Plan to increase capacity for RER Line A in Paris, France

Current design cannot handle surging ridership

M109 that will serve RER A in 2014

New colors makes the train looks futuristic

Current M184 serving RER A in Auber station

Source: RATP.FR
Increasing transport capacity of the RER line A is a major issue and replacement of existing trains, which carry fewer passengers, the new material MI09 is an essential step in improving transport conditions. The MI09 offer many additional seats (2600 passengers with 948 passengers seats, against 1 684 passengers with 432 seats for MI84). Currently, three types of rolling stock co-exist on the line: the MS61 recently renovated, the MI84, and the two level MI2N. As of December 5, 2011 until 2014, a first tranche of 60 MI09 trainsets will gradually replace the equipment MI84. Four MI09 trainsets (that is to say two trains) run on the line by the end of this year, then two additional trains will be put into service each month.

In case RER A doesn't ring a bell to you.... It is the line that connects to Paris Disneyland, the Val de Europe outlet Malls, Arc du Triumph, and La Defence

PM launches Malaysia's first bus rapid transit project

By RAZAK AHMAD - The Star .com .my

SUBANG JAYA: The Government's efforts to further improve public transportation received another boost with the launch of the country's first bus rapid transit (BRT) project by Prime Minister Datuk Seri Najib Razak Saturday.

The BRT comprises of buses traveling either on a network of dedicated bus lanes or on purpose-built elevated lanes, complementing the My Rapid Transit (MRT)currently under construction in the Klang Valley.

Speaking at the inauguration of the project, Najib said the government and related authorities would continue to find viable solutions to address the Klang Valley's traffic congestion.

“The usage of public transport is still low at 17 percent and our target is to push it up to 40 percent by 2020. This will help us achieve the target and we hope that with this project, the urban transport landscape in this country will be something we can be proud of,” said Najib.

The first BRT service, expected to start in the second quarter of 2013, will allow the 500,000 residents in Bandar Sunway and Subang to connect more easily to existing light-rail transit (LRT) systems which currently does not serve their neighbourhoods.

The BRT-Sunway line, covering over 6km via 7stations, will connect Bandar Sunway and Subang commuters with the Kelana Jaya LRT Extension Line at USJ6 and with the KTMB Setia Jaya station near the Federal highway.

The BRT initiative is part of the Government Transformation Programme (GTP) Urban Public Transport National Key Result Area (NKRA), which aims to encourage higher public transport ridership. The project is being built under a Public-Private Partnership (PPP) between the Government owned Syarikat Prasarana Negara Berhad and Sunway Berhad. Prasarana chairman Tan Sri Ismail said the total cost of the project was still being worked out and that the public would be invited to provide feedback on the proposed alignment of the BRT route once it was ready.

Land Public Transport Commission Tan Sri Syed Hamid Albar said the Sunway line was the first of 12 BRT lines proposed for the Klang Valley.

Air Asia X withdraws from India and Europe

View: This is big news! Barely a year after launching flights into Paris, the darling of Asian low cost carriers - AirAsia has decided to suspend services in its long haul segment. Reasons of higher taxes (airport and regulatory) and fuel cost while deteriorating economic conditions in Europe were reasons given by the CEO.

In the end, I suspect this is due to the MAS-AirAsia partnership, which AirAsia had to step back in order to allow MAS a surviving chance to return to profitability.

Here are my reasons: for the instance of Europe. Although the economic conditions in Europe are depressing consumer demand, but we should not forget the growing affluence of Asian travellers seeking holiday destinations in Europe. There is definitely a demand in this segment. If Air Asia has to back off due to reasons provided by Mr Osman-Rani, then wouldn't the situation be even worse for MAS??

India, which like China is a potential huge market for air travel, Air Asia shouldn't let go their routes. Giving up will be surrendering lucrative business to other carriers.

=====================================================
here's the news:

FOR IMMEDIATE RELEASE

AIRASIA X RE-ALIGNS NETWORK TO FOCUS ON CORE MARKETS
Developments in Global Economy, Soaring Taxes and Higher Jet Fuel Prices leads long haul low-cost carrier to increase focus on core markets

KUALA LUMPUR, 12 January 2012- AirAsia X, the long haul, low fare affiliate of AirAsia, today announced a realignment of its network with a focus on its core markets.
The move will see AirAsia X withdrawing services to India (Mumbai and Delhi) and Europe (Paris, London) from its Kuala Lumpur hub as follows:
· Mumbai- Four weekly services will be suspended with the last flight on 31 January, 2012
· New Delhi- Daily services will be suspended with the last flight on 22 March, 2012. Flights in March will be reduced to four weekly services.
· London- Six weekly services will be suspended with the last flight on 31 March, 2012
· Paris- Four weekly services will be suspended with the last flight on 30 March, 2012

AirAsia X will offer guests who hold bookings after these dates an alternative travel option at no additional cost to mitigate the inconvenience caused as a result of these route withdrawals.
All affected guests will receive an e-mail stating options that are available to them, including a full refund, a reroute to another AirAsia X destination (e.g, in Australia and North Asia), or a move to an alternative carrier where available.

