KUALA LUMPUR: AirAsia Group Bhd’s wholly-owned subsidiary, AirAsia Bhd (AAB) has transferred two of its Kuala Lumpur-Singapore flight slots — equivalent to 14 flights per week — to its long-haul sister company, AirAsia X Bhd (AAX).

AAB and AAX had entered into a profit-sharing agreement on Nov 10, 2019, under which the AAX will share 50 per cent of the net operating profit from the route with AAB on a monthly basis throughout the term.

“The transaction (transfer of route) will provide an opportunity for AAB to heighten the Fly-Thru market which has remained stagnant since 2017 and benefit from the additional capacity,” the low-cost airline said in a filing with Bursa Malaysia today.

The group said the agreement is valid for one year and may be renewed for an additional year by mutual agreement.

As at 3.03 pm, the group’s share on Bursa Malaysia rose two sen to RM1.92 with 3.12 million shares transacted. – Bernama