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Malaysia Airports Holdings slams Airasia's demand for compensation

Sunday, 16 August 20153 min read

Kuala Lumpur’s airport operator has dismissed out of hand AirAsia’s demand for compensation due to building defects at the klia2 LCC airport.

Malaysia Airports Holdings denied the carrier’s demand for RM409 million ($100 million) as ‘unjustified.’

The claim was ‘unsupported by any particulars,’ it said in a statement to the stock exchange.

"The facts relied upon by AirAsia to support its claims are misleading and tainted with factual inaccuracies," it added.

AirAsia sent a letter to the airport operator two weeks ago claiming its reputation had been damaged as the primary airline at the airport.

The airport which only opened last year, is sinking, causing cracks in the tarmac.

AirAsia said this is a safety risk and it adds to wear and tear on its aircraft.

Malaysia Airports said the problem is caused by uneven soil below the tarmac and a permanent fix would be completed by next April.