Thai AirAsia
Encyclopedia
Thai AirAsia is a joint venture of Malaysian low-fare airline AirAsia
and Thailand's Asia Aviation. It serves AirAsia's regularly scheduled domestic and international flights from Bangkok and other cities in Thailand
.
Thai AirAsia is the only low-cost airline operating both domestic and international flights from the Suvarnabhumi Airport
.
In Thailand
its the sponsor of football teams Buriram PEA, Muangthong United, Chonburi, Osotspa Saraburi, BEC Tero Sasana, Chiangrai UTD, Samut Prakan CUTD, Suphanburi, FC Phuket and Krabi.
and AirAsia founder Tony Fernandes
.
In order to be licensed in Thailand as a domestic carrier, 51% of the company must be owned by Thai shareholders. The sale of Shin Corp. stock
in January 2006 by the now self-imposed exiled ex-Thai Prime Minister
Thaksin Shinawatra
's family to Singapore
’s Temasek Holdings
put this Thai majority stake in jeopardy.
On 15 February 2006 it was announced that Asia Aviation, a registered Thai company, had taken Shin Corp.’s 50% stake in Thai AirAsia. Asia Aviation was a joint venture set up by Shin Corp., which held 49% of Asia Aviation's shares while 51% was held by Thai investor Sittichai Veerathammanoon.
In May 2007, Thai AirAsia's management acquired 100% of Asia Aviation. Today, Thai AirAsia is 50% owned by Asia Aviation, 49% owned by AirAsia, and 1% owned by Thai AirAsia CEO Tassapon Bijleveld.
On 12 November 2008 Thai AirAsia, along with their parent company, AirAsia, abolished fuel surcharges. In doing so claimed to be the ‘first airline in the world to abolish fuel surcharges.’
While other airlines are downsizing in line with a slowdown in travel demand triggered by global economic meltdown, budget carrier Thai AirAsia is to expand its operations in year 2009. It is targets carrying about 1 million more passengers, adding four new jets and introducing up to six new routes in India and China, while maintaining existing frequencies and routes in year 2009.
Thai AirAsia is optimistic that it can turn its balance sheet around with "good profit" in 2009. This would be a major recovery from 2008, when it was hit by a "significant" loss in fuel hedging and the Bangkok airport closure crisis.
“There should be a smile on our face in 2009,” Tassapon Bijleveld, chief executive of Thai AirAsia said yesterday, referring to profitability. He declined to confirm whether the airline would report a loss last year, although he indicated that its balance sheets had been significantly impacted by negative factors.
Thai AirAsia reportedly betted heavily on short- and long-term hedging contracts in 2008 when oil prices shot through the roof before collapsing around the end of the year.The airline stopped new hedging arrangements towards the end of 2008 though it is still burdened with previous contracts.
The carrier filled 76–78% of its seats in January 2009 and projects an average load factor of 85% for all 2009. Also in the same month, the airline received first of four new A320
airliners, raising its current fleet to 15 aircraft. The remaining three planes are scheduled to join Thai AirAsia’s operations later part of year 2009.
With additional aircraft, Thai AirAsia will raise its capacity by about 30%. The carrier targets carrying 5.1 million passengers in 2009, up from 4.2 million recorded in 2008.
The new jetliners will be essentially used to operate Thai AirAsia's planned new routes, two or three will each be assigned to India and China. The Thai AirAsia chief declined to name the planned cities but said they are within a radius of 3–4 flight hours from Bangkok.
Its international destinations are Singapore, Hanoi, Ho Chi Minh, Phnom Penh, Yangon, Kuala Lumpur
, Penang
, Bali, Guangzhou, Shenzhen, Hong Kong and Macau. It also has daily flights between Phuket and Singapore as well as Hong Kong. It has announced plans to fly to more cities in China and to Kathmandu in Nepal, Clark in the Philippines among others.
Most the airline's international routes connect to Bangkok; all flights on these are served at Suvarnabhumi International Airport.
