AirAsia prefers a low-cost terminal in Labu

Wednesday December 24, 2008

KUALA LUMPUR: Budget airline AirAsia Bhd and Sime Darby Bhd have confirmed their interest to jointly develop and operate an RM1.6bil private low-cost carrier terminal (LCCT) in Labu, Negri Sembilan.

Approval for the terminal in Labu, to be known as KLIA-East@Labu, was expected “shortly, possibly in a few days,” officials of AirAsia and the developer, Sime Darby, told reporters at a briefing yesterday.

In separate announcements to the stock exchange yesterday, AirAsia and Sime Darby said the two companies have “jointly expressed an interest to the Government of Malaysia to develop and operate a private low-cost carrier terminal (LCCT Project) on the Sime Darby group’s land in Negri Sembilan.”

Both announcements said “the LCCT Project was in the initial planning phase and the companies were engaged in preliminary discussions with state and federal authorities.”

Officials of both companies said that while details had to be ironed out, the project, estimated to cost about RM1.6bil, would be privately funded.

The RM1.6bil was an estimate of the cost of structures and the runway but did not include the 3,000-acre land where it would be built.

“We are very much at the planning stage and the land valuation certainly has not been done yet,” a Sime Darby spokesman said.

Sime Darby, in its filing, said the collaboration was an intergral part of the company’s plan for its Negri Sembilan Vision City (NSVC).

The NSVC is part of Sime Darby’s Central Vision Valley property development project spanning Selangor and Negri Sembilan, a concept which includes seaside resorts, a medical city and a safari park, among others.

It was reported that Sime Darby is expected to take up a majority stake in the joint venture.

“After the construction, we will turn over the whole project including the land to AirAsia who is the client. We are not operating the airport,” the Sime Darby spokesman said.

AirAsia said the Labu LCCT project would address its overcapacity problem when completed in 2011 and that it was preferable to another LCCT project proposed by Malaysia Airports Holdings Bhd (MAHB).

The LCCT proposed by MAHB is expected to completed by 2014.

“The completion date for the new permanent LCCT proposed by MAHB is too late to keep up with our passenger growth,” AirAsia said.

The Star

Tourism Malaysia Office In Singapore To Get New Director

December 23, 2008 23:46 PM

By Zakaria Abdul Wahab

SINGAPORE, Dec 23 (Bernama) Tourism Malaysia's office in Singapore will be helmed by a new director comes new year.

Its Kuala Lumpur-based deputy director for West Asia, Zalizam Zakaria, will replace Rafidah Idris, the current director whose stint here has been more than four years.

The Singapore office this evening held a farewell and welcoming reception for Rafidah dan Zalizam respectively at a hotel here attended by representatives of the tour and travel industry.

In her farewell remarks, Rafidah said the number of Singapore visitors to Malaysia had been on the rise since the last four years and she expects the target of 10.6 million set by the office for this year to be achieved by year-end.

She said that up to last month, tourist arrivals into Malaysia from Singapore had already reached the 9.9 million mark.

Zalizam, 47, who hails from Kelantan, said he would have to work harder than his predecessor as Tourism Malaysia had set a new target for the office to bring in 11 million Singapore tourists to Malaysia for next year.

-- BERNAMA

KK-Singapore Flights Set To Boost Sabah MICE Sector

December 02, 2008 21:45 PM

KOTA KINABALU, Dec 2 (Bernama) -- Direct Sabah-Singapore flights, besides boosting tourism, would also give the state an opportunity to promote its MICE (meetings, incentives, conventions and exhibitions) facilities.

Sabah Tourism, Culture and Environment Minister, Datuk Masidi Manjun, said Singapore was well-known as a premier hub in the Asian region that acted as a gateway to other international cities around the world.

"I trust the flights will attract more inbound international tourists and professionals and we see this as a partnership to enhance business," he said after welcoming 161 passengers of the Jetstar Asia's inaugural flight from Singapore here Tuesday.

He said Jetstar Asia, a subsidiary of Australia's Qantas Airways based in Singapore, could open more doors for other international airlines to operate flights to Kota Kinabalu.

Jetstar Asia's chief executive officer, Chong Phit Lian, said the airline hoped to bring international tourists to Sabah from or via Singapore to make up for the decreasing number of tourists affected by airline companies that ceased to operate flights to Sabah.

"Jetstar Asia will be flying daily between Kota Kinabalu and Singapore beginning Dec 20 to encourage visitations in both destinations whether for business or pleasure.

"Currently, Jetstar Asia operates four flights a week," she said.

Source: BERNAMA

Idris Jala Named Orient Aviation Person 2008

December 01, 2008 14:42 PM

KUALA LUMPUR, Dec 1 (Bernama) -- Datuk Seri Idris Jala, managing director and chief executive officer of Malaysia Airlines (MAS), has been named Orient Aviation Person 2008 for being the driving force behind the national carrier's amazing comeback.

While many wrote off the airline when it made its biggest losses ever of RM1.3 billion in 9 months in 2005, Idris joined the airline and turned MAS' record losses into record profits and rebuilt confidence and morale among its 20,000 employees, all within two years.

"MAS recorded RM851 million in the financial year 2007, its highest profit in 60 years of operations, and is only one of the six airlines in the world recognised as a "5-star airline" by Skytrax, United Kingdom, an accolade it has won for three consecutive years from 2006 to 2008," said MAS in a statement.

Idris said he was pleased and honoured to accept the award as he and his team worked hard to turnaround MAS. Now, they are embarking on a business transformation journey in pursuit of their vision to become the World's FIve Star Value carrier.

Idris said he is blessed with a great team of people who are passionate about the airline.

Orient Aviation chief executive Barry Grindrod said Idris acted speedily and decisively. In the last three years, he has slashed US$500 million costs at MAS.

Idris is on target for additional cuts of US$280 million in operational costs this year. Significantly, he has also restored morale in the carrier which was rock bottom when he joined the airline, Grindrod said.

He has quickly become one of the most highly respected chief executive officers in the industry worldwide, he said.

Previous winners of the award, which was established in 1999, include Chew Choong Seng from Singapore Airlines; Geoff Dixon, Qantas Airways; Jaime Bautista, Philippine Airlines; Kanok Abhiradee, Thai Airways International and David Turnbull, Cathay Pacific Airways.

Source: BERNAMA

AirAsia Aims To Secure 10 New Routes In India

December 01, 2008 19:37 PM

KUALA LUMPUR, Dec 1 (Bernama) -- Budget airline, AirAsia Bhd, is confident of getting 10 new routes in India in the next 18 months, says its group chief executive officer Datuk Seri Tony Fernandes.

He said the carrier had already launched its inaugural flight from Kuala Lumpur to Tiruchirappalli in south India.

"AirAsia received overwhelming response for the route. Barely a month after opening the ticket sales for the route, we recorded 100 percent load factor from Dec 1 to 18," he told reporters at the Low Cost Carrier Terminal in Sepang while waiting for the arrival of AirAsia's inaugural flight from Tiruchirappalli in south India.

"We are extremely proud of the soaring load factor for this new route. We have created new demands for the market and are very proud to service an under-served sector," he said.

AirAsia currently serves the route with direct daily flights using the 180-seater Airbus 320. Tiruchirappalli, located on the banks of Cauvery River, is the fourth largest city in Tamil Nadu.

The city, a thriving commercial centre in Tamil Nadu, is famous for artificial diamonds, cigars, handloom cloth, glass bangles, wooden and clay toys.

On flying to embattled Thailand, Fernandes said AirAsia had moved its flights from the Suvarnabhumi International Airport to other airports in Thailand.

He said the carrier flew a rescue flight from Kuala Lumpur to U-Tapao Naval Base in Bangkok for passengers stranded in Bangkok for the past few days.

Source: BERNAMA

MAS Adopts SITA Reservations System As Turnaround Enters New Phase

December 01, 2008 23:20 PM

KUALA LUMPUR, Dec 1 (Bernama) -- Malaysia Airlines (MAS) has replaced its in-house reservations system as part of its US$130 million (US$1=RM3.59) information technology (IT)-driven turnaround programme.

In a statement here Monday, managing director/chief executive officer, Datuk Seri Idris Jala, said it has adopted the system from SITA, the aviation IT specialist.

"SITAs Horizon portfolio has been crucial to our business turnaround and that is why we are now retiring our in-house reservations system and implementing SITA Reservations and Inventory," he said.

SITA chief executive officer, Francesco Violante, said MAS has said that they are counting on the company to help meet the challenges.

"Our Horizon offering has already made a considerable impact and we are looking forward to a successful implementation of the next phase," he said.

Under the 10-year contract, SITA has so far implemented e-Ticketing and an upgraded Departure Control System which allowed MAS to offer new self-service options to passengers including kiosk and web check-in.

MAS' fares strategy has also been re-engineered to include fares workflow, competitive monitoring and effective distribution, together with the provision of an easy-to-use Internet booking engine for the convenience of its 14 million passengers.

SITA has also helped to eliminate revenue leakage through an integrity and protection programme.

Source: BERNAMA

Sabah May Host Monsoon Cup Next Year - Azalina

November 30, 2008 17:27 PM

KOTA KINABALU, Nov 30 (Bernama) -- Sabah may host the Monsoon Cup Sailing Championship next year, said Tourism Minister Datuk Seri Azalina Othman Said.

She said the final decision rest with Prime Minister Datuk Seri Abdullah Ahmad Badawi.

The Tourism Ministry has proposed the event not to be held at the same place every year but instead rotated among certain states, Azalina told reporters after holding a dialogue with non-government organisations and Sabah tour and travel agencies at Sutera Harbour Resort here, Sunday.

