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Tiger sets up second home in Adelaide
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August 5, 2008 - 12:33PM
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Tiger Airways Australia will set up a second Australian base in Adelaide.
The budget airline expects more direct flights from Adelaide to new destinations will result in more than 10 million additional passengers using the South Australian airport over the next eight years.
Tiger Managing Director Shelley Roberts said the addition of a second base for Tiger Airways would almost double the number of annual low fare seats being made available in Australia to more than three million per year.
Tiger Airways will initially base two of its A319s in Adelaide from early next year, with the expectation that additional aircraft will be based there over the next eight years depending on consumer demand.
"This investment by Tiger Airways of more than $105 million in aircraft assets in Adelaide means more jobs in South Australia with Tiger Airways recruiting pilots, cabin crew and support staff to be based locally in Adelaide," Ms Roberts said.
Premier Mike Rann welcomed the decision, saying the cumulative benefit to the state economy could be up to $100 million over 10 years.
"This will give interstate visitors more affordable opportunities to travel to South Australia for their holidays - injecting valuable tourism US dollars into the local economy," the premier said.
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August 5, 2008 - 12:33PM
Advertisement
Tiger Airways Australia will set up a second Australian base in Adelaide.
The budget airline expects more direct flights from Adelaide to new destinations will result in more than 10 million additional passengers using the South Australian airport over the next eight years.
Tiger Managing Director Shelley Roberts said the addition of a second base for Tiger Airways would almost double the number of annual low fare seats being made available in Australia to more than three million per year.
Tiger Airways will initially base two of its A319s in Adelaide from early next year, with the expectation that additional aircraft will be based there over the next eight years depending on consumer demand.
"This investment by Tiger Airways of more than $105 million in aircraft assets in Adelaide means more jobs in South Australia with Tiger Airways recruiting pilots, cabin crew and support staff to be based locally in Adelaide," Ms Roberts said.
Premier Mike Rann welcomed the decision, saying the cumulative benefit to the state economy could be up to $100 million over 10 years.
"This will give interstate visitors more affordable opportunities to travel to South Australia for their holidays - injecting valuable tourism US dollars into the local economy," the premier said.
From crikey...
and this...
Tiger Airways has no-one to blame but itself Martin Kelly, Editor of Travel Trends, writes:
Tiger Airways is full of it. News, I mean. Last week, Tiger announced it was stopping all Darwin flights from October 26. This came a couple of months after it withdrew from Newcastle. As usual, the carrier cited external rather than internal factors. Chief Operating Officer, Steve Burns, was reported in Travel Daily as saying that Darwin was its highest cost port. "It is just incompatible for a true low fare airline to operate to such a high cost destination," he said. So why did Tiger fly there in the first place? Sure, fuel prices have increased but no mention in the rhetoric of an increase in airport fees. Therefore the real reason would appear to be that Tiger has badly misjudged demand, not once but twice -- Newcastle and Darwin.
Mistakes such as these are a long way from the big statements made by CEO Tony Davis when Tiger first came to Australia, about how the Asian low-cost carrier would fight for the little guy, taking on the goliaths of Australian aviation: Qantas, Jetstar and Virgin Blue. The message from Davis was that Australians were getting ripped off and that Tiger would bring in lower fares. This very basic PR strategy got some short-term coverage but was diluted by the fact that low-cost carriers were nothing new in this market, unlike Asia. Furthermore, it’s a ploy that’s been used before in Australia, and to much greater effect, by the likes of Brian Grey (Compass), Virgin Blue and Jetstar. As a PR message, it also left Tiger with few places to go. Tiger is cheap, what else? Oh, you’re getting picked on. Davis then started complaining about the raw deal Tiger was getting from Qantas, which for example refused to provide ground-handling for its rival at Alice Springs. Not much public sympathy there because the Qantas stand seemed to make sense – why help a competitor? Some in the industry also started wondering how well-prepared Tiger actually was for this market, where Qantas has been fighting low-cost incursions since the early 1990s.
Now serious questions have to be asked about Tiger’s network strategy, which revolves around flying to 10 mostly smaller destinations from Melbourne. Certainly, its decision not to service Sydney or Brisbane is looking flawed, while there must be some pretty nervous staff working in leisure ports such as Mackay, Rockhampton, Launceston and Alice Springs. The next six months may well determine whether the carrier has a long term future in this market. Whatever happens, Tiger needs to take responsibility for the outcome.