AirAsia
AirAsia Berhad is a Malaysian-based low-cost airline. AirAsia is Asia's largest low-fare, no-frills airline and a pioneer of low-cost travel in Asia. AirAsia group operates scheduled domestic and international flights to over 400 destinations spanning 25 countries. Its main hub is the Low-Cost...
and Thailand's Asia Aviation. It serves AirAsia's regularly scheduled domestic and international flights from Bangkok and other cities in Thailand
Thailand
Thailand , officially the Kingdom of Thailand , formerly known as Siam , is a country located at the centre of the Indochina peninsula and Southeast Asia. It is bordered to the north by Burma and Laos, to the east by Laos and Cambodia, to the south by the Gulf of Thailand and Malaysia, and to the...
.
Thai AirAsia is the only low-cost airline operating both domestic and international flights from the Suvarnabhumi Airport
Suvarnabhumi Airport
Suvarnabhumi Airport , also known as Bangkok International Airport, is an international airport serving Bangkok, Thailand. It was officially opened for limited domestic flight service on 15 September 2006, and opened for most domestic and all international commercial flights on 28 September...
.
In Thailand
Thailand
Thailand , officially the Kingdom of Thailand , formerly known as Siam , is a country located at the centre of the Indochina peninsula and Southeast Asia. It is bordered to the north by Burma and Laos, to the east by Laos and Cambodia, to the south by the Gulf of Thailand and Malaysia, and to the...
its the sponsor of football teams Buriram PEA, Muangthong United, Chonburi, Osotspa Saraburi, BEC Tero Sasana, Chiangrai UTD, Samut Prakan CUTD, Suphanburi, FC Phuket and Krabi.
History
Thai AirAsia launched domestic operations on February 2004. It was set up as a joint venture by Shin CorporationShin Corporation
Shin Corporation is one of the largest conglomerates in Thailand.- History :It was founded in 1983 as Shinawatra Computer by Thaksin Shinawatra, former Prime Minister of Thailand, and took on its current name in 1999, by using the first four letters of his last name...
and AirAsia founder Tony Fernandes
Tony Fernandes
Tan Sri Anthony Francis Fernandes CBE is a Malaysian entrepreneur and the founder of Tune Air Sdn. Bhd., who introduced the first budget no-frills airline, AirAsia, to Malaysians with the tagline "Now everyone can fly"...
.
Thaksin Shinawatra $1.88 billion deal controversy
The 2006 sale of the Shinawatra family's share of Shin Corporation to Temasek Holdings caused great controversy in Thailand. The sale was in response to long-standing criticisms that the Shinawatra family's holdings created a conflict of interest for Thai Prime Minister Thaksin Shinawatra...
in January 2006 by the now self-imposed exiled ex-Thai Prime Minister
Prime minister
A prime minister is the most senior minister of cabinet in the executive branch of government in a parliamentary system. In many systems, the prime minister selects and may dismiss other members of the cabinet, and allocates posts to members within the government. In most systems, the prime...
Thaksin Shinawatra
Thaksin Shinawatra
Thaksin Shinawatra is a Thai businessman and politician, who was Prime Minister of Thailand from 2001 to 2006, when he was overthrown in a military coup....
's family to Singapore
Singapore
Singapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...
’s Temasek Holdings
Temasek Holdings
Temasek Holdings is an investment company owned by the government of Singapore. With an international staff of 380 people, it manages a portfolio of about S$193 billion at end of March 2011, focused primarily in Asia...
put this Thai majority stake in jeopardy.
On 15 February 2006 it was announced that Asia Aviation, a registered Thai company, had taken Shin Corp.’s 50% stake in Thai AirAsia. Asia Aviation was a joint venture set up by Shin Corp., which held 49% of Asia Aviation's shares while 51% was held by Thai investor Sittichai Veerathammanoon.
In May 2007, Thai AirAsia's management acquired 100% of Asia Aviation. Today, Thai AirAsia is 50% owned by Asia Aviation, 49% owned by AirAsia, and 1% owned by Thai AirAsia CEO Tassapon Bijleveld.
On 12 November 2008 Thai AirAsia, along with their parent company, AirAsia, abolished fuel surcharges. In doing so claimed to be the ‘first airline in the world to abolish fuel surcharges.’
While other airlines are downsizing in line with a slowdown in travel demand triggered by global economic meltdown, budget carrier Thai AirAsia is to expand its operations in year 2009. It is targets carrying about 1 million more passengers, adding four new jets and introducing up to six new routes in India and China, while maintaining existing frequencies and routes in year 2009.
