Lion Air challenges AirAsia with a new Malaysian Low Cost Carrier – Malindo Airways


When will Tony Fernandez learn how to respect human rights? What goes around will come around!!!

The Lion Air is determined to compete head to head fiercely with Air Asia as long as Tony Fernandez is in the group CEO for AirAsia. Soon, there will be other LCCs in Japan and Korea that will set up to challenge AirAsia Japan and Korea. This isn’t an innuendo but a fact that Tony Fernandez has to face when dealing with human rights.

A group of human rights activists have vowed to keep their eyes on Tony Fernandez wherever he goes and wherever he’s bolting off.

Malaysiaairlinesfamilies welcomes Malindo Airways to give AirAsia the run for their money. The malaysians mentality is always on the edge of experimenting a new ambience with a bit of touch in services. Unlike AirAsia, it has many agendas of which one is to hide charges until everyone who had flown with AirAsia would have known flying with Malaysia Airlines is so much cheaper than flying with AirAsia but wouldn’t that be too late to realize that your money was not wised-spent?

Well…Malaysians now do not have to worry much about this because a group of human rights activists are monitoring AirAsia’s fraud and hidden charges and in the future, we won’t be seeing AirAsia again so long Tony Fernandez is still the group CEO. Those of you who are still holding AirAsia shares should consider quickly to dump it or regret later for keeping it.

In fact, we have also found out Tony Fernandez has very difficult moment to breathe in and get aroused during his playboy time at night (all the time since the forming of Malindo Airways) owing to the facts that the world is now keeping a closer observation on Tony Fernandez’s bolting movement. Isn’t it so clear that Tony Fernandez is shivering and his balls are shrinking smaller each day whilst Malinda Airways is getting ready to compete in May 2013?

To Malindo Airways, please do what is right but do spare for Malaysia Airlines workers who are merely earning a decent living with MAS.

The Lion Air is challenging AirAsia – Bloombergs

PT Lion Mentari Airlines will set up a low-cost carrier in Malaysia, challenging AirAsia Bhd. (AIRA), the region’s biggest discounter, in its home market.

Malindo Airways will begin flights in May and may have about 100 planes within a decade, Ahmad Johan, president of National Aerospace & Defense Industries Sdn., told reporters in Kuala Lumpur today. National Aerospace will own 51 percent of the new airline, with Indonesia-based Lion Air holding the rest.

The carrier pits Boeing Co. (BA)’s record customer against the biggest buyer of Airbus SAS narrow-body planes as Lion Air and AirAsia compete for budget travelers in Asia. The region’s total air-travel may grow 6.4 percent a year through 2031 because of economic growth, according to Boeing.

“We are looking at selling tickets at AirAsia’s pricing or may be lower,” Lion Air President Director Rusdi Kirana said today. Malindo Air plans to fly to countries including Thailand, China, India, Japan and Australia, besides offering services within Indonesia and Malaysia, he said.

Lion Air signed a record order for 230 Boeing 737s in February, which was worth $22.4 billion at list prices. The deal, which also included 150 options, was Boeing’s biggest in terms of dollar value and plane numbers. The carrier flies to more than 36 destinations within Indonesia and overseas, according to its website.

100 Planes

The airline has forecast passenger growth rates of 15 percent a year as it adds more planes. Its fleet may expand to 470 planes by 2025, Kirana said in November. The carrier has 100 planes now. Malindo Air will draw its fleet from planes Lion Air Group has ordered, including the 787s for possible Europe flights, Kirana said today.

Shares of AirAsia sank 2.7 percent to 3.19 ringgit in Kuala Lumpur trading, the lowest close since Oct. 10. The carrier has grown into Asia’s biggest discount airline since its takeover byTony Fernandes and partners in 2001. The carrier, based in Sepang, Malaysia, has subsequently set up ventures in the Philippines, Japan, Thailand and Indonesia.

The airline last year ordered 200 Airbus A320neo aircraft valued at $18 billion in the biggest order for the French planemaker. It may sign a deal for as many as 100 more A320s at the Berlin Air Show, which starts today, Chief Executive Officer Aireen Omar said last month.

Jetstar, the budget arm of Qantas Airways Ltd., is also building up a network of low-cost carriers across Asia. The airline already has ventures in Singapore, Vietnam and Japan, and it’s setting up another in Hong Kong.

Batik Air, Lion Air’s long-haul carrier, will begin operations in March with six Boeing 737s and five 787s, the company said today.

To contact the reporter on this story: Manirajan Ramasamy in Kuala Lumpur atrmanirajan@bloomberg.net

To contact the editor responsible for this story: Neil Denslow at ndenslow@bloomberg.net

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8 thoughts on “Lion Air challenges AirAsia with a new Malaysian Low Cost Carrier – Malindo Airways

