Established in the fall of 1996 to offer public scheduled charter flights to regional destinations. Malaysia’s officially designated second national airline is operated by Air Asia, which is owned by Hicom Holdings and Mofaz Air Sqn. Bhd.
Two Boeing 737-300s are leased and on November 17 inaugurates services to Taipei, Taiwan.
Plans are made to initiate routes to Thailand and the Philippines. Before these can be implemented, the carrier is shut down.
PACIFIC EAST AIR: United States (1982-1984). Established by several former Western Airlines executives at Los Angeles in the spring of 1982, PEA is equipped with 1 each Douglas DC-8-61 and DC-8-63 leased from The Flying Tiger Line. One of these is employed to inaugurate scheduled, $99 one-way, economy-fare passenger flights on June 14, linking the company base with Honolulu.
Enplanements for the year total 46,000.
The low-fare airline is expanded early in 1983, as the second Douglas DC-8-61 begins flying from Los Angeles to Newark. DC-8-62s and DC-8-63s are chartered to replace The Flying Tiger Line aircraft and frequencies are initiated to San Jose, San Francisco, Kahului, and New York (JFK).
Passenger boardings climb to 236,000.
Start-up and growth costs and recession cause the carrier significant financial difficulties in 1984. Early in the year, the state of California sues the PEA for overbooking, combining tours to fill aircraft and failure to make timely refunds. New York and Kahului service is immediately suspended and on May 9, Pacific East stops all flying and files for Chapter XI bankruptcy. With debts of $10 million and no chance for reorganization, the company is liquidated in August.
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