AirAsia refers to the above article appearing in the Edge Financial Daily, Page 6 on Thursday, 15 March 2012, in particular on the first paragraph reproduced as follows:-

“Prime Minister Datuk Seri Najib Razak has promised to review a share – swap deal between Malaysian Airline System Berhad (MAS) and AirAsia Berhad, a MAS employees union official said yesterday, signalling a tie-up may be scrapped after MAS posted record losses.”

AirAsia, after having made a due and diligent enquiry with all the Directors and the relevant major shareholders of the Company, wishes to announce that it has not been advised on any development by any parties in relation to the matter as above mentioned.

AirAsia will make appropriate announcement(s) to Bursa Malaysia Securities Berhad (“Bursa Malaysia”) in a timely manner in accordance with the Main Market Listing Requirements of Bursa Malaysia should there be any further development on the said matter.

This announcement is dated 16th day of March 2012.