Tag: airlines

  • Vietnam aviation faces safety rating challenge

    Vietnam aviation faces safety rating challenge

    Vietnam might find it difficult to maintain its aviation safety rating due to a lack of qualified personnel, experts caution. The U.S. Federal Aviation Administration (FAA) Friday gave Vietnam a Category 1 safety rating, allowing local airlines to operate direct flights to the U.S. “Acquiring this rating is hard, keeping it is going to be even harder,” Dinh Viet Thang, head of the Civil Aviation Authority of Vietnam (CAAV) said.

    He said that the CAAV currently has only 30 aviation safety officers, meeting only 30 percent of the demand. They hire the rest from other airlines.

    The U.S. Federal Aviation Administration (FAA) has required that the CAAV has enough aviation safety officers on its own in upcoming years so that it doesn’t need to hire people from outside, and CAAV plans to meet this goal by 2025.

    However, training these officers is costly, with an individual bill costing over VND5 billion ($216,000).

    One of the biggest hiring difficulties is that aviation safety officers are attracted by the higher salaries offered by airlines compared to state-owned companies, Thang said.

    An aviation safety officer at CAAV earns only VND10 million ($432) a month, while local airlines pay them about VND300 million ($12,960).

    “The government gives us VND20-30 billion ($864,000-1.29 million) each year to hire aviation safety officers and VND10 billion ($432,000) to train new ones, but we really need more investment from the government to develop this team,” he noted.

    Another challenge is meeting FAA safety requirements as they conduct unannounced safety examinations. If Vietnam doesn’t meet these requirements, FAA will downgrade the rating to Category 2, meaning no direct flight to the U.S. is allowed.

    This has happened before in Thailand, Indonesia, Philippines and most recently India, he said.

    Local airlines, including state-owned Vietnam Airlines, budget airline Vietjet and new private airline Bamboo Airways, have previously expressed interest in operating direct flights to the U.S.

    Vietnam’s aviation industry has been growing rapidly in recent years. There were 12.5 million air passengers last year, up 14.4 percent from 2017.

    The number of flights in the country grew by 16 percent on average between 2010 and 2017, according to official data.

  • Malaysia’s Malindo Air adjusts checked baggage allowance for economy class

    Malaysia’s Malindo Air adjusts checked baggage allowance for economy class

    Malindo Air has adjusted the checked baggage allowance for its economy class passengers under the Value and Flexi fare options effective last friday. The baggage allowance for Value fare option is now 15kg, and 30kg for Flexi fare option, from 25kg previously for both fare options. The baggage allowance for business class and its ATR flights remain as 40kg and 15kg respectively.

    Malindo Air CEO Chandran Rama Muthy said the business rationale to the adjustment is to keep up with the industry changes and passengers’ demand.

    “This option allows passengers who are cost-sensitive to enjoy more competitive airfare with services that fit their needs. We want to keep our products relevant to the market and bring better flying experience to our passengers,” he said in a statement.

    The airline will honour passengers who have made a booking before Feb 15, 2019 and flying on or after Feb 15, 2019 to enjoy the original baggage allowance upon booking, as reflected on their flight itinerary.

    Passengers may top up additional baggage allowance during the booking process, through “Manage My Booking”, Malindo Air ticketing offices, customer care centre and the airline’s preferred travel agents.

  • Vietnamese airlines excited, worried about direct US flights

    Vietnamese airlines excited, worried about direct US flights

    Vietnamese carriers are keen on operating direct flights to the US, but worried about recouping the large investments involved. The U.S. Federal Aviation Administration (FAA) is expected to grant a Category 1 rating to Vietnam soon, allowing direct flights between the two countries, reported earlier this month, citing two U.S. officials.

    Dinh Viet Thang, head of the Civil Aviation Authority of Vietnam (CAAV), said that direct routes to the U.S. would be a new market that Vietnamese airlines won’t have to face with strong competition from other foreign carriers. He did not elaborate.

    “Non-stop flights from Vietnam to the U.S. will be a brand-new market full of potential for local airlines, as no international airline has operated them so far,” he said.

