February 1 2007
AIR travel in the Asia-Pacific region grew 4.7 per cent in 2006 from a year ago and is likely to remain “positive” this year, with strong regional economic growth to underpin demand, an industry group said yesterday.
An easing of global oil prices last year has brought relief to airlines but their profit margins remain under pressure, said the Kuala Lumpur-based Association of Asia Pacific Airlines.
The association said its 17 -member airlines flew a record 134 million passengers last year, compared to 128 million in 2005.
Freight traffic expanded at a faster rate of 5.2 per cent in 2006, reflecting robust regional and international trade flows, it said.
“The outlook for 2007 remains positive, with strong regional economic growth underpinning travel demand,” association director-general Andrew Herdman said in a statement.
Despite lower oil prices, “airline profit margins remain under pressure and point to the need for continuous improvements in productivity and operating efficiency,” the statement said.
The AAPA represents Air New Zealand, All Nippon Airways, Asiana Airlines, Cathay Pacific Airways, China Airlines, Dragonair, EVA Air, Garuda Indonesia, Japan Airlines, Korean Air, Malaysia Airlines, Philippine Airlines, Qantas Airways, Royal Brunei Airlines, Singapore Airlines, Thai Airways International and Vietnam Airlines. — AP
Source: Businesss Times
Thursday, February 1, 2007
Fly for price of bus ticket!
01 Feb 2007
KUALA LUMPUR: Almost a million more passengers thronged the arrival and departure halls of the Kuala Lumpur International Airport last year than in 2005.
About 24.1 million passengers went through the KLIA and the Low Cost Carrier Terminal that it launched in March last year.
That’s a four per cent increase over the 23.2 million passengers it saw in 2005, according to a preliminary report by Malaysia Airports Holdings Berhad.
The LCCT alone saw 4.6 million passengers, about half of its capacity of 10 million.
"We never thought budget flying would become so big," said MAHB corporate communications general manager Norliza Kamaruddin.
"Low airfares spread like wildfire among travellers. Those who thought they would never be able to fly discovered that they could," she said.
So would a price war bring more flyers?
"Ten years ago, the majority of Malaysians travelled by bus, car or trains, those who had a little bit more money could fly with Malaysia Airlines," Norliza said.
"Now everyone can fly for the same price that they pay for a bus ticket. It all depends on how much you want to pay," she added.
That no-frill airlines are still the main draw is plain. MAHB is planning to expand the terminal’s capacity to 15 million passengers.
Source: NST
KUALA LUMPUR: Almost a million more passengers thronged the arrival and departure halls of the Kuala Lumpur International Airport last year than in 2005.
About 24.1 million passengers went through the KLIA and the Low Cost Carrier Terminal that it launched in March last year.
That’s a four per cent increase over the 23.2 million passengers it saw in 2005, according to a preliminary report by Malaysia Airports Holdings Berhad.
The LCCT alone saw 4.6 million passengers, about half of its capacity of 10 million.
"We never thought budget flying would become so big," said MAHB corporate communications general manager Norliza Kamaruddin.
"Low airfares spread like wildfire among travellers. Those who thought they would never be able to fly discovered that they could," she said.
So would a price war bring more flyers?
"Ten years ago, the majority of Malaysians travelled by bus, car or trains, those who had a little bit more money could fly with Malaysia Airlines," Norliza said.
"Now everyone can fly for the same price that they pay for a bus ticket. It all depends on how much you want to pay," she added.
That no-frill airlines are still the main draw is plain. MAHB is planning to expand the terminal’s capacity to 15 million passengers.
Source: NST
Travellers the winners in price war
01 Feb 2007
Lee Shi-Ian, June Ramli and Norazlin Mohd Nor
KUALA LUMPUR: Slurping on a McDonalds’ ice cream, Ahmad Zaki Abdul Rahman grinned as he guided his family towards a check-in counter.
"This is our first time on an airplane," he said.
The medical attendant, his wife and two young children had paid RM135 in total to fly to Kota Baru for the long weekend.
