SINGAPORE Airlines quarterly profit declines 53pc to US$108 million

SINGAPORE Airlines (SIA) posted a 53 per cent fourth quarter net profit loss to S$135.2 million (US$108 million) year on year, drawn on revenues of S$3.88 billion which changed little.

Controlled by state investor Temasek Holdings, Singapore Airlines, the world's second largest airline, attributed the decline to the harsh global economic environment, decreasing demand in passenger and cargo markets as well as high fuel prices. Its fuel bill soared 33 per cent in the quarter from a year ago, the company said.

Its profit was lower than the average forecast of S$162.5 million from four analysts polled by Reuters. This is the fourth straight quarter that the airline's profit has underperformed analysts' expectations.

Singapore Airlines said weakness in both passenger and cargo sectors would persist. "Forward bookings continue to show signs of weakness in the final quarter of the financial year, due to uncertainty in the global economy and the protracted Eurozone debt crisis," the airline said in a statement.

"Passenger yields are expected to remain under pressure while cargo yields are expected to continue to decline," it said, adding that slack air cargo market is likely to continue due to soft demand in major developed countries.

To expand, the airline plans to commence its own long-haul budget airline, Scoot, by mid-2012, reported the USA Today, saying that this would help the Singapore Airlines group, including its regional unit, SilkAir, and its short-haul budget affiliate Tiger Airways (with a 33 per cent stake), to run against the odds in 2012.

Late last year, the International Air Transport Association (IATA) reduced its forecast for airline industry profits by a quarter to $3.5 billion for 2012, adding that IATA warned the industry's losses would increase to an US$8.3 billion if Europe's debt crisis deepens and provokes a new financial crisis. Singapore Airlines quarterly profit declines 53pc to US$108 million

source: shippinggazette/picture: google.com

SINGAPORE AIRLINES launches twice-weekly FREIGHTER services to FRANKFURT

Singapore Airlines Cargo will commence twice-weekly Boeing 747-400 freighter services to Frankfurt from November 2, 2011 to complement cargo capacity on its twice-daily passenger flights between Singapore and Frankfurt to meet demand for the city's major exports of machinery and automobile parts.

"These services are in line with our policy of matching capacity with demand. The freighter services to Frankfurt will give our customers more choice of flights to choose from and will play an important role in expanding two-way trade links with key markets in Asia and Europe," said senior vice president Tan Tiow Kor.

The flight SQ7382 will depart on Wednesday from Singapore at 1910 hrs, arrive in Bengaluru at 2100 hrs, depart 2255 hrs, arrive in Sharjah at 0130 hrs, depart 0225 hrs, arrive in Frankfurt 06:15 hrs.

On Thursdays flight SQ7381 will depart Frankfurt at 0850 hrs, arrive at Sharjah at 1750 hrs, depart 1900 hrs for arrival in Singapore at 0610 hrs. On Saturdays flight SQ7384 will depart from Singapore at 2305 hrs, arrive in Chennai at 0045 hrs, depart at 0245 hrs, arrive in Sharjah at 0535, depart 0635 hrs with arrival in Frankfurt at 1025 hrs.

On Sundays flight SQ7383 will depart Frankfurt at 1415 hrs, arrive in Sharjah 2315 hrs, depart 0025 hrs to arrive Singapore 1135 hrs.

source: shippingazette.com / picture: google.com

Garuda Indonesia Airways grab Singapore Airlines MARKET

The airline Garuda Indonesia Airways began to seize market foreign airlines, including Singapore Airlines and Malaysia Airlines who could fill in the gaps for the overseas Garuda Indonesia flight routes.

Currently, several international flights such as to Japan, Seoul, Hong Kong, and China, could be said Garuda Indonesia has become the primary choice in upper secondary market. Average monthly load factor according to Director of Marketing and Sales Arif Wibowo, reaching more than 80%.