"Datuk Masidi Manjun (Sabah Tourism, Culture and Environment Minister) and me will discuss the proposal with the prime minister at the closing of the Monsoon Cup in Terengganu early next month," said Azalina.

She cited Sutera Harbour Resort as a suitable venue for the event should Sabah host the championship as the hotel could accommodate the participants and visitors.

-- BERNAMA

New MAS Services Proposed To Promote Health-Tourism

November 30, 2008 21:21 PM

PENANG, Nov 30 (Bernama) -- The Health Ministry has proposed that Malaysia Airlines System (MAS) introduce direct flights from Penang to Thailand and Singapore aimed at boosting health-tourism in the state.

"I will write to Transport Minister Datuk Ong Tee Keat asking that MAS introduce new services to Thailand and Singapore," Health Minister Datuk Liow Tiong Lai told reporters here.

He said the new services would popularise Malaysia as a country that offers good health services in Asia.

On the Kuala Terengganu by-election, Liow who is MCA vice-president said the party would work hard to ensure that the 11 percent Chinese voters vote for Barisan Nasional (BN).

The parliamentary seat fell vacant with the death of Deputy Education Minister Datuk Razali Ismail on Friday.

Source: BERNAMA

AirAsia X Weighing Options For Europe

November 27, 2008 23:50 PM

From Muin Abdul Majid

LONDON, Nov 27 (Bernama) -- Malaysia's long-haul budget carrier AirAsia X is weighing its options for Europe following the London Stansted-Kuala Lumpur (KL) service which is set to take off on March 11, 2009.

"The big question is whether we put all our efforts into London and this becomes the hub for Europe, and from there (London) people can go off to France, Germany or other destinations, or whether we eventually have one place in central Europe, one place in eastern Europe, for example," said AirAsia group chief executive officer Datuk Seri Tony Fernandes.

"That's to be debated. (AirAsia X chief executive officer) Azran (Osman-Rani) and his team will look at it," he said at the London-KL route launch, with fares starting from 99 pounds each way.

Fernandes said he personally had mixed feelings about the matter.

"I think sometimes it's good to have a lot of frequency in one place and then farm it out. But it would be nice to say we're going to fly to Rome, Prague and so on. What makes financial sense will drive us," he said.

The airline chief said the next step would be to have daily flights between KL and London, and possibly introducing two flights a day for the sector.

AirAsia X is scheduled to fly five times weekly between the two cities using the Airbus A340 from Air Canada.

Meanwhile, Azran said he would definitely introduce daily flights to London if he could get a second A340 plane.

To a question, he expressed hope that the load factor for the London sector would hover in the 83 to 84 percent range.

"It works for us if it's in the mid-70s in terms of breaking even. Eighty percent is really good, but 84 and beyond is what I'm hoping for," he said.

Azran said Germany was a potential destination for AirAsia X.

Source: BERNAMA

Azalina: Some tourism offices abroad to close

2008/11/27

KUALA LUMPUR: Tourism Malaysia offices abroad risk closure if they do not bring in the projected number of tourists.

Tourism Minister Datuk Seri Azalina Othman Said said the move was necessary because maintaining the offices were expensive and if they failed to meet their target, they would have to be closed down.

"We won't hesitate to do this, if the market is slow and the numbers projected do not come through.

"For example, if the offices in New York and Los Angeles are not doing well because of the decline in tourists, we will ask them to close shop immediately," she said, adding that it would be better to focus on the more aggressive markets such as those in the Middle East.

There are 44 Tourism Malaysia offices abroad, among them in Guangzhou, China; Perth, Australia; and Seoul, Korea, besides those operating in New York and Los Angeles.
Azalina said a review of the offices abroad would begin from January next year, and if the targets were not met by March, they would be closed.

The minister was speaking at a press conference following an annual meeting with Tourism Malaysia overseas directors, to review next year's tourism marketing strategy and plans in light of the global economic slowdown.

"We are already changing our approach of promoting the country in our advertisements overseas by showing more visuals of unknown places such as Danau Labaung in Sabah.

She added that the ministry would also be announcing a new target number for next year's tourist arrivals during the cabinet meeting on Dec 3.

"The tourism consultative council will meet before that to deliberate on the issue.

"Earlier, the target was 22.9 million tourist arrivals. We will review this target, as we have a lot of factors to consider such as the economic crisis, which would affect the number of tourists."

On strategies to woo more tourists next year, Azalina said the ministry would focus more on collaborations with neighbouring countries and online marketing to promote Malaysia.

"We are also looking at suggestions by neighbouring countries such as Indonesia, Thailand and Singapore on reducing technicalities and adopting a more open policy for all our citizens."

Azalina also said that the ministry was planning to set up a Tourism Malaysia office in Tashkent, Uzbekistan.

Source: NST

Thai unrest: AirAsia, MAS stop flights to Bangkok

2008/11/27

KUALA LUMPUR: Malaysia Airlines and AirAsia temporarily stopped its operations into Bangkok beginning yesterday following the closure of the Suvarnabhumi International Airport after it was taken over by anti-government protesters.

Both airlines could not say when their flight operations would resume.

Low-cost carrier AirAsia called off 30 flights.

The routes include destinations connecting Bangkok to other cities in Thailand, as well as flights to and from Kuala Lumpur, Penang, Singapore, Macau, Jakarta, Ha-noi and Yangon.

AirAsia, in a statement posted on its website, said all affected passengers would receive a refund to be credited into their accounts.

Passengers were told that they could use their credit shell to redeem a seat on the next available flight to/from Bangkok within 3 days from their original date of travel. This is subject to the reopening of the airport and availability of seats.

Its corporate communications head, Hamdan Mohamad, said the company hoped its service would resume soon.

Malaysia Airlines said all its flights to Bangkok were cancelled but those to Phuket were operating.

Operations director Datuk Tajuden Abu Bakar said: "As the closure is indefinite, we are unable to advise when our flight operations will resume."

A Wisma Putra official in Kuala Lumpur said: "We advise those who want to go to Bangkok to reconsider doing so unless they have pressing reasons to go there."


Deputy chief of mission Syed Bakri Syed Abdul Rahman said all Malaysians in Bangkok were safe.

"There are about 370 Ma-laysians registered with the embassy.

"Some of them are students, but the majority are working here."

Syed Bakri said most areas in Bangkok were safe. "One would have to avoid the areas where people are demonstrating, but the greater part of Bangkok is fine.

"The demonstrators are not hostile to foreigners. Their anger is directed at the government and they are friendly to outsiders."

Source: NST

Malaysians stuck in Thailand

Thursday November 27, 2008

BANGKOK: At around 10am yesterday, as she was getting ready to return home to Malaysia, Dr Mary Makanjang received an SMS from AirAsia.

The SMS read: “Urgent. AK681 flight to Johor Baru has been cancelled because Suvarnabhumi Airport has been closed due to riot.”

“I was shocked as the situation in Bangkok was ‘cool’, nothing (untoward) was happening,” said the gynaecologist who is based in Kota Kinabalu.

Not knowing whether to believe the SMS, she called AirAsia and the Malaysian Embassy but could not get through.

She then called her Thai tour guide who confirmed that the People’s Alliance for Democracy protesters had seized the airport on Tuesday night.

“I panicked as I didn’t know when we could go back to Malaysia,” said the 38-year-old Malaysian, who was in Bangkok on holiday with her husband and two children aged eight and 11.

Dr Makanjang was also worried about the extra cost that she and her husband would incur.

“I don’t know what will happen next. I’m so afraid that something will happen that I dare not wander out of the Pratunam area where my family and I are staying.”

When she finally managed to speak to an AirAsia official she was told that the airline had rescheduled her flight to Friday.

“But AirAsia cannot guarantee that we will be able to board that flight as they don’t know when the airport will reopen,” she added.

The Star’s marketing services manager Fong Ten Chee and his family were more fortunate as they managed to get on a flight back home in the nick of time.

Had his taxi been 10 minutes late he would have been trapped at the airport that was shut down by demonstrators, some of whom were carrying weapons.

“I was a little concerned,” said Fong, 58, who was travelling with his wife and child.
Fong was on the way to the airport when his taxi driver told him protesters were converging on the old Don Muang International Airport.

“A friend then called him to say the protesters were making their way to the new airport,” he said.

Fong, who had been on holiday from Friday, said when his taxi got near the airport, there was tension and chaos.

“Traffic was at a standstill for at least 5km from the airport. The four-lane highway was reduced to a single lane as the rest was taken up by protesters.

Despite the chaos, the Fongs got through immigration and on the flight home.

Source: The Star

MAS and AirAsia cancel flights to and from Bangkok

Thursday November 27, 2008

KUALA LUMPUR: Malaysia Airlines (MAS) and AirAsia have cancelled flights into and out of Bangkok after Thai authorities closed Suvarnabhumi International Airport.

MAS operations director Datuk Tajuden Abu Bakar said that as the closure was indefinite, the airline was unable to say when flights would resume.

Tajuden advised customers in Malaysia to call 1-300-88-3000 for further updates. Passengers in Bangkok could call +662-2630572 or +662-1343184.

AirAsia, on its website, said all affected customers would automatically receive a refund via a credit shell.

The statement said the credit shell could be used to redeem a seat on the next available flight to or from Bangkok within three days from the passenger’s original date of travel, subject to the reopening of the airport in Bangkok and availability of seats.

It added that arrangements for the next flight to or from Bangkok must be done at the AirAsia sales counter at the respective airport of departure.

In George Town, Penang Thai Airways International general manager Niruth Sripawatakul said yesterday about 250 passengers who were supposed to board an 8.10am flight were turned back.

