5/18/2018 12:33:08 PM
|written By : Team India Se|
Singapore Airlines’ (SIA’s) regional wing, SilkAir, is to undergo a significant investment programme to upgrade its cabin products as part of a multi-year initiative that will ultimately see it merged into SIA.
The programme will comprise investment of more than $100 million to upgrade the wholly owned subsidiary’s cabins with new lie-flat seats in Business Class, and the installation of seat-back in-flight entertainment systems in both Business Class and Economy Class. This will ensure closer product and service consistency across the SIA Group’s full-service network, SIA said in a press release on May 18.
Aircraft cabin upgrades are expected to start in 2020. The merger will take place only after a sufficient number of aircraft have been fitted with the new cabin products.
Consistent with ongoing efforts to optimise the SIA Group’s network, there will also be transfers of routes and aircraft between the different airlines in the portfolio.
“Singapore Airlines is one year into our three-year transformation programme and today’s announcement is a significant development to provide more growth opportunities and prepare the Group for an even stronger future,” said SIA CEO Goh Choon Phong.
SilkAir operates a fleet of 11 Airbus A320-family aircraft and 22 Boeing 737-800 and 737 MAX 8 aircraft. It is currently transitioning to an all-737 fleet, and serves 49 destinations in 16 countries.
It launched in 1989 as Tradewinds the Airline, initially focusing on holiday destinations in Southeast Asia. Renamed SilkAir in 1992, it expanded progressively across Asia in subsequent years as it evolved.
SIA reports $893 million net profit, up 148.1%
Earlier in a press release on May 17, SIA announced : “The Group reported a net profit of $893 million for the 2017/18 financial year, an increase of $533 million, or 148.1%, from the same period last year. The increase was mainly attributable to a higher operating profit (+$434 million), absence of SIA Cargo’s provision for competition-related matters (+$132 million) and impairment of the Tigerair brand and trademarks (+$98 million) last year, partially offset by the absence of SIA Engineering’s gain on divestment of its 10.0% stake in Hong Kong Aero Engines Services Ltd (HAESL) and special dividends received from HAESL (-$178 million). Operating profit for the group rose to $1,057 million, $434 million (+69.7%) higher than the last financial year. from a holiday resort airline to a full-fledged, full-service regional carrier.”