Connect with us

World

AirAsia CEO: cheap oil paves way to revive expansion

Legacy Phuket Gazette

Published 

 on 

AirAsia CEO: cheap oil paves way to revive expansion | Thaiger

PHUKET MEDIA WATCH

– World news selected by Gazette editors for Phuket’s international community

AirAsia CEO: cheap oil paves way to revive expansion
Phuket Gazette / Reuters


PHUKET: With low oil prices reducing its operating costs, AirAsia Chief Executive Tony Fernandes said the budget carrier was ready to start expanding again in southeast Asia and was eyeing Vietnam and the Philippines.

Fernandes, speaking to reporters on the sidelines of a U.S-ASEAN trade conference on Wednesday, said the pace of expansion would depend on securing approvals for new routes and airport access.

“We’re going to start expanding again in different parts of ASEAN,” Mr Fernandes said.

While some benefits of the collapse of oil prices have been swallowed up by a decline in currencies in its major markets, Mr Fernandes said he viewed the lower fuel costs as “an opportunity to expand, to regrow, to put capital investment in.”

In November, AirAsia reported a consolidated third-quarter net loss of 406 million ringgit ($96 million), versus a year earlier net profit of 5.4 million ringgit. It blamed foreign exchange losses and a writedown at its Indonesian affiliate.

The company also had said its major shareholders were evaluating “all strategic options” after Reuters reported that Mr Fernandes was sounding out investors to take the company private in the wake of a steep fall in its shares.

Mr Fernandes said the two Southeast Asia markets that excited him most for expansion were the Philippines and Vietnam, calling the latter “the last piece of our jigsaw puzzle.”

But securing route approvals was a problem, and lack of available take-off and landing capacity at Manila’s Ninoy Aquino International Airport needed to be resolved, he said.

Clark International Airport could be a good alternative solution, Mr Fernandes said, but this would require the government to invest in a new high-speed train into Manila.

Mr Fernandes also said he hoped to win approval for flights to Hawaii this year, but could not predict when that might occur.

— Phuket Gazette Editors

 

Want more from the Thaiger family?

📱 Download our app on Android or iOS for instant updates on your mobile
📝️ Join the conversation on Thaiger Talk - discuss news & life in our Thailand forums
📧 Subscribe to our daily email newsletter
👍 Like/Follow us on Facebook
🔔 Subscribe to or Join our YouTube channel for daily video updates

image

Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.



Find more SE Asian News courtesy of Thaiger.

Broke? Find employment in Southeast Asia with JobCute Thailand. Rich? Invest in real estate across Asia with FazWaz Property Group. Even book medical procedures worldwide with MyMediTravel, all powered by DB Ventures.

Archiving articles from the Phuket Gazette circa 1998 - 2017. View the Phuket Gazette online archive and Digital Gazette PDF Prints.

Follow Thaiger by email:

Myanmar7 hours ago

Burmese military media outlets say ethnic army killed 25 workers

Thailand9 hours ago

PM Prayut Chan-o-cha says drug suppression should to be a national priority

Thailand10 hours ago

Purchases of fancy street lamps being investigated for possible corruption

Phuket Sandbox July 1st

days
hours
minutes
seconds

Thaiger is getting behind local businesses for the restart of tourism in July - up to 50% discounts across all advertising packages in June!

Sponsored by image

Thailand10 hours ago

Thailand News Today | BKK parks re-open… nearly, tropical storm, airport security upgrade | June 14

Thailand11 hours ago

Missing fisherman’s body found in sea off Nakhon Si Thammarat

Coronavirus (Covid-19)11 hours ago

CCSA: We’re out of vaccines

Coronavirus (Covid-19)12 hours ago

Ayutthaya hospital to test all staff for Covid after 18 test positive

Thailand12 hours ago

13 teenagers arrested in Chon Buri for partying, gathering

Crime12 hours ago

Crime Suppression Division seizes dozens of illegal firearms in a series of raids

Crime13 hours ago

Marijuana valued at 10 million baht seized in Nakhon Phanom, 2 arrested

Coronavirus (Covid-19)14 hours ago

Monday Covid Update: 3,355 new cases, provincial totals

Coronavirus (Covid-19)14 hours ago

Almost 100% of teachers and staff vaccinated in Bangkok

Thailand14 hours ago

Almost 8 million register for stimulus scheme, app briefly goes down

Best of15 hours ago

Top 5 best temples in Bangkok

Thailand15 hours ago

Good Morning Thailand | What’s happening in Pattaya, Phuket sandbox, reopening for tourism

Thailand3 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism3 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket3 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism4 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand4 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism4 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand5 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand5 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand5 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand5 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand5 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand5 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand5 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand5 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Thailand5 months ago

Thailand News Today | Southern floods, Face mask fines, Thai Air Asia woes | January 8

Trending