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VietJet AirAsia to hit skies in August
Viet Nam-based low-cost airline VietJet AirAsia would make its first commercial flight in August, said AirAsia general director Tony Fernandes on Thursday.
Fernandes was at a signing ceremony for the strategic partnership agreement between Malaysian budget carrier AirAsia and local VietJet Aviation, held in Ha Noi.
The ceremony was witnessed by Malaysian Prime Minister Yang Amat Berhormat Dato' Sri Mohd Najib Tun Razak and Vietnamese Deputy Prime Minister Truong Vinh Trong, as well as representatives of the two countries' ministries.
AirAsia has bought a 30-per-cent stake in Viet Jet Aviation to establish the new carrier.
Fernandes said the two governments had supported the operation of VietJet Air Asia. He said the carrier would help increase tourism to both countries and enhance the nations' relationship and promote the integration process in ASEAN.
The agreement would strengthen co-operation between Viet Nam and Malaysia towards common targets of the region's economic development, he said.
VietJet Air General Director Nguyen Duc Tam said advantage would be taken of Air Asia's technology and experience to ensure quality and safety.
Fernandes also said there would be no competition between Vietnam Airlines and VietJet AirAsia as their market segments were different.
The carrier would operate both domestic and international flights, he said.
VietJet Air main shareholders were Sovico Group, T$C Group and the housing development joint stock commercial bank.
The first privately owned Vietnamese airline, it was launched in 2007 with an initial investment capital of VND600 billion (US$37.5 million).
AirAsia is the biggest budget carrier in Asia with a wide network of flight routes in ASEAN. With its associated budget carrier, Asia X, AirAsia flies to destinations in mainland China, Taiwan, Australia and the UK. To date, the two carriers have carried over 85 million of passengers with 90 aircraft.
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