, everyone can find the perfect gift: baggage, fashion and lifestyle accessories, not to mention model aircraft, toys and stuffed animals to delight children at Christmas. The e-store enables customers to earn Flying Blue Miles when they purchase articles online, or to make their purchases directly using their available Miles.

Discover the entire range of articles available at the Air France online store: www.airfranceshopping.com

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QATAR AIRWAYS LAUNCHES BOEING 787 DREAMLINER FLIGHTS TO LONDON HEATHROW


Airline Becomes First Carrier To Offer Regular Scheduled Services To And From The UK On The Most Talked About Aircraft in The World

Next Generation Aircraft Operates Daily From London Heathrow to Airline’s Doha Hub…

Bringing Glamour to Holiday Travel – New 787 Reduces Jet Lag, Offers More Space For
Passengers and Luggage

13 December 2012

New Delhi – Qatar Airways today launched its inaugural long-haul Boeing 787 Dreamliner service on the Doha – London Heathrow route, becoming the first airline to operate regular scheduled flights with the state-of-the art aircraft to and from the UK.

Despite wintry weather, Qatar Airways’ 787 – flight QR075 – was warmly welcomed at London Heathrow this morning by a special arrival ceremony.

An official delegation from Doha was on the inaugural flight from the airline’s Doha hub, including Qatar Airways Chief Executive Officer Akbar Al Baker and VIP guest His Excellency Michael O’Neill, British Ambassador to the State of Qatar.

The Dreamliner’s debut from the Doha-based carrier marks the start of an exciting new era for travellers to and from the UK, who will have the opportunity to travel the world onboard one of the most spacious and comfortable aircraft in the skies today.

Combining breakthrough technology with a human approach to design, it is the first time Boeing has developed a plane from the point of view of passenger experience. Qatar Airways worked closely with Boeing on the design interiors being a key customer of the manufacturer’s newest aircraft. The 787 is designed as the next generation aircraft for air travel well into the 21st century offering unrivalled passenger comfort and space.

On arrival at Heathrow, Qatar Airways Chief Executive Officer Akbar Al Baker said: “Today we inaugurate our 787 on the London Heathrow route, putting Qatar Airways firmly on the global aviation map as a carrier with a determination to continue its expansion drive and improve an already superior in-flight product.

"The Doha – Heathrow route is one of our most popular international routes and it was only fitting that we deploy our new 787 to and from London.”

Initially, one of the airline's five daily flights is being operated with the Boeing 787 – Flight QR 075 departing Doha at 0625 hrs, arriving at London Heathrow at 1105 hrs, with the return flight QR 076 departing London Heathrow at 1505 hrs, arriving in Doha at 0045 hrs the following day.


Qatar Airways took delivery of the first of 60 Dreamliners last month with the third 787 joining the airline’s fleet just days ago. Since taking delivery of its first 787 four weeks ago, Qatar Airways has been flying the aircraft between Doha and both Dubai and Kuwait allowing cabin crew to familiarise themselves with the airplane.

Added Al Baker: “We will be introducing the Dreamliner on our daily Doha – Perth route from February 1 next year, the first ever 787 commercial service to Australia giving travellers between the UK and Australia a unique 787 experience of unrivalled comfort and style all the way with the world’s Five Star and Best Airline.”
Soon after arrival, Al Baker was back on board the aircraft giving assembled guests at Heathrow a personal tour of the 787 and its unique features.

Qatar Airways has 254 custom-made seats across its 787 Business and Economy Class cabins with specially designed interiors. Business Class is configured 1–2–1 with 22 seats, while Economy has 232 seats in a 3–3–3 layout.

The airline’s 787s are the world’s first fully connected Dreamliners with wireless facilities for passengers to remain in touch with their friends and loved ones on the ground through the internet and SMS mobile texting across both the Business and Economy cabins.

A striking feature of every seat throughout Qatar Airways’ 787 is the award-winning touch screen Android system, where all passengers are able to navigate through personal handsets a truly interactive service offering more than 1,000 movie, TV programmes, music and gaming entertainment options in a sophisticated and user friendly way, just like the latest smart phones.

The touch-screen control unit has a unique dual screen interface allowing passengers to play games on their handheld device while enjoying a movie on their personal screen. Passengers can stay connected through WIFI and GSM telephony, sending both text and MMS messages, with each seat equipped with USB, MP3 and other charger ports, including laptop power outlets.

Employing state-of-the-art technologies that actually invigorate and promote health and comfort onboard, the Boeing 787 Dreamliner offers a new kind of flying experience ensuring passengers arrive at their destinations more refreshed, with the new technology reducing jet lag and travel sickness.

Unique features to the 787 Dreamliner include larger windows, reduced cabin noise and cleaner cabin air, as well as smoother ride technology resulting in an eight-fold reduction in the number of passengers experiencing motion sickness. This system senses turbulence and commands wing control surfaces to counter it, smoothing out the ride.


Other features include lower cabin pressure at higher altitude ensuring less fatigue, an air purification system ensuring cleaner and healthier air, as well as mood lighting throughout the aircraft.

Made up of composite materials, the 787 Dreamliner is lighter and more fuel efficient than any comparable aircraft of its size and range. Qatar Airways currently operates a modern fleet of 115 aircraft to 122 destinations across Europe, Middle East, Africa, Asia Pacific, North America and South America. This year alone, the airline introduced 12 new routes, with 2013 promising to be another 12 months of aggressive expansion with six new destinations already announced and many more to start.

The Qatar Airways Boeing 787 Dreamliner at a glance

Innovative inflight entertainment
An award-winning iTouch innovative touch screen control unit debuts on Qatar Airways’ Boeing 787 Dreamliner. The dual-screen interface allows passengers in all classes to multi-task, for example playing a game or emailing on the handheld device while watching a movie on their personal screen.

Onboard Wi-Fi in all classes means business travellers can stay connected to clients and colleagues, and holidaymakers can stay connected to friends and family through social networks, allowing them to share memories from their travels before they get home. Passengers also have access to 1,000 movie, programming and audio entertainment options, an iPort, USB port, and a remote data outlet.

