AirAsia Zest seeks more Macau seats

MANILA, Philippines - AirAsia Zest, jointly owned by AirAsia Philippines Inc. and Zest Airways Inc., has asked the Civil Aeronautics Board (CAB) for additional seat entitlements for flights between Manila and Macau.

AirAsia Zest has filed an application before CAB for the allocation of additional entitlements of 720 weekly seats between Manila and Macau.

Aside from AirAsia Zest, other carriers flying to Macau include national flag carrier Philippine Airlines Inc. and budget airline Cebu Air Inc. (Cebu Pacific).

Last June 18, CAB executive director Carmelo Arcilla announced that the Philippines and Macau inked a new air service agreement raising seat entitlements between the two countries by 56 percent to 7,020 per week from the current 4,500.

The Philippines pursued a new round air talks with Macau to amend the air pact signed last year as it is set to become a gateway to Hong Kong as well as other cities in China.

The Philippines so far concluded air talks with France last January, Singapore last February, New Zealand last March as well as Myanmar and Canada last May, and Macau last June.

Air talks with Malaysia scheduled last April 3 were suspended due to the search for the missing Beijing bound Malaysia Airline Flight No. MH370 while the scheduled talks with South Africa this week was also deferred due to the unavailability of their counterparts.

Last year, the Philippines signed air agreements with Japan, Macau, Brazil, Australia, Israel, and Italy.

The Aquino administration is pursuing air talks as part of its open skies policy. Under EO 29, airports other than the Ninoy Aquino International Airport would be opened to more foreign traffic.

This is in line with the target to lure 10 million tourists by 2016.

AirAsia Philippines completed the acquisition of an 85 percent economic interest and 49 percent voting rights in ZestAir as well as a 100 percent interest in Yao’s Asiawide Airways Inc. based on a strategic alliance agreement signed in May last year.

In exchange, Yao’s ZestAir got $16 million as well as 13 percent interest in AirAsia Philippines.

AirAsia is looking at further increasing its stake in Zestair after it got the approval from the House of Representatives.