Early December 2004 saw the Indonesian domestic carrier Awair resume limited scheduled services after a suspension in operations lasting for more than 2.5 years. Originally inaugurated as an airline in June 2000, a financially troubled Awair closed shop in March 2002 before relauncging itself with new investors during the first week of December 2004.
Dormant for more nearly 30 months and facing the imminent threat of having its operating license revoked by the Indonesian Government if it didn't start fly again, Awair has resumed scheduled flights to two domestic destinations from a Jakarta base: Medan (Sumatra) and Balikpapan (Kalimantan).
Awair's resurrection was made possible through the introduction of a new investor, Malaysia-based discount carrier Air Asia who now own 49% of the Indonesian airline.
Taking a page out the Air Asia game book, Awair is offering discount fares on flights of nearly 3 hours duration on flights between Jakarta and Medan starting from Rp. 88,000 (approximately US$9.75) and Jakarta – Balikpapan from Rp. 99,000 (approximately US$11.00).
Giving a whole new meaning to the term "discount carrier," Air Asia paid US$2 for its 49% share in the Indonesian airline.
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