Saturday July 29, 2006

AirNZ pullout from Singapore a boon for SIA

business-times.asia1.com.sg :

Air New Zealand's loss could be Singapore Airlines's gain. The Kiwi carrier's surprise decision to pull out of Singapore from October could hand SIA some $40-60 million in passenger and cargo business, industry insiders say. With SIA the sole direct carrier between Singapore and New Zealand, it will be the preferred choice for cargo and passengers.

SIA operates 24 direct flights to Auckland and 14 direct flights to Christchurch every week. And with AirNZ out of the picture, SIA has a virtual stranglehold on traffic between Singapore and New Zealand's two biggest cities. In contrast to AirNZ's experience, SIA's New Zealand-Singapore route has proved to be profitable because it provides direct multiple daily connections to various European capitals. But SIA may not be alone on the route for long. Emirates is already exploring the possibility of starting direct flights from Singapore to Auckland.

See also :

1. Air New Zealand suspends flights to Singapore, Los Angeles

(2006-07-29 00:56:58 SGT) [Biz] Permalink

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