Malaysia’s AirAsia shuts operations in Japan

KUALA LUMPUR: Malaysia’s flagship budget airline AirAsia Group Bhd is ceasing its Japanese operations immediately, the carrier said in a bourse filing on Monday. The airline said it has been notified that the board of directors of its majority-own subsidiary AirAsia Japan has taken a decision to cease operations with immediate effect. “We respect and have agreed to the decision made by AAJ as this would reduce the cash burn of AAJ and the Company amid the highly challenging operating conditions in Japan which have been aggravated by the COVID-19 pandemic,” it said. Group Chief Executive Officer Tony Fernandes last month said that the group was reviewing its business in Japan due to the impact of the pandemic. The group, which employs around 300, has reported it flew 98 per cent fewer passengers in April-June than in the same period of last year. — Reuters