From July 2011…
TIGER Airways Australia's new CEO says the grounded airline will have a long-term future in Australia.Tony Davis, brought in from the airline's Singapore-based parent company, said he was conducting a comprehensive review of the Australian operation to give the company a fresh start.
With Tiger now grounded for a month by the Civil Aviation Safety Authority (CASA), Mr Davis said the airline was working to address the regulator's safety concerns.
"We're clearly addressing the issues that have been identified by CASA and in addition to that we're completing our own review," Mr Davis told ABC TV last night.
"So, as I said before, it's about a fresh start, it's about addressing anything that needs to be addressed and it's about having a long-term, viable, safe airline here in Australia."
Mr Davis was the CEO of Singapore-based Tiger Airways Holdings but took over as chief executive of the Australian company from Wednesday night.
He replaced Crawford Rix, who Tiger announced was leaving the company after CASA extended its grounding.
Some industry observers have questioned whether Tiger Australia will be able to come back after its unprecedented grounding but Mr Davis said the Tiger Airways Holdings board was absolutely committed to the long-term success of the business in Australia.
"We're investing significantly in the long-term future of Tiger Australia, and my appointment to lead the organisation is a tangible demonstration of that," he said.
Tiger Airways Holdings has said the grounding is costing $S2 million ($1.5 million) a week.
"It's costing us in tangible terms about $2 million a week, so obviously the fact that we've decided to suspend the services until the end of July means that that's a significant cost," Mr Davis said.
Mr Davis said consumers wanted Tiger to remain in the Australian market, saying it had reduced airfares dramatically since starting flights four years ago.
"We're committed to a long-term future and I think Australians want us to be here to ensure that there is competition in the air sector."
Those who fail to learn from history are doomed to repeat it. Winston Churchill