These changes will improve operating cost efficiencies and consolidate its network to focus on markets where it can build a leadership position in 2012.

Azran Osman-Rani, CEO of AirAsia X said “AirAsia X remains focused on maintaining its global leadership position in the low cost, long-haul segment. We intend to concentrate capacity in our core markets of Australasia, China, Taiwan, Japan, and Korea where we have built up stable, profitable routes within an infrastructure that supports low cost services. We intend to open up new routes within these markets, as well as add frequencies on existing routes. Announcements of our future expansion plans will be made soon.”
“The continued high jet fuel prices and the weakening demand for air travel from Europe, brought about by the current economic situation together with exorbitant government taxes, have placed cost pressures on operating long-haul low cost flights between Asia and Europe, compromising our ability to offer the low fares AirAsia X is known for.”

He adds, “The implementation of the Emissions Trading Scheme and the escalating Air Passenger Duty taxes in UK, which will rise yet again in April 2012 has forced our decision to withdraw our services to Europe.”
“As for Delhi and Mumbai, the continued visa restrictions for travel between India and Malaysia, and the increase in airport and handling charges have resulted in a structure not conducive to the low cost model.”
Azran concluded that, “The airline is hopeful in reinstating services to India once these structural issues can be resolved.”
Note:
Further details on AirAsia X’s withdrawal of Europe and India destinations:
Europe (London and Paris)
AirAsia X started flights to London in March 2009. At that time, oil prices were less than US$40/barrel, and have since tripled. With the Arab Spring unrest of 2011 spilling over to the unrests in Syria and Iranian oil embargo this year, oil prices are expected to remain high and crippling the economics of long-haul flights, where fuel represents over 50% of operating cost.

Moreover, the European situation is also compounded by a very weak economy and depressed consumer demand, which has resulted in a reduction in the number of passengers from Europe on the flights over the past several months. Flights to Europe have also been burdened by exorbitant government taxes such as the UK Air Passenger Duty which will be increased to £92 per departing economy passenger and £184 per departing Premium passenger from 1 April 2012. From 1 January 2012, the European Governments have also imposed an additional carbon tax under their Emissions Trading Scheme, which further adds to an already high cost.

The confluence of macro-factors, including high fuel prices, depressed European economy and exorbitant taxes have made it economically impossible to sustain these flights, despite AirAsia X recording load factors of over 80% for its London and Paris flights in 2011. Attempts to increase fares to reflect the higher operating cost recently have shown the price elasticity of travel, with demand falling down adversely.

India (Mumbai and New Delhi)
AirAsia X launched flights to Mumbai and Delhi in 2010. Structural issues in the Indian aviation market have made it difficult to operate economically viable flights. The airport and handling costs in New Delhi and Mumbai are already more expensive than even airports in Australia, and the authorities have just approved a massive 280% increase in airport fees effective April 2012.
The Indian routes have also been under-pressure when the Malaysian Government removed Visa-on-Arrival facilities in August 2010, soon after the routes were launched. This places Malaysia at a significant disadvantage versus Thailand and Singapore who offer Indian tourists convenient Visa-on-Arrival facilities.


About AirAsia and AirAsia X
AirAsia, the leading and largest low-cost carrier in Asia, services the most extensive network with over 165 routes covering destinations in Asia, Australia and Europe. Within 10 years of operations, AirAsia has carried over 130 million guests and grown its fleet from just two aircraft to 107. The airline today is proud to be a truly Asean (Association of Southeast Asian Nations) airline with established operations based in Malaysia, Indonesia and Thailand, servicing a network stretching across all Asean countries, China, India, Bangladesh, Sri Lanka and Australia. This is further complemented by AirAsia X, its low-fare long-haul affiliate carrier that currently flies to destinations in China, India, Europe, Australia, Taiwan, Iran, Korea, Japan, and New Zealand. AirAsia is the regional carrier with the largest destination network and highest flight frequencies. AirAsia was named the 2011 World’s Best Low Cost Airline in the annual World Airline Survey by Skytrax for three consecutive years.
For MEDIA enquiries, please contact:
MALAYSIA
Sherliza Zaharudin
My Mobile No : +6019 282 5887 My Email : sherlizazaharudin@airasia.com
My Office No : +603 8660 4614
Stacy
My Mobile No : +6017 673 7603 My Email : wongkaiwenstacy@airasia.com
My Office No : +603 8660 4650

Logistics seen growing 10%

Source THESTAR Saturday January 7, 2012

KUALA LUMPUR: The Malaysian logistics industry is expected to grow by 10.3% to RM129.93 billion in 2012 against an estimated RM117.8bil last year, on strong government support for logistics-related development and growth fuelled by foreign investments.

