Friday, February 16, 2007

MAS and AirAsia Lowest Fares Battle

KUALA LUMPUR – Malaysia Airlines and low-cost carrier AirAsia are again at "war" over who can offer the lowest fares to travellers for both their domestic and international destinations.

MAS fired the first salvo with the offering of five million seats with discounts of up to 70 percent at the MAS Travel Fair from January 31-February 6. Fares start from as low as RM9 (US$2.50) one-way to local destinations, such as Kuantan and Langkawi, and RM1,199 for KL-New York.

AirAsia struck back with the "craziest sale in town", starting at midnight on January 31 to February 7. It is offering 99 per cent discount for 500,000 seats for all destinations departing from its four Malaysian hubs at the LCCT-KLIA, Johor Baru, Kota Kinabalu and Kuching.

Both airlines however are quick to refute reports that they were engaged in a price war, saying they were aiming for different types of travellers.

MAS commercial director Dato' Rashid Khan said: "This is our strategy for Visit Malaysia Year."

AirAsia executive vice-president Kathleen Tan said the airline was supporting VMY 2007 by continuously offering great deals to stimulate tourist traffic into the country. "What better way to promote VMY 2007 than low fares?"

Source : Travel Weekly
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