Friday, 30 January 2009

AirAsia Labu's airport is as good as off

The proposed new airport in Labu by AirAsia Berhad is as good as off. The decision was conveyed to AirAsia executives when they met the Deputy Prime Minister, Datuk Seri Najib Tun Razak, this afternoon.

According to an NST report, a source said the Government felt that AirAsia would not be able to raise the funds to develop the new airport.

Instead, Malaysia Airports Holding Berhad will build a new terminal near the Kuala Lumpur International Airport where they will work closely with AirAsia.

"AirAsia’s inputs in the building of the new terminal will also be taken into consideration,” the source said.

The Cabinet is expected to formalize the decision in the next few weeks.

The project was put in doubt after Najib, who is also Finance Minister, told reporters last week that while the cabinet had given the green light to AirAsia's airport, the government had "yet to make any decision" on the matter.

Earlier, AirAsia chief executive officer Datuk Tony Fernandes briefed Datuk Seri Najib and Transport Minister Datuk Seri Ong Tee Keat on the proposed new airport to cater to low-cost carrier.

Fernandes presented a detailed report on KLIA-East and plans to make Kuala Lumpur the regional hub for low-cost carriers.

Representatives of the Malaysia Airports Holding Berhad, Transport Ministry, Finance Ministry and Economic Planning Unit also attended the one-hour briefing.

In an immeidate reaction, Fernandes said: We were happy with the meeting. This is a big step for the development of AirAsia."

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Anonymous said...

Ini name nye "reverse osmosis",same cam dulu dapat laluan tambahan kerne sanggup ambil alih "rural air services".
Bile garmen lulus dia laluan yang betul betul sasarannye,dia lepas balik "rural air services" dengan alasan kate tak untung.
Nama permainan ini sama dengan orang nanyang,yaani--kalau untung saye punye,rugi garmen punye".
changkat lobak.
arjuna waspada.

a layman said...

just wondering if it was a categorical "No" to AirAsia's new airport.

I hope Najib take into account the people's view and the monumental cost to an airport that we do not need.

As someone said why not use the existing aiport in Subang?

Just a 2-sen view of a layman.