Source: The Star

It’s RM499 to fly to London on AirAsia X (updated)

Published: Tuesday November 25, 2008 MYT 7:04:00 PM
Updated: Tuesday November 25, 2008 MYT 9:54:48 PM

By CHOI TUCK WO

LONDON: It’s £99 or RM499 one-way – that’s the much-awaited opening fare of AirAsia X’s latest London Stansted-Kuala Lumpur route.

Malaysians flying to London will also pay RM499 for the return flight while travellers from London going to KLIA will pay £99 (RM541) for the return ticket.

Online bookings opened at 8pm Tuesday (Malaysian time) for the five-times-a-week direct flights which will begin in March.

Also on offer are premium seats at £549 or RM1,999. The initial bookings are for the travel period from March 11 till Oct 24 next year.

The AirAsia X flights will use Airbus A340 planes which will have 286 economy and 30 premium seats.

AirAsia X CEO Azran Osman-Rani made the announcement during the route launch at London’s County Hall featuring a special performance by five-member British girl band, The Saturdays.

“The London-Kuala Lumpur route is the realisation of a long-held ambition to open up affordable access between Malaysia and Europe for both the Asean and European communities,” AirAsia Group CEO Datuk Seri Tony Fernandes said.

Fernandes said with the airline’s comprehensive route network, the opportunity for Londoners and Europeans to explore Asean has never been greater.

“This new route will benefit all of Asean as it will encourage more economic and tourism activities, bringing in more revenue and creating job opportunities,” he said.

Azran described the London route as a significant achievement, allowing those who had always wanted to travel between Europe and Asean to achieve their dream at an affordable price.

Stansted Airport’s commercial and development director Nick Barton, who finalised discussions with AirAsia X, hailed the launch as a major milestone for low-cost, long-haul air travel around the world.

“This is set to be a hugely popular link for business and leisure travellers seeking affordable long-haul travel options,” he added.

The latest route is the first step for AirAsia to realise its European aspirations and boost Kuala Lumpur as the regional aviation hub and gateway into Asean, China and Australia.

With the launch, Europeans can now see more of Asia for less by tapping into the airline’s network to popular destinations such as Phuket, Borneo, Bali, Angkor Wat and Ho Chi Minh city.

To date, AirAsia X – the long-haul affiliate of AirAsia – flies to the Gold Coast, Perth and Melbourne in Australia, Hangzhou in China and now London, bringing the Asean brand to a global stage.

Stansted is Britain’s third busiest airport, with 22.8 million passengers passing through and many leading low-cost airlines making it their base.

Source: The Star

Airasia X's London Stansted-KL Service Takes Off On Mar 11, 2009

November 25, 2008 23:59 PM

By Muin Abdul Majid

LONDON, Nov 25 (Bernama) -- Malaysia's long-haul budget carrier, AirAsia X, today announced that its London Stansted-Kuala Lumpur service will take off on March 11, 2009, with fares starting from as low as 99 pounds(RM499) each way.

AirAsia Group chief executive officer, Datuk Seri Tony Fernandes, said AirAsia X's London-KL route was the realisation of a long-held ambition to open up affordable access between Malaysia and Europe for both Asean and European communities.

For the sector AirAsia X will use Airbus A340 for the five times weekly direct flights.

Fernandes said bookings would start at midday London time today until Nov 30 for the travel period of March 11, 2009 to Oct 24, 2009.

London would be AirAsia-X's fifth international destination after Gold Coast, Perth and Melbourne in Australia as well as Hangzhou in China, Fernandes told a news conference in conjunction with the sales launch of the new service at the London County here.

Also present at the event were AirAsia X chief executive officer Azran Osman-Rani and chairman Datuk Seri Kalimullah Hassan, as well as Malaysian High Commissioner to UK Datuk Abd Aziz Mohammed and representative from Stansted Airport.

Besides the 99 pounds fare for the economy seats, Fernandes said passengers also had the option to pay 549 pounds (RM1,999) for the XL seats respectively.

When asked on the timing of the launch now with the world facing an economic recession, he said the country needed some positive action and that entrepreneurs and corporations should do their bit in dealing with the situation.

"I am not going to sit there and cut everything and just say we are going to die. We are going to fight and find our way out of this recession," he said, adding that this was the time to "give back to the country."

"I could cut and make a bit more money but this has to be about being stronger after the recession."

Asked on what was next for the airline, Fernandes said he was aiming for daily service to London and possibly two flights a day.

Source: BERNAMA

No route cuts for MAS

Monday November 24, 2008

By B.K. SIDHU

Airline wants to make profit from every flight despite challenges

MALAYSIA Airlines (MAS) will make seasonal adjustments to its capacity but not scrap routes in the current economic slowdown.

It aims to make profit from every flight even though there are challenges such as a global lack of demand for passenger air travel, the threat of overcapacity and more competition that puts yields under pressure.

“We want to innovate and make the most of what we have. We look to survive but not cut routes and frequencies. We will make adjustments to meet our cost,’’ he told StarBiz.

Earlier this year, MAS announced a 6.4% reduction in capacity. MAS will make ad hoc adjustments to ensure that it retains a balance in network and fleet utilisation for supply and demand in air travel. The airline’s load factor is “still holding’’ at about 70%.

Newly-appointed senior general manager of sales Datuk Bernard Francis wants to beef up sales to grow market share.

To do that, he is reviewing the existing strategies as he feels there are opportunities even in a slowdown. Francis was assigned to his present post on Nov 1. He was previously senior general manager of network revenue management.

To grow its share of the market, he is segmentising the market, customising product offerings to the different market segments, broadening the distribution channels and revving up corporate sales.

“We want to create a lot of products and the biggest would be branding Malaysia as a centre for meetings, incentives, conventions and exhibitions (MICE).’’

Francis believes Malaysia has good infrastructure, facilities and services to support the MICE business. He wants to work with Tourism Malaysia to bring in quality customers.

MAS operates in nine regions inculding Malaysia. The others are Asean, Australia, North Asia, South Asia, Middle East and Africa, Britain, Europe and the Americas. Francis says in each region, the aim is to be the first or second player. “We want to anchor strongly in Malaysia even though we are already a dominant player here,’’ he said.

To be the lead player in a particular region means MAS must carry the most number of passengers from KL International Airport (KLIA) to the region.

Other than its lead position in the domestic market, Francis said MAS also carried the most number of passengers from KLIA to China, Europe and Asean countries but he did not provide the passenger numbers.

Francis said MAS would also review its products in greater detail in every single market.

“What is important is that we understand consumer needs and come up with products that cater to that market. Products (in future) will be differentiated. We want to customise them for the different market segments,’’ he said.

Products that MAS will continue to have are “everyday low fares and all inclusive fares.’’

Francis said these were popular products and MAS would consistently innovate and create offerings for the market.

“We will be offering more competitive fares so that we are able to give customers more choices,’’ he added.

To him, marketing should be taken to a new level at MAS. Online booking is becoming a popular option and MAS’ lowest fares are found online. But travel agents are still the biggest contributors to sales for the airlines, making up 80% of sales. Online sales bring in 7%. The rest is from MAS sales offices and centres.

“Travel agents are our important stakeholders and we want to further enhance the incentive programme that is in place.

“We will refine the programme to include all the 670 travel agents. The more they sell, the higher their incentives. MAS will track the agents’ performance from within,’’ Francis said.

Corporate sales is another big area that can grow further. MAS has 1,000 corporate customers and a team that will be pushing for corporate sales to hit 10% of total sales by end-2009 from 5% currently.

MAS’ sales division was previously regionalised but it has now been aligned to the headquarters for the airline to respond quickly to market dynamics. Francis believes he has an excellent team that can help the airline withstand the many challenges in the aviation sector.

“It is a rough patch but we will strive to survive with good leadership,’’ he said.

Source: The Star

AirAsia X gears up for London launch

20 November, 2008

KUALA LUMPUR - Malaysian low-cost carrier AirAsia X is due to announce the launch of flights from London Stansted to Kuala Lumpur next week.

The airline has called a press conference in London County Hall on November 25, claiming it will be announcing “massive news for London”.

It is believed the services from Stansted will launch early next year, with fares from around £350 return.

Air Asia X, part-owned by Sir Richard Branson, is a subsidiary of Air Asia, the region’s biggest low-cost airline.

CEO Tony Fernandes is flying to London for the launch.

By Bev Fearis

Travel Mole

A million visitors from China

2008/11/20

SHANGHAI: Malaysia's aggressive promotion in China is pushing tourist arrivals from the country closer to the one million target. The number of Chinese nationals visiting Malaysia between January and last month had already surpassed that for last year, Deputy Tourism Minister Datuk Seri Sulaiman Abdul Rahman Abdul Taib said yesterday.

"As of last month, we have received more than 800,000 visitors. An average of 70,000 come in every month." -- Bernama

Malaysia tops leisure travel list

2008/11/20

SHANGHAI: Malaysia garnered another industry accolade when it was voted the best leisure short-haul destination by the Travel Weekly publication. The award was received by Tourism Malaysia's international marketing director for Southeast Asia and Northeast Asia Chong Yoke Har at a dinner ceremony here on Tuesday before China's biggest industry show, the China International Travel Mart, opens here today.

Malaysia, Thailand and Hong Kong were the three shortlisted for the leisure short-haul market accolade, one of 47 awards presented by the magazine. A total of 600,000 votes were received for the awards. -- Bernama

Tony Says "No" To AirAsia Being A Full-fledged Cargo Operator

November 19, 2008 22:54 PM

KUALA LUMPUR, Nov 19 (Bernama) -- AirAsia Bhd is not considering being a full-fledged cargo operator, though the carrier has an extensive network, said its chief executive officer Datuk Seri Tony Fernandes.

"I leave that to MASkargo and Transmile. We have a lot of cargo space and certainly we will utilise it more," said Tony to reporters after a briefing on Tune Money Sdn Bhd today.

