AirAsia to cut ties with Japan's ANA due to slump in business
TOKYO (AFP) - Asia's largest budget carrier AirAsia is to pull out of its partnership with Japan's All Nippon Airways because of slumping business, a report said on Monday.
Malaysia-based AirAsia has decided to withdraw from AirAsia Japan, a company it jointly formed with ANA to begin low-cost carrier operations out of Tokyo's Narita International Airport in August 2012, the Nikkei business daily said.
AirAsia's CEO Tony Fernandes reached a basic accord on the dissolution after discussions with senior officials of ANA Holdings, which owns ANA, the newspaper said.
Under their accord, the Japanese airline plans to buy the 49 percent stake held by its Malaysian counterpart and turn the joint venture into a 100 percent subsidiary, it said.