AIRASIA ANNOUNCES PURCHASE OF 10 A350 AIRCRAFT BY AIRASIA X

KUALA LUMPUR, June 17 (Bernama) -- AirAsia, the world's leading budget
airline, Tuesday announced a firm order for 10 Airbus A350 XWB aircraft by its
low-cost long-haul affiliate AirAsia X.

The purchase is set to seal the group' vision to be the world's first
long-haul and short-haul low-cost airline, AirAsia said in a statement from
Paris.

AirAsia X has selected the A350-900 variant for its fleet, which will be
configured to seat 425 guests in a two-class layout.

The announcement was made by AirAsia and Airbus at the Paris Air Show.

"Business is all about timing and long-term strategy. At AirAsia we have
always planned for the long term," said AirAsia group chief executive officer
Tony Fernandes.

He said by buying the Airbus A350, AirAsia and AirAsia X have now got its
strategy fixed all the way to 2020.

"The vision of creating the world’s first long-haul and short-haul low-cost
airline is complete and we are all very excited," he said.

Valued at a list price of US$2.2 billion, the deal comes with an option of
another five A350 aircraft.

Deliveries are scheduled between 2016 and 2018, which will further
complement AirAsia X's fleet of A330.

The airline has ordered 25 A330s that are due to be delivered through 2015,
of which two aircraft have been delivered so far since October 2008.

AirAsia, on the other hand, is the largest customer of Airbus A320 aircraft
with a firm order of 175 aircraft and the option for another 50 signed in 2005.

Sixty A320s have been delivered so far and the remaining will be delivered
through to 2014.

The purchase indicates AirAsia X's ambition to fly further afield and to
serve more destinations than it currently serves that include London in the
United Kingdom, Melbourne, Perth and Gold Coast in Australia, and Tianjin and
Hangzhou in China.

"Under the current great uncertainties in global economy where legacy
airlines are cutting routes and grounding staff and aircraft, AirAsia and
AirAsia X are determined to fulfil and realise our potentials," said Fernandes,
who is also director and founder of AirAsia X.

"The economic downturn presents AirAsia as Asia's largest low-cost carrier,
an unprecedented opportunity to gain market share with our low-fare,
high-quality business model," he said.

"We selected the A350 XWB for the step-change it offers in terms of
operating economics and its exceptional passenger appeal," said AirAsia X chief
executive officer Azran Osman-Rani.

"We believe the A350 aircraft will be an industry game-changer that will
allow us to dramatically operate with unprecedented unit costs for long-haul
flights to Europe and North America, opening up new tourism markets and exciting
destinations," he said.

"With the A350 XWB in our fleet we will be able to set new standards in the
low-cost long haul market, making it possible for more people to fly further in
comfort at ever more affordable prices," he added.

-- BERNAMA