SEPANG, Malaysia, 18 March 2022: AirAsia X (AAX) lodged the
Sanction Order on Wednesday for its debt restructuring with the Registrar of
Companies have completed the formalities of restructuring.

The debt restructuring proposal was approved by its
creditors on 12 November 2021 and by the High Court of Malaya on 16 December

The lodgement of the Sanction Order means that the financial
effects can be recognised in the financial statements of the company and, as a
result, AAX will be able to reverse MYR33 billion of liabilities and provisions
for liabilities that have been waived under the scheme. The full effects on the
income statement and balance sheet of the company will be reflected in the next
quarterly Bursa announcement.

The lodgement of the Sanction Order will now pave the way
for the completion of the proposed fundraising.

AirAsia X CEO Benyamin Ismail noted: ”This is another
significant step in rebuilding AAX, post-pandemic. We are returning to the
skies in a robust position where we can once again offer the best value fares
and customer service excellence that our customers deserve.

“Cargo has been a strong lifeline for AAX, and our
recovery is already underway as a combination carrier with equal emphasis on
cargo and passenger revenues.

“We look forward to offering more value for money services
across our core network in tandem with cargo and consumer demand. In the next
two months, we will recommence passenger services to several more international
destinations in line with borders reopening with exciting offerings for guests
and particularly to customers who have travel credits with us.”