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AIRASIA

AIRASIAS DECADE OF EXCELLENCE: TONY FERNANDES LEADERSHIP

AIRASIA
VISION To be the largest low-cost airline in Asia and serving 3 billion people who are currently undeserved with poor connectivity and high fares. MISSION To be the best company to work for whereby employees are treated as part of a big family Create a globally recognized ASEAN brand To attain the lowest cost so that everyone can fly with AirAsia Maintain the highest quality product, embracing technology to reduce cost and enhance service levels

5-years Financial Highlights

1st international flight Phuket, Bangkok 1st airline for SMS booking

BACKGROUND
1st flight to China ManUtd Sponsorship 3years Official airline of AT&T Williams AirAsia X Virgin Group takes 20% AirAsia X AirAsia X to Gold Coast EPL Referees Sponsorship Daily flights to London Flights to Tianjin & Taipei No admin fee Sponsor Oakland Raiders Official airline of ABL

Tune Air takes over

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

Go ticketless Move from Subang to KLIA Thai AA & Indonesia AA 1st flight Jakarta, Bandung, Medan 1st Airbus A320

New home LCCT AA Academy Took rural Air Service to S&S

Aiding Haiti India Chennai, Bangalore, Hyderabad, Mumbai, New Delhi 1st FlatBed Acquisition 30% VietJet

AirAsia KL-Singapore AirAsia X 1st new Airbus A330 On-time Guarantee AirAsia X Hangzhou, Guangzhou, Perth & Melbourne 100% Airbus Fleet London Open for Sale No to Fuel Surcharge

AirAsia vs Competitors
Operating Statistics Revenue Passenger Carried Revenue Passenger Miles (RPMs) Available Seats Miles (ASMs) Load Factors (%) Average Aircraft Stage Lengths (miles) Trips Flown Southwest Asia 22,879,097 20,673, 082 25,557,692 80.9 653 287,200 AirAsia 6,478,552 4,739,810 6,003,056 78.3 735 46,382 Norwegian 1,027,125 1,211,672 85 Vueling 651,195 876,131 74.3 -

Awards

Founding
1964 was born on Apr 30 1976 entering Epsom College at 12 1987 - graduated from London School of Economics (B.Acc) 1987-89 Financial Controller in Virgin Record 1991 ACCA Associate Member 1992 Managing Director at Warner Music Malaysia 1996 ACCA Fellow Members 93-2001 Southeast VP Warner Music Group

2001 left Warner Music Group Sept 2011 decided to buy AirAsia with USD14million for USD1, including 2 Boeing

Awards & Honours


Year 2010 Awards Masterclass Global CEO of The Year Forbes Asia businessman of The Year 2010 Visionaries & Leadership Series CAPA Legend Award Airline CEO of The Year 2009 Excellence in Leadership Malaysia Brand Icon Award The Brand Laureate 2007 Malaysias Ernst & Young Entrepreneur of The Year 2006 The CAPA Aviation Executive of The Year 2005 Regional/Low-cost Leadership Award Stars of Asia 2005 Asia Pacific Aviation Executive of The Year 2004 CEO of The Year HONOUR Dato Sri Legion dHonneur Order CBE or Commander of the Order of the British Empire Awarding Organisation 2nd Malaysia Business Leadership Award 2010 Forbes Asia International Herald Tribune Award Aviation Hall of Fame 2009 James Transport Finance Magazine Asia Pacific Leadership Awards 2009 By Prime Minister at Global Brand Forum Malaysia Brand Personality Ernst & Young Centre for Asia Pacific Aviation (CAPA) Airline Business Business Week Centre for Asia Pacific Aviation (CAPA) Business Times and American Express Government of Malaysia Government of France Government of UK

2009

2008 2007 2006 2005

2004 2003

Strategy

Leadership
Tony Fernandes: provides support, encourage, helps &
coaching employees practicing flat management & open floor workplace stress innovation & openness attitude provide HR development program flexible corporate culture clear & two-ways communication role-model for AirAsia Allstars

Challenges & Decision Making


2003
Idea of open-skies agreement Thailand-Indonesia-Singapore Aims: liberalization of rules & regulation Founded AirAsia ASEAN Basketball League (ABL) Chairmanship of Singapores Slinger

2008

War of Words Singapores Tiger Airways sceptical over foreigner sharing his view creating Thai Tiger Airways is wrong decision

Issue: No facilities for Disabled Person Problem-solving: purchase 2 ambulifts equip aisle chair in current fleet affix handle bars in aircraft toilet

2007

2010

Conflict with Gov. Malaysia move operation to KKIA refused to increase ticket price, limited facilities, reduce numbers of routes

2011

The Future
Fact: the analysts mentioned that the airline industry had witnessed with a number of cases where airlines started off well but later experienced a downturn

SURVIVE?

Q&A Session
THANKS FOR YOUR ATTENTION