1. Ivy Wong Zhang Cen We proudly present to you….. Please fasten your seat belts Clement Ong Keita

2. Have you flown with AirAsia yet? Video link.

4. 2 December 2001, it was purchased by former Time Warner executive Tony Fernandes’s company Tune Air SdnBhd from the ownership of HICOM Holdings Bhd for the token sum of only RM1, and with only 2 Boeing 737-300 aircraft together with RM40 million in debt.

5. AirAsiaBerhad is a Malaysia-based low-cost airline.

6. The largest low-fare, no-frills airline and a pioneer of low cost travel in Asia.

7. AirAsia is proud to be a truly ASEAN (Association of South East Asian Nation) carrier.

8. Operates scheduled domestic and international flights to over 400 destinations spanning to 25 countries.

9. Had flown over 100 million guests upon the core believe that ‘Now Everyone Can Fly’.

10. Main terminal hub is the Low-Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA).

12. Focusing on the low-cost, haul segment.

13. Established in 2007 to provide high-frequency and point-to-point networks to the long haul-business.

17. Appointed Group Chief Executive Officer of the Company in December 2001.

18. Financial Controller at Virgin Communication London (1987- 1989).

19. Senior Financial Analyst at Warner Music International London (1992-1996).

20. Regional Managing Director, ASEAN (1996-1999).

21. Vice President, ASEAN at Warner Music South East Asia (1999-2001).

22. After graduating in London School of Economics, he worked with Virgin Atlantic and Richard Branson became his boss and mentor.

23. Under his leadership, AA broke even within a mere 12 months and cleared its debt.

25. Create a globally recognized ASEAN brand.

26. To attain the lowest cost so that everyone can fly with Air Asia.

28. High Aircraft Utilization

29. Low Fare, No Frills

30. Streamline Operations

31. Lean Distribution System

33. Achievements: Year 2003-2010

39. Investment in the AirAsia Academy.

40. Dynamic environment between employees.

41. No communication barriers between employers and employees, friendly.

42. “Employees before customers”.

43. Aggressive marketing tactics, massive advertising, promotional packages etc

44. Employees motivation- rewards free flights for their staff.

45. Offer customers the ticketless concept.

46. Low operating cost- wages, airport fees, short ground waits due to simple boarding processes.

48. AirAsia Electronic Ticket Ordering Process

50. Strong branding strategy: AT&T Williams F1 team, Manchester United, Asean Basketball League (ABL), EPL Referees, Oakland Raiders, NFL, The Amazing Race Asia, Monsoon Cup 2006, etc.

51. First landing of Air Asia X greeted by Prince Andrew from Kuala Lumpur to Standsted, London.

52. Linking with Virgin Airlines- landing right in overseas.

53. Look for suppliers with good quality on certain prices, build long-term relationship.

54. Airports have low cost terminal hub.

56. Cost can be cut by 50%

57. Small inventories ( cube-square rule, power of purchasing)

58. Reduce time on employees training and learning curve ASK: Available seat kilometers, which is the total number of seats available on scheduled flights multiplied by the number of kilometers these seats were flown. Cost per ASK: Total operating expenses (excluding finance costs and taxation) divided by ASK. In the airline industry, this is comparable to ‘unit cost’. Air Asia.com, 2009

62. Airport tax Air Asia.com, 2009

63. 5- Frequent, Reliable schedules

67. COMPARISON This diagram compare Air Asia with other company in terms of cost per unit. Air Asia was the Best Low-Cost Airline for 2010 Air Asia.com, 2009

68. Too much to know? Stay Tuned… We will be back! Video link.

70. Strong deposits, cash and bank balances of RM746 million

71. Despite a economic downturn period, AirAsia revenue for the year jumped 9.71% to RM3.1 billion and recorded a profit of RM506 million.

75. Profit after Tax: RM327 million

76. Had been described as outstanding performance

77. Looking forward to 2011 -> driving down the costs -> raising the yields -> increase productivity -> expand the route network

80. BIG SALE: 1,000,000 seats up for grab now!

81. Air Asia RM1 Promotion

82. Special Day Promotions Passport of love – Fly with your loved ones this Valentine’s

83. Problems Faced by AirAsia ~ Does not meet every customer’s demand for convenience in terms e-ticketing. (Eg. Not possessing any related card services for transaction, emergency booking (before 24 hours fight)

84. ~ Problems with the long distance walk between the airplane stop and the terminal entrance. ~ Problems with crowded seating

86. Leverage competency in creating cost advantage across multiple value chain.

87. Emphasis on more effective safety & security to avoid accidents. (Eg. demonstrations and procedures for passengers, avoid crash landings)

88. Punctuality should be their main concern especially AA wants to penetrate into the business travelers market.

90. Thank You! NOW EVERYONE CAN FLY