AirAsia Wants to Invest RM20M+ to Promote KLIA2 as LCCT

30th Jun 2016

After meeting with the Malaysian Transport Minister Liow Tiong Lai this Wednesday, AirAsia Group Chief Executive Officer Tony Fernandes revealed the airline is looking to invest over RM20 million (US$5 million) in promoting KLIA2 as the Low-Cost Carrier Terminal (LCCT).

Fernandes tweeted this after the meeting with Minister Liow:

In anticipation of more LCCTs we will call it LCCT KL, the low cost hub of Asia, and a one-stop to anywhere in Asia at the lowest fare.

He also wrote the following on Twitter:

Very good meeting with Liow and Director General of Civil Aviation Datuk Seri Azharuddin Abdul Rahman.

Most Important is the acceptance that our terminal is a low-cost hub. Important issue is not the name but that it’s promoted inside the terminal and to the world that KLIA has a low-cost hub with low fares.

AirAsia Group CEO also said that the airline would spend money to promote KLIA2 in other countries than Malaysia, mentioning Dubai Airport as a major transit hub in this region.

He also said he is confident that the Minister would be able to find a mutually beneficial solution for both AirAsia and Malaysia Airports Holdings Sdn Bhd, which opposes rebranding KLIA2 strongly, saying:

The goal is to get more of ASEAN, Asia and the world to use our low-cost hub. One million people have travelled through KLIA2 so far this year. We want to grow that. This will be great for the economy.

KLIA2 Should Not Change Name, but the Ministry is Willing to Hear AirAsia

Minister Liow, however, announced earlier that KLIA2 should not change its name, but he said the ministry will hear what AirAsia has to offer. More specifically, he said he is interested in how the carrier plans to promote KLIA2 internationally as the LCCT and promote Malaysian aviation and tourism industries.

 Badlisham Ghazali, of MAHB, repeated the airport operator’s policy to keep the KLIA2 brand and said AirAsia’s campaign is creating confusion among passengers:

The proposed name change was already causing confusion among passengers. I heard many passengers have gone to the old LCCT. So why create the fuss and confusion?

Mr Ghazali said MAHB will take legal action to stop the name change, if necessary.

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