Malaysia's strategic location and focus on improving supply chain efficiency were also key growth drivers, said Frost & Sullivan vice-president, transportation & logistics practice, Asia-Pacific and country head for Malaysia, Gopal R.

“Growth of the country's external trade signifies growth of the transportation and logistics industry especially for import and export forwarding, air freight and ocean freight-related businesses,” said Gopal, adding that external trade for Malaysia was expected to increase 5.9% year-on-year to RM1.32 trillion in 2012.

Foreign direct investments surged to RM21.3bil in the first half of 2011 compared with RM12.1bil in the corresponding period in 2010, reflecting the growing confidence in the wake of Government initiatives to stimulate economic growth.

“The introduction of several initiatives such as the Government Transformation Programme and the Economic Transformation Programme provided a conducive business environment for the logistics market,” he said.

Malaysia's major trading partners are Asian countries which are expected to experience stable economic growth.

“However, the share of trade with Japan and Thailand is expected to shrink due to supply chain disruptions and production slowdown following disasters in the respective countries,” Gopal said.

The country's key trading commodities are electrical and electronic products, chemicals, palm oil, machinery, appliances and parts.

The Malaysian logistics industry is forecast to grow at a compounded annual growth rate (CAGR) of 11.6% to reach RM203.71bil in 2016. In terms of volumes, Gopal forecast Malaysia's total cargo volumes to increase 10.1% to 545.13mil tonnes in 2012 compared with 495.29 million tonnes in 2011.

“Sea-freight is the most favoured mode of transport for cargoes in Malaysia, (comprising) more than 90% of total freight traffic in 2011,” he said. Gopal said total cargo volume by sea was expected to grow 10.1% to 538 million tonnes in 2012.

Cargo volume by rail is expected to increase to 6.2 million tonnes in 2012 compared with 5.9 million tonnes in 2011. Gopal predicted cargo volume by air to grow 3.9% to 925,000 tonnes this year buoyed by steady growth in the economy and external trade.

MAS taking longer than expected to unveil turnaround plan

View: Read the last paragraph... It is foolish and naive to think that having Air Asia X give up the routes to London and Paris that MAS will be able to reduce costs. Before asking the partnership to make sacrifices, please get your own fundamentals/matters in order.

By B.K. SIDHU bksidhu@thestar.com.my

PETALING JAYA: Investors and analysts are basically growing tired, having waited for nearly three months now for the new team at Malaysia Airlines (MAS) to announce some definitive execution plans to turn the ailing airline around.
In a report, Maybank Investment Bank said: “The first impression we get is that the new management is busy learning the ropes and dealing with internal matters first before unveiling their grand plan.''
The house expects MAS to report a net loss of RM242mil for the third quarter. It said the fourth quarter, which is traditionally a good period for airlines, would be equally challenging for the national carrier. “It has been more than three months since the announcement of the MAS-AirAsia tie-up. Unfortunately, not much progress has been made in terms of operational matters.''

The research house said: “We have lowered our earnings forecast to adjust for higher fuel prices, lower yields and lower capacity deployment. We are optimistic on the tie-up as it brings forth exciting opportunities with synergy potential in the billions, but execution plans are iffy and very slow.''
“Against this backdrop, we have lowered our earnings forecast and downgraded MAS to a “hold” (from “buy”) with a target price of RM1.55 per share (from RM2.70) pegged to 5.6 times 2012-adjusted enterprise value/earnings before interest, taxes, depreciation and amortisation on par with global peers,'' it said.

Malaysian Airlines aircraft parked on a tarmac at Kuala Lumpur International Airport in Sepang outside Kuala Lumpur.(File picture) - EPA

It estimates that the third-quarter core net loss to be RM242mil after adjusting for FRS139 derivative mark-to-market, which is non-cash. The target is largely based on a 45% year-on-year rise in fuel price.
“We forecast the third quarter and the early part of 2012 to be loss-making after imputing for a higher jet fuel price of US$120 per barrel (from US$110 per barrel) and softer yield environment. MAS' cost structure is not nimble enough to deal with the current market environment. It should be in better shape in 2H12 when it removes most of its old aircraft from the fleet, ” according to the report.

