Air Asia is moving its regional base to Jakarta, according to reports.
The Jakarta Globe said in an editorial that AirAsia’s decision to relocate its regional headquarters from Malaysia to Jakarta is “a telling sign of the opportunities that exist in Indonesia”.
See another report in the Globe.
Asia Sentinel interprets the move as a setback for Najib: “With all the troubles he has had over the last two months, the confirmation Friday that AirAsia, arguably Malaysia’s most vibrant private company, is moving its headquarters out of the country to Indonesia is one more blow.”
Blogger Dr Rafick raises a pertinent question: Is everything okay in Malaysia?
Air Asia had announced on 15 July that as at 30 June 2011, 52.5 per cent of its issued share capital was now held by foreigners. “The percentage of ownership of shares in the Company by foreigners has exceeded the limit of 45% of the Company’s total issued and paid-up share capital (“Prescribed Limit”).”
According to regulations, shares held by foreigners which have exceeded the Prescribed Limit shall be entitled to all rights and entitlements ordinarily attached to the shares except for the exercise of voting rights.
Hmm, maybe it’s time to revisit the debate on the impact of air travel on global warming… The other day I met an environmentally conscious couple who, even though they could afford it, refused to take flights for holidays abroad because of concerns about their carbon footprint. That set me thinking.
Even if you aren’t convinced about global warming/climate change, no one can deny one thing: oil is a finite resource. And as demand for fuel increases, oil prices will rise correspondingly as surely as night follows day. Given that real wages have not been rising as fast as the cost of living, budget air travel is merely delaying the day when air travel becomes prohibitively expensive for a lot of people. Except if (and that’s a big if) renewable energy sources are found. (Note: The Jakarta Post reported this week that Indonesia AirAsia (AAI) would end its Medan-Hong Kong route, one of its longest routes, amid soaring oil prices.)