AirAsia Japan Files For Bankruptcy Due to Slump Demand In Travel Industries
The AirAsia Group Bhd’s associate company in Japan, AirAsia Japan Co Ltd (AAJ) has filed for bankruptcy due to the demand slump in the travel industry which was affected mainly by restrictions on the coronavirus pandemic. AirAsia Groups holds a 33% stake in AAJ via its shareholding AirAsia Investment Ltd.
The group announced that the board of directors has announced to cease all AAJ’s operations with immediate effects on 5th October in order to reduce the losses damage from getting higher. Meanwhile, the company also mentions that it will return to operation by mid-2021 if the air travel industry bounces back to normal.
Meanwhile, AirAsia’s domestic services in Thailand are having similar strong positive signs too including in Malaysia, Indonesia, and the Philippines.