  1. MAS,
    With all due respect, on behalf of the jobless pilot who had join MAS 2011 direct intake, I would like to suggest an idea to MAS.If it is possible, why not MAS collaborate with Malindo Airways to provide the ab-initio pilots who had pass the psychometric test, personality test and sim check or even interview with MAS jobs initially with Malindo.If I am not mistaken, there are a few groups which 2 of those had done until their interview and another few groups who had done until sim checks and personality test respectively most of whom had been jobless for around a year or more.The first 2 or 3 groups of cadets would be sufficient enough for Malindo to start their ab-initio intake program. It would be a great relief to us who had been waiting for quite a while and worked so hard to pass MAS stringent selection process.With the current situation in MAS(financial problems + excess of pilots), it is likely to be years before we would get any calls for employment from MAS.This collaboration between MAS and Malindo would not only benefit us but also MAS and Malindo.For Malindo, as a start up airline, it would not only save them cost in doing the expensive selection process, but also time and the headache to sort of the expected 1200 applications from jobless pilots.Plus we had already done sim checks in a Boeing 737 simulator in which what Malindo would be flying which is also the B737.For MAS, as most of the captains that would be flying for Malindo comes from the seconded MAS captains to Lion Air, why not do the same to these ab-initio pilots.Let them get the 737 type rating and flying hours with Malindo,and after they had finish their contract with Malindo,provided that MAS expands and needs copilots in the future, maybe they can join MAS back with rating and hours.With the ASEAN open skies policy coming up in a few years,I dont see why not MAS would be needing experienced copilot in the future.This can be done with a simple contract bonding them to come back to MAS when MAS needed them.This would save a lot of MAS money to provide them training because they would have already paid their own type rating.MAS also can avoid all the fuss of the ab-initio cadets who had went through MAS selection process of answering when would they start taking fresh pilots again.And it would also save MAS the embarrassment of wasting money for the selection process but no pilots are employed.I think this would be a win-win situation for all three parties.
    This is just my suggestion which I hope you would bring up to your superiors.
    Thank you so much for your time and co-operation.

    • Dear Joblessabinito,

      We thank you for your comment. Unfortunately, we do not represent Malaysia Airlines nor have any power on negotiations for MAS workers. However, we will be producing a post on your behalf about your current conditions to MAS top’s management and MAPA’s attention. In any worst scenario of your endurance, please do engage with MAS Unions who would speak up for you. They are popularly known of their pleasant approach and have sympathy for workers’ voices.

      We may take weeks to deliberate another posting on your comment. Cheers!

  2. Air Asia batal ambil alih Batavia Air di saat akhir
    Written by IPOH MALAY
    Saturday, 13 October 2012 15:13

    Air Asia membatalkan pengambilalihan Batavia Air setelah kajian pembelian memasuki peringkat akhir. Demikian lapor akhbar atas talian terpopular di Indonesia.

    Pembelian penerbangan yang menanggung hutang yang tinggi itu merupakan usaha Air Asia Indonesia untuk mengembangkan sayapnya.

    Jangan-jangan, Tony Fernandes akan kembali berpindah ke Kuala Lumpur selepas ini.

    Ini Alasan Batalnya Pembelian Batavia Air
    oleh AirAsia Feby Dwi Sutianto
    – detikfinance
    Sabtu, 13/10/2012 13:12 WIB

    Jakarta – Rencana akuisisi maskapai lokal yaitu Batavia Air oleh AirAsia asal Malaysia dipastikan batal. Apa alasan di balik batalnya pengambilalihan Batavia Air oleh maskapai asal negeri jiran itu?

    Direktur Komersial Batavia Air Sukirno Sukarna mengaku, terjadi proses yang alot saat penilaian akhir oleh AirAsia untuk membeli Batavia Air. Hal tersebut menurutnya sebagai penyebab utama batalnya pembelian 76,95% saham Batavia oleh AirAsia Berhard senilai US$ 80 juta.

    “Mereka akan melakukan auditing, mungkin di auditing tidak ada kesepahaman,” kata Sukirno kepada detikFinance, Sabtu (13/10/2012).

    Namun Sukirno menampik tudingan tingginya harga yang ditawarkan oleh Batavia yakni senilai US$ 80 juta atau sekitar Rp 720 miliar untuk pembelian 76,95% saham Batavia. “Enggak dong, kita jual dengan segini,” tambahnya.

    Dihubungi secara terpisah, PresCom Indonesia Air Asia, Pin Haris mengaku porses akuisisi Batavia oleh AirAsia berjalan cukup alot. Menurutnya, belum ada keputusan final terkait rencana akuisisi 76,95% saham Batavia.

    “Minggu depan sudah ada keputusannya,” tambahnya kepada detikFinance.

    Terkait informasi batalnya rencana akuisisi Batavia, Haris menjelaskan, pihaknya belum mau berkomentar lebih jauh. “Belum, masih ada pembicaraan,” pungkasnya.

  3. AirAsia drops bid to acquire Batavia Air
    By Victoria Moores | October 12, 2012

    0 More Sharing ServicesShare EmailPrint
    AirAsia A320. By Kurt Hofmann
    AirAsia (AK) has dropped plans to acquire Indonesian carrier Batavia Air (Y6) after they
    failed to reach an agreement, according to local news reports.

    “We will continue to seek strategic partners to develop our business,” Y6 chief Yudiawan Tansari told Dow Jones. AK could not immediately be reached for comment.

    AK and its Indonesian deal partner Fersindo Nusaperkasa agreed to acquire Y6 in July. Under the contract, AK would have taken a 49% stake in Batavia and Fersindo Nusaperkasa would have taken a controlling 51% shareholding.

    Y6 launched operations in 2002. The carrier operates one Boeing 737-500, 15 737-300s, 10 737-400s, seven Airbus A320s and two A330s.
    .

  4. Dear Malaysiaairlinesfamilies,

    Thank you for your reply and the attention given to the stated matter. We really look forward for your help in bringing up this matter to MAPA and MAS top managment. We have been waiting since January this year for MAS to do something about the jobless fresh pilot which had undergone and passed MAS selection program.Thank you again for your kindness.

  5. This is a good development. As long as there is fair competition, Tony Fernandes will take the challenge. One thing most important….. safety must be above all.

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