"We have a lot of initiatives that we are working on. We are looking at express cargo and online shopping to ship goods to people," he added.

Tony said AirAsia had an "amazing network" such as eight flights daily to Bangkok, whereby the company could utilise this to tap a hand carried courier business.

"We have helped a lot of cargo operators because if they want to send goods to Bandung, we will do it. We will be a good forward shipper to big cargo lines.

"But as a full-fledged cargo operator, no," he stated.

In the meantime, AirAsia, which has carried 60 million people to date, has plans to fly to Kazakhstan and Uzbekistan in the near future.

"We are working on it and will make an announcement in due course," said Tony.

-- BERNAMA

AirAsia May Fly To Uzbekistan, Says Abdullah

November 18, 2008 12:03 PM

From Jamaluddin Muhammad

TASHKENT (Uzbekistan), Nov 18 (Bernama) -- Low-cost carrier, AirAsia may fly to Uzbekistan in a move to establish air links between the two countries.

Prime Minister Datuk Seri Abdullah Ahmad Badawi said he had informed the AirAsia group chief executive officer Tony Fernandes on the matter and the latter had agreed to study it as soon as possible.

"Uzbekistan President Islam Karimov wanted us to establish air linkages and I think AirAsia could play that role as it is a low-cost carrier," Abdullah who is on a third-day of the four days official visit to this country told Malaysian journalist, here.

At the moment, Uzbekistan Airways flies twice a week to Malaysia and vice-versa while Malaysian Airlines cooperated with the airline through code-sharing basis.

On the lack of implementation of Memoranda of Understandings (MOUs) signed in the past, Abdullah believed the business climate in this country would improve as the country further liberalise its economy.

The MOUs include cooperations in the fields of air services, security and counter-terrorism, trade, tourism, mineral resources, information and communication technology.

Uzbekistan, the landlocked country located in Central Asia, gained independence in 1991 after breaking up from the Soviet Union.

Admitting it was quite difficult to deal import-export with landlocked country, Abdullah said both countries managed to increase their bilateral trade to US$40 million last year compared to US$12 million in 2006.

Malaysia's main export are vegetable oil, palm oil, electrical and electronic equipment, furniture, rubber products, printed material and leather produts while Uzbekistan's main export include cotton and air services.

Abdullah said although the trade figure increase significantly, the figure was still considered as small due to vast potentials of business opportunities both countries could offer.

For example, he said, Uzbekistan President was willing to offer more oil and gas concessions to Malaysian national oil company, Petronas, as it had shown tremendous capability in carry out its activities in the country.

Petronas has invested US$90 million thus far for exploration and oil and gas projects in four regions - Baisun, Aral Sea, Surkhanski and Urga.

Petronas investment in Uzbekisan in the next three years is estimated to be around US$150 million to US$200 million.

Abdullah said Petronas has also carried out its social responsibility project in this country by offering several scholarships to Uzbeks to study in oil and gas industry at the Universiti Teknologi Petronas in Malaysia.

Tourism he said was another potential areas for joint cooperation between the two countries as Uzbekistan could offer Islamic tourism package especially to visit Samarkand, city where Islamic civilisation began.

Source: BERNAMA

Firefly stopover service a big hit

Friday November 14, 2008

By CHOI TUCK WO

LONDON: Firefly is tapping the international stopover market by offering its much-touted “low-fare and incredible value” offer for long-haul travellers.

More than 20 international travel firms have registered with the airline to act as agents to provide stopovers in Malaysia.

Marketing and communications head Angelina Fernandez said the stopovers could allow the passengers to take the airline’s direct connecting flights to other domestic destinations or to Thailand and Indonesia.

She said they were overwhelmed by the response from travel agents from countries such as Britain, the United States, Sweden, Germany, Lebanon, Saudi Arabia and India.

“One agent from the Maldives even pledged to bring the first batch of travellers for stopovers in Subang and Penang next week,” she said at the four-day World Travel Market at Excel London which ends today.

Angelina said they had provided a new venue for travel agents who faced connecting problems domestically such as high costs, long travelling time and distance.

She also said agents were surprised with Firefly’s 20kg baggage allowance for domestic flights, compared with the usual 10kg or 15kg.

The airline also provided assigned seating and complimentary in-flight refreshments and snacks which were a welcome change for an airline offering low fares.

“We’re not a low-budget airline but we offer low fares at extremely incredible value.” Angelina said most agents requested for popular diving destinations such Redang, Perhentian, Penang, Bandar Aceh, Koh Samui, Phuket and Johor Baru.

She said they also offered competitive pricing where long-haul travellers could fly to any destination within Malaysia for as low as £10 (RM60).

From there, they could take connecting flights to Langkawi or Koh Samui for a few days, before flying to Terengganu or Medan

Source: The Star

Airasia X Sees Profitable Year Ahead

November 13, 2008 14:22 PM

From Salbiah Said

TOULOUSE (France), Nov 13 (Bernama) -- Long-haul budget carrier AirAsia X Sdn Bhd, which has well over RM300 million cash in hand, is set to turn in profits next year, says its chief executive officer Azran Osman-Rani.

"Probably within three to four months from operating our new planes, we will be profitable. With new planes, more passengers will fly," Azran said.

"Most important is cash flow and this is how we convince our financiers. We have been cash positive since April 2008," he said on board AirAsia Xs brand new Airbus A330 aircraft on its ferry (first) flight from Toulouse to Kuala Lumpur recently.

On Oct 31, AirAsia X took delivery of its first new A330-300 costing US$200 million (RM704 million), which is for its long-haul operation, linking Kuala Lumpur with destinations in Australia, North Asia, the Middle East and Europe, complementing the existing AirAsia network.

Launched in January 2007, the affiliate of low-cost AirAsia Bhd earlier this year placed an order for 25 Airbus A330 aircraft.

Powered by Rolls Royce Trent 700 engines, the carriers new A330 offers accommodation for 383 passengers in a two-class layout, with 355 seats in economy and 28 in the airlines new XL premium class. It is also equipped with the latest in-flight entertainment systems by Thales of UK.

Azran said the airline was also looking at local and foreign funds to finance the purchase of its 25 A330 planes, estimated at US$5 billion (RM17.6 billion). So far, financing for the first few planes had been secured.

In addition to its positive cash flow, he said AirAsia's branding helped the long-haul airline to seek funds in markets which were already badly hit by the credit crunch.

"When we presented to financial institutions in August, we were very fortunate because financiers in Europe had confidence in our brand. We had AirAsia," he said.

"End of August I was still in London. I was trying to convince the financiers. So much details you have to work through. Normally with aircraft financing you have to settle everything at least six weeks before delivery. We settled everything three and a half hours before take-off," he said.

"October 2008 will always be remembered when the (stock) market crashed. The timing couldn't have been worse. Nobody was supposed to lend. Nature of banks is that they only make money when they lend at higher rates. If you (banks) dont lend, you don't make money."

Despite reports of a global decline in passenger traffic, he said the carrier was still experiencing a strong forward bookings from November to March.

Azran said the second A330 will be delivered in mid-December, followed by three each in 2009 and 2010. The remaining planes are slotted for delivery up to 2013.

"With three planes next year, we can add five new destinations. We hope to fly to Japan, Korea, China, India and at least one more somewhere else," he said.

Azran said the carrier was on track to start its new flights to London in March. For its London flights, AirAsia X is in talks with three airports -- Stansted, Manchester and East Midlands.

"We have made all applications and everything looks positive. Hope to announce our sales launch in a months time.

"UK will be exciting as so many people are waiting for it... students, families, friends. To me, whats exciting is not just UK, I am interested in getting new markets," he said.

On its marketing efforts, Azran said unlike traditional airlines which had to wait for passengers to plan their holiday destinations, the low-cost long-haul carrier had to go the extra mile to woo people to travel to places where they never dreamt of going.

"It involves a lot of pull marketing. You've got to pull passengers in. For instance we have to collaborate more with tourism bodies, concert or sports organisers. We have to do a lot more marketing. Have to scratch our heads to find reasons for people to travel. We cannot wait for people to come to us. Thats why we use the media, celebrities to promote our airline.

"We have to keep finding new ways. I am particularly excited about our in-flight entertainment, a collaboration with Virgin Group of UK," he said.

"This is completely new for AirAsia. Nobody in AirAsia has experience in in-flight entertainment and this is the benefit for our collaboration with Virgin Group. Virgin Group installed this interactive in-flight system in its newly launched airline, Virgin America."

AirAsia X is 48 percent-owned by Aero Ventures (a venture of Tony Fernandes and several of his business associates), followed by 16 percent Virgin Group and 16 percent owned by AirAsia.

Bahrain-based Manara Consortium and Japan-based Orix Corp have taken a total 20 percent stake in the long-haul low-cost carrier.

"Instead of trying to figure out for ourselves and taking an existing model, we decided to invest in the latest state-of-the-art system," Azran said.

"Yet we did a few changes as we didnt want to have the CPU (central processing unit), but instead had the touch screen system which is easier to maintain. You can chat with anyone on board or charge your BlackBerry or your iPod by plugging to the USB (universal serial board) port. In future, you can even download content with some different applications," he said.

"We let people be engaged. The system also helps cost management. Even the simple act of service -- you just key in your order, say nasi lemak, and that order gets sent up to the cabin. The cabin crew gets a printout of the amount and comes back to you faster."

The new aircraft helps reduce costs from 4.0 cents per available seat kilometre (ASK) to 3.5 cents per ASK, which, he said, is significantly lower than the cost of 7.5 to 8.0 cents per ASK on traditional carriers.