    Local airlines are enthused about the possibility of operating direct routes. A Vietnam Airlines official who asked not be named said the carrier was considering the purchase of more airplanes which are capable of flying non-stop to the U.S.

    “None of our airplanes can fly directly, so we are considering the purchase of wide-body aircrafts such as Airbus 350-1000 or Boeing 787-8 Dreamliner,” the representative said.

    Budget airline Vietjet and new private airline Bamboo Airways have also said they are interested in opening direct flights between the two countries.

    The direct route is expected to cater to the large demand for travel between both countries. The number of tourists coming to Vietnam from the U.S. grew by 11.9 percent last year from 2017 to 687,000, according to the Ministry of Culture, Sports and Tourism.

    A Vietnamese population of over 2.1 million in the U.S., is also expected to be a stable source of travel demand, said industry insiders.

    Tourism companies are also having high hopes about prospects of direct flights. Nguyen Cong Hoan, vice general director of Hanoi Redtours, said that the number of customers travelling to the U.S. through his company has increased by 30 percent each year in the last few years.

    “A direct flight will make travel between the two countries much easier and reduce the time passengers have to wait in airports. We believe that our customers are willing to pay 20-40 percent more for a direct flight,” he said.

    Breaking even

    But there are also concerns about possible losses. Vietnam Airlines CEO Duong Tri Thanh had said earlier that the airline could face an average annual loss of $30 million in the first years of operation if it opens a direct route to the U.S.

    It would take at least five years for the national flag carrier to break even, he added.

    CAAV head Thang said that local airlines would need to purchase larger airplanes as most of the existing fleet cannot manage such long flights.

    Another option would be to reduce the number of passengers and/or cargo weight of existing aircraft to guarantee safety over a 13-hour flight, but this would reduce revenue, he added.

    The Vietnamese government had early last year approved plans to expand the network of national carriers to major markets including Australia, China, Europe and the U.S.

    Under these plans, Vietnam Airlines will go through with its proposal to open non-stop services to the U.S., starting with direct flights to San Francisco or Los Angeles.

    As Vietnam has never held an FAA rating, passengers travelling to the U.S. now have to transit through different countries and territories like China, Hong Kong and Japan, with a total time of 18-21 hours.

    In 2004, Vietnam Airlines sought permission from the U.S. to provide direct services. However, the request was denied because it was judged that the CAAV did not meet safety supervision requirements set by the FAA.

    Vietnam’s aviation industry has seen increasing demand in recent years. The country welcomed 12.5 million air passengers last year, up 14.4 percent from 2017, according to the General Statistics Office.

    The country’s aviation traffic increased 16 percent on average each year from 2010 to 2017, according to data from the civil aviation regulator.

  • Emirates to fill pilot gap with exodus from Etihad, Norwegian airlines

    Emirates to fill pilot gap with exodus from Etihad, Norwegian airlines

    Emirates, the world’s biggest long-haul airline, may feed its appetite for new pilots with recruits from ailing neighbor Etihad Airways and cash-strapped discounter Norwegian Air Shuttle ASA, according to an internal memo from the Gulf carrier. Hong Kong Airlines has also contacted Dubai-based Emirates about opportunities to temporarily transfer some cockpit crew, according to the document. Pilots at the unit of beleaguered HNA Group are Airbus SE-rated, meaning they could be trained to fly the Mideast company’s A380 superjumbos.

    “The current situation with several airlines in financial difficulty globally leaves Emirates in a good position to be sourcing and selecting good-quality pilots,” the memo says.

    It said the airline recruited 52 pilots last month, the highest number since August 2016, and that the number of viable applications it’s receiving “is higher than the number of candidates that can be invited.”

    Emirates declined to comment on the communication, which was dated Jan. 29 and appeared to be a meeting report. A spokeswoman said there are sufficient pilots for current operations, though the airline will “continue to welcome qualified candidates.”