It added that both airlines can save huge sums (RM200mil-RM300mil per year each) by eliminating irrational competition and reducing wastages. There is also potential yield enhancement stemming from better market supply demand relationship.
MAS has many routes in its network that are thin and have no potential to make profits (irregular non-daily flights, using big aircraft for small routes). Most of these routes were legacy in nature and served a different purpose in the yesteryears. Since the core focus was to revert back to profitability, MAS must be decisive and cull these routes immediately, the report said.

The report suggested that there were many areas where MAS and AirAsia could work to save cost.
“We believe both airlines should be smart and combine powers against the common enemy. For example, AirAsia X should stop its flights to Europe (London, Paris) and let MAS fight the battle alone against the Middle Eastern airlines (Emirates, Etihad, Qatar, Gulf) on these routes. Similarly, MAS should also get out from routes where there is no business travel or low yielding routes,'' it said.

MAS to axe unprofitable routes

View: How often does MAS rationalize the network? Seems that some routes have been causing the airline to bleed for a long time!

By B.K. SIDHU bksidhu@thestar.com.my

PETALING JAYA: Malaysia Airlines (MAS), which will be relocating its headquarters (HQ) from Subang to KL International Airport (KLIA) in February next year, will cut several routes including those to Dubai, Johannesburg, Buenos Aires and Cape Town, in a bid to reduce costs, sources said.
The sources added that MAS would no longer rely on Kota Kinabalu as a hub and would cut flights out of the Sabah capital to destinations such as Haneda, Seoul and Osaka.
In February, MAS would stop flying to Johannesburg, Cape Town and Buenos Aires, they said. As for the pullout from the Dubai sector, this will be done gradually, first with the reduction of weekly flights and those via Karachi and Damman.
“These are seen as critical routes that do not bring in the yields or are highly competitive, and the best way to bring down costs is to axe the unprofitable routes first,'' said a source.
The sources claimed that the airline might add Abu Dhabi as a destination in place of Dubai, a route served by Emirates several times weekly, but whether it was a wise move would remain to be seen as Abu Dhabi is an equally competitive route.
The sources added that choosing Kota Kinabalu as a hub was not a strategic move in the first place and now the airline had to reverse the decision. This is the second time that MAS has abandoned the idea of using Kota Kinabalu as a hub. The first attempt was in 2003.
MAS is currently conducting a review of its entire route network and sources claimed that there would be more route cuts. However, new destinations and frequencies will be added to those that bring in the yields.
“They should focus on areas that gives them good yields instead of trying to fly to destinations just for the sake of having linkages. Gone are the days when connectivity was a must, now the focus should be on making money rather than community service,'' said a source.
On the move to KLIA, which will be its second HQ shift in a decade, it is intended to consolidate its administrative operations in one location rather than maintain several. Currently, MAS operates from five places three at Subang and two at KLIA. The move will reduce the number of locations to three two in Subang and one in KLIA.
The new administration and headquarters will be located at the South Support Zone at KLIA. However, the Firefly turboprop operations, engineering and maintenance (E&M) as well as the Malaysia Airlines Academy will remain at Subang. The E&M division needs to stay at Subang because it has three hangars in that location and it would cost too much to relocate them.
“The move may be good for the airline as it wants to consolidate its operations and bring down costs, but it will be a costly affair for employees, whose travelling cost will rise along with their travelling time.
“The last shift was from Jalan Sultan Ismail to Subang. The question is, with the advent of technology, is there really a need to consolidate the operations to KLIA/LCCT... unless there is a plan to sell the land in Subang or even develop it?'' asked a source.
According to its annual report, MAS has 32 office and workshop buildings at Subang which covers 4.6 million sq feet and the net book value of the assets is RM233mil.

Rapid Penang suffers RM1.1mil loses in fare discrepancies

View: I'm surprised to see this discrepancy. Either the estimate of total fare revenue is too high, or Rapid Penang really has serious issues on collecting fare from passengers.


Source: TheStar.com.my

GEORGE TOWN: Discrepancies in fare collection, unsatisfactory depots and hubs and delayed infrastructure projects are among the weaknesses suffered by integrated bus service Rapid Penang.

A total of RM1.14mil in fare discrepancies were recorded from Rapid Penang's establishment in February 2007 to 2010, the Auditor-General's Report 2010 revealed.

The report listed several weaknesses the company suffered, which included unsatisfactory depots and bus hubs, not well-managed cleaning contracts for buses and Rapid Penang premises, delayed infrastructure projects and not fully utilised hostels.

It also reported the bus company had incurred loses before tax for both 2008 (RM7.67mil) and 2009 (RM10.68mil). No figure was quoted for 2010.