Lower cabin altitude
The Dreamliner’s cabin is pressurised to a new maximum level of 6,000 feet – 2,000 feet lower than most other aircraft. Altitude chamber tests show that because the body absorbs eight per cent more oxygen into the blood at this altitude, passengers experience fewer headaches and less dizziness and fatigue.

Smoother flying
The Dreamliner’s dramatically improved cabin pressure, air quality, and smoother handling will result in a more comfortable journey for passengers in Business and Economy.

Quieter cabin
Many of the usual interior sounds are minimised with quieter air conditioning, nterior materials reduce squeaks and interior design reduces vibrations.

Cleaner air
Fresh air is introduced into the cabin via air scoops on the side of the fuselage. Newly introduced on the 787, an additional gaseous filtration system also removes odours, irritants and gaseous contaminants, some of the primary contributors to throat, eye and nose irritation for passengers. More moisture in the air will help skin, eyes, lips, and noses to feel more comfortable.

Unobstructed views
The Boeing 787 Dreamliner features large dimmable windows, more than 30 per cent bigger than other similarly sized airplanes and larger than anything offered by other commercial jetliners giving all passengers a good view outside. The windows are not built with conventional shades but instead, passengers can regulate the intensity of light coming through their windows with the touch of a button allowing passengers to change the tint of the window from fully transparent to completely dimmed.

Dynamic cabin lighting
The spacious look and feel of the cabin is enhanced by dynamic mood lighting: more than 20 specially tailored scenes to help your body clock adjust to crossing different time zones using the latest LED technology.

Spacious cabins
The architecture of the Dreamliner is designed with room for passengers to actually move about the cabin with a spacious feeling interior. The plane is designed with welcoming entryways, larger windows, vaulted ceilings and sidewalls are more vertical for better shoulder and headroom.

Environmentally cleaner and quieter
The Boeing 787 Dreamliner is the environmental leader among airplanes. It consumes 20% less fuel and produces 20% lower CO 2 emissions. The Dreamliner is much quieter for the communities it flies over, and boasts a more efficient use of the planet’s resources than its predecessors during manufacturing.

Larger overhead bins
The Dreamliner has big overhead luggage bins – 30% larger than the industry standard. They close up and away, leaving more overhead space and minimising the need to store bags beneath the seat.

Get there faster
The Boeing 787 Dreamliner is the first commercial aircraft to be built primarily of composite materials, reducing weight and operating costs.


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JET AIRWAYS INTRODUCES CASH ON DELIVERY

BOOK TICKETS ONLINE AND PAY CASH LATER

Mumbai, December 13, 2012: Jet Airways, India’s premier international airline, has announced the introduction of “Cash on Delivery”, an additional form of payment, exclusively on the airline's website at www.jetairways.com. This convenient payment option allows guests to book their tickets online and pay by cash later.

The Cash on Delivery, a worry free initiative, is a result of the airline’s efforts to widen its distribution network and reach out to guests who seek alternate payment methods. Jet Airways has signed up with 'GharPay', which specializes in Cash on Delivery payments. Guests selecting the Cash on Delivery option while booking their tickets online will be contacted by GharPay to confirm the time and location for collecting the payment. Once the payment is collected, the e ticket will be automatically sent to the guest’s email address. More importantly, guests are not required to make any advance payment online at the time of booking the ticket and there is no additional fee for this service.

Cash on delivery is currently offered within India in 16 cities, covering over 900 postal codes and will be available in additional cities, which include places like Faridabad, Ghaziabad, Gurgaon, Noida, Navi Mumbai, Thane, Visakhapatnam.

Sudheer Raghavan, Chief Commercial Officer, Jet Airways, said, “Jet Airways is committed to significantly enhancing the payment options available for all its guests, with an eye on convenience. We are happy to introduce a worry free payment initiative for the discerning guest. We are confident that the convenience and simplicity of this service will increase our distribution reach and will be appreciated by our guests who chose cash on delivery as a preferred mode of payment.”

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Cathay Pacific Airways optimizes flight operations with IT from Lufthansa Systems


December 13, 2012

NetLine/Ops ++ supports efficient operations control for airlines

Lufthansa Systems announced that Cathay Pacific Airways, based in Hong Kong, has opted for its NetLine/Ops ++ operations control system. The companies recently signed a five-year-contract to this effect. Using this innovative IT solution from Lufthansa Systems, the airline will be able to optimally control its flight operations and react quickly to unforeseen flight irregularities, thus minimizing its additional costs.

“NetLine/Ops ++ is a great next step for us,” said Alex Chan, Manager Integrated Operations Centre (IOC) at Cathay Pacific. “We are continuously improving our ability to manage our network and this system will further enhance our capabilities. We’re particularly impressed with its ability to help us be more nimble with schedule changes.”

The completely redesigned operations control solution NetLine/Ops ++ will make Cathay Pacific’s flight operations even more efficient, and in the event of disruptions like delays or canceled flights it can help lower the costs arising from positioning flights or passenger layovers. The IT solution’s new functionalities simplify information management, enable a higher level of automation and improve support in key decision-making processes.

“We are pleased to be able to expand our cooperation with Cathay Pacific,” said Olivier Krüger, SVP Regional Management Asia Pacific at Lufthansa Systems. “Having one of the world’s most highly respected airlines as a NetLine/Ops ++ customer is proof of the high quality of our product."

Cathay Pacific is based in Hong Kong, China and operates internationally. The airline offers passenger and cargo flights to 140 destinations worldwide with a fleet of 134 wide-body aircraft. Cathay Pacific, together with its subsidiaries Dragonair and Air Hong Kong and its other associates, employs more than 20,000 people. The airline is a founding member of the oneworld alliance, whose joint network covers over 750 destinations worldwide.

