Home' Asian Aviation : AAV Dec Jan2011 2012. Contents AIRBUS
Jetstar has spread its operations across the Asia-Pacific region.
the fourth quarter of 2011, and AirAsia Japan, in
conjunction with All Nippon Air ways, is set to launch
in August 2012. "Japan is a huge, huge market with a
very low LCC penetration rate. It s our rst venture
outside of ASEAN and we re very excited about the
prospects there," says Fernandes.
However, AirAsia has decided not to proceed
with its AirAsia Vietnam proposal, which was to be
a joint venture with Vietjet Aviation. e collapse of
that plan was caused by failure to meet all regulatory
requirements under the joint venture deal.
In August, AirAsia entered into a collaborative
agreement with Malaysia Airlines (MAS), designed
to explore areas of mutual cooperation in areas
including : maintenance, repair and overhaul; ground
handling ; training ; catering and cargo. Fernandes
says the partnership will "steer AirAsia to new
heights while independently assisting MAS in ways
to seek synergies that could bene t both airlines and
Malaysia even more in the future".
e company is also setting up an AirAsia Asean
o ce in Jakarta in order to promote the group
as a regional brand and enhance coordination
and strategic planning. e airline also has an
agreement with nancial services company Tune
Money to develop a loyalty programme. Dubbed
BIG, the programme will be launched in Malaysia
and then introduced across all AirAsia operations
in the region.
e airline s eet is also set to grow, with the
group holding rm orders for 200 re-engined Airbus
A320neo jetliners, with deliveries scheduled from
2016 to 2026.
Like AirAsia, Jetstar has spread its operations
throughout the region. e Jetstar Group, which
comprises Jetstar Air ways in Australia and New
Zealand, Singapore-based Jetstar Asia, Vietnam-
based Jetstar Paci c and its newest venture Jetstar
Japan, lays claim to being the largest low-cost airline
in the region by revenue.
Since Qantas launched Jetstar in 2004, the airline
has carried over 75 million passengers. In scal year
2010-11 alone, it carried 18.8 million passengers and
by the end of 2011 the group operated 3,000 ights
a week to over 60 destinations in 17 countries across
the region, using a eet of 86 aircra -- A320-200s,
A321s, A330-200s and 737-400s.
In 2013, Jetstar will start to take delivery of the
rst of its 25 Boeing 787s on order, while 99 A320s,
including 78 A320neos, are also on order.
Jetstar, which is wholly owned by the Qantas
Group, launched short-haul domestic operations in
Australia in May 2004. It added international long-
haul ser vices in November 2006.
e airline has been pro table every year since
launch. In the last nancial year, ended 30 June
2011, the carrier reported record underlying
earnings before interest and tax (EBIT) of A$169
million (US$173 million) -- A$38 million up on
the previous year -- driven by a 19 percent increase
in total revenue to A$2.6 million. Total passenger
numbers rose 14 percent.
Jetstar "is now an established, successful low-cost
brand," says Qantas Chief Executive O cer Alan Joyce.
e launch of Jetstar Asia ser vices from Singapore
followed in December 2004. In 2005, Singapore
carrier Valuair became a sister carrier, focusing on
ser vices to Indonesia . From Singapore, Jetstar Asia
currently operates over 400 weekly ights to 27
destinations across 15 countries and territories in
the region. Jetstar New Zealand came on line in
December 2005, adding international long-haul
ser vices in March 2011.
Vietnam-based Jetstar Pacific is 27 percent
owned by Qantas, with the remaining shares held
by Vietnamese investors. e airline ser ves seven
destinations across Vietnam.
Jestar Japan is the latest a liate to take up the
brand. e new operation is a partnership between
Qantas, Japan Airlines ( JAL) and Mitsubishi
Corporation. Each partner will have equal voting
rights, but the Qantas Group will have a 42 percent
e Japanese Jetstar arm plans to start domestic
short-haul operations by the end of 2012 from Tokyo s
Narita and Osaka s Kansai International airports,
with an initial eet of three new A320s, tted with
180 seats in a single class. e eet is set to grow to
24 A320s within a few years, the partners say. Short-
haul international ights will be added during 2013.
Jetstar already has considerable experience of the
Japanese market, having ser ved Osaka and Tokyo
from Cairns and the Gold Coast since 2007.
"We are an Australian airline being invited to
partner with two of the most established companies
in Japan and apply our successful formula on their
turf. We feel very proud about that," says Bruce
Buchanan, Jetstar chief executive o cer.
China has also been a focus of the Jetstar Group
in recent years. Jetstar made its inaugural ight to
Greater China with its rst ser vice to Hong Kong
in December 2004. By the end of 2011, Jetstar was
AsianAviation | DECEMBER 2011 / JANUARY 2012 29
"Japan is a huge, huge market with a very low LCC penetration
rate. It's our first venture outside of ASEAN and we're very
excited about the prospects there."-- AirAsia CEO Tony Fernandes
Links Archive AAV November 2011 AAV Feb 2012 Navigation Previous Page Next Page