AirAsia, one of Asia's best-known low-cost flights companies, is facing enormous financial pressure, while fuel prices continue to burden the aviation industry.
According to Reuters, the company has held talks with the Malaysian government about opportunities for easing costs and supporting its activity.
Cofounder Tony Fernandes has met with representatives of financial and transport institutions.
However, Fernandes has stressed that a direct financial rescue package has not been requested during these talks.
Discussions are focused on lowering certain operational costs, including airport fees and fuel expenditures.
Reuters reports that Air Asia registered net losses of some 831 million Malaysian ringits, or approximately $204 million, during the second quarter of the year.
Increasing fuel prices and wave fluctuations have been among the factors weighing the results.
The company is also considering new financing through debt markets to improve the financial structure.
The situation is also important for tourism, as AirAsia owns a large part of the internal flight market in Malaysia and links numerous destinations in Southeast Asia.
Despite the challenges, company leaders say they aim to weather the crisis without a government bailout.
