Business

AirAsia, Airbus still amicable despite cancelled deal

Low-cost carrier will not be switching to Boeing

Updated 5 years ago · Published on 12 Jan 2021 9:24AM

AirAsia, Airbus still amicable despite cancelled deal
Airbus cancelled a deal with AirAsia X Bhd, but the troubled carrier still has more than 108 aircraft orders from the former. – Airbus pic, January 12, 2021

KUALA LUMPUR – AirAsia Group Bhd and Airbus are “joined at the hip” despite the cancellation of a substantial deal last week.

AirAsia Group chief executive Tan Sri Tony Fernandes yesterday was asked at the Reuters Next conference whether the low-cost carrier will switch to Boeing.

“We love each other. Between us and Airbus, we have lots of ups and downs like in any relationship, but we’re joined at the hip,” he was quoted as saying.

Last week, it was reported that Airbus cancelled a deal with long-haul carrier AirAsia X Bhd, including for 10 A350 wide-body jets worth US$3.2 billion (RM13 billion) at list prices. 

However, the troubled carrier still has more than 108 Airbus orders.

Reuters reported last month that Airbus will lose more than US$5 billion worth of aircraft orders if AirAsia X’s debt restructuring proposal goes through. Dozens of creditors went to court to challenge AirAsia’s plan.

In a December 16 affidavit filed at the Kuala Lumpur High Court, Asia-Pacific Head of Region Anand Emmanuel Stanley said there was a strong possibility Airbus “will suffer substantial losses and prejudice” from the termination of purchase agreements.

AirAsia Group, together with AirAsia X, buy exclusively from Airbus. – The Vibes, January 12, 2021

Related News

Malaysia / 2w

Putrajaya sounds out airlines on taking over AirAsia routes

Malaysia / 4w

Why examining AirAsia’s finances may serve public interest

Malaysia / 4w

Mount Anak Krakatau eruption: Major carriers, including Malaysia Airlines, AirAsia cancel, reschedule flights

World / 1mth

AirAsia flight undergoes cleaning after passenger ‘incident’ before Shanghai landing

Malaysia / 3mth

AirAsia apologises over seat incident involving girl with cerebral palsy

Off beat / 4mth

AirAsia pilot executes dramatic landing amid intense Taiwan crosswinds (video)

Spotlight

Malaysia

Do not hide school safety issues to protect reputation - IGP

World

Flydubai pilot planned to crash plane into terminal at Ben Gurion Airport

Malaysia

Sabah Pan Borneo Highway: Only 4 of 35 packages complete after a decade

Malaysia

School caning was never abolished, Minster says

Malaysia

Sepang draws record crowd as Bahrain GP puts Malaysia back on F1 map

Malaysia

Irene Sofiya died from blunt-force head injuries, post-mortem confirms

Malaysia

No CCTV at spot where Irene was killed, says Minister

Malaysia

Irene’s only focus was her studies and her dream to become a doctor - aunt

You may be interested

Business

Tabung Haji posts record RM4.64b profit on stronger investment performance

Business

Middle East conflict puts Malaysian SMEs under growing financial pressure - BNM

Business

Oil prices ease as Middle East exports recover towards pre-war levels

Business

Oil supply risks mount as Brent tops US$102 on threat of Middle East shipping routes disruption