About Lufthansa Systems
Lufthansa Systems provides consulting and IT services for selected industries and has a leading position in the global aviation industry. The wholly-owned subsidiary of the Lufthansa Group offers its customers the entire range of IT-services, including consulting, development and implementation of industry solutions as well as operations. At its headquarters in Kelsterbach near Frankfurt, Germany, the company operates one of the most modern data centers in Europe. Lufthansa Systems has offices in Germany and 16 other countries and employs about 3,000 people. In business year 2011, Lufthansa Systems recorded revenues of EUR 599 million.


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Hot to Globe Trot for 2013…


From the far-flung to the unsung, British Airways has compiled its top 13 destinations to visit in 2013. If 2012 was about East London, then 2013 is about the Far East – as holidaymakers seek the natural unspoilt beauty, charm and good-value that Asia has to offer.

Richard Tams, British Airways head of UK & I sales, said: “Undoubtedly consumers will continue to be driven by value-for-money next year, with routes such as Dubai, Cape Town and Bangkok already proving popular. We’re also experiencing a real growth in Asia right now and responding to demand with a number of new routes, including Seoul and Sri Lanka.”


In a recent poll on the airline’s Facebook page, over 2,660 users nominated the overseas destinations they most want to visit next year. New York topped the list (22 per cent), followed by Australia (eight per cent), Hong Kong (seven per cent), Rio de Janeiro (five per cent) and Dubai (three per cent).

Compiled by a panel of experts and using company data, British Airways’ top 13 for 2013 features new destinations and popular favourites, as follows:

1. Sri Lanka
The ‘Pearl of the Indian Ocean’, the tropical island of Sri Lanka has seen a recent boost to tourism, becoming the must-visit destination for intrepid travellers.
Ash van Wensveen, British Airways’ destination manager, said: “There’s a real buzz about Sri Lanka right now. For a small island it offers a lot, from endless beaches, to elephant treks and several Unesco world heritage sites to visit – it’s hard to think what Sri Lanka doesn’t offer.”
British Airways launches flights to Colombo in April, starting from £721 return.

2. Rio de Janeiro, Brazil
If the afterglow of the London 2012 Games has left you longing for more, then its next host Rio is the place to visit, as it gears up to 2016 Games, the 2014 Brazil World Cup, and FIFA Confederations Cup next year. With its famous sun-kissed beaches to enjoy by day and fun parties at night, there’s a lot to love about one of the most vibrant cities in the world.
Flights to Rio start from £797 return.

3. Seoul, Korea
Gangnam style may have awakened our senses to Korea, but there’s a lot more to Seoul than ‘K-pop music! Mike Rock, British Airways commercial manager Seoul, said: “There’s a lot happening in Korea right now, business is thriving and it’s a tourist destination on the up. The mega metropolis is home to some 10 million people, and is attracting a fresh new audience.”
Flights to Seoul start from £691 return.

4. Croatia
The jewel of the Adriatic ocean, Dubrovnik continues to appeal to holidaymakers from far and wide, including many high profile celebrities. 2013 will be a big year for Croatia, as the country joins the EU in July.
One-way flights to Dubrovnik start at £59.

5. Vietnam
Vietnam has become one of the most talked about destinations in recent years. Its capital Ho Chi Minh City is rapidly attracting a crowd of adventurous travellers, looking to soak up the local culture of which there’s plenty. Not mainstream enough to be a tourist trap, many compare it to Thailand twenty years ago – making now the perfect time to visit. British Airways operates flights to Hong Kong, with connecting flights to Ho Chi Minh City using OneWorld partner Cathy Pacific, for £832 return.

6. Punta Cana, Dominican Republic
Nestled in the Spanish Caribbean Punta Cana is earning itself a reputation as a great value destination for family holidays.
Ash van Wensveen, British Airways’ destination manager, said: “People are really waking up to Punta Cana. There’s a real buzz from holidaymakers creating word of mouth on its affordability, fabulous hotels and beaches that dip into the Caribbean Sea.”
Flights to Punta Cana start from £676 return.

7. Derry, Northern Ireland
Voted as the City of Culture for 2013, there’s never been a better time to visit Derry. Just over an hour from Belfast, it’s a great destination for a city break, especially to enjoy the many celebrations and cultural events taking place there next year.”
Flights to Belfast start at £81 one-way.

8.Las Vegas, USA
The classics never go out of fashion, and with more services to Sin City than ever before, tourists hoping to party like Prince Harry need look no further! Top-end hotels, theatrical shows, exquisite restaurants and all-night entertainment continue to draw the crowds.
Flights to Las Vegas start at £575 return.

9. Tbilisi, Georgia
Georgia’s capital has enjoyed a makeover, with a number of new restaurants and hotels opening.
British Airways’ head of UK and I sales, Richard Tams, said: “With its scenic walks, charming town, vineyards and local wine and cognac to enjoy, Tbilisi is perfect for a cultural weekend away and is already attracting couples and grown up stag nights!”
Flights to Tbilisi, from £399 return.

10. San Diego, USA
In the year that San Diego’s Ron Burgundy returns to the big screen with Anchorman 2, the city reminds us why it’s still classy. Great for golf, excellent for eating, brilliant for barhopping, California’s best kept secret is a great place to visit any time of year.
Flights to San Diego, from £677 return.

11. Cape Town, South Africa
Cape Town offers everything you could want from a holiday. Good food, great wine, day trips, stunning views, vineyards, beaches, sunsets and much more!
Ian Petrie, British Airways’ commercial manager South Africa, said: “Once you visit Cape Town, you’ll want to come again and again. One day you could be watching the Springboks, the next visiting vineyards. Its attractions pack a cultural punch, and its always great value for money, making it one of our most popular destinations.”
Flights to Cape Town start from £917 return.

12. Alicante
The Spanish do fiesta like no one else, and Alicante is a great city for those who prefer to fiesta than siesta! The Old Town offers dozens of bars and restaurants for after dark, and is also host to a growing number of festivals. During the day the local markets are buzzing, and sandy beaches welcoming.
Flights to Alicante start at £80 one way.

13. Dubai
Ever-popular Dubai continues to attract travellers with its Middle Eastern charm. It recently launched a ‘Hello Kitty’ spa, and boasts its own indoor ski slope.
Ash van Wensveen, British Airways destination manager, said: “Dubai has become more affordable over the past few years, yet still offers super high-end hotels and unrivalled luxury.”
Flights to Dubai from £472 return.

