The Edge Daily
6 May 2008
PETALING JAYA: As Malaysian Airline System Bhd (MAS) launched an initiative to offer zero- or low-fare seats, AirAsia Bhd has fought back by submitting applications to the transport ministry yesterday to run six additional daily flights to Singapore out of its hub in the low-cost carrier (LCC) terminal in Sepang.
In addition, AirAsia had also applied to fly to Singapore out of Langkawi, Penang, Kota Bharu, Kuala Terengganu, Kuching and Kota Kinabalu, its group chief executive officer Datuk Tony Fernandes said.
“There is no reason why we shouldn’t be given these routes to Singapore,” he told The Edge Financial Daily via telephone yesterday. Fernandes, who was in London, was responding to MAS’s move to offer low fares, an attempt seen to tap the market currently dominated by AirAsia.
“We have no problem with competition, provided it’s fair competition,” he said, “Idris cannot say anymore that AirAsia shouldn’t compete with MAS on the KL-Singapore route.”
“You want to compete, then open it up completely. We want them (more flight frequencies to Singapore) now,” Fernandes added.
The KL-Singapore route was partially open to low-cost carriers (LCC), namely AirAsia and Tiger Airways, on Feb 1. AirAsia now operates four flights a day to and from Singapore.
>>>> More
