Fernandes nafi AirAsia mohon ‘bailout’ kerajaan

Tony Fernandes, co-founder and advisor of AirAsia Group Bhd, has denied reports that the low-cost airline is receiving a bailout from the government. The 25-year veteran of the industry stated that AirAsia has never asked for government assistance. He also dismissed rumors that the government has contacted the airline regarding the possibility of taking over some of AirAsia's domestic routes, insisting that no such discussions are taking place.

Fernandes emphasized that the company was built by its own blood, sweat, and tears, and that there are no "sugar daddies" or "sugar mommies" involved. He reiterated that other airlines cannot simply take over AirAsia's operations and replicate its cost structure, market position, and route network. He noted that one would need a similar cost structure to offer the same fares, and that simply claiming "AirAsia will take over the capacity" is not a reasonable statement.

Fernandes expressed disbelief at the notion of AirAsia needing an additional USD3 billion in new capital, stating that the company is instead seeking USD1 billion to refinance existing loans and pay off some of its debts. He clarified that all of AirAsia's loans are in US dollars, while he is receptive to payments in various currencies, including Ringgit Malaysia, Thai Baht, and Indonesian Rupiah.

Thus, the refinancing aims to ensure that the company's debt denominated in foreign currencies aligns better with its equity denominated in US dollars. Fernandes stressed that he does not want to increase debt and dislikes being in debt, and he believes that no one in the room would be okay with being in debt. He emphasized the desire to be free of debt.