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Air Asia Airline

Overview

AirAsia is based in Malaysia, Kuala Lumpur and is popular as a low-cost airline. This airline operates domestic and international flights as no frills airline. It is the first airline in this region implementing unassigned seats.

AirAsia is constantly expanding and is very popular among travelers owing to its low fare deals.

History

AirAsia was launched in 1993 and initiated its operations in 1996 on 18 November. It was established by DRB-Hicom, a government-owned conglomerate. In the year 2001, on 2 December, this airline was heavily-indebted and was purchased by Tony Fernandes's company, the former Time Warner executive for one ringgit as a token sum.

The initial offer was fifty sen and this amount was issued after great deliberation. Fernandes proceeded making a remarkable turnaround of profit in 2002 and launched new routes from Kuala Lumpur International Airport as it main hub at breakneck speed offering very low fares as promotional fares.

Progress

AirAsia in 2003 opened another hub at Senai International Airport near Singapore and launched its foremost international flight to Bangkok. Later, AirAsia flights commenced to Indonesia from Singapore and in June 2004, Flights to Macau began operating, while in the year 2005, flights to Philippines and China started and was followed by Cambodia, Vietnam, and in 2006 to Myanmar and Brunei.

The CEO of AirAsia unveiled a five year plan and strengthened its network by connecting its existing cities and thereby expanding into Indonesia, Indochina, Southern China and India.

It will develop in Jakarta and Bangkok hubs through sister companies, Indonesia AirAsia and Thai AirAsia.

Reputation

AirAsia has created a reputation by winning in 2009 and 2010 the Skytrax low-cost airline award. It had the lowest operating cost in 2010 at $0.035/kilometer/seat and was the pioneer airline implementing ticketless system of air travel.

AirAsia operates with lowest unit cost and no frills attached are its specialization increasing its reputation.