The Company wishes to announce that the Board of Directors of AirAsia had approved the establishment of ADE, a wholly owned subsidiary of AirAsia, to consolidate engineering personnel across AirAsia’s group airlines. 

ADE, with the manpower of AirAsia Berhad’s Engineering Department, will operate as a centralised and independent Maintenance, Repair & Overhaul (“MRO”) unit to service all of AirAsia’s group airlines and third party airlines in the region focusing on key services such as line maintenance, workshop, engineering support, component and warehouse as well as digital and innovation.

ADE will embark on the Industry 4.0 digital transformation journey, embracing the future by leveraging on the latest technologies in automation, big data analytics, predictive maintenance, machine learning and artificial intelligence to effectively reduce maintenance costs and increase productivity and efficiency while maintaining a high level of safety, quality and airworthiness of the fleet. ADE will be an avenue to earn additional income which will contribute to the overall increase in revenue for AirAsia.

Mr. Mahesh Kumar Jaya Kumar (“Mr. Mahesh”) has been appointed as the Chief Executive Officer (“CEO”) of ADE. Mr. Mahesh joined AirAsia’s Engineering Department in 2009. Prior to his appointment as the CEO of ADE, Mr. Mahesh was the Head of Fleet & Technical Asset Management for AirAsia and prior to that, Mr. Mahesh was the Senior Vice President, Technical for Asia Aviation Capital Limited, an indirect wholly owned subsidiary of AirAsia.

ADE has successfully obtained the Aircraft Maintenance Organisation (AMO) approval from the Civil Aviation Authority of Malaysia (CAAM) to start its operation with effect from 9 September 2020.

The establishment of ADE is not subject to the approval of shareholders of the Company.

None of the Directors, major shareholders of the Company and/or persons connected with them has any interest, direct or indirect, in the incorporation of ADE.

This announcement is dated 9 September 2020.