    Norwegian Air said it’s not uncommon for members of any company’s workforce to seek opportunities elsewhere. Hong Kong Airlines couldn’t be reached during the Chinese New Year holiday, while Abu Dhabi-based Etihad didn’t respond to requests for comment.

    Hiring Challenge

    Emirates faces an annual hiring challenge to meet the needs of its expanding global network. President Tim Clark said last April that there would be a shortfall of 100 to 150 flight crew over 2018’s busy summer travel season.

    According to the memo, 499 crew have been deemed eligible to join from this coming April through the end of 2019.

    Applications from Norwegian Air and Etihad have been spurred by redundancies at the airlines, according to the Emirates memo.

    Norwegian, heavily indebted after one of the fastest growth spurts in aviation history, resorted to a 3 billion kroner ($354 million) rights issue last week after British Airways parent IAG SA walked away from a takeover bid.

    The Scandinavian carrier is also closing six bases and cutting routes to stem losses, proposing that pilots transfer to other locations.

    Etihad last June offered captains and first officers a two-year secondment, or temporary transfer, to Emirates. In January, it revealed plans to cut 50 pilot posts as it cancels jet orders and shrinks operations to stem losses.

    The Emirates memo said Hong Kong Air has identified a 10 percent surplus in pilot numbers. The carrier, whose debt-laden owner HNA is offloading $20 billion in assets, is being sued by a Macau-based lender for failing to pay $20 million in principal and interest, according to a court filing last month.

     

  • AirAsia X Wants To Launch Flights From The US West Coast To Japan

    AirAsia X Wants To Launch Flights From The US West Coast To Japan

    Air Asia is the world’s largest and best low-cost carrier (They have won awards for the last 10 years). Air Asia X, their low-cost long haul carrier has built a route network spanning from the middle east to southern Australia. But many people in the US have never had a chance to fly on Air Asia, as the name would imply, have only ever been centered around South East Asia.

    Could Air Asia X routes from Japan to the US West Coast work?

    In a massive new rumor, Air Asia might be starting direct routes between Japan and the US West Coast onboard their fleet of brand new Airbus A330-900 aircraft. As none of the 66 new aircraft on order have been delivered yet, Air Asia X has been reluctant to place address the theory. They are however one of the first airlines to order the aircraft, and as deliveries have begun, we expect news sometime this year.

    Previously, the current fleet of older A330-300s has only been able to reach as far as Hawaii from Osaka, Japan (their range is 6,350 nmi (11,750 km)), limited by their ability to cross the Pacific ocean.

    But these new A330neo aircraft, with a range of 7,200nmi (13,334km), allow Air Asia X to reach destinations like Los Angeles and San Fransisco. This opens up a huge potential market for the company, and on the flip side, a cheap (and good) way for American’s to access Japan, and through transfer, South East Asia.

    What is the service like on Air Asia X?

    Whilst there has been no information yet on the fit out of the new Airbus A330-900 aircraft, we can hazard a guess based on their current A330-300 jets.

    There are three classes on board, a ‘premium’ business light class, a quiet zone and a normal economy class. There are also exit row seats scatted throughout.

    The business class features “flat beds” (They do not go entirely 90 degrees flat, but are more around 70-80 degrees), as well as included entertainment (via tablet), baggage allowance and food and beverages. They have around 60 inches of pitch and are 20 inches wide.

    There is every possibility that AirAsia will upgrade the seat truly lie flat in their newer aircraft.

    The quiet zone on board is a section of economy row seats at the front of the economy section that only allows adults and forbids loud noise. The economy section is laid out in a 3 by 2 by 3 configuration.

    Naturally, as it is a low-cost carrier, passengers will need to budget for seat selection, baggage, food and bring their own entertainment. The economy seats have 32 inches of pitch and are 16 1/2 inches wide.

    The real win, however, is the cost. Typically you would be looking at around $1000 USD return in economy to fly from Los Angeles to Osaka. Air Asia typically offers premium business for the cost of an economy ticket (which is well worth the upgrade) and economy for dirt cheap prices (through economies of scale). It is very likely that Air Asia will instantly undercut the market on these routes and be the cheapest to fly.