All fares stated are for January 2013 and available on ba.com.

To help budget for 2013 breaks, British Airways has just launched a new deposit scheme; allowing customers to book now and pay later. From as little as £150, deposits can be paid when customers book a ‘flight and hotel’ or ‘flight and car’ option, with the remaining balance due ten weeks before departure. For more information, please visit ba.com/deposits


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IndiGo’s new endeavor to make travel more hassle free

Carrier to offer a pre cab booking services to its customers

National, December 10, 2012: IndiGo, India’s coolest and fastest growing airline has tied up with Carzonrent (I)Ltd to offer seamless cab booking services to its customers. 6E customers will now have the option to book cab pick-up/drop, intercity car rental service as well as long duration local usage service at a compelling price, the customers will also have an option to choose from a wide array of vehicles for their travel. The online search engine will allow them to make prior reservation and make payments with Credit Cards or Cash on Service. IndiGo customers can avail these services while booking for 6E flights through www.goindigo.in.

Speaking about this partnership, Mr Aditya Ghosh, President, IndiGo, said “At IndiGo, we strive to offer our customers hassle-free travel experience and a comfortable journey. This partnership is yet another step towards living our promise and providing true value to our customers. This partnership reflects what IndiGo stands for – low fares, yet an unmatched customer experience, and I am sure that the same would be made available through seamless transfers to and fro the airport to all our passengers.”

Mr. Rajiv Vij, MD & CEO of Carzonrent (I) Ltd said, “IndiGo is the most trusted carrier today and we are very happy to be associated with them. With this collaboration, IndiGo fliers will be able to use our services in all the cities IndiGo operates in. This is an important part of our strategy to capitalize on the rapid growth of traveling industry. We also believe that synergies between travel products will not only improve the experience for the customers but also go a long way in benefitting the industry potential at large”.

As India’s coolest and fastest growing airline, IndiGo has constantly re-defined the standards in the airline business. These additional cab services is yet another effort to enhance the entire customer experience courteous, hassle free and cool. Associated with crisp advertising campaigns, widest range of food items on board, fun packaging, irresistible in-flight merchandise, and innovations such as Q busters and boarding ramps, IndiGo has constantly focused on new initiatives to make travel a memorable and hassle free experience for its travelers.

As the youngest, yet fastest growing airline of India, IndiGo has flown over 50 million passengers since its inception in 2005.


About Carzonrent India (P) Ltd.

A pioneer in shaping the personal ground transportation industry in India, Carzonrent (India) Pvt. Ltd. (CIPL) is India’s # 1 personal ground transportation service provider today offering a complete bouquet of end-to-end long and short term car rental solutions through its fleet of 6500 cars across the country. The company was launched in the year 2000 with a short-term objective of offering a safe and reliable medium of travel to customers and a long-term vision of giving form and structure to the unorganized Indian personal ground transportation industry and helping the industry get its due recognition. “COR” the branding of Carzonrent signifies the fact that Personal Ground Transportation is the “Core” business of Carzonrent. The company has presence in 31 cities & 7 Major Airports & is planning to start its operations to 50 more cities & airport locations. The company services more than 18000 travellers every day in different parts of the country having moved more than 6 million travellers last year.

About IndiGo

IndiGo is India's largest airline with a market share of 27.8% as of October, 2012 as well as the country's largest low fare carrier. IndiGo is the fastest growing low cost carrier in the world (source: CAPA). IndiGo has a simple philosophy: offer fares that are always low, flights that are on time, and a courteous, hassle-free travel experience. IndiGo’s On Time Performance is one of the best in India. IndiGo’s Technical Dispatch Reliability is 99.91% making it the airline with the least number of cancellations in India. With its fleet of 61 new Airbus A320 aircraft, the airline offers 373 daily flights connecting 33 destinations - Agartala, Ahmedabad, Bangkok, Bengaluru, Bhubaneswar, Coimbatore, Chennai, Delhi, Dibrugarh, Dubai, Goa, Guwahati, Hyderabad, Imphal, Indore, Jaipur, Jammu, Kathmandu, Kochi, Kolkata, Lucknow, Mumbai, Muscat, Nagpur, Patna, Pune, Raipur, Singapore, Srinagar, Trivandrum, Vadodara, Vishakhapatnam, and Chandigarh. IndiGo has recently announced its international flights from Delhi to Bangkok, Dubai, Kathmandu and Singapore as well as from Mumbai to Bangkok, Dubai, Muscat and Singapore. The first international flight commenced on September 01, 2011.

IndiGo is led by its President, Aditya Ghosh and is promoted by InterGlobe Enterprises and Mr. Rakesh Gangwal, an aviation industry veteran and entrepreneur. InterGlobe Enterprises is a leader in aviation and travel related services‚ growing the market through innovation and service leadership. We build businesses and represent global brands that deliver quality and value. Established in 1989‚ with headquarters in Gurgaon‚ today InterGlobe has a network of 126 offices across 59 cities globally. InterGlobe employs more than 11,000 professionals across its businesses which include IndiGo (InterGlobe Aviation)‚ InterGlobe Technologies‚ InterGlobe Air Transport‚ InterGlobe Technology Quotient‚ InterGlobe Hotels, InterGlobe Retail, and InterGlobe Established.


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Improved Airline Performance in Challenging Environment

-Industry Net Margin Expected to Reach 1.3% in 2013-

13 December 2012 (Geneva) -The International Air Transport Association (IATA) announced an upward revision to its industry financial outlook. For 2012 airlines are expected to return a profit of $6.7 billion (up from the $4.1 billion forecast in October). This is expected to improve slightly to $8.4 billion in 2013 (marginally better than the $7.5 billion forecast in October). Industry net post-tax margin, however, will remain weak at 1.0% in 2012 and 1.3% in 2013.