"The cost of travel for my family is almost the same as driving or taking the bus, only less hassle and stress," he said.
Ahmad and his family are just some of the thousands who will take to the skies this year, thanks to budget airline AirAsia.
With cheap fares and free promotional flights, the no-frills airline has had this segment of the market to itself since Datuk Tony Fernandes took over in 2001.
On Monday, national carrier Malaysia Airlines struck back, unveiling unprecedented discounts of up to 70 per cent for international destinations, and four-night holiday packages to London for RM3,096.
It is charging just RM9 for some one-way tickets to local stops such as Kuantan and Langkawi.
The promotion is part of the MAS Travel Fair which began yesterday, and continues until Feb 6.
"Yes, this is the lowest we have ever gone," MAS commercial director Datuk Abdul Rashid Khan said yesterday.
"We have the freedom to set prices. There was no such thing in the past because our prices were regulated by the government."
AirAsia apparently was not about to let MAS push these promotional fares without a challenge, however, and on the same day, began offering "super low fares".
One-way tickets to Penang, Terengganu and Kota Baru, for example, are available for under RM1, fuel surcharge and other taxes not included.
A seat on a flight to Phuket, Thailand, starts at RM19.99 and to Chang Mai from RM59.99.
Its promotion, tagged "the craziest sale in town", ends the day after MAS plans to end its travel fair.
This brewing price war is "music to the ears of all travellers", said a research analyst at a local stockbroking firm.
"I think more kampung folk, who’ve never been on a plane and seen the world, would benefit from the price war," he said.
AirAsia has taken pains to avoid calling this a price war, and so has MAS.
AirAsia senior corporate communications executive Janet Leow said the two airlines were aiming for different types of travellers.
"Our objective is to go for passengers who want a cheap, fast and easy flight to their destination without the services such as meals and drinks," she said.
"Those who want such services normally fly with MAS."
MAS’ Abdul Rashid said: "To put it in perspective, we face competition from more than 300 airlines, everyday, worldwide.
"This is not a price war."
The national carrier, long criticised for its heavy losses, is confident that it will be able to compete for more travellers as it attempts to return to profit this year.
"We cannot control the competition but we plan to shake it up. We are upbeat that we will be able to sell our domestic fares like hot cakes as we are a five-star airline with full service," he added.
His confidence stems from how the travel fair has performed so far.
"In the first hour, online ticket sales for domestic routes reached RM1 million," he said.
And he is betting MAS’ Australian and European routes will sell like hot cakes.
Source: NST
Lee Shi-Ian, June Ramli and Norazlin Mohd Nor
KUALA LUMPUR: Slurping on a McDonalds’ ice cream, Ahmad Zaki Abdul Rahman grinned as he guided his family towards a check-in counter.
"This is our first time on an airplane," he said.
The medical attendant, his wife and two young children had paid RM135 in total to fly to Kota Baru for the long weekend.
"The cost of travel for my family is almost the same as driving or taking the bus, only less hassle and stress," he said.
Ahmad and his family are just some of the thousands who will take to the skies this year, thanks to budget airline AirAsia.
With cheap fares and free promotional flights, the no-frills airline has had this segment of the market to itself since Datuk Tony Fernandes took over in 2001.
On Monday, national carrier Malaysia Airlines struck back, unveiling unprecedented discounts of up to 70 per cent for international destinations, and four-night holiday packages to London for RM3,096.
It is charging just RM9 for some one-way tickets to local stops such as Kuantan and Langkawi.
The promotion is part of the MAS Travel Fair which began yesterday, and continues until Feb 6.
"Yes, this is the lowest we have ever gone," MAS commercial director Datuk Abdul Rashid Khan said yesterday.
"We have the freedom to set prices. There was no such thing in the past because our prices were regulated by the government."
AirAsia apparently was not about to let MAS push these promotional fares without a challenge, however, and on the same day, began offering "super low fares".
One-way tickets to Penang, Terengganu and Kota Baru, for example, are available for under RM1, fuel surcharge and other taxes not included.