  • MAHB turned down our offer for mediation, says AirAsia

    MAHB turned down our offer for mediation, says AirAsia

    Air Asia has claimed that Malaysia Airports Holdings Berhad (MAHB) has turned down their offer of mediation, in a letter sent by the airport operator’s lawyers. The airline said that in an attempt to resolve the parties’ ongoing dispute over passenger service charges at  Kuala Lumpur International Airport 2 (klia2), they had proposed mediation to MAHB.

    “We regret that MAHB has refused AirAsia’s olive branch to resolve outstanding issues between us through mediation, particularly in light of MAHB’s recent statement that it is ‘optimistic that these matters can and will be resolved’,” said AirAsia Malaysia CEO Riad Asmat in a statement on Wednesday (Feb 6).

    “We will seek guidance from Malaysian Aviation Commission (Mavcom) on the next steps to address this situation. However, we reserve our rights to take all necessary actions to protect the interests of our guests and shareholders,” added Riad.

    Under the Malaysian Aviation Commission (Mavcom) Act 2015, MAHB and airline operators have an obligation to mediate any dispute, and legal action may only be used as a last resort when other efforts have failed.

    Last month, the budget airline sought more than RM400mil in counterclaims against MAHB in response to a suit filed by the airport operator last month over airport taxes.

    The counterclaims were for losses and damages experienced by AirAsia and its long-haul sister airline, Air Asia X Bhd, due to alleged operational disruptions at klia2, the airline had said.

    AirAsia claims that it agreed to move to klia2 after the government scrapped the initially approved plans for its own low-cost terminal in Labu, Negri Sembilan in 2008 following MAHB’s claim that it could build a similar terminal closer to KLIA with the same facilities and charges at the former Low-Cost Carrier Terminal (LCCT).

    The airport tax in klia2 was increased to RM73 from RM50 for non-Asean international passengers.

    Domestic passengers were not spared from the increase and now have to pay RM11, up from the previous RM6.

     

  • Vietjet to open Phu Quoc-Hong Kong route in April

    Vietjet to open Phu Quoc-Hong Kong route in April

    Budget airline Vietjet said Saturday it will launch direct flights between Phu Quoc Island and Hong Kong in April. The new route will operate four flights per week starting from April 19, Vietjet said. Each flight will take 2 hours and 45 minutes per leg. Dubbed “the Pearl Island”, Phu Quoc, located in the southern province of Kien Giang, has attracted strong investments in hotels and resorts in recent years.

    Vietjet said it wants to create traveling opportunities for locals and tourists, thereby contributing to trade growth between the two destinations. The largest private airline in Vietnam currently operates 40 domestic routes and 66 international routes.

    Vietnamese airlines have been launching new international flights in recent years, with the domestic market showing signs of saturation.

    The country’s aviation industry has seen increasing demand each year. It welcomed 12.5 million air passengers last year, up 14.4 percent from 2017, according to the General Statistics Office.

    Vietnam’s aviation traffic increased 16 percent on average each year from 2010 to 2017, data from the civil aviation regulator shows.

  • Vietnamese travel agency intends to invest in sixth airline: CEO

    Vietnamese travel agency intends to invest in sixth airline: CEO

    Vietravel is nurturing a plan to launch its own airline to meet the demand that it predicts will keep rising in the future. The company’s CEO Nguyen Quoc Ky said the domestic aviation market is still “full of potential.” With a population of more than 100 million and the number of foreign visitors rising steadily year after year, hitting the highest ever at 15.5 million last year, it is still modest for Vietnam to have only five airlines, he said recently.

    Vietravel wants to have its airline headquartered in the central town of Hue, he added.

    “The plan of Vietravel will help create more new flight routes to and from Hue, and thus connect the city with more tourists,” said Nguyen Van Phuc, deputy director of Thua Thien – Hue Province, home to the imperial town of Hue.

