AirAsia and Malaysia Airports Holdings Berhad (MAHB) are two entities that have not been sitting too well with each other. But now it seems like they have buried the hatchet.

In a fruitful meeting that took place on Thursday, in what also was AirAsia Group CEO Tan Sri Tony Fernandes’ first time in MAHB’s office, he described it as “Historic”.

“Deciding to put the past behind us,” Fernandes opened up on his Instagram account, posting a joyful picture of him together with MAHB managing director Datuk Badlisham Ghazali.

He claimed they had “Lots of great ideas,” and that they had an ultimate goal to reduce cost, resulting to cheaper airfares.

Fernandes also recounted the “big discussion” of building two types of airports – one of which would act as a low-cost carrier terminal.

“We talked on making LCC@KLIA2 the Dubai of Asia. Low airport tax and low costs gives volume.

“After 15 years I see light with Malaysia,” he wrote, praising Badlisham.

“He needs management and a board who thinks like him and will leave the past behind,” Fernandes said.

AirAsia’s issues with MAHB came to boil beginning 2014 when it was forced to relocate its operations to KLIA2 from LCCT, that led to Fernandes wanting to rebrand the terminal to LCCT2.

Meanwhile, MAHB was set that the airport was KL International Airport’s second terminal and that the name should be retained.

In July, Fernandes highlighted MAHB splurged RM4 billion to build KLIA2 instead of building a new low-cost carrier terminal which costs less, after Badlisham explained their investment in the new terminal, and was set to review an increase of passenger service charge.

Fernandes then, demanded for a new LCCT to be built.

Last week, AirAsia''s CEO Aireen Omar said both units were working on a branding and promotional campaign, pending MAHB's endorsement to recapture Malaysia’s position as the low-cost carrier hub in Asia from Thailand’s Don Muang International Airport.

 -mD