"An all-new aircraft fleet gives us a strong differentiation against airlines that operate aged aircraft. The new aircraft will lower our fuel consumption and maintenance costs and enable us to raise our efficiency level by up to 30 percent. The new aircraft is the main factor in changing the global aviation industry," he said.

According to Azran, AirAsia X does not need the complexity of traditional airlines.

"There are many ways to save costs. Every single thing to goes into an airline operation, that is how much other airlines spend, all these things add. People, crew overnight in hotels, weight. Thats why you dont see us with big trolleys of newspapers, which carry a lot of weight," he said.

"People are not going to say I am not going to fly AirAsia X as there are no newspapers. But interesting thing is you can get them through the in-flight system. Just key in your order."

AirAsia X has said earlier that its cost savings that it passed on to passengers through low fares, are derived from maintaining a simple aircraft fleet and a route network based on low-cost airports, without complex code-sharing and other legacy overheads that weigh down traditional airlines.

A key principle of the AirAsia X business model is high frequency, point-to-point medium to long-haul services.

Covering destinations between four and eight hours in flight duration from Kuala Lumpur, AirAsia X complements AirAsia's current extensive route network.

Applying the point-to-point network, it says, also kept its operations simple and costs low.

"Code sharing with another airline involves massive amount of capex (capital expenditure), costs are high. Traditional legacy airlines invest hundreds of millions on computer systems, baggage clearing systems and payment systems. But you still lose your bags," Azran said.

"That system (code sharing) is not perfect. In today's age, people are more price-sensitive and Internet-savvy. They can build their own itinerary. They can buy three different tickets for example, Sydney-Gold Coast, they can fly Virgin; Gold Coast to KL they can fly AirAsia X and KL to Macau they can take AirAsia," he said.

"They can check in and out. Most people think Internet penetration in Asia is still low. But the reality is when you offer a good fare, people will find their own connection. If you don't have Internet connection, you can still book online. If they don't have credit cards, they can call their relatives to help. Because they buy their own, check in and out themselves, our operating costs are significantly lower. That's a huge advantage."

Meanwhile, the first A330 was used in AirAsia X's inaugural flight between Kuala Lumpur and Perth on Nov 2.

Since launching its commercial services in November last year, AirAsia X has operated its long-haul services to Hangzhou, China and Gold Coast, Australia with one leased A330.

The airline has since experienced surging passenger demand, recording sales of over 345,000 seats after almost a year in operation.

AirAsia X, which has flown over 200,000 people across Asia and Australia, now serves the Kuala Lumpur-Perth route with six direct return flights per week.

It plans to upgrade this schedule to a daily service by mid-December.

The long-haul budget carrier will also commence services between Kuala Lumpur and Melbourne on Nov 12 this year.

Source: BERNAMA

Nortel Solution To Support MAS Five-star Value Carrier Vision

November 12, 2008 21:37 PM

KUALA LUMPUR, Nov 12 (Bernama) -- Malaysia Airlines (MAS) has invested in a new communications solution from Nortel to support its vision of becoming a five-star value carrier by 2012.

A significant component of this transformation is the upgrading of the legacy information technology (IT) network infrastructure at MAS to enable and support strategic and critical airline business activity, Nortel said in a statement here Wednesday.

Nortel is a recognised leader in delivering communications capabilities that make business simple to its customers.

The company said its technologies are designed to help eliminate today's barrier to efficiency, speed and performance by simplifying networks and connecting people.

"Nortel's converged enterprise network solutions stood out from the crowd, providing a secure, future-proof and agile infrastructure that will support our ongoing business transformation through 2012 and beyond," said MAS chief information officer Faridah Abdul Rahman.

Nortel Malaysia general manager for channels and enterprise business, Bernard Chiang, said the Nortel solution will help MAS in achieving its five-star value carrier objectives.

The airline's new enterprise communications infrastructure is built around Nortel Ethernet Routing Switch 8600, a resilient terabit-class enterprise switch that scales to 384 Gigabit Ethernet ports.

SOurce: BERNAMA

MAS All Inclusive Low Fares Goes Global Sale Begins Thursday

November 12, 2008 20:56 PM

KUALA LUMPUR, Nov 12 (Bernama) -- Malaysia Airlines' (MAS) first All Inclusive Low Fares Goes Global sale begins Thursday for 66 domestic and international destinations.

One-way fares start from RM63 nett for domestic travel, RM158 nett for Asean and RM472 nett for international, MAS said in a statement here.

"Our sales for the recent All Inclusive Low Fares promotion showed a 400 percent increase, clearly demonstrating that customers loved our low fares, transparent pricing and recognised the value of flying five star," said MAS senior general manager, sales, Datuk Bernard Francis.

He also said MAS was also looking at offering all inclusive low fares for other destinations soon.

"We are dynamically pricing our fares to ensure that customers benefit from low fares and to stimulate travel," Bernard said.

Three million seats are on offer, covering destinations in Malaysia, Asean, the Asia Pacific, South Asia, Australia, the Americas and Europe.Customers can choose to travel from Kuala Lumpur and/or Kota Kinabalu.

The booking period starts from November 13-30 and the travel period is from November 20-September 30, 2009.

Source: BERNAMA

Tourism Malaysia Melbourne Concludes Roadshows In Victoria, Tasmania

November 12, 2008 11:22 AM

By Neville D'Cruz

MELBOURNE, Nov 12 (Bernama) -- Tourism Malaysia Melbourne has just concluded an outstanding roadshow to several provincial and regional centres in the states of Victoria and Tasmania.

The aim of the two-month campaign, backed by Malaysia Airlines (MAS), is to stimulate interest in travel to Malaysia and to highlight and showcase the destinations to the travel industry in the thriving and prosperous regional centres - away from the big cities.

The annual event, which began after Tourism Malaysia opened an office here in October 2005, has since grown in importance and has been well-received by regional travel agents and tour operators.

The Tourism Malaysia Melbourne office coordinated with several key wholesalers in the market to travel with the roadshows so that regional agents had access to their Malaysia product.

The wholesalers that took part were Creative Holidays, Malaysia Holidays, Discovering Borneo, Golden Holidays, Travel Indochina, Adventure Destinations, Explore Holidays, Freestyle Holidays, Adventure World and Viva Holidays.

The roadshows were held at Frankston, Geelong, Warrnambool, Traralgon, Shepparton, Bendigo and Ballarat, all in the state of Victoria, and Launceston and Hobart in Tasmania.

Agents from nearby towns attended the shows. A final event was held here on Oct 30. Comments from attendees were positive and encouraging.

"Another fabulous show from Tourism Malaysia," said Meryl Edwards of Travelscene in the petroleum-rich city of Sale, near Traralgon.

"Tuesday night was well organised and very informative for me. Malaysia is a place I would love to visit," said Chelsea Ambrose, from Travel Plus Travel Services of Warragul.

Brigette Richards, from Coopers Travel Centre in Bairnsdale, also near Traralgon, said: "I was the one at the end of the night begging and pleading for you to send me your presentation and any additional information to know more about Malaysia."

"It was great to catch up with some suppliers," said Jeff Dimand of FBI Travel in Melbourne.

Several travel agents said Tourism Malaysia having an office in Melbourne was very convenient for them and much appreciated.

At the roadshows, Tourism Malaysia and MAS gave presentations on airline products and destination information to enhance Malaysia products promoted by wholesalers.

The evenings were a tremendous success with many agents travelling over an hour to attend the shows.

Prizes in the way of accommodation prizes around Malaysia from such establishments as Shangri-la Hotels & Resorts, Parkroyal Hotels, Starwood Hotels, The Berjaya Group, GHM Group, Crowne Plaza Hotels, Holiday Inn Hotels, Sunway Hotels & Resort, Bayview Beach Resort Penang, Equatorial Hotel Group were offered as lucky prizes at the shows.

In addition, MAS sponsored return economy class tickets to Malaysia which were complimented by land touring prizes sponsored by Adventure World and Wildlife Expeditions, GAP Adventures, Adventure Destinations and Travel Indochina.

Source: BERNAMA

AirAsia Abolishes Fuel Surcharge

November 11, 2008 15:31 PM

KUALA LUMPUR, Nov 11 (Bernama) -- Low cost carrier AirAsia has abolished the fuel surcharge for all its domestic and international flights, starting Tuesday.

Passengers need now only pay fares, airport taxes and administration fees, said group chief executive officer Datuk Seri Tony Fernandes.

He also said that the airline would be focusing on aggressive marketing and low fares.

Fernandes however said that AirAsia could not guarantee that the surcharge would not be re-imposed if the oil price surged again.

The airline under its regional campaign is also giving away 500,000 free seats to all destinations from tomorrow until Nov 16 and for travel between June 22 and Oct 24, 2009.

Domestic Trade and Consumer Affairs Minister Datuk Shahrir Abdul Samad said the decision by AirAsia would have a positive impact on the ongoing price reduction campaign.

"Anything that reduces cost to consumers and keeps money in their pocket, gets my support," he added.

-- BERNAMA

AirAsia scraps fuel surcharge

MALAYSIAN budget carrier AirAsia has scrapped fuel surcharges on all its flights, including on long-haul carrier AirAsia X, in response to the decline in global oil prices.

AirAsia chief executive officer Datuk Tony Fernandes said the regional carrier’s fares will remain unchanged.

“We want to get rid of all surcharges and we have been able to ... be the first airline in the world that is completely getting rid of fuel surcharges,” he told reporters.

AirAsia stands to lose at least RM940 million in fuel surcharge revenues in 2009, as Fernandes predicts more than 20 million passengers will fly the airline next year.

AirAsia passengers pay an average fuel surcharge of RM47 (US$13) on each sector.

The carrier said passengers will still have to pay other taxes — a RM22.50 administration and insurance charge and airport tax of RM6.00 for domestic flights and RM25.00 on international routes.