    This will also get along with a plan to upgrade Phu Bai International Airport in Hue to raise its annual capacity from 1.5 million passengers to 5 million.

    Vietravel has taken the first steps into the airline industry through organizing charter flights with its partners.

    For the past two years, it has operated around 300 charter flights both domestically and internationally each year.

    Vietnam’s newest airline, Bamboo Airway, recently completed its maiden flight.

    The four other carriers currently in Vietnam are Vietnam Airlines, Vietjet Air, Jetstar Pacific, and VASCO.

    Together, the four of them transport more than 50 million passengers last year, up 14 percent against 2017, according to the Civil Aviation Authority of Vietnam.

    The number of passengers through Vietnam airports during the year increased 12.9 percent to 106 million passengers.

    is nurturing a plan to launch its own airline to meet the demand that it predicts will keep rising in the future. The company’s CEO Nguyen Quoc Ky said the domestic aviation market is still “full of potential.” With a population of more than 100 million and the number of foreign visitors rising steadily year after year, hitting the highest ever at 15.5 million last year, it is still modest for Vietnam to have only five airlines, he said recently.

    Vietravel wants to have its airline headquartered in the central town of Hue, he added.

    “The plan of Vietravel will help create more new flight routes to and from Hue, and thus connect the city with more tourists,” said Nguyen Van Phuc, deputy director of Thua Thien – Hue Province, home to the imperial town of Hue.

    This will also get along with a plan to upgrade Phu Bai International Airport in Hue to raise its annual capacity from 1.5 million passengers to 5 million.

    Vietravel has taken the first steps into the airline industry through organizing charter flights with its partners.

    For the past two years, it has operated around 300 charter flights both domestically and internationally each year.

    Vietnam’s newest airline, Bamboo Airway, recently completed its maiden flight.

    The four other carriers currently in Vietnam are Vietnam Airlines, Vietjet Air, Jetstar Pacific, and VASCO.

    Together, the four of them transport more than 50 million passengers last year, up 14 percent against 2017, according to the Civil Aviation Authority of Vietnam.

    The number of passengers through Vietnam airports during the year increased 12.9 percent to 106 million passengers.

  • Korean Air swings to net loss in 2018 from 2017 profit

    Korean Air swings to net loss in 2018 from 2017 profit

    Korean Air Lines said Tuesday it swung to a net loss in 2018 from a year earlier due to hefty foreign-exchange losses. The Korean flag carrier posted a net loss of 167.59 billion won ($150 million), after a net profit of 801.9 billion won a year earlier. As the dollar rose to 1,118.1 won at the end of 2018 from 1,071.4 won at the end of 2017, foreign-exchange translation losses reached 363.6 billion won and it cut into the annual earnings results, the statement said.

    The won’s weakness also drove up net interest costs to 454.8 billion won, up 55.5 billion won from the previous year, it said. Operating profit fell 28 percent to 676.33 billion won last year from 939.78 billion won a year ago. Sales climbed 7.7 percent.

  • The Sanctuary by Pure Yoga opens at HKIA

    The Sanctuary by Pure Yoga opens at HKIA

    A visit to Cathay Pacific’s Business Class lounge at The Pier in Hong Kong has just become even more beneficial for mind, body and soul following the opening of The Sanctuary by Pure Yoga. Designed in partnership with the Pure Group, The Sanctuary by Pure Yoga is a 700 square-foot area divided into two zones – The Body Sanctuary, which is dedicated to yoga, and The Mind Sanctuary, where travellers can meditate to focus and calm the mind.

    Cathay Pacific General Manager Customer Experience and Design, Vivian Lo said: “Wellness is becoming increasingly important to our customers and The Sanctuary by Pure Yoga in our Pier Business Class lounge is the perfect place for to relax before the flight. We listen to the needs of our customers and continuously evolve to improve their experience with us.

    “Whether it’s dining at our popular Noodle Bar, catching up with some work, or enjoying a drink at the bar or at the Teahouse, there are myriad ways for our customers to spend time at the lounge. Now they’ll also be encouraged to meditate and practice yoga before flying with us.”

