AirAsia clarifies Jakarta move, says office is for AirAsia Asean

KUALA LUMPUR: AIRASIA BHD []
has clarified that its office in Jakarta is to be called AirAsia Asean,
an entity set up under the aegis of AirAsia, and that it would serve as
a representative office to broaden its branding as a "Truly Asean"
airline.

In a statement Monday, July 25, the low cost carrier said some
sections of the media had reported incorrectly that we are moving our
“corporate headquarters” to Jakarta.

The airline said the office in Jakarta was also to extend its
outreach to various groups in the region in regards to aviation policies
within Asean.

“As AirAsia grows and expands within the region, and in keeping with
our own philosophy of the Asean region as our base, we have found that
it is imperative we engage with all parties interested in aviation and
tourism throughout the region.

“Hence, AirAsia Asean's mandate is to engage closely with the
governments, non-governmental organisations and the media in Asean to
put forward our ideas regarding the growth of the tourism industry and
aviation policies in this region we all call home,” it said.

It reiterated that the AirAsia Asean was to set up office in Jakarta
because the Asean Secretariat was based in Jakarta and a regional office
there would help AirAsia present its ideas regarding regional aviation
and tourism growth much more effectively.

This is particularly relevant at this time given that Indonesia was
currently the chairman of Asean and firmly committed to implementing the
provisions of the Asean Connectivity initiative, it said.

“Also, Indonesia's growth trajectory indicates it is set to increase
its share of Asean's GDP in the years to come, and AirAsia is but merely
moving ahead of the curve in locating AirAsia Asean in Jakarta to help
increase our visibility and profile in the region's most-populated
nation.

“This is particularly relevant at this time with AirAsia Indonesia
heading for a listing on the Indonesian stock exchange,” it said.

The carrier said that having its Asean representative office in
Jakarta would also help the company coordinate more effectively with the
Indonesian authorities and interact more closely with the 240-million
people in that archipelagic nation to better serve them in their
increasing need for affordable and convenient air travel.

“It is incorrect to say, or imply, that AirAsia Berhad is moving its "corporate headquarters" from Malaysia to Indonesia.

“AirAsia Bhd's headquarters will continue to be located where it is
-- the mezzanine floor of the Low-Cost Carrier Terminal in Sepang. There
are absolutely no plans, nor the inclination, to move the headquarters
of this Malaysian-incorporated company out of the country,” it said.

AirAsia said its Malaysian-registered fleet of aircraft would continue to operate from the LCCT.

“In fact, we are of the firm conviction that AirAsia Asean's outreach
efforts from Jakarta can eventually benefit not just the aviation and
tourism industries in the region, but also help AirAsia boost the
economies of all ASEAN countries -- with Malaysia, in particular,
gaining substantially given the increasing connectivity established by
AirAsia from our LCCT hub in Sepang,” it said.