On behalf of the Board of Directors of AirAsia (“Directors”), we wish to announce we have last night (16 February 2015) executed a Share Purchase Agreement (“SPA”) with Expedia, Inc., (“Expedia”), Expedia Southeast Asia Pte. Ltd., and AirAsia Exp Pte. Ltd., a wholly-owned subsidiary of AirAsia (“AirAsia Exp”) to divest a total of 6,144,280 ordinary shares of SGD1.00 each (“Sale Shares”) held by AirAsia through AirAsia Exp, representing 25% equity share in the share capital of the JV Company, to Expedia for a consideration of USD86,250,000 (or MYR306,187,500 at the exchange rate of 3.55) (less a proportion of stamp duties) (“Sale Consideration”) (collectively the “Transaction”). In connection with the SPA, AirAsia has also entered into certain amendments to existing agreements among AirAsia, the JV Company and Expedia.

Please refer to the attachment for further details.

This announcement is dated 17 February 2015.