    The Body Sanctuary

    Among the wellness offerings, The Body Sanctuary provides travellers with a space for gentle yoga with guided videos led by Pure Yoga teachers. There’s also a secluded space for self-practice. Seated stretching is an alternative option; chairs overlook instructions on how to stretch different parts of the body whilst seated. The exercises are designed to improve circulation, enhance joint mobility, and relax the mind for a comfortable and restful journey.

    The Mind Sanctuary

    Within The Mind Sanctuary there are two types of meditation on offer. The first is audio meditation: four cushioned pods are equipped with noise-cancelling headphones and iPads, and customers can listen to guided meditation sessions narrated by Pure Yoga’s expert teachers. The second is gazing meditation: comfortable cushions overlook graphics placed on the wall ahead and facilitate Trataka yoga practice.

    These practices help to improve focus, memory and visualisation skills, as well as centring the mind in a state of awareness and attention.

    Wellness on the ground and in the air

    The Sanctuary by Pure Yoga is the latest collaboration between Cathay Pacific and the Hong Kong-headquartered Pure Group following the January 2018 launch of ‘Travel Well with Yoga’, a series of inflight videos to help passengers ease into their journeys with meditation and yoga.

    Additionally, Diamond and Gold Marco Polo Club members arriving in Hong Kong on Cathay Pacific or Cathay Dragon flights are given complimentary one-day access to any Pure Fitness centre or a choice of any Pure Yoga class up to 12 times a year.

    Pure Group Regional Marketing Director Gary Wise said: “We’re delighted to extend this fantastic partnership between Pure Yoga and Cathay Pacific, giving people even more chance to feel the benefits of yoga and meditation on their travels. No matter how rushed the trip is, just a few minutes of calm can make all the difference.”

    The Sanctuary by Pure Yoga is open to travellers who have access to Cathay Pacific The Pier Business Class Lounge at Hong Kong International Airport, as well as Diamond, Gold and Silver Marco Polo Club members. Cathay Pacific and Cathay Dragon First and Business Class passengers will also be able to enjoy the new offering.

  • AirAsia strengthens Malaysia-Thailand connectivity with new Chiang Rai hub

    AirAsia strengthens Malaysia-Thailand connectivity with new Chiang Rai hub

    AirAsia has further strengthened Malaysia-Thailand connectivity with the launch of a new route from Kuala Lumpur to Chiang Rai, its seventh and newest hub in Thailand. AirAsia Thailand, which will base an Airbus A320ceo at Chiang Rai’s Mae Fah Luang International Airport, will also operate new services to Phuket, Singapore and Macau, providing a massive boost to the local tourism and business communities, the airline said in a statement.

    AirAsia currently operates a total of six routes to and from the capital of Thailand’s northernmost province, including existing services from Bangkok Don Mueang and Hat Yai.

    AirAsia Thailand director of ground operations Witchunee Kuntapeng said the opening of its new hub in Chiang Rai is much like building a new home.

    “Chiang Rai has great potential to be one of the top tourism destinations in Thailand, with its unique Lanna culture and hill tribe way of life recently gaining global attention.

    “We believe it is a great time to promote Chiang Rai to travelers and are pleased to see that our four new routes between Chiang Rai and Phuket, Macau, Singapore and Kuala Lumpur have been well received. We’d like to thank the local community for their wonderful support,” Kuntapeng added.

    A welcoming ceremony led by Chiang Rai vice governor Paskorn Boonyalug, Tourism Authority of Thailand executive director for the East Asia region Titiporn Manenate and local travel agents was held at the new hub for each of AirAsia’s four inaugural flights from Phuket, Macau, Singapore and Kuala Lumpur between Jan 30 and Feb 1, 2019.

    The flight from Kuala Lumpur saw a load factor of 85% percent, proving the airline’s efforts to promote Chiang Rai as a leading destination for overseas visitors was off to a great start, it added.

