Excerpt from their press release sent out on 30 May 2006:
FAX (Fly Asian Express) to harness new business and tourism potentials for Turbo Prop operations
Sepang – AirAsia today announced plans to subcontract operations of the turbo prop services (rural air services) to a new airline, FAX (Fly Asian Xpress). FAX is presently obtaining the necessary regulatory approvals to commence operations on 1st August 2006, following domestic rationalisation and Malaysia Airlines’ (MAS) withdrawal from these routes.
In tandem with the Government’s decision, AirAsia would transfer the day-to-day operations of the Fokker 50s and Twin Otters services to FAX and monitor the performance of this new setup.
Following the transfer, the previously coined rural air services operations will be reclassified as Turbo Prop operations. The new company will operate 6 Fokker 50s and 5 Twin Otters. Flights will commence from 1st August 2006.
One should not fault AirAsia. These guys got guts and got ideas. Like all true businessmen, they are willing to pay for favours.
This is where Mas is a dead goose. When AA is offering more and more goodies, Mas is taking away even basic things like refreshments, newspapers and magazines.
AA pays for favours and get paid for them in return. Mas has to do favours to cabinet ministers, chief ministers and Raja-Raja without being paid.
I have given up on Mas on international routes a long time ago. Mas has priced me out of its services.
I hope the Government does not play games with either Mas or AA simply to keep those homo sapiens in Parliament happy.
There's a very good reason for FAX to come into the picture. FAX belongs to the top guns of AA. The very reason why they form FAX is probably they have anticipated that the routes would be suffering loss. Therefore, they have to form another company to take the loss as so not to affect AA's profit. If AA's profit is affected, AA will have to answer not only to its shareholders but also to SC, which can place them under PN4 status (which means their shares are suspended). The risk is too high, therefore they took it themselves.
Shan Lee, You are right...those routes are lossing money routes. I do not know if FAX is using the aircrafts formerly operated by MAS, if it is so, those are old aircrafts and need a lot of maintenance.
What is happening to our domestic airlines routes. Can AA or MAS simply subcontract these sectors to the highest bidder??.. Scary...
ReplyDeleteWhat is happening to our domestic airlines routes. Can AA or MAS simply subcontract these sectors to the highest bidder??.. Scary...
ReplyDeletepls check your facts. ...kalau tak, makin ramai ler orang hilang kepercayaan kat wartawan, main hentam je ...
ReplyDeleteExcerpt from their press release sent out on 30 May 2006:
ReplyDeleteFAX (Fly Asian Express) to harness new business and tourism potentials for Turbo Prop operations
Sepang – AirAsia today announced plans to subcontract operations of the turbo prop services (rural air services) to a new airline, FAX (Fly Asian Xpress). FAX is presently obtaining the necessary regulatory approvals to commence operations on 1st August 2006, following domestic rationalisation and Malaysia Airlines’ (MAS) withdrawal from these routes.
In tandem with the Government’s decision, AirAsia would transfer the day-to-day operations of the Fokker 50s and Twin Otters services to FAX and monitor the performance of this new setup.
Following the transfer, the previously coined rural air services operations will be reclassified as Turbo Prop operations. The new company will operate 6 Fokker 50s and 5 Twin Otters. Flights will commence from 1st August 2006.
Syabbassss
ReplyDeleteMalaysia Boleh. Boleh segala-gala nya.
One should not fault AirAsia. These guys got guts and got ideas. Like all true businessmen, they are willing to pay for favours.
ReplyDeleteThis is where Mas is a dead goose. When AA is offering more and more goodies, Mas is taking away even basic things like refreshments, newspapers and magazines.
AA pays for favours and get paid for them in return. Mas has to do favours to cabinet ministers, chief ministers and Raja-Raja without being paid.
I have given up on Mas on international routes a long time ago. Mas has priced me out of its services.
I hope the Government does not play games with either Mas or AA simply to keep those homo sapiens in Parliament happy.
"I came here by FAX!"
ReplyDeleteThe next time you reached Sabah or Sarawak, then watch your friends laughed.
There's a very good reason for FAX to come into the picture. FAX belongs to the top guns of AA. The very reason why they form FAX is probably they have anticipated that the routes would be suffering loss. Therefore, they have to form another company to take the loss as so not to affect AA's profit. If AA's profit is affected, AA will have to answer not only to its shareholders but also to SC, which can place them under PN4 status (which means their shares are suspended). The risk is too high, therefore they took it themselves.
ReplyDeleteShan Lee, You are right...those routes are lossing money routes. I do not know if FAX is using the aircrafts formerly operated by MAS, if it is so, those are old aircrafts and need a lot of maintenance.
ReplyDelete