It is also offering 500,000 free seats, with no fare or fuel surcharge, in a five-day campaign beginning midnight Wednesday for flights in the third quarter of 2009.

Fernandes said, however, that the fuel surcharge could return if oil prices surged again.

He said that although many airlines are cutting capacity as a result of an expected global recession, AirAsia is planning on increasing routes and capacity because of its low prices, high load factors and aggressive marketing.

“What we are doing is to produce more routes and lower prices to fight out of the (global) economic recession,” he said.

Fernandes said while scrapping the fuel surcharge is unlikely to affect the airline’s profitability, the carrier will initiate other programmes to make up for the loss of revenue. - AFP

No fuel surcharge and 500,000 free seats: AirAsia

Published: Tuesday November 11, 2008 MYT 4:37:00 PM
Updated: Tuesday November 11, 2008 MYT 8:46:18 PM

KUALA LUMPUR: All AirAsia and AirAsia X passengers will now no longer have to pay for the fuel surcharge for all local and international flights.

AirAsia Bhd group chief executive officer Datuk Seri Tony Fernandes said the move - effective Tuesday - would mean that passengers would now only have to pay for the fare, airport tax and administration fee when flying with them.

Fernandes explained that “getting rid of the fuel surcharge” would not affect the base rate of the air fare, but he could not guarantee that the airline would never re-impose the surcharge should world fuel prices skyrocket again.

“We're not increasing the base rate. It is what it is.

“But if fuel prices shoot up ... I’ll be crazy to say I’ll never add the fuel surcharge again. But we will resist for as long as we can,” he told reporters Tuesday after making the announcement here.

The check-in baggage handling fee, however, would be maintained as it was imposed not only because of rising fuel prices earlier this year.

“We did it (in April) for three reasons - fuel prices, to limit the number of luggage, and to be more environmentally-friendly.

“The lighter the plane is, the less emissions it will have,” he said.

Fernandes also announced that beginning Wednesday, the airline would be offering some 500,000 free seats to all AirAsia destinations.

The booking period is until Sunday, and the travel period for the free seats is from June 22 to Oct 24 next year.

“There are two ways to deal with a slow economy. You’ve got to give more value, and you’ve got to stimulate people to travel.

“That’s what we’re doing now,” he said.

On the fuel surcharge, he said that it had previously cost passengers an average of RM47 per person.

Asked how the he planned to deal with the impact by removing the fuel surcharge, he replied:

“Higher load factor and newer initiatives to increase our revenue will help cover it. We’re keeping our 76% load factor, while adding 20% more seats.

“We’ll look at other ways of increasing our revenue. The easiest drug is fuel surcharge but it also destroys the business.”

Also present at the announcement was Domestic Trade and Consumer Affairs Minister Datuk Shahrir Abdul Samad, who applauded AirAsia’s move.

SOurce: The Star

No Fuel Surcharge, Thai AirAsia Hopes To Carry More Passengers

November 11, 2008 17:20 PM

By D. Arul Rajoo

BANGKOK, Nov 11 (Bernama) -- With the prolonged Thai political crisis and worldwide economic slowdown hampering its business, Thai AirAsia hopes that the abolishment of fuel surcharge would enable it to achieve its target of 4.7 million passengers this year and expand its routes to Bali, Guangzhou and two Indian cities in 2009.

Its chief executive officer, Tassapon Bijleveld, said the number of passengers would rise as the cost of flying would be cheaper without the fuel surcharge, which was introduced when the jet fuel went above US$80 (US$1=RM3.54) per barrel and reached almost US$150 few months ago.

"Since the oil price has come down to between US$65 and US$70, we are doing away with the fuel surcharge. With this, we hope the cabin load factor will rise to between 80 and 90 percent within two months," he told a press conference here Tuesday.

Tassapon said he was confident that Thai AirAsia, 49 percent owned by AirAsia Bhd, would be able to carry 5.2 million passengers in 2009 despite the projected recession worldwide and the domestic political crisis which has affected the tourism industry.

He said the airline, which carried 10 million passengers since it started operations four years ago, was on track to expand its route to Bali in Indonesia and China's Guangzhou in January, as well as adding two cities in India in the second half of 2009.

Starting today, AirAsia, its subsidaries in Thailand and Indonesia, and AirAsia X would abolish the fuel surcharge for all its international and domestic flights. In Thailand, the fuel surcharge is 550 baht (100 baht=RM9.39) for domestic sector and 700 baht for international routes.

AirAsia is also giving away 500,000 free seats, including 65,000 in Thailand, with travelling period between June 22 and Oct 24, 2009.

Asked if the no-fuel surcharge would be a permanent feature, Tassapon said it would depend on the world oil price.

He ruled out introducing net price in their advertisement as passengers would get the chance to get a lower fare if they book early, as well as adding other extras like express boarding, insurance and check-in baggage.

"Passengers need only pay the administration fees, airport tax and the fare. The rest are optional," said Tassapon, adding that without the fuel surcharge, the company's revenue would not be affected as more passengers were expected to fly, as well as income from onboard services such as food and drink.

Thai AirAsia currently flies domestic routes from Bangkok to Chiang Mai, Chiang Rai, Hat Yai, Krabi, Narathiwat, Nakhorn Si Thammarat, Phuket, Surat Thani, Ubon Ratchathani and Udon Thani while overseas destinations includes Phnom Penh, Macau, Xiamen, Shenzen, Kuala Lumpur, Penang, Johor Baharu, Yangon, Singapore, Hanoi, Ho Chi Minh City and Hong Kong.

-- BERNAMA

Insufficient KL-London Flights By MAS Will Be Raised In Cabinet, Says Azalina

November 11, 2008 23:19 PM

From Haslinda Zainal

LONDON, Nov 11 (Bernama) -- The Tourism Ministry will bring up the matter of insufficient Kuala Lumpur-London flights by Malaysia Airlines (MAS) to the Cabinet, said its minister Datuk Seri Azalina Othman Said.

She said the problem had affected tourist arrivals from Europe and London.

"Now with global fuel prices at a very low level, MAS should use the opportunity to increase its flight frequency on the KL-London route," she told reporters after opening Tourism Malaysia's booth known as Malaysia Pavilion at the World Travel Market fair at the ExCel London exposition park here Tuesday.

It is understood MAS, which used to operate some 14 flights a week on the route, had reduced the frequency to between 10 and 12 a week.

Azalina said this and other shortcomings like expensive airfares had caused Malaysians and Europeans to opt for other airlines.

She said apart from this, the London-Langkawi and London-Penang routes that had been scrapped, would also raised in the Cabinet.

Azalina also said that despite the economic crunch the world was facing, tourist arrivals in Malaysia showed an increase of 4.8 per cent as of October.

She said tourist arrivals from Britain as of October was 303,569, an increase of 36.1 per cent compared to arrivals for the whole of last year from that country.

"The daily average spending of tourists from the United Kingdom amounted to RM3,500 and their average length of stay was 9.6 days. This augurs well for Malaysia," she added.

Source: BERNAMA

MAS To Further Reduce Fuel Surcharge

November 11, 2008 19:38 PM

KUALA LUMPUR, Nov 11 (Bernama) -- Malaysia Airlines (MAS) is looking to reduce its surcharge further to give customers the best value for their money, its senior general manager, sales, Datuk Bernard Francis, said Tuesday.

In response to enquiries on the national carrier's fuel surcharge, he said MAS has already reduced it by 50-73 percent for its all-inclusive low fares promotion, covering domestic travel, Asean, Australia and many other countries.

Customers loved the cheapest deals in town, and the airline's sales surged 400 percent, he said in a statement here Tuesday.

"We hear our customers loud and clear, and we are looking at reducing the surcharge further to continue to give customers what they want -- low fares plus five-star products and services, giving customers the best value for their money," he said.

Low-cost airline AirAsia Bhd has also abolished the fuel surcharge for all its domestic and international flights, effective Tuesday.

AirAsia, under its regional campaign, is also giving away 500,000 free seats to all destinations from tomorrow until Nov 16 for travel between June 22 and Oct 24, 2009.

Source: BERNAMA

The Man Who Dares To Dream

November 11, 2008 20:59 PM

From Salbiah Said

TOULOUSE (France) Nov 11 (Bernama) -- There he stood with his trademark red baseball cap sharing with his audience from Airbus, his "dream of the impossible" that has driven him to the front seat of the regions largest budget airline that is redefining travel in the Asia Pacific.

From zero experience in running an airline, Datuk Seri Tony Fernandes, group chief executive officer of AirAsia Bhd, can thank his lucky stars for making a dramatic change of direction to realise his vision of making travel affordable to Malaysians.

At the age of 37, Fernandes, who was vice-president for South-East Asia for Warner Music Group from 1992-2001, left the music industry to buy AirAsia, the then bankrupt carrier for a token sum of RM1.00.

"This dream that's happened today is due to your hard work," said Fernandes, as he thanked AirAsia staff, management and his partners and aircraft manufacturer Airbus for believing in his dream, at the official handing over of the first Airbus A330 for its low-cost long-haul affiliate, AirAsia X Sdn Bhd, in Toulouse, France recently.

The Airbus A330, costing US$200 million (US$1=RM3.54), is expected to significantly reduce the airlines fuel consumption and operating costs.

The ceremony, witnessed by Transport Minister Datuk Seri Ong Tee Keat, came just weeks after AirAsia switched the entire Malaysian operations to an all-Airbus A320 fleet.

Fernandes, 44, is often described as Richard Branson of Asian airlines and hailed as Asia's answer to easyJets Stelios. British billionaire Sir Richard Branson is founder of Virgin Group of UK while Sir Stelios Haji-Ionannou is founder of easyJet plc, a budget airliner based at London Luton airport.