2012
Improved prospects for 2012 are being driven by strong airline performance in the second and third quarters. Despite high fuel prices and a slowing world economy, airline profits and cash flows held up at levels similar to 2006 when oil prices were about $45/barrel lower and world economic growth was 4.0%.
Historically, when GDP growth has fallen below 2% the airline industry has returned a collective loss. “With GDP growth close to the ‘stall speed’ of 2.0% and oil at $109.5/barrel we expected much weaker performance. But airlines have adjusted to this difficult environment through improving efficiency and restructuring. That is protecting cash flows against weak economic growth and high fuel prices,” said Tony Tyler, IATA’s Director General and CEO.
The improved performance is most evident in large airlines for which Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) averaged between 10% and 15% of revenue in the third quarter of the year. “It’s a diverging picture. Economies of scale are helping larger airlines to cope much better with the difficult environment than small and medium-sized carriers whichcontinue to struggle,” said Tyler.
Overall performance has been positively impacted by strong passenger traffic growth (5.3%) and a 3.0% improvement in yields. Despite the slowing world economy business travel was supported by more robust international trade in goods and service. This contributed to a positive picture for both passenger volumes and yields. In sharp contrast, cargo markets have contracted by 2.0% and cargo yields are down 2.0% on 2011 levels. Although world trade is still expanding, the pattern of economic growth – concentrated in the emerging markets – has favored ocean over air freight.
The slight relief in oil prices (at $109.5/barrel, down from $110/barrel in the October forecast) did not translate into relief on the fuel price. Moving in the opposite direction, because of a widening of refinery margins, jet fuel costs are expected to average $129.5/barrel which is a $1.8/barrel increase on the previous forecast.
IATA emphasizes that despite the improved prospects, overall the industry remains weak:
· The $6.7 billion expected net profit is a fall from the $8.8 billion that the industry made in 2011.

· The 1.0% net profit margin is well below the7-8% needed to recover the industry’s cost of capital.

Improved industry performance
Changes to industry structure are contributing to the improved airline financial performance seen since the second quarter. In the difficult business environment of the past year airlines have been seeking to lower costs and improve yields through restructuring. Recent alliances and joint ventures have enabled economies of scale as well as offering more choice for passengers. A sharp fall in the number of new entrants, due to the lack of funding for start-ups, and a number of airline bankruptcies have also contributed to an improved industry structure which has allowed airlines to share efficiency gains between improved service for passengers and better returns for investors.

Regional Performance
North American carriers are expected to end 2012 with a collective net profit of $2.4 billion. That is stronger than the $1.7 billion profit of 2011, largely on the back of much improved asset utilization as a result of recent industry consolidation. The Earnings Before Interest and Taxes (EBIT) margin of 3.4% is the strongest among regions.
European carriers are expected to breakeven. That is $400 million worse than 2011 performance, but $1.2 billion better than the October forecast largely attributable to the results of efficiency programs and stronger traffic growth which drove improved results in the second and third quarter. While this is the largest contributor to the upgraded outlook for 2012, it is important to note that the continent’s carriers remain in the weakest financial position. EBIT margins are expected to be 0.6% and with expected breakeven performance Europe stands with Africa as the only two regions not delivering profit.
Asia-Pacific carriers are expected to post a net profit of $3.0 billion (+$700 million on the October forecast). The region will deliver the largest aggregate profit among the regions while the EBIT margin of 2.9% ranks second behind North America. It is important to note that the region’s carriers will see the largest absolute fall in profits compared to 2011 when Asia-Pacific airlines returned a profit of $5.4 billion. The region is under pressure from weak cargo markets and slower economic growth in China.
Middle East airlines are expected to post a profit of $800 million (+ $100 million on the October outlook). That is slightly below the $1 billion that Middle East carriers made in 2011. While the region is maintaining strong growth with long-haul connection traffic, its performance has been weakened by the Arab spring and lingering instability.
The outlook for Latin American airlines is unchanged at $400 million. Along with North America, it is the only region to see an improvement on 2011 when the region’s carriers posted a profit of $300 million. This is partly driven by the region’s more robust trade and economies and partly by the consolidation that has started to reverse the losses seen in Brazil.
African airlines are expected to end the year at breakeven—unchanged from the previous forecast and from 2011. While the continent’s economy is expanding rapidly, its carriers are suffering from strong competition on long-haul routes, high cost structures and a regulatory regime that inhibits the development of intra-Africa links.

2013
“Prospects for 2013 will be largely unchanged from 2012. Net profits are expected to rise to $8.4 billion leaving the industry with a 1.3% net profit margin. It is good that we are moving in the right direction, but the year ahead is shaping up to be another tough one for the industry,” said Tyler.

Forecast Drivers:
GDP: The largest driver of industry prospects is global economic growth. This is expected to strengthen only slightly to 2.3% in 2013.
Passenger: Passenger demand in 2013 is expected to grow by 4.5% (below the 5.3% forecast for 2012). Yields are expected to deteriorate by 0.2%, largely in response to lower fuel costs.
Cargo: Cargo demand is expected to increase by 1.4% (not enough to make up for the 2.0% decline in 2012). The mismatch between growth rates for passenger and cargo demand tends to lead to cargo capacity in excess of demand and yields falling by 1.5%.
Fuel: Oil prices are expected to moderate slightly to $104/barrel (down $5.5/barrel from 2012). The premium paid for jet fuel refining, however, will result in a smaller drop in jet fuel prices to $124.3/barrel (down $5.2 from 2012).

