Air Asia begins chartered flight

Air Asia begins chartered flight

KUALA LUMPUR (AFP): Malaysia's second national airline, Air
Asia, launched Saturday its inaugural chartered flight to
Pattaya, Thailand, with plans for flights to Europe and the
United States in three-to-five years.

Flying commercially as the Pacific Eagle, Air Asia will
initially make twice-weekly flights to Pattaya, as well as
Kaohsiung in Taiwan and Subic Bay in the Philippines, officials
said at the launch, which came after a two-year delay.

Malaysia's Transport Minister Ling Liong Sik said at the
launch of the inaugural flight using Boeing 737-300 aircraft that
operations would be expanded to Europe and the United States in
the next three to five years.

"The airline will have gained enough experience and expertise
by then to penetrate into more challenging international routes,"
Ling said, when launching the flight at the Kuala Lumpur
international airport at Subang, outside the federal capital.

Air Asia officials said the carrier planned to expand its
routes to Port Moresby, Papua New Guinea, Sulawesi in Indonesia
and Chiangmai and Phuket in Thailand by next April.

It would handle regional routes before going global, they
said, adding that it was eyeing routes to China, India,
Bangladesh and Sri Lanka.

Air Asia was to have commenced services two years ago but was
grounded after Malaysia Airline System Bhd., the first national
airline company, had declined to share some of its regional
routes with the second airline.

Ling said it was imperative for airline companies to look into
new and viable sectors of operations in view of the wide air
travel market and vast areas that could be exploited.

Airlines should plan ahead and capitalize on the increasing
passenger volume particularly in the Asia-Pacific region, which
is forecast to record an annual growth rate of 7.5 percent
between 1995 and 2000.

The passenger volume is expected to grow by seven percent
annually from the year 2001 to 2010, Ling said.

He said the airline could also tap the Asia-Pacific market
after obtaining landing rights from countries in that region.

Heavy Industries Corporation of Malaysia (HICOM) Bhd holds 85
percent equity while local aviation firm, Mofaz Sdn Bhd, holds
the remaining 15 percent in Air Asia, which was incorporated in
late 1993.