Sing Air ponders domestic route
SingAir ponders domestic route
By JOHN MASANAUSKAS
27aug02 Daily Telegraph (Sydney)
MELBOURNE airport could become the hub of a new domestic airline being considered by Singapore Airlines.
Airport managing director Chris Barlow said yesterday that he had met an evaluation team from the airline.
"They were over the moon about the airport. They thought it was terrific," Mr Barlow said.
"We'd like to think they would be based here."
Singapore Airlines has been discussing terminal gate access with major Australian airports, but the carrier is yet to confirm a bid to challenge Qantas and Virgin Blue on domestic routes.
Some aviation analysts believe Singapore and an Australian partner could launch a new carrier in early 2003.
Mr Barlow said the airport had a very good relationship with Singapore, which he said might increase its daily international services from two to three.
The privatised airport yesterday announced a maiden pre-tax profit of $3.6 million and a 1.3 per cent rise in international passengers, despite the September 11 terrorist attacks.
But it suffered a 5.5 per cent drop in domestic travel, mainly because of Ansett's collapse.
Virgin Blue, which moved into Ansett's former terminal on Sunday, yesterday announced it had started legal action against Sydney airport over access to its old Ansett terminal.
Virgin chief executive officer Brett Godfrey said Sydney had reneged on a deal made in April.
"What they're asking for now is an outrageous cost to add to the travelling public," he said.
Mr Godfrey said Virgin had started proceedings in the New South Wales Supreme Court and was also considering taking action under national competition laws.
Sydney airport spokesman Peter Gibbs said a Federal Government review of the April deal had not backed Virgin's claims.
"We are keen to have Virgin Blue in our terminal and the door is always open (to negotiations)," he said.
Virgin Blue has out grown its $9 million home in the domestic express terminal at Melbourne Airport and moved into Ansett's former facilities.
Mr Barlow said another use would be found for the terminal building, probably for freight.
The gate lounge area will be dismantled and put up for sale.
Virgin Blue yesterday celebrated the opening of its new terminal.
The airline last month signed a 10-year lease on the terminal.