Regional Performance
North American airlines are expected to post a combined net profit of $3.4 billion—the largest absolute profit among the regions, and a $1.0 billion improvement on 2012. The EBIT margin will grow to 3.8% (up from 3.4% in2012). The US economy is forecast to be the strongest growing among the developed economies and further benefits are expected from earlier consolidation.
European airlines are expected to have a second consecutive year at breakeven. The EBIT margin will also remain unchanged from 2012 at 0.6%. The continuing uncertainty in the European economy, high taxes and inefficient infrastructure continue to plague the industry in Europe.
Asia-Pacific airlines are expected to see net profits grow by $200 million to $3.2 billion in 2013. While this is the second highest absolute profit among the regions, EBIT margins for Asia Pacific airlines are expects to grow significantly to 4.7% (the strongest among the regions). Economies in this region remain the most dynamic and the deterioration in cargo markets is expected to come to an end in 2013.
Middle East airlines are expected to see profits rise by $300 million to $1.1 billion and EBIT margins improve to 3.0%. Airlines in this region are forecast to continue to expand their share of international markets.
Latin American airlines will see net profits rise by $300 million to $700 million for an EBIT margin of 3.1%. Strong trade flows and robust growth in this region support revenues and improvements continue from consolidation in Brazil.
African airlines are expected to post a third consecutive year of breakeven performance with an EBIT margin of 0.1%. Economic growth and trade flows are robust but airlines performance remains uneven.

Risks
Macro-economic, geopolitical and policy risks to the outlook remain high and largely negative.
The Euro-zone crisis is far from solved. While liquidity is returning to the market there is no economic growth. The US economy is growing, but the threat of the fiscal cliff has not been eliminated. China is expected to pursue accelerated growth, but there is a threat that the banking and real-estate bubbles could burst.
Geopolitical difficulties between China and Japan and with Iran are persisting.
Meanwhile, policy risks also persist. “We need to make sure that cash strapped governments understand aviation is a catalyst for economic growth and ensure that light touch regulation does not become a license for infrastructure providers to let costs get out of control. We will also maintain pressure on governments for important infrastructure improvements—including the Single European Sky so that hard-won cost efficiencies are not lost to battles with congestion,” said Tyler.
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AirAsia X to increase services from Kuala Lumpur to Melbourne, Taipei and Chengdu

AirAsiaX the long distance arm of Malaysian low cost carrier AirAsia will increase its frequencies from its Kuala Lumpur hub to Melbourne, Australia, Taipei, Taiwan, and Chengdu, China from next year.

Melbourne services will see frequencies increase from the current daily flights to nine flights weekly by May 1, 2013 and to twelve flights weekly by July 1.

Taipei will go from daily flights to ten weekly flights from May 1, and double daily from July 1.

Chengdu will go from the current five flights weekly to six flights weekly by May 1, and daily flights by July 1.
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AirAsia shifts Bangkok operations from Suvarnabhumi to Don Mueang airports

In a move that will lose it international passengers arriving in to Thailand, AirAsia, has shifted its operations at Bangkok from Suvarnabhumi International Airport to the old Don Mueang International Airport today.

AirAsia’s Group Chief Executive Officer, Tony Fernandes commented
“I am extremely happy with our move to Don Mueang International Airport, which is probably Thailand’s biggest and first low cost airport. Operating out of low cost airports has always been something that we have been fighting long and hard for.” “Less congestion and shorter taxi time will result in less fuel consumption and less delays.”
Thai AirAsia Stewardess Flight Counter Attendant. Cute. Wave hello.
Photo: AirAsia
Mr. Tassapon Bijleveld, CEO of Thai AirAsia, revealed that on the night of 30 September, AirAsia began transferring its fleet of 22 Airbus A320s from Suvarnabhumi International Airport to Don Mueang International Airport over a period of eight hours; starting from 20:00 up to 04:00. All other equipment, including baggage carts and passenger steps were transferred within 24 hours.

AirAsia is hoping to benefit from a less congested terminal at the new airport, as well as its proximity to central Bangkok. While this will give the carrier an edge for Bangkok based passengers, it will lose a lucrative market of international passengers who arrive and depart at Suvarnabhumi airport and transit to and from the many cities within Thailand and other ASEAN destinations.

AirAsia flights with flight codes FD, AK and QZ will operate over 160 flights per day from Don Mueang, to over 77 destinations across Thailand, Asia and Australia. AirAsia is expecting to carry eight million passengers in 2012 to and from Bangkok.
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Video and photos: Airbus A320 Sharklets flying display at ILA Berlin 2012 show

Courtesy Airbus S.A.S. enjoy photos and a video of the first production A320 fitted with Sharklets wing-tip devices. This aircraft is due to be delivered to Malaysian low cost carrier AirAsia after certification.

Airbus Test Pilot Christophe Cail takes you along for the ride during a flight presentation with a Sharklet-equipped A320 jetliner, providing step-by-step commentary during this aircraft’s flying display at the 2012 ILA Berlin Air Show.
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Video: AirAsia to be first operator of Airbus A320 fitted with 'Sharklets' wing-tips

Malaysian low cost carrier AirAsia, the world’s largest customer for the Airbus A320, will become the first operator ‘Sharklets’ fitted A320s when they take delivery of the first A320 equipped with these fuel-saving wing-tip devices at the end of this year.

The carrier has ordered a total of 375 single aisle aircraft, comprising 200 A320neo and 175 A320ceo, of which 103 have been delivered to date.

The first Indian carrier to operate the 'Sharklet' A320 remains a toss-up between IndiGo and GoAir, though the latter is thought to have the edge.

See a video of the ceremony below.
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Photo: AirAsia unveils Airbus A320 in special Queen Park Rangers livery, names it Alan McDonald

Malaysian low cost carrier AirAsia, paid tribute to the Queens Park Rangers (QPR) Football Club, by unveiling an A320 9M-AFV painted in a special QPR livery. The airline also paid homage to the club's legendary former captain and assistant manager, the late Alan McDonald naming this aircraft after him.

The Airbus A320 is painted in the football club’s colours with a prominent tail that features QPR’s iconic hoops; the blue and white horizontal stripes just like the team’s home jersey. The interior of the aircraft carries fun facts on both QPR and Alan McDonald.

Mr McDonald spent 17 years at QPR beginning in 1979 as a youth player, and made over 500 appearances for the club after making his first-team debut in 1983.

AirAsia boss Tony Fernandes is the majority owner of the club.
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AirAsia Japan takes delivery of its first Airbus A320; to commence operations August 1

AirAsia Japan, a 67%-33% joint venture between Japan's ANA Group, which owns All Nippon Airways, and Malaysia's AirAsia has taken delivery of its first Airbus A320 aircraft in Toulouse, France.