AirAsia X, launched in January 2007, is 48 percent-owned by Aero Ventures (a venture of Tony Fernandes and several of his business associates), followed by 16 percent Virgin Group and 16 percent owned by AirAsia. Bahrain-based Manara Consortium and Japan-based Orix Corp have taken a total 20 percent stake in the long-haul low-cost carrier.

"We started with a small dream with AirAsia, two planes, 200,000 passengers a year. Six years later, we had 20 million passengers with more than 80 aircraft. Our eventual dream will be 60 million passengers in 2013 with 175 A320s.

"That dream was only for four hours (short haul). Today, with A330, and hopefully A350, we will be able to bring everyone to our magnificent hub in Kuala Lumpur from Europe, Africa and America. And really, we will make the world a small place," said Fernandes.

Fernandes founded Tune Air Sdn Bhd in 2001, with a vision to make air travel more affordable to Malaysians. With that in mind, Tony and his three partners in the same year bought over AirAsia from its owner DRB-HICOM.

"That same year along with some partners, I formed a partnership to set up Tune Air Sdn Bhd and bought AirAsia for a token sum of RM1.00. Subsequently AirAsia was remodelled into a low-cost carrier and by January 2002, our vision to make air travel more affordable for Malaysians and all Asians took flight," Fernandes says in his blog.

Under his leadership, the fledging airline with a RM40 million debt became a blooming, thriving business and has grown into the regions largest budget carrier operating more than 100 routes covering over 60 destinations.

From a two-aircraft operation of Boeing 737-300, AirAsia currently boasts a fleet of 72, and has to date carried more than 50 million passengers since its first day of operation.

"Today is the start of a dream my partners and I from the music industry had seven years ago, that is to make travel affordable, democratising travel to everyone. Hence, we came out with a tagline: 'Now Everyone Can Fly' (AirAsia). We did for the region. Today, we are in Stage Two 'Now Everyone Can Fly Xtra Long' (AirAsia X)."

AirAsia was established in 1993 by government-linked company DRB-HICOM, and started its operations in 1996, but was not successful. Air Asia was then bought by Fernandes in 2001 and he turned it around financially within a year.

The ceremony in Toulouse marked the first delivery of AirAsia Xs orders. The carrier placed earlier this year an order for 25 Airbus A330 aircraft to be delivered over the next five years. It is expected to receive its second carrier in December which would further lower its operating costs.

AirAsia has since 2005 placed 175 orders for A320s. To-date, 50 have been delivered.

The Airbus A330 is powered by Rolls Royce Trent 700 engines. The cabin has 383 black leather upholstery seats, with optional premium XL seats for extra width and leg room as well as the latest in-flight entertainment system featuring innovative contents and applications provided by Thales of UK.

To Airbus president and chief executive officer Tom Enders who was present at the historic event, Fernandes said: "We made a deal on the phone and sealed it past midnight in Malaysia. I look forward to a long relationship.

"We always say at AirAsia, dream the impossible. Its always good to dream, people will always knock you down, (saying that) I was crazy, can't be done. If you don't dream, some reality wont come true, wont happen. We encourage people to dream. From some dreams, reality will come.

"Today is a phenomenal reality for me. And we say believe the unbelievable. Who would think these guys from the music industry would revolutionise air travel in Asia. Keep on believing. Thanks to Airbus for supporting us in very troubled times," said Fernandes.

Enders, in his speech, described the event as another important milestone in the strong partnership between Airbus and the AirAsia Group.

"It is incredible to believe that it is less than four years since AirAsia placed its first order with Airbus. Since that time, the group has ordered a total of 200 aircraft from Airbus, including 175 A320s for the AirAsia short haul operation and 25 A330s for AirAsia X, making the group one of our largest airline customers," he said.

AirAsia X started its commercial service with its flight from Kuala Lumpur to the Gold Coast, Australia on Nov 2 2007, before adding the Kuala Lumpur-Hangzhou route in February 2008.

Exactly a year later, AirAsia X ushered in a new chapter of low-cost international travel by flying to its second Australian destination, Perth.

The inaugural AirAsia X flight between Kuala Lumpur and Perth touched down on Western Australian soil at 2.40pm on Nov 2 (Sunday), using the airlines brand new wide-bodied Airbus A330. The A330 was freshly delivered from the Airbus facility in Toulouse, France on Oct 31 (Friday).

AirAsia X now serves the Kuala Lumpur-Perth route with six direct return flights per week. The airline plans to upgrade this schedule to a daily service by mid-December. It will also commence services between Kuala Lumpur and Melbourne on Wedneday.

Source: BERNAMA

Malaysia Targets 300,000 Tourists From UK

November 11, 2008 00:52 AM

LONDON, Nov 10 (Bernama) -- Malaysia targets 300,000 tourist arrivals from the United Kingdom this year, said Tourism Malaysia director (UK and Ireland) Abdul Rauf Hassan.

He said the target could be achieved, as 274,000 tourist arrivals had been recorded from the UK till September.

"Last year, tourist arrivals from UK numbered 272,000. This year we project the number will reach 300,000," he told reporters when met at Tourism Malaysia's booth, known as the Malaysia Pavilion, at the World Travel Market (WTM) exposition at the ExCel Centre here Monday.

Abdul Rauf said the many promotion activities done by Tourism Malaysia especially in conjunction with the Visit Malaysia Year coupled with the many travel road shows undertaken by it had attracted many UK tourists to come to Malaysia.

He all states in Malaysia should participate in such activities so as to promote them to foreign tourists.

"As a by product they can also attract investors to their respective states," he said.

Abdul Rauf said for the WTM this year, apart from Malaysia Airlines, Air Asia, Sepang International Circuit, hotel operators and tour agencies, only six states - Kedah (Langkawi Geopark), Selangor, Perak, Penang, Terengganu and Sabah - took part.

He added that Tourism Malaysia targeted at least 50,000 people to come and visit the Malaysia Pavilion.

Some 650 exhibitors from 191 countries are promoting their tourism products at the four-day fair which opened on Monday.

Tourism Minister Datuk Seri Azalina Othman Said is scheduled to open the Malaysia Pavilion Tuesday.

Source: BERNAMA

Cheap, Quality Goods At Tawau's 'Pasar Rombengan'

November 10, 2008 14:58 PM

By Nashir Mansor

TAWAU, Nov 10 (Bernama) -- Are you looking for good quality hand-me-down apparels? Head for the pasar rombengan and you would not be disappointed with the goods offered here.

Just name any of the worlds leading brand names like Yves Saint Laurent, Polo Club, Lazenger, Giordano, Boss, Edwin, Nautica and many more. All of them are available here.

Men's and ladies wear like shirts, pants, sweaters, belts and shoes as well as roomwear including blankets, bed sheets and pillow cases bearing the famous signature varieties can be easily found at this bazaar.

Never mind the secondhand merchandise. They are in good condition and the bonus is that their price is ridiculously cheap.

Even members from the high levels of the society including those with the Datuk title could be seen patronising this bazaar, looking for items to satisfy their whims and fancies.

THREE MAIN LOCATIONS

This bazaar is well known as the wholesale trading centre in Sabah offering used clothing and household items. Tawau is the only district in the state that provides a special spot for this activity.

Similar activity is in existence at the weekly tamu or bazaars in other districts but the traders usually move around depending on the location of these markets.

Here, the pasar rombengan are spread over three localities -- Sabindo, Jalan Damai and Kampung Titingan that is also known as the Ice Box.

The market, which operates from 6/7am until 6pm daily, is immensely popular with patrons coming from outside Sabah and even as far as from Peninsular Malaysia across the South China Sea.

In Tawau, it is not a surprise if one hears residents joking with each other with words like:

"Cantik baju, beli di mana? (Nice shirt, where did you buy it?)

Di Rom (At Rom).

Betul bah (Is that so?)

"Ya, di Rombengan (Yes, at the Rombengan)

ARTISTES

"Many popular artistes in the country including the singers and actors patronise this market," said 45-year-old Bahri Shahrir, a trader at the market in Sabindo.

According to Bahri, professionals like lawyers could be regularly seen coming to the bazaar looking for the garment brands of their choice.

"Foreign tourists are also regulars here. Usually they come to take pictures or look for items that they want to acquire", he told Bernama at the market here.

Bahri, who has been trading at pasar rombengan for more than 10 years, said his income has been good and the market has the potential to be turned into a great tourist spot for Tawau.

"This market would be more attractive for the tourists if more facilities are provided, he said.

A trader at the Jalan Damai pasar rombengan, Dayang Syahilin, said initially she was only a patron at the market looking for secondhand garments.

However realising that selling used items could earn her a lucrative income, the 30-year-old decided to start a business there two years ago.

TOUGH JOB

In the initial weeks, the going was tough for her business, admitted Dayang, who earns between RM450 and RM600 from selling secondhand apparels at the market.

However Dayang's perseverance as well as encouragement and assistance given by her husband and children has managed to push her through the acid test.

"We obtain the supplies from an agent here. We purchase the clothes in bulk and each of the bundle costs between RM300 and RM800 depending on the type of items", she said.

The goods are sourced from various countries including Singapore, Korea, Japan, Taiwan and Australia.

According to Dayang, apart for the quality and relatively low price offered for the goods on sale, the other factor that pulls the people to patronise the market is that they can bargain for the items they are interested to buy.

A patron of the market, 45-year-old Jaudin Ganang said he came to know the markets existence from a family member who is a policeman in Tawau.

"He told me that if I am looking for cheap but good quality goods, then I should visit the pasar rombengan. Therefore I came here and found that goods offered for sale are attractive and cheap," said the Ranau-born Jaudin.

