Virgin Group invests in AirAsia X

The Virgin Group has confirmed a 20% investment in AirAsia's new long haul airline, AirAsia X.

Founder and Director of AirAsia X, Dato' Tony Fernandes, said, “AirAsia X aims to dramatically expand the market for long-haul, value-based travel – both leisure and business related, and reinforce Malaysia's status as a low cost aviation pioneer, through achieving an industry leading Cost per ASK (available seat kilometre) of less than 2 US cents. AirAsia X will simplify the current long-haul product and provide highly affordable, value-for-money travel without sacrificing core passenger comforts essential over longer flight times.”

Dato’ Seri Kalimullah Hassan, Chairman of AirAsia X, added, “The Virgin stamp of approval on the AirAsia X business model from Sir Richard Branson, one of the world’s most successful entrepreneurs in pioneering new business models, is a great start for AirAsia X. Building on AirAsia’s lead, AirAsia X is uniquely positioned to be a first in ‘truly low cost, long haul’ service and to revolutionize the global aviation industry.”

AirAsia X has leased an Airbus 330 and already confirmed orders for 15 new A330-300s. It is expected to launch operations in the fourth quarter of 2007.

Sir Richard Branson commented on his investment in AirAsia X, “Tony Fernandes and his team have had phenomenal success with Air Asia on the short haul and we believe they will have the same success with AirAsia X on the long haul. I am thrilled to be able to support them in this venture and look forward to seeing low cost long haul travel being opened up from their base in Malaysia.”

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