The Japanese low cost carrier will start commercial services on August 1st from Tokyo's Narita International Airport to the Japanese cities of Sapporo and Fukuoka, and from August 3rd to Okinawa with an initial fleet of two A320 aircraft.

AirAsia Japan will go international when it starts flights to Korea in October. Seoul Incheon airport, and Pusan, with the fleet growing to four aircraft by the end of 2012.

AirAsia Japan’s A320s are in the standard LCC configuration of 180 seats in an all economy cabin. Like the A320 fleet of AirAsia, the AirAsia Japan A320s are also powered by CFM56 engines.

AirAsia Japan President Kazuyuki Iwakata was beaming
“We are extremely happy to take delivery of our brand new Airbus A320. Our aim is to provide opportunities for everyone to fly with low fares. With the A320’s cabin comfort and operational reliability, we want to offer better access, in particular for the Japanese travelling public, and make them feel easy to fly,”
AirAsia Japan, was established in August 2011, and shall operate under the AirAsia brand.
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Video: AirAsia's "awesome" 10th anniversary ad

Malaysian low cost carrier AirAsia has released an ad titled "Awesome AirAsia" to commemorate its 10th anniversary.



It sort of reminds me of Virgin Atlantic's 25th anniversary "Still Red Hot" ad.

A hat tip to Shashank Nigam at Simpliflying for the lead.
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AirAsia receives its 100th Airbus A320, paints it in a Dragon livery

SouthEast Asian low cost carrier AirAsia taken added the 100th Airbus A320 narrowbody aircraft to its fleet. The aircraft, registration 9M-AQH has been painted with a special dragon livery in celebration of the current Chinese Year of the Dragon, which is also that of AirAsia CEO Tony Fernandes, and coincidentally myself.


A team of 20 painters used 600 litres of paint and spent 12 days round the clock to paint the Airbus A320 in the special livery.

The aircraft, which will operate on the Kuala Lumpur-Macau route right after it is launched, will also serve Kuala Lumpur, Jakarta, Singapore, Hong Kong, cities in Indonesia, and destinations throughout China on its aircraft rotation.

The dragon livery is the most recent addition to several AirAsia aircraft with special liveries which include the Amazing AirAsia livery; the Truly Asean livery to celebrate 2009’s ASEAN Day; the Zoom Malaysia livery in support of Tourism Malaysia’s initiatives to promote the country; the ASEAN Basketball League livery; and the Oakland Raiders livery celebrating the Raiders NFL football team.

AirAsia and its affiliates Thai AirAsia and Indonesia AirAsia operate an Airbus A320 fleet with 58 A320 based in four hubs in Malaysia, 22 aircraft based in three hubs in Thailand, 18 aircraft based in five hubs throughout Indonesia and two more aircraft in Clark, Philippines. Currently, both the Malaysia and Thailand operations are fully Airbus, while the Indonesia operations will be 100% Airbus by March. Last year, the carrier placed a 200 aircraft order for the new A320neo (new engine option) edging out the 180 A320 order of India's low cost carrier IndiGo, as the largest.

All AirAsia affiliates are running a ‘Celebrate Our 100th Airbus’ promotion, with special fares.Visit the group's website for more details.
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AirAsia group struggles onwards in India

Vinay Bhaskara and Devesh Agarwal

When Malaysian budget carrier AirAsia X announced last week that it would be ending service to Mumbai, Delhi, London, and Paris earlier this month, industry analysts seized on the occurrence as a repudiation of the long haul, low-cost business model.


AirAsia X, an offshoot of Southeast Asian behemoth AirAsia, operated 377 seat Airbus A330-300s to India, with 12 premium economy seats, and 365 economy seats in a bone crunching nine-abreast configurations.

Additionally, the carrier's Bangkok based subsidiary, Thai AirAsia, announced today that it would be cutting flight levels on the Bangkok-Delhi sector from seven per week to four per week on February 14th, before cutting it entirely

The moves represent a further setback for Asia’s largest budget carrier (AirAsia Group) in India, which had cut its ambitious growth targets for the country in late 2010 by withdrawing service to numerous destinations.

AirAsia’s group presence in India now numbers just 49 weekly departures, or 98 flights per week; 84 to Kuala Lumpur, and 14 to Bangkok. This is way below their 74 weekly departures in January 2010 and, at that time, none of the group's carriers operated to the major metros.

As a rationale for their withdrawals, AirAsia X cited both restrictive Visa policies for visits to Malaysia and for Malaysian visitors to India, as well as the recent proposed 340% increase in airport charges at Delhi International Airport.

However, we feel that this is a bit disingenuous, and that the true issue with their India service is that AirAsia is still making the same mistakes that forced its earlier round of reductions, and that the AirAsia X service is not optimized for the Indian market.

AirAsia X has fallen into the same trap that parent AirAsia did


As has played out with Jetstar Asia, Tiger Airways, Nok Air, and others, India has typically been a very difficult market for Asian low cost carriers to crack. Low cost carriers (with the notable exception of Southwest Airlines in the United States) typically do not advertise their services heavily; especially ignoring traditional forms of advertising such as newspapers, magazines, and television.

While these forms of communication and information are slowly losing favor in the west, they are resurgent in India, with newspaper and magazine circulation reaching all time highs in 2011 and India becoming the world’s third largest television market.

AirAsia’s core audience is the middle and upper class leisure traveler taking one of his or her first trips abroad and this consumer is most effectively reached through the methods listed above. AirAsia does not have the necessary brand recognition amongst average Indians to pull in passengers because they have not given themselves enough time to do so.

AirAsia may have been able to counteract this lack of brand recognition had they engaged with travel agents locally. Over 85% of non-business international travel from India is still purchased through travel agents and carriers as diverse as global powers Lufthansa and Singapore Airlines, and low cost carrier flyDubai have contracted with Indian travel agents with great success.