"Only Japan has decreased by about 15% because of the earthquake and tsunami a while back. But we believe this market will soon recover. Japan is one of a solid international routes," said Arif in Toulouse, France, when to pick up a new aircraft of Garuda Indonesia, Airbus 330-200.

Met separately in Toulouse, President Director Danny Limarga Shilla Tour, said of a thousand inbound tourists per year that he signed, almost all using Garuda Indonesia, except for a flight to Amsterdam. "Frequency of Garuda Indonesia flight to Amsterdam was still a little. But for countries in Asia, Garuda Indonesia has become the primary choice. For Shilla Tour is perfect because we were working on upper middle-market tourists," said Danny. In the future, Danny hoped Garuda Indonesia could increase flight routes to countries in Europe. Also strengthening the flight route in Asian countries.

The same hope is presented by Eka Moncarre, Managing Director of Panorama Tour of Europe. Eka explains, the French tourism market relatively unaffected by the world financial crisis. "They rarely play the stock, so not too affected. That's why, demand for travel to Indonesia, especially Java and Bali continue to rise, "said Eka at Paris.

In 2010, the number of French tourists to Indonesia, which is handled Panorama reach 100 thousand people. From the number, 70% of them targeting the island of Java and Bali. "That's why, we hope that Garuda Indonesia can fly longer of Paris routes. Tourists market in this country is big enough," said Eka.

By the closing of Paris track around 1994, the current French tourists who came to Indonesia was forced to bundle with other foreign airlines such as Singapore Airlines and Malaysia airlines. "This is related to additional tariffs, due to use of Garuda Indonesia, the first tourists to be flown to Amsterdam. That is why, we sincerely hope Garuda again fly over Paris," said Eka.

Arif Wibowo said the management of Garuda Indonesia already had plan to open new routes in several Europe countries, including Paris, France. To support the plan, Garuda Indonesia has ordered the aircraft that can serve long-distance direct flights.

Vice President of Marketing Garuda Indonesia, Don JP Bustan, the French gave similar statement. Management of Garuda Indonesia, he said, did have a plan to immediately fly several European countries, including Paris, France."Routes to be flown are in the study. We still measured the needs work on the main market in business class, including the leisure market with more economic tariffs," he said.

picture: google.com

CHANGI Airport welcomes INAUGURAL Zhengzhou-Singapore FLIGHT

Changi Airport Group (CAG) and the Henan Civil Aviation Development and Construction Committee (HCADCC) today marked a significant milestone in their cooperation as the inaugural flight connecting Zhengzhou to Singapore arrived at Changi Airport Terminal 1 this afternoon.

The inaugural flight from Zhengzhou, the capital of Henan Province, follows the signing of a Memorandum of Understanding by CAG and HCADCC in November 2010 to develop air connectivity between Singapore and cities in Henan.

Passenger traffic between Singapore and China has shown promising signs of growth. In 2010, some 3.38 million passengers travelled between the two countries, an increase of 16% over 2009. In particular, traffic between Singapore and secondary cities in China1 grew 22% over the same period. With the addition of Xiamen Airlines’ flights to Zhengzhou, some 430 weekly scheduled flights will connect Changi Airport to 26 Chinese cities, reinforcing Singapore’s position as the most connected Southeast Asian city to China.

Changi Airport Group’s Chief Executive Officer, Lee Seow Hiang said, “We congratulate Xiamen Airlines on its inaugural flight from Zhengzhou to Singapore. This would not have been possible without the strong support of The People’s Government of Henan Province, Xiamen Airlines and Zhengzhou Xinzheng International Airport. We look forward to deepening our partnership with the Henan Civil Aviation Development and Construction Committee to promote sustainable traffic growth between Singapore and Henan.”

Apart from having one of the fastest growing economies among China's six Central Provinces (Anhui, Henan, Hubei, Hunan, Jianxi and Shanxi), Henan is home to attractions such as the Shaolin Temple and the Yellow River. "With the connection to Zhengzhou, Singaporeans will now have the opportunity to visit the Henan region, which is rich in cultural and tourism attractions," added Mr Lee.

