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.