Wednesday, 14 December 2011 12:20
SYDNEY: Australian airline Qantas should base its Asian operations in Malaysia rather than Singapore if it is serious about expanding in the region, AirAsia chief Tony Fernandes said Wednesday.
Fernandes, who is in talks with Qantas and Malaysia Airlines on a three-way alliance, told The Australian Financial Review that a Qantas operation based in Kuala Lumpur would be the stronger option.
"Singapore is the better business hub for sure, but the majority of Singapore traffic is transit traffic -- just like Dubai," he said.
"Whether you connect in KL or Singapore, the key is connectivity."
Qantas in August announced plans to establish a joint-venture premium airline in Asia as it repositions itself within the industry's fastest-growing region and seeks to turn around its loss-making international arm.
Talks were reported to be on the backburner given uncertainty over global economic conditions and volatile fuel prices, but Qantas said Monday they were ongoing, with Kuala Lumpur and ...