Low Cost Airlines influence on ASEAN Aviation Industry By: Faisal Shahim

ASEAN Established on August 8th, 1967 in Bangkok Economic growth, social progress and cultural advancement Mutual respect AFTA FAEEC Growing region Important Strategic Region

THE REGION AUSTRALIA

ECONOMIC DATA

BIG PLAYERS of ASEAN SINGAPORE GDP growth: 2.7% GDP: US$ billion (2011 estimate)(PPP: $ billion ) Inflation: 3.5% Population: 5.37 million GDP per head: $60,900 MALAYSIA GDP growth: 4.4% GDP: $292 billion (2011 estimate) (PPP: $473bn) Inflation: 2.6% Population: 29.0m GDP per head: $10,050

MAJOR ASEAN AVIATIONS MARKETS

ASEAN AIRLINES Indonesia: 1) Air Asia Indonesia 2) Lion Air 3) Mandala Airlines 4) Citilink Singapore: 1) Jetstar Asia Airways 2) Scoot Airlines 3) Tiger Airways Thailand: 1) Nok Air 2) Bangkok Airways 3) Thai AirAsia 4) Solar Air Vietnam: 1) Jetstar Pacific 2) Viet Jet Air 3) Air Mekong Malaysia: 1) AirAsia 2) AirAsia X 3) FireFly 4) Maswings

FINANCIAL PERFORMANCE

TIGER AIRWAYS ROUTES

JETSTAR ASIA

Achievement & awards Achievement & awards 'Best Brand Experience for Low Cost Carrier' by Ad Asia Magazine 'Best Low Cost Airline, Southeast Asia & Asia (2006 & 2008)' -Skytrax Award 'Top 10 Airlines by Passenger Carriage (2006 & 2007)' -Changi Airline Award from the Civil Aviation Authority of Singapore (CAAS) 'Best Asian Low-Cost Carrier (2006 & 2007)' -as well as TTG Travel Awards

JETSTAR ROUTES

Fleet

FINANCIAL & OPERATING PERFORMANCE In US$ (Millions) INCOME STATEMENT Revenue Net total expenses EBIT71.8(115) Share of results of jointly- controlled entities Share of results of associates----(6) Profit before taxation90.8(284.9) Taxation (38)(12.45)(72.86) Net profit139.6(162.6)

ROUTES

SWOT ANALYSIS Strengths  Low Cost  Expansion/ Customer Service  One kind of fleet  Booking Sites Weakness  No proper maintenance / Maintenance facility  Too Much Delays  Accidents, Incidents and Fatalities Opportunities  Growing Middle Class  Merge or Collaboration  Open Skies Policy Threats  Government Intervention/ Corruption  High Fuel Prices  Certain Charges like Landing fees, security fees, etc

CONCLUSIONS Huge Population Growing Middle Class Tourist Areas Sustainability

ADS

QUESTIONS

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