Statement by AirAsia Berhad

SEPANG, 2 JUNE 2014

Regarding the article published by New Straits Times today (Headline: Setback to MAHB Plan), AirAsia would like to clarify that we are in the midst of obtaining approvals from local authorities for our new office building at klia2 and do not face any funding issues, as claimed in the published article.

AirAsia was requested to reduce the height of its new building when the control tower at klia2 was relocated to a new site upon instruction by the authorities. As a result of the reduced height, the original site and plan for the new office building became structurally uneconomical.

A new site had to be identified, and plans had to be redrawn and re-submitted for approval which has adjusted the timeline of the new office building significantly for AirAsia. Construction of the new building is expected to commence in July 2014 for completion late next year.

We would also like to clarify that no requests have been made to the prime minister to permit the AirAsia Corporate Office to remain in the LCCT, as reported in the article.

The airline, however, has been in communication with MAHB with regards to its corporate office remaining and occupying part of the first floor of LCCT; and as far as AirAsia is informe