A seat on a flight to Phuket, Thailand, starts at RM19.99 and to Chang Mai from RM59.99.
Its promotion, tagged "the craziest sale in town", ends the day after MAS plans to end its travel fair.
This brewing price war is "music to the ears of all travellers", said a research analyst at a local stockbroking firm.
"I think more kampung folk, who’ve never been on a plane and seen the world, would benefit from the price war," he said.
AirAsia has taken pains to avoid calling this a price war, and so has MAS.
AirAsia senior corporate communications executive Janet Leow said the two airlines were aiming for different types of travellers.
"Our objective is to go for passengers who want a cheap, fast and easy flight to their destination without the services such as meals and drinks," she said.
"Those who want such services normally fly with MAS."
MAS’ Abdul Rashid said: "To put it in perspective, we face competition from more than 300 airlines, everyday, worldwide.
"This is not a price war."
The national carrier, long criticised for its heavy losses, is confident that it will be able to compete for more travellers as it attempts to return to profit this year.
"We cannot control the competition but we plan to shake it up. We are upbeat that we will be able to sell our domestic fares like hot cakes as we are a five-star airline with full service," he added.
His confidence stems from how the travel fair has performed so far.
"In the first hour, online ticket sales for domestic routes reached RM1 million," he said.
And he is betting MAS’ Australian and European routes will sell like hot cakes.
Source: NST
Thousands welcome chariot at Batu Caves
01 Feb 2007
Ranjeetha Pakiam and Marilyn Gerard
KUALA LUMPUR: After a 13-hour journey through the city centre, the chariot carrying the Hindu deity Lord Muruga arrived at the Sri Subramaniam Swamy Temple in Batu Caves.
Thousands stood at the entrance of the temple to welcome the chariot, which marked the beginning of the Thaipusam festival.
The chariot left the Sri Maha Mariamman Temple in Jalan Tun H.S. Lee at 12.30am yesterday in a grand procession which stopped at several temples along the way to Batu Caves in Gombak.
At 1.30pm, the chariot arrived and was greeted with chants of vel, vel from the excited crowd.
Despite the blazing afternoon sun, thousands of eager devotees jostled for a spot to get close to the chariot and receive the blessings from the priests.
A few people had already begun carrying the kavadis and paal kodum (milk pots) to avoid the huge crowds expected in the evening.
Among the crowd were tourists who had come to witness the largest Hindu festival in Malaysia.
Many were awed by the golden statue of Lord Muruga which stood 42.7 metres at the foot of the hill.
Most of them climbed up the 272 steps leading to the temple inside the magnificent limestone caves.
About 1.5 million visitors are expected to visit the Thaipusam festival this year.
Source: NST
Ranjeetha Pakiam and Marilyn Gerard
KUALA LUMPUR: After a 13-hour journey through the city centre, the chariot carrying the Hindu deity Lord Muruga arrived at the Sri Subramaniam Swamy Temple in Batu Caves.
Thousands stood at the entrance of the temple to welcome the chariot, which marked the beginning of the Thaipusam festival.
The chariot left the Sri Maha Mariamman Temple in Jalan Tun H.S. Lee at 12.30am yesterday in a grand procession which stopped at several temples along the way to Batu Caves in Gombak.
At 1.30pm, the chariot arrived and was greeted with chants of vel, vel from the excited crowd.
Despite the blazing afternoon sun, thousands of eager devotees jostled for a spot to get close to the chariot and receive the blessings from the priests.
A few people had already begun carrying the kavadis and paal kodum (milk pots) to avoid the huge crowds expected in the evening.
Among the crowd were tourists who had come to witness the largest Hindu festival in Malaysia.
Many were awed by the golden statue of Lord Muruga which stood 42.7 metres at the foot of the hill.
Most of them climbed up the 272 steps leading to the temple inside the magnificent limestone caves.
About 1.5 million visitors are expected to visit the Thaipusam festival this year.
Source: NST
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