Thai AirAsia is optimistic that it can turn its balance sheet around with "good profit" in 2009. This would be a major recovery from 2008, when it was hit by a "significant" loss in fuel hedging and the Bangkok airport closure crisis.
“There should be a smile on our face in 2009,” Tassapon Bijleveld, chief executive of Thai AirAsia said yesterday, referring to profitability. He declined to confirm whether the airline would report a loss last year, although he indicated that its balance sheets had been significantly impacted by negative factors.
Thai AirAsia reportedly betted heavily on short- and long-term hedging contracts in 2008 when oil prices shot through the roof before collapsing around the end of the year.The airline stopped new hedging arrangements towards the end of 2008 though it is still burdened with previous contracts.
The carrier filled 76–78% of its seats in January 2009 and projects an average load factor of 85% for all 2009. Also in the same month, the airline received first of four new A320
Airbus A320
The Airbus A320 family is a family of short- to medium-range, narrow-body, commercial passenger jet airliners manufactured by Airbus Industrie.Airbus was originally a consortium of European aerospace companies, and is now fully owned by EADS. Airbus's name has been Airbus SAS since 2001...
airliners, raising its current fleet to 15 aircraft. The remaining three planes are scheduled to join Thai AirAsia’s operations later part of year 2009.
With additional aircraft, Thai AirAsia will raise its capacity by about 30%. The carrier targets carrying 5.1 million passengers in 2009, up from 4.2 million recorded in 2008.
The new jetliners will be essentially used to operate Thai AirAsia's planned new routes, two or three will each be assigned to India and China. The Thai AirAsia chief declined to name the planned cities but said they are within a radius of 3–4 flight hours from Bangkok.
Destinations
Thai AirAsia's domestic destinations are Chiang Mai and Chiang Rai in Northern Thailand; Hat Yai, Krabi, Phuket, Narathiwat, Nakhon Si Thammarat and Surat Thani in Southern Thailand; and Ubon Ratchathani and Udon Thani in Northeastern Thailand.Its international destinations are Singapore, Hanoi, Ho Chi Minh, Phnom Penh, Yangon, Kuala Lumpur
Kuala Lumpur
Kuala Lumpur is the capital and the second largest city in Malaysia by population. The city proper, making up an area of , has a population of 1.4 million as of 2010. Greater Kuala Lumpur, also known as the Klang Valley, is an urban agglomeration of 7.2 million...
, Penang
Penang
Penang is a state in Malaysia and the name of its constituent island, located on the northwest coast of Peninsular Malaysia by the Strait of Malacca. It is bordered by Kedah in the north and east, and Perak in the south. Penang is the second smallest Malaysian state in area after Perlis, and the...
, Bali, Guangzhou, Shenzhen, Hong Kong and Macau. It also has daily flights between Phuket and Singapore as well as Hong Kong. It has announced plans to fly to more cities in China and to Kathmandu in Nepal, Clark in the Philippines among others.
Most the airline's international routes connect to Bangkok; all flights on these are served at Suvarnabhumi International Airport.
Fleet
The total Thai AirAsia fleet consists of the following aircraft:See also
- AirAsiaAirAsiaAirAsia Berhad is a Malaysian-based low-cost airline. AirAsia is Asia's largest low-fare, no-frills airline and a pioneer of low-cost travel in Asia. AirAsia group operates scheduled domestic and international flights to over 400 destinations spanning 25 countries. Its main hub is the Low-Cost...
- Indonesia AirAsiaIndonesia AirAsiaPT. Indonesia AirAsia is a low-cost airline based in Jakarta, Indonesia. It operates scheduled domestic, international services and is an Indonesian associate carrier of Malaysian low-fare airline AirAsia. Its main base is Soekarno-Hatta International Airport, Jakarta...
- AirAsia XAirAsia XAirAsia X is a long-haul, budget airline based in Malaysia. The airline is operated by AirAsia X Sdn. Bhd. . It commenced operations on 2 November 2007. Its first service flew from Kuala Lumpur International Airport, Malaysia, to Gold Coast Airport in Australia...