Air Asia to cut long haul flights in Feb???

[markis10]

Keep an eye on this if you have bookings!

KUCHING: Rumours are rife that AirAsia X under AirAsia Bhd (AirAsia) is considering to terminate its flights to London, Paris, New Delhi and Mumbai as early as February 2012.
Ahmad Maghfur Usman from OSK Research Sdn Bhd (OSK Research) stated that it was purely rumours and nothing had been confirmed at the moment regarding the termination of those flights.
“Both AirAsia’s London and Paris routes are loss-making but speculation surrounding the termination of these routes certainly caught us by surprise, as we understand that AirAsia intends to maintain its market and branding exposure in Europe for future expansion possibilities,” he added.

Read more: http://www.theborneopost.com/2011/1...ting-back-on-long-haul-flights/#ixzz1h7u069Kk
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[docjames]

Well, in a prudent business, I guess that they need to weigh up will the growth come to make the routes profitable, or is it "loss leading" for their short haul (seems unlikely for a LCC). Sounds like they're crunching the numbers currently (as any decent business would).

Long haul LCC has always been a struggle, if AAX cant make it work, one wonders how JQi will do if it tries to push into SIN-ATH etc. Unless JQi offers something more akin to "legacy" long haul product, in which case it also wont be appreciably cheaper than the "legacy" carriers.....

 

[Awesom Andy]

Are they still using A343 to go to Europe? That's probably the reason why they aren't making money...

 

[Albert Hoffman]

They are to be replaced by new 332's next year, The problem is the english 100 pound travel tax is killing them. However Tony Fernandes owns QPR in the premier league so its a prestige route for them. I don't think they will drop the EU entirely if at all.