New budget airline from Malaysia to fly to India, China and Europe

Malaysian domestic airline FlyAsianXpress (FAX) and low-cost airline AirAsia have shared plans of launching a low-cost long-haul service, AirAsia X in July this year... (1/5/2007)Malaysian domestic airline FlyAsianXpress (FAX) and low-cost airline AirAsia have shared plans of launching a low-cost long-haul service, AirAsia X in July this year. The proposed airline will fly to destinations in India, China and Europe. “AirAsia X will fast-track Malaysia into a global low-cost travel hub when it commences operations in July 2007,” FlyAsianXpress said in a statement. As per the information available, FlyAsianXpress is an unlisted rural air service that flies to the eastern Malaysian states of Sabah and Sarawak and is controlled by the major owners of low-cost carrier AirAsia Bhd. Raja Mohamad Azmi Raja Razali, the chief executive officer of FAX, signed a memorandum of understanding with AirAsia, sealing a cooperation which allows AirAsia to franchise its brand to FAX. “The launch of AirAsia X will bring independence to the long haul low-cost traveller, by providing a choice of service for their long-haul travel requirements,” AirAsia chief executive Tony Fernandes reportedly said. The first flight from Kuala Lumpur to Europe is scheduled for July, with the cheapest ticket fare going at US$2.7 one-way. The company is targeting 500,000 passengers in its first year of operations. AirAsia X will begin operations with three airplanes, but has plans to increase its fleet to 20 within the first year of operations, Fernandes reportedly said. Speaking to media, Fernandes acknowleged that talks were underway between AirAsia and Virgin and EasyJet to form the world’s first low-cost global network. “Many ideas and thoughts are being exchanged,” he said. “The timing for a world-class (budget airline) network is not very far away.”

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