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AirAsia X CEO: Prices for jet fuel have fallen since June 15, resulting in a reduction of fares.

Bo Lingam said that the CEO of Malaysian budget airline AirAsia?X, has announced a 5% reduction in fares since June 15. The airline will continue to monitor the situation on a weekly basis as jet fuel prices fall, he added.

As the U.S. - Iran war wreaked havoc on travel around the world, the airline has used the last three months to reduce underperforming flights, shift the demand, and renegotiate all contracts with vendors and lessors.

Lingam said to reporters that they were still renegotiating and restructuring all of their contracts.

He added that "week by week we will be revising our fares as the fuel prices go down."

AirAsia?X was hard-hit by the volatile jet fuel price. It posted a loss in its first quarter this year, cutting 10% of its flights and adding fuel surcharges as a result.

In a Monday statement, the airline stated that it expects to have its full capacity restored by August.

Singapore jet ?fuel The price of oil was around $112 per barrel on Friday, after recent?declines attributed to an interim U.S.-Iran agreement. This was higher than pre-conflict prices of $80 per barrel, but less than half the high of March 30, $242.

Lingam said that the airline would receive its first Airbus A220 aircraft by the end of 2027. These jets will be used in the Philippines. (Reporting and editing by Julie Zhu, Christian Schmollinger, Anne Marie Roantree and Jamie Freed).

(source: Reuters)