Meanwhile, AirAsia has continued to rely on their singular Indian call center, failing to provide re-assurance and adequate aid to travelers concerned about the wide variety of additional paperwork and hassle that goes into international travel (hotels, visa, passports, tours, insurance, et. al). Perhaps if AirAsia were to sell these flights as parts of self-marketed packages (flight, hotel, tours, maybe car included), or better yet, bring on a couple of in house travel agents (for an extra fee of course), they’d more easily be able to tap into the growing market for Indian travel to Southeast Asia.

AirAsia has also failed to adequately judge the Indian market for travel to Malaysia, especially from Delhi and Mumbai. Add to this the fact that the Malaysian government shot itself and both Malaysia Airlines and AirAsia in the collective foot, by revoking the 'Visa-on-Arrival' scheme for Indian travelers in 2010, preventing Malaysia from participating in the boom of Indian tourists experienced in neighbouring Thailand and Singapore, and Hong Kong. Now the governments of both countries have been playing a 'tit-for-tat' and increasing visa restrictions, increasing formalities, and severely discouraging travel for the average citizen.

Ethnic and VFR (visiting friends and relatives) traffic is already difficult from the Malaysian side, and is South India dominated, both by a historic immigration of Tamil population, and recently the technology workers.

Thus the flights to Mumbai and Delhi had a higher dependence on corporate and government travel to make them work. For example, Kuala Lumpur is a rapidly growing financial hub (especially for customers from the Gulf) and Mumbai is India’s financial capital. AirAsia X’s A330-300s are not ideal to serve corporate travelers, with limited premium class seating and a bone crunching nine abreast seating in economy class. Add to this the aircraft's capacity of 377 seats will far too much low cost capacity for markets like Mumbai or Delhi which have the highest percentage of premium traffic in India thanks to corporate money and government money respectively.

AirAsia would be better served with a narrow body aircraft like their 180 seat A320s, on these routes. However, their 180 seat Airbus A320s do not have the required range to fly Kuala Lumpur-Delhi/Mumbai nonstop fully loaded (even the longer-range A319 occasionally struggles to perform. AirAsia will need some of the A320neos from their world record 200 aircraft order, to overcome this hurdle. Alternately, they can learn from IndiGo which does operate the longer Mumbai/Delhi - Singapore routes with A320s fitted with centre-line fuel tanks and some minor payload restrictions.


For Thai AirAsia, the issue was as much competition as anything. Including Thai AirAsia, the Bangkok-Delhi routes sees 7 different carriers with service. Even for a fast growing market like Bangkok, that much capacity puts significant pressure on yields and profits. Thus the rate hike by Delhi Airport management might have been the "last straw", the marginal cost addition that pushed the flight too far into the red for Thai AirAsia to continue operating it. The same cannot be said for partner AirAsia X however.

Ultimately, the confluence of Visa issues and the recent increase in airport fees were not the deciding factor in AirAsia X’s failure, though they did serve to increase costs and depress revenues. They simply provided a convenient excuse to cut unprofitable flights, much as the recently enacted European Emissions Trading Scheme (ETS) did for their services to London and Paris. Given their recent tie-up with Malaysia Airlines, it is also likely that AirAsia X elected to leave Mumbai and Delhi services to their full service partner, which has a far more optimized product.

AirAsia will not be out of Mumbai and Delhi forever, but an “AirAsia India” would be a mistake

Despite these short term execution failures, in the long term, you we expect to see AirAsia back in these two markets within the next 5~7 years. India is still a fast growing market for travel to Malaysia, and there are only so many markets within an A320neo’s range of Malaysia before you have to consider India. Moreover, if they correct the issues catalogued above, their Indian services would become far more viable. Travel to Bangkok from India is also booming, and Thai AirAsia’s (diminished) presence in that market can help build brand recognition for the overall group.

That being said, AirAsia recently responded to the news that India’s government is strongly considering allowing Foreign Direct Investment (FDI) by foreign airlines of up to 49%. When asked about investments into the Indian airline market, an AirAsia spokesperson responded by saying,
“Yes we will look at investing in India. This is very exciting news. My personal preference will be to look at setting up a subsidiary airline in India rather than look at investing in an Indian carrier. India is a market of a billion people. When they have access it will be good for growth,.”
The concept, in and of itself, is not revolutionary. AirAsia has numerous local franchises outside of its home country of Malaysia (Thailand, Indonesia, and Vietnam to name a few), as do a few other franchises (most notably Virgin: Atlantic, America, Australia, et. al). But the broader point is that another Indian low cost carrier would most likely be unprofitable. There is ample competition in India’s low cost sphere, and despite the growth, the current rate of growth is economically unsustainable under current economic conditions.

AirAsia would face numerous challenges unique to India, such as insanely overpriced jet fuel, a convoluted airport fees scheme, ineffective governmental oversight and regulation, and poor infrastructure. IATA too has pointed out that the current situation in India is unsustainable, with economist Brian Pierce stating that, “With load factors at 75% and such weak financial condition, some sort of consolidation or exit of capacity is called for.” AirAsia would be entering into such an environment, lacking (as mentioned above) significant brand recognition, and many of the tools required to effectively compete.

That’s not to say that there are not market opportunities in India. We actually feel that in the long term, a full service carrier (with heavy international concentration) can successfully step in to fill the void that has been and will be created by the shrinkage at Kingfisher and Air India. On the other end of the spectrum, a regional carrier using turboprop aircraft could step in and offer some interesting point to point routes, perhaps replicating a portion of Vayudoot’s old network. However, AirAsia is not likely to invest in either of these products, having failed at running a turboprop carrier even in Malaysia. Thus we are highly skeptical of the potential profitability of an “AirAsia India”

Ultimately, AirAsia X was doomed by a variety of factors; the airport charges were not the deciding factors, but simply the rationale that would play most effectively in the press. AirAsia is not doomed to failure in this market however; and hopefully they will get it right with their next expansion. But attempting a local subsidiary is a path fraught with risks, and one unlikely to yield significant profits. Regardless, it is evident that the story of AirAsia in India has not yet concluded, and it will hopefully have a happier ending than the one experienced by their low cost peers from Southeast Asia
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