AirAsia to begin flights to Indonesia

The Jakarta Post, Jakarta

Malaysia's AirAsia will introduce flights from Kuala Lumpur and Johor Bahru to Jakarta, Bandung and Surabaya, as it seeks to become one of the leading no-frills airlines in Southeast Asia.

The airline has also struck deals with state Bank Tabungan Negara (BTN) and state-owned postal company PT Pos Indonesia to provide payment and reservation facilities for passengers.

AirAsia chief executive officer Tony Fernandes said Indonesia was the third international destination for the airline after Thailand and Singapore.

"Indonesia, as AirAsia's third international development, is in line with the company's plan to turn AirAsia into an ASEAN (Association of Southeast Asian Nations) brand," Tony said in a press release.

Flights from Jakarta to Johor Baru will begin on April 1, while flights from Kuala Lumpur to Bandung and to Surabaya will begin on April 12 and April 15, respectively.

One-way tickets from Jakarta to Johor Baru, which is the closest Malaysian destination to Singapore, will start as low as Rp 293,999 (US$34). In comparison, a one-way ticket from Jakarta to Singapore now costs about $100.

"We are targeting customers who never fly and would like to see cheaper airline tickets," Fernandes said.

The company plans to attract 250,000 passengers in the Indonesian this year.

Passengers will be able to make reservations and payments at BTN branches and PT Pos offices in Bandung and Surabaya, or through AirAsia's call center, sales office and website.

"The 207 postal outlets in Indonesia that have been connected online will enable PT Pos to provide communication services and financial transactions quickly and accurately," PT Pos president Alinafiah said in a statement.

Launched in 2001 as the first no-frills airline in Asia, AirAsia currently operates 15 aircraft, making 100 flights daily and carrying more than four million passengers annually.