  • AirAsia carried 16% more passengers in 2018

    AirAsia carried 16% more passengers in 2018

    AirAsia Group Bhd Consolidated AOCs carried a total of 12.1 million passengers in the fourth quarter ended Dec 31, 2018 (4Q18), reflecting a 16% growth from 10.4 million passengers carried a year ago. During the quarter, load factor was 4 percentage points lower at 84% from 88% a year ago, due to significant increase in capacity, which rose 21% to 14.3 million from 11.9 million a year ago.

    The group said in a statement that its available seat kilometres (ASK) grew 14% year-on-year, in line with the group’s strategy to grow its market share.

    For the full financial year ended Dec 31, 2018 (FY18), the group carried a total of 44.4 million, an increase of 14% from 39.0 million passengers carried a year ago.

    Capacity grew 18% to 52.5 million from 44.4 million a year ago while load factor fell 3 percentage points to 85% from 88% a year ago. ASK for the period grew 14%.

    The consolidated AOCs refers to AOCs whose financial and operational results are consolidated for financial reporting purposes, namely the Malaysian, Indonesian and Philippines AOCs.

    In 4Q18, Malaysia AirAsia carried a total of 8.5 million passengers, reflecting a 9% increase from 7.7 million passengers carried a year ago. Load factor fell 5 percentage points to 84% from 89% a year ago.

    The Malaysian operations saw a 16% increase in capacity to 10.2 million from 8.8 million a year ago while ASK rose 9% year-on-year.

    For FY18, Malaysia AirAsia carried 32.3 million passengers, 11% higher than 29.1 million passengers carried a year ago while load factor fell 4 percentage points to 85% from 89% a year ago.

    Capacity grew 16% to 38.0 million from 32.8 million a year ago while ASK rose 12% year-on-year.

    Overall, the group carried a total of 74.8 million passengers in FY18, which is an increase of 14% year-on-year. This includes all operations in Malaysia, Indonesia, Philippines, Thailand, India and Japan.

    The group also expanded its capacity during the year, with ASK up by 15% and load factor of 85%. The group’s total fleet size closed at 224.

  • AirAsia, AirAsia X in RM400m counterclaim against MAHB

    AirAsia, AirAsia X in RM400m counterclaim against MAHB

    AirAsia Group Bhd and its affiliate AirAsia X Bhd are seeking over RM400 million in counterclaims against Malaysia Airport Holdings Bhd (MAHB) in relation to the suit filed against them over the passenger service charges (PSC) collection. AirAsia and AirAsia X told Bursa Malaysia that they had filed a statement of defence against Malaysia Airports (Sepang) Sdn Bhd (MASSB), a wholly-owned subsidiary of Malaysia Airport Holdings Bhd (MAHB).

    “In the statement of defence, AirAsia Bhd (AAB) contended, amongst others, that the claim by MASSB is misconceived, invalid and/or premature as MASSB has not complied with and/or availed itself of the statutory provisions for dispute resolution within the Malaysian Aviation Commission Act 2015 (Mavcom Act). Accordingly, AAB has filed an application to strike out the suit on the above grounds,“ said AirAsia.

    “Further, AAB together with its affiliate AirAsia X Bhd (AAX), will be availing themselves of the statutory provisions for dispute resolution within the Mavcom Act to seek more than RM400 million in counter-claims against MASSB and/or MAHB for losses and damages experienced by AAB and AAX due to operational disruptions at klia2,” it added.

    Last month, AirAsia was being sued for refusing to collect the additional RM23 PSC per passenger at klia2.

    AAB was served with an unsealed copy of a writ of summons in the sum of RM9.4 million by MASSB pertaining to PSC that AAB has not collected and refuses to collect from traveling passengers. Meanwhile, AAX was served with an unsealed copy of a writ of summons in the sum of RM26.7 million for alleged PSC arrears.

    AirAsia yesterday closed up 1.33% to RM3.05 with 5.17 million shares done; while AAX closed 1.72% lower at 28.5 sen with 12.17 million shares traded. MAHB was up 0.25% at RM8.12 with 3.33 million shares changing hands.