Besides establishing direct flights between Singapore and Henan, CAG and HCADCC will work together to support airlines and promote air routes. Both parties will also support their respective tourism authorities in promoting bilateral tourism flows and strengthening tourism links through joint marketing efforts.

source:airtransportnews.aero

Singapore Airlines and Garuda Indonesia Airlines signed codeshare cooperation

Singapore Airlines and Garuda Indonesia Airlines signed a joint Singapore-Denpasar flight. In codeshare cooperation, the two airlines will provide connectivity services for its passengers.

Ng Kian Wah, Senior Vice President of Sales Regions Singapore Airlines, explains, the codeshare agreement will effective on December 1, 2010. "The two airlines will cooperate on the basis of the principle of reciprocity on all flights between Singapore and Denpasar," said Ng Kian.

The agreement is a shared desire to offer more flight options for customers. It also aims to improve the accessibility of foreign tourists who will travel to the island of Bali.

Garuda Indonesia customers will be able to enjoy connectivity services from Singapore to all destinations of Singapore Airlines in the world. Similarly, on the contrary, Singapore Airlines customers can enjoy the benefits of connectivity Garuda Indonesia's domestic destinations from Denpasar, Bali.

Singapore Airlines operates three flights per day to Singapore-Denpasar route, while Garuda has daily flights. The cooperation is believed to be able to maximize the benefits of two airlines from the route.

Picture:google.com

Singapore Airlines (SQ) will Buy 50 New Aircraft

Singapore Airlines (SQ) will buy 50 new aircraft to support flight operations of all of their route serves. Public Relations Manager of Singapore Airline (SIA) Gloria Henriette said the ordered aircrafts is consisting of eight units of Airbus A380-800, two units of Airbus A330-300, 20 Boeing 787-9 Dreamliners, and 20 units of Airbus A350-900 XWb.

Gloria explains, for A380 and A330 are already produced commercially can begin to be sent in stages starting next year. However, for the B787 and A350, both of a new aircraft which are still prepared by manufacturer for commercial sale. Thus, the delivery depends on the readiness of Boeing and Airbus. "But from now we already ordered. Later, all aircraft will be purchased. Singapore Airlines (SQ) has enough financial to buy it," said Glory, Wednesday (10/27/2010).

If Singapore Airlines (SIA) use the option to pay cash for all aircraft ordered, they surely must prepare a lot of money. The Airbus A380 have a price per unit of USD 317.2 million to USD 337.5 million. As for the A330 at USD 195.9 to USD 205.7 million per unit. While the A350 XWB at USD 238.2 million to USD 242.9 million per unit and  B787-9 sell at USD 194 million to USD 205.5 million per unit.

"Singapore Airlines (SQ) has a policy if an aircraft has been operated for five years it will be handed over to its subsidiary, Singapore Aircraft Leasing Enterprise (SALE) for lease to other airlines. Along with the arrival of new aircraft," Gloria explained.

Today's the Singapore-based airline already operates 105 aircraft, comprising 11 of A380-800, 5 of A340-500, 17 of A330-300, 7 of B747-400, 19 of B777-300ER, 12 of B777-300, 9 of B777-200ER, and 25 of B777-200 with an average aircraft age of 5 years 11 months. As for cargo aircraft, Singapore Airlines (SIA) operates 11 of B747-400 Freighter.

Singapore Airlines (SQ) flights to 17 countries around the world, namely Australia, Bangladesh, Belgium, Brunei, China, Denmark, Egypt, France, Germany, Greece, India, Italy, Japan, Kenya, Kuwait, Malaysia, and Indonesia. For Indonesia, the SIA has a flight from Singapore to Denpasar 21 times per week, and Singapore-Jakarta, 49 times per week.

Picture:google.com