Indonesia AirAsia intends to IPO in the first quarter of 2013

PT Indonesia AirAsia will offer it’s IPO in the first quarter of 2013. The move comes after AirAsia moved its regional operations center to Indonesia.

Chief Executive Officer of AirAsia said the plan follows the steps taken by AirAsia X Sdn Bhd which will go public around October-November 2012. AirAsia X is a AirAsia business unit that specializes in serving long-haul flights.

Tony admitted that no bank was appointed as the lead underwriter yet. "The decision depends on the board of directors," he said.

AirAsia has decided to focus on developing the market in Indonesia. One proof shifts Tony Fernandes of AirAsia Sdn Bhd became Indonesia AirAsia. Tony replaced by Aireen Omar who is regional head of corporate finance and treasury AirAsia.

AirAsia currently has a 49% stake in Indonesia AirAsia. It operates 17 Airbus A320 aircraft and serves six cities in Indonesia. The airline is also flying from Indonesia to the four cities of Southeast Asia and one city in Australia.

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DHL opens Jakarta warehouse to meet high tech growth expectations

DHL Supply Chain, a provider of contract logistics solutions, has opened a new US$2.3 million multi-user warehouse in Cililitan, East Jakarta, to meet anticipated growth from the technology sector and pursue an ongoing plan to improve its facilities in Indonesia.

This development follows last year's announcement by the government of plans to develop the country's hi-tech electronics industry.

The company's managing director for Indonesia Abdul Rahim Tahir said: "With anticipated investment coming into the consumer electronics and information technology sector, DHL Supply Chain Indonesia expects an increase in requirements from our existing and new customers from this industry. We want to be ready to take this on."

The new 17,000-square metre warehouse utilises operational processes from loading docks and dock levellers, to RFID technology for barcode scanning, to accelerate delivery time to customers. Operational processes have been optimised to improve efficiency by 20 per cent and reduce costs. The facility is expected to handle 75,000 spare part units per month.

Complementing the five existing multi-user warehouses in the Jabodetabek area, the new facility consolidates and stores shipments before re-distributing them to 300 locations in the area. The other warehouses are mostly used to service clients in the automotive, retail, consumer and industrial sectors. Together this network forms a total combined warehouse space of 60,000 square metres in the East Jakarta area.

Oscar de Bok, DHL chief executive officer for south and southeast Asia added: "Indonesia's strong economic performance has positively impacted the logistics industry here with reports estimating it to grow 4.2 per cent to IDR1.4 trillion (US$153 billion) this year. With this expansion plan in place, we are confident in our ability to take on this growth."

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CHINA will build 70 NEW airport until the year 2015

China will build 70 new airports in the next three years. China ambitious expansion comes amid a slowing local economy.

Head of Civil Aviation Administration of China (CAAC), Li Jiaxiang, added from 2012 to 2015, local airlines will add 300 fleet per year. It is also listed in the five-year economic plan of China.

"China plans to build 70 new airports in recent years, increasing the number of airports that are now reaching 100 pieces," said Li Jiaxiang in high-level meeting the International Air Transport Association (IATA) in Beijing.

Li Jiaxiang also targeting a number of airports in China could reach 230 pieces at the end of 2015, while China airlines will operate more than 4,700 aircraft.

China will continue to expand aggressively while Chairman Tony Tyler IATA airline warned profits could be reduced by half this year due to high oil prices and the crisis in Europe.

Based on projections of IATA, the airline industry profits in the Asia-Pacific will reach U.S. $ 2 billion at the end of 2012, this figure is even less than half profit ever achieved in 2011 ago.

China's economic growth slowed to just 8.1 in the first quarter of 2012. A fairly slow growth in the last three years. However, the economic growth of the Chinese government adviser, Ma Kai, said the China aviation industry has tremendous growth potential. "Since 2005, the airline industry has recorded an annual growth of about 17.5%," he said.

Li Jiaxiang added that until the end of 2011, China already operates a 2888 commercial aircraft. A total of 1.2 million people working in this industry.

MAERSK LINE to restructure, terminate 400 jobs

Danish oil and shipping group A P Moller-Maersk said it would slash about 400 jobs as part of a restructuring of its struggling container shipping division Maersk Line.

The group said in a statement that a key objective of the reorganization was faster decision-making and that about 250 of the job cuts would be at its Copenhagen headquarters, reported Reuters.

The shipping industry has been hit hard during the global economic downturn as weak demand and excess capacity knocked freight rates to loss-making levels.

Maersk said last month it expected 2012 results "slightly lower" than in 2011, a modest improvement on previous guidance, but below analysts' hopes.

Maersk Line reported a loss of US$599 million in the first quarter. In a stark illustration of the damage caused by excess tonnage in a poor rate environment, Maersk Line’s volume increased by 18 percent while the average freight rate declined by nine percent compared to the first quarter last year.

source: cargonewsasia[dot]com / picture: google[dot]com