Air Asia stopping services

spicyayam

So it was a business decision then and not a regulatory requirement? Pretty crap business to not honour people's bookings and even worse it seems like refunds are slow forthcoming.

geedee

This will affect families worse who can't book without getting there refund first. It will stop or spoil a lot of holidays. Can you imagine telling your kids they cant go anymore

geedee

Air Asia have just started sending out text and email messages about stopping direct flights from Sydney,Melbourne and Gold coast. This is effective from 1st September 16. This will affect a lot of people who have already booked especially for Australian school holidays at end of September and Mid December till end January also Schoolies in November. They must have been draining cash and i don't think that the recent Australian TV program about the safety of AirAsia helped. A lot of folk on tripadvisor were talking about not booking with them. Feel for those who will need to pay a lot more now as prices will rise especially for September as people try to get onto Jetstar and Gauruda could cost a family of 4 about an extra $800 -$ 1600 or alternatively have to go from a 6hour flight to a 14-16hr flight by going through KL. Wont affect us as we are going Garuda (but i was so close to booking AirAsia)but will affect my niece who was going to join us for a few days as her flight now cancelled

lush4111

A couple of years ago we had direct flights booked from SYD to Bali with Air Asia and they cancelled them at the last minute. They made us fly from Melbourne instead (which sucked because we had to make our own way there!) and we flew through KL. We got told that Air Asia (Australia franchise) didn't have Government approval to fly directly into Indonesia. So instead, we had to fly to KL (where Air Asia Australia does have Govt Approval) then board an Air Asia (Malaysia/Asia franchise), which has Government approval from Indonesia for direct flights. A number of months after the approval went through and Air Asia (Australia franchise) was granted approval and started to fly directly. I wonder whether agreement for the Air Asia (Australia Franchise) approval was reached and to be reviewed on an annual basis or something like that, and until a significant amount of money greases the right palm, the extension won't be granted.

matsaleh

According to Sydney Morning Herald, it's a financial decision as they're losing millions of dollars.

[COLOR=#000000][FONT=Arial]Indonesia AirAsia X reported a first-quarter loss of $US4.6 million, down from $US9.4 million the prior year, based on its fleet of two aircraft....[/FONT][/COLOR]

Full story here: http://www.smh.com.au/business/aviation/indonesia-airasia-x-cancels-flights-from-sydney-and-melbourne-to-bali-20160602-gpahjk.html

Nydave

Its hard to understand the company as it has so many branches,just a couple of days ago they announced they will begin services to Tehran and Mauritius, don't know if its the Indonesian Air Asia or the Malaysian Air Asia,is the $4.6 million loss just from the 2 aircraft flying the Australia to Bali route or an overall loss for the company,,hard to see how just 2 planes could accumulate such a high loss in less that 1 year,