Tuesday, October 13, 2009

New LCCT works to start soon

Malaysia Airports Holdings Bhd (MAHB), the country's biggest airport operator, hopes to start earthworks next month on the new permanent low-cost carrier terminal (LCCT) in Sepang, its chairman Tan Sri Dr Aris Othman said.

Aris said it was crucial that works begin next month for MAHB to complete the LCCT by the third quarter of 2011.

"We are sticking to our 2011 deadline," he told reporters after the graduation ceremony for 194 airport security staff at the Bunga Raya Complex in Sepang yesterday.

In March, MAHB said it would complete the new terminal and a new runway within two and a half years, without exceeding the estimated cost of RM2 billion.

The permanent LCCT will be located to the west of the main KLIA terminal building, roughly 1.5km in distance.

The new terminal building will be 150,000 sq m and hold up to 30 million passengers a year, with capacity for expansion of up to 45 million passengers.

MAHB is also planning substantial investments to beef up its retail shopping and services division to boost revenue.

In the financial year ended December 31 2008, its retail and food and beverage division posted RM304.9 million sales, or about a fifth of the group's revenue of RM1.51 billion.

Aris said MAHB will focus on renovations to the main terminal building of the airport to enhance the retail facilities located there.

"We realise we cannot rely on airport charges alone as these tend to remain stagnant or low due to the competitiveness of many airports around the world."

Source : Business Times Online
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