Source: BERNAMA

MAS/Boeing Offering Holiday Packages To Nine Lucky Winners At Global Online Sales

November 10, 2008 21:03 PM

KUALA LUMPUR, Nov 10 (Bernama) -- Buy one of Malaysia Airlines' tickets at its Global Online Sales which started today and you might be one of the nine lucky winners to walk home with a holiday package for two.

In providing its customers with more value for money, MAS has partnered Boeing to offer holiday packages to Rome, Kunming, Yogyakarta, Saigon and Bangkok.

Malaysia Airlines Senior General Manager Sales, Dato Bernard Francis said, "While we expect very encouraging response to the Global Online Sales offer, we are making it more exciting for our customers who purchase these offers."

"Not only will they get to plan early and buy tickets to the destinations of their choice, but also stand a chance to surprise themselves by winning our reputable Golden Holiday packages at absolutely no additional cost for yet another vacation," he said in a statement here today.

Participation is easy and simple. Customers just have to buy one ticket during the three-day day only sales which ends on Wednesday, November 12.

Tickets can be purchased at www.malaysiaairlines.com.

A total of 26 international destinations go on sale for three days only beginning Sunday until Wednesday, Nov 12 with Malaysia Airlines' Global Online Sales.

They include Xiamen and Kunming, Male and New Delhi, Dubai and Istanbul, Paris and London, as well as Sydney and Auckland with one way fares starting from as low as RM429.00 for Male and New Delhi, RM759.00 to Sydney, RM999.00 to Paris and RM1069.00 to London.

Fares do not include taxes and surcharges. All they need to do next is register their names, provide valid email addresses, answer a question and write a slogan to stand a chance to win the following prizes:

*1 First Prize: 6 days / 3 nights package to Rome.

* 2X Second Prizes: 4 days / 3 nights package to Kunming.

*2X Third Prizes: 4 days / 3 nights package to Yogyakarta.

*2X Fourth Prizes: 3 days / 2 nights package to Saigon.

*2X Fifth Prizes: 3 days / 2 nights package to Bangkok.

All the Golden Holidays holiday packages are for two persons.

The packages, valid till 31 March 2009, are inclusive of return economy class airfares, hotel accommodation with daily breakfast, and return airport transfers.

Another delight for the winners is airport taxes, insurance, fuel surcharges will be borne by Malaysia Airlines.

Contest results will be announced two weeks after the Global Online Sales period.

Source: BERNAMA

UK welcomes Malaysians

2008/11/06

KUALA LUMPUR: Genuine travellers from Malaysia are as welcome in Britain as they have always been.

This was the message from British High Commissioner Boyd McCleary in response to the media coverage of changes to the United Kingdom's visa arrangements.

He said Malaysia "is not being singled out" in the global changes to its visa application process.

"There is, for now at least, no general visa requirement for Malaysians. Malaysian visitors enjoy a six-month visa. Only those who plan to stay longer than six months to work or study require a visa," he said in a statement yesterday.

He also listed some of the changes in the way the British authorities manage its visa regime.
The UK is introducing a Points Based System for assessing visa applications similar to the system used by Australia. It will be introduced in stages. It is expected to simplify procedures by consolidating the 80 current routes for entry into the UK into just five main tiers, which does not mean that more people will require visas.

"Foreign nationals seeking to study, work or settle in the UK will still need to apply for a visa, as they currently do, but should find that the application process is more straightforward."

He said he UK was addressing the problem of illegal migration to the country.

"This separate process is called the Visa Waiver Test. We are working closely with the Malaysian authorities and are receiving excellent cooperation. A decision will be made on the outcome of this process early next year."

Source: NST

Call home from MAS flights

Wednesday November 5, 2008

PETALING JAYA: Passengers travelling on certain Malaysia Airlines flight will be able to use their mobile phones and Blackberry devices effective immediately.

MAS has teamed up with AeroMobile, the world’s leading in-flight mobile phone operator, to become the first carrier in Asia to offer inflight mobile phone and data services.

The lightweight system was installed on one MAS Boeing 777-200 aircraft.

That aircraft will operate the route to Tokyo’s Narita Airport as flight MH70 today and passengers on board will be able to use the service.

The service will cover selected European routes, Australia, and across the Asian region including China and Japan.

The facility has been extensively tested on the aircraft over the last few weeks, testing all aspects of the system inflight using stan–dard BlackBerrys and mobile phones.

Passengers can only use their mobile phones or Personal Digital Assistants (PDAs) during the “cruise” phase of the flight and would not affect the aircraft systems and ground telecommunication networks.

AeroMobile supports the general packet radio service (GPRS) mobile data to support BlackBerry and other “push e-mail” services including e-mail attachments, as well as voice calls and SMS.

All four Malaysian mobile operators have agreed to allow their customers to roam internationally on board the aircraft and users would be billed on their regular phone bills as with any other international roaming call.

The GPRS data feature exploits AeroMobile’s unique capability to operate BlackBerry and other e-mail services using Inmarsat’s Swift64 satellite system, which has been added to the trial B777 aircraft.

The aircraft was equipped with the system during a routine maintenance check, and has received aviation safety approvals from both the Malaysian Department of Civil Aviation and the European Aviation Safety Agency.

MAS managing director/CEO Datuk Seri Idris Jala said the service was part of its promise of a Five Star Value Carrier.

“The trial will be conducted for a period of time and if the evaluation findings are positive, we aim to have this facility fully operational in the remaining wide body aircraft of our fleet by next year,” he added.

SOurce: The Star

Fly direct to Koh Samui from KL

2008/11/05

KUALA LUMPUR: Now you can fly direct from Subang airport to Koh Samui on Firefly's new route for only RM180.

Firefly, a wholly-owned subsidiary of Malaysia Airlines, is flying direct from Subang airport to the Thai island four times a week.

The service was launched recently with an inaugural flight by the airline's new ATR72-500 turboprop aircraft.

Firefly head of communications and marketing Angelina Fernandez said: "We can now expect many first-time leisure travellers to Koh Samui from KL, now that we are connecting the capital of Malaysia directly through this route.

"More people will be able to experience what Koh Samui has to offer. We are also honoured to be able to encourage the people of Thailand to visit KL and Malaysia."

She said this new route would enable expatriates living in Malaysia to do their "visa runs" and at the same time take the opportunity to explore Malaysia via the new route.

"We expect Koh Samui to be one of our top Thailand destinations and we are happy to provide the service, which is why we have holiday packages via Firefly Holidays," she said.

Firefly Holidays packages start from as low as RM180 per person to RM 2800 for a three day, two night stay.

Firefly Holidays also takes group bookings of ten people or more. The airline also customises packages to suit the needs of clients.

Source: NST

AirAsia-X’s new Airbus from Perth hits a glitch

Tuesday November 4, 2008

By ROYCE CHEAH

SEPANG: The anticipated tour of AirAsia-X’s new Airbus A330 ended up as a computer slide show after the plane failed to touch down on schedule here due to a delay in its departure from Perth.

AirAsia-X chief executive officer, Azran Osman-Rani told the media, guests and AirAsia staff waiting at the low-cost carrier terminal (LCCT) here yesterday that the plane was delayed in the interests of safety.

The plane was to have touched down at the LCCT at 1pm but it only arrived hours later.

“Warning lights for a certain component lit up as the plane was flying here from Perth. The pilot then decided to return to Perth.

“Back there, the onboard computer system was restarted and everything was rechecked. This took six hours, including getting a new time slot to depart,” Azran said.

In an e-mail sent to The Star, a passenger claimed the plane had encountered hydraulic problems.

Asked if he was disappointed with the performance of the first Airbus A330 that AirAsia-X had acquired, Azran said such delays did not necessarily impact the ability of the plane to fly.

“We must test everything. Even if it is going to take three, six or 24 hours, I would not risk it for the safety of the passengers,” he said.

Azran said affected passengers, both from Kuala Lumpur and Perth, were provided with the necessary assistance such as replacement flights and hotel stays.

AirAsia-X had taken delivery of its first A330 on Friday in Toulouse, France. The delivery of the second A330 is expected in mid-December.

Yesterday was AirAsia-X’s first anniversary of commercial service.

SOurce: The Star

Betting on Singapore visitors

2008/11/04

MALACCA: It is going to be "an eye for an eye" for Malacca soon.

When the Eye On Malaysia here officially opens for business on Saturday at the Sungai Melaka rivermouth, the people behind this project along with the state government will be keeping a close eye on Singapore.

They rationalise that it is the Singaporeans who are going to take the Eye on Malaysia here to greater heights.

The more Singaporeans make a beeline for the historical city, the more the state and the project's other stakeholders are going to earn in revenue.

Eye On Malaysia chief operating officer Adam Yong Abdullah said their biggest market would comprise Singaporeans and Malaysians, followed by Indonesians and other foreigners visiting the state.

"We understand that Singapore has the tallest Ferris wheel in the world and a ride costs about RM80 per person. It will set a family of five back at least RM400 and for that amount, they can get a better deal here."

Yong added that many Singaporeans loved "hanging out" here during the weekends and school holidays.

Other attractions planned include a Malaysian International Space Adventure exhibit, the Strange World Screen (the world's largest water screen), two world-class restaurants -- the Eye Cafe and The Eye Seafood Restaurant -- and an entertainment park.

For the first year, Yong said 700,000 visitors were expected. "We would be happy with this figure, but the timing of the opening of the Eye is also important, as it is during the end of the year.

"For those in the tourism industry, the year-end school holiday period is the busiest time."

The Ferris wheel will be run by Eye On Malaysia Sdn Bhd, a joint venture between MST AD Suria and Kumpulan Melaka Bhd, the investment arm of the state government.

The investment here costs some RM50 million, including the RM6 million spent to buy the land on which the entertainment park site will be built.

Source: NST