  • Bamboo Airways cleared to take to the skies

    Bamboo Airways cleared to take to the skies

    Vietnam’s newest airline, Bamboo Airways, has received a certificate that allows it to operate aircraft for commercial purposes. The Vietnam Civil Aviation Authority Tuesday granted the Aircraft Operator Certificate (AOC) to Bamboo Airways. The AOC is a certificate approved by a regulatory authority that allows a carrier to operate aircraft for commercial purposes within a specified scope of activities. As such, the FLC Group’s startup airline has completed all necessary regulatory procedures for commencing commercial operations in Vietnam’s aviation market.

    “This AOC certification is a result of 4 years of effort, I believe it is an important first step for Bamboo Airways to serve passengers and devote themselves to the Vietnam aviation industry,” said Dang Tat Thang, CEO Bamboo Airways.

    After many delays, Bamboo Airways expects to start operating domestic flights with Airbus A321 NEO aircraft by mid-January. Bamboo Airways will prepare 20 planes for flight in the first quarter of 2019 and increase their fleet size to 40-50 aircraft by the end of the year.

    Thang said that at the moment, Bamboo Airways has fully prepared their personnel, technical and material assets and affirmed its fitness for operation through many activities including test runs, maintenance, engineering and other commercial transport activities.

    Bamboo Airways will operate 37 routes connecting all major cities and popular tourist destinations in Vietnam, as well as some international routes in 2019.

    The first routes of the country’s fifth carrier would connect Hanoi and HCMC, and from Hanoi and HCMC to central provinces of Quy Nhon and Quang Binh, and northern Quang Ninh Province.

    The new carrier plans start off with 60 domestic flights a day. Later this year, the company also plans to open international flights to Japan, Korea and Singapore.

    Bamboo Airways was founded in mid-2017 with a charter capital of VND700 billion ($30 million), which it increased to VND1.3 trillion ($55.68 million) recently.

    The airline has signed deals to buy 24 Airbus A320neo and 20 Boeing B787-9 Dreamliner aircraft worth a total of about $8.6 billion.

    The other four carriers in Vietnam currently are Vietnam Airlines, Vietjet Air, Jetstar Pacific and VASCO.

  • No More Free Checked Baggage on Lion Air Indonesia

    No More Free Checked Baggage on Lion Air Indonesia

    Flying cheap will soon also mean flying light for many Indonesians after the country’s largest airline, Lion Air, and its subsidiary, Wings Air, decided to start charging for checked baggage on all their domestic flights from today. The airlines, which together served around half of the archipelago’s air travelers last year, will only allow one piece of cabin baggage, such as a suitcase of no larger than 40 x 30 x 20 centimeters, weighing less than 7 kilograms, and one personal item, such as reading material, a handbag, or laptop bag.

    “Both Lion Air and Wings Air, which will enforce the new regulation until further notice, will no longer accept free checked baggage of up to 20 kilograms and 10 kg, respectively,” Lion Air Group spokesman Danang Mandala Prihantoro said in a statement on Friday.

    Checked baggage exceeding 7 kg will be subject to an excess baggage fee based on the rate for the day. Carriers will further no longer allow passengers to bring several items tied together with rope or string into the cabin as these will also be subject to additional fees.

    Passengers will be able to purchase prepaid baggage vouchers through tour and travel agencies, the airlines’ websites, or at their ticket sales offices.

    The carriers have advised passengers to prepay for baggage when they buy their tickets, or alternatively, pay for it up to six hours before departure.

    Power banks with capacities of more than 160 watt-hours (Wh), or 32,000 milliamp-hours (mAh), will no longer be allowed on aircraft, while those with capacities of between 100 and 160 Wh will require special permission by airline staff.

    Passengers will still be permitted to take power banks with a maximum capacity of 100 Wh into the cabin after notifying the ground crew. However, these may no longer be used onboard.

    Passengers who have purchased Lion Air and Wings Air tickets before Jan. 8 would still able to enjoy the respective 20 kg and 10 kg free baggage allowances.