AirAsia is pleased to announce that pursuant to the approval of the license to carry on leasing business in Labuan from the Labuan Financial Services Authority on 12 September 2014, it has today incorporated a wholly-owned subsidiary company known as Asia Aviation Capital Limited (Company No.: LL11196) (“AAC”), a private limited company under the Labuan Companies Act 1990 with its registered office situated at Unit Level 11(A), Main Office Tower, Financial Park Labuan, Jalan Merdeka 897000 FT Labuan Malaysia.

The objective of establishing AAC is to provide aircraft leasing services for the AirAsia Group. AAC will own and manage the portfolio of aircraft that is currently leased to AirAsia’s affiliate companies outside of Malaysia namely, Thai AirAsia Co. Ltd, PT Indonesia AirAsia, AirAsia Inc, Zest Airways Inc, AirAsia India Pvt. Ltd. and future affiliates (collectively known as “the Affiliates”). Aircraft owned and operated in Malaysia will however remain with the Company.

The principal activities of AAC are:-
- Acquiring aircraft and securing financing for these aircraft;
- Providing operating leases to the Affiliates;
- Managing the portfolio of aircraft including technical services; and
- Remarketing of aircraft leases and/or sale of aircraft.

The initial issued and paid-up share capital of AAC is USD100 comprising 100 ordinary shares of USD1 each and will be raised accordingly to cater for its operational needs. The Directors of AAC presently are Datuk Kamarudin Bin Meranun, Aireen Omar and Rozman Bin Omar.

The incorporation of AAC is not expected to have any immediate effect on the issued and paid-up share capital or substantial shareholders’ shareholdings of AirAsia.

This announcement is dated 26 September 2014.