Tiger Airways is full of it. News, I mean. Last week, Tiger announced it was stopping all Darwin flights from October 26. This came a couple of months after it withdrew from Newcastle. As usual, the carrier cited external rather than internal factors. Chief Operating Officer, Steve Burns, was reported in Travel Daily as saying that Darwin was its highest cost port. "It is just incompatible for a true low fare airline to operate to such a high cost destination," he said. So why did Tiger fly there in the first place? Sure, fuel prices have increased but no mention in the rhetoric of an increase in airport fees. Therefore the real reason would appear to be that Tiger has badly misjudged demand, not once but twice -- Newcastle and Darwin.
Mistakes such as these are a long way from the big statements made by CEO Tony Davis when Tiger first came to Australia, about how the Asian low-cost carrier would fight for the little guy, taking on the goliaths of Australian aviation: Qantas, Jetstar and Virgin Blue. The message from Davis was that Australians were getting ripped off and that Tiger would bring in lower fares. This very basic PR strategy got some short-term coverage but was diluted by the fact that low-cost carriers were nothing new in this market, unlike Asia. Furthermore, it’s a ploy that’s been used before in Australia, and to much greater effect, by the likes of Brian Grey (Compass), Virgin Blue and Jetstar. As a PR message, it also left Tiger with few places to go. Tiger is cheap, what else? Oh, you’re getting picked on. Davis then started complaining about the raw deal Tiger was getting from Qantas, which for example refused to provide ground-handling for its rival at Alice Springs. Not much public sympathy there because the Qantas stand seemed to make sense – why help a competitor? Some in the industry also started wondering how well-prepared Tiger actually was for this market, where Qantas has been fighting low-cost incursions since the early 1990s.
Now serious questions have to be asked about Tiger’s network strategy, which revolves around flying to 10 mostly smaller destinations from Melbourne. Certainly, its decision not to service Sydney or Brisbane is looking flawed, while there must be some pretty nervous staff working in leisure ports such as Mackay, Rockhampton, Launceston and Alice Springs. The next six months may well determine whether the carrier has a long term future in this market. Whatever happens, Tiger needs to take responsibility for the outcome.
Tiger and Jetstar in battle of spin
Ben Sandilands writes:
Almost under the radar -- compared to the saturation coverage of Qantas -- a fierce little battle for incentives-to-fly is going on between Tiger and Jetstar. On Friday, Tiger announced it would quit Darwin only a few hours before Jetstar was heaping praise on the NT government, the airport and the local industry for its "support" in making the top end capital its new "hub" for northern Australia. Figures of around $3 million worth of "support" were mentioned by informed sources. It doesn’t matter what the amount was, as there is nothing improper or illegal in Australia in carriers leveraging all sorts of concessions or commitments to start or expand services.
Tiger did the same thing when it chose Rockhampton and Mackay as Queensland destinations, choices which may have been wrong given that it has stopped selling those flights from late October pending a review. Virgin Blue has used the same tactics in its expansion. It muscled in on the Qantaslink routes to Port Macquarie and Albury the same way, and today announced it would do the same thing in Mildura, using real jets instead of stuffy little turbo-prop buzz boxes like its competitors.
Tiger seems to have real problems in Australia. Since it launched last November it has been easily rolled out of any market Jetstar chooses, having been sent packing from Newcastle and now Darwin the moment the Qantas subsidiary became serious about extra flights and similar fares.But Tiger spokesperson Matt Hobbs claims this will all change soon, when it announces new but unspecified plans for the Singapore-owned venture.
In the meantime, both Tiger and Jetstar are misusing the term "hub" and "base" for what are only exercises in parking jets overnight for better scheduling, and paying for the cheapest accommodation they can get for the crews. The Darwin Jetstar "hub" involves three jets from the middle of next year. Tiger's new Adelaide base, where incentives may have been easy to pick up after Jetstar said it was closing its own, is where two Tiger jets will park. "Hub" in the real world means Changi, or Chicago’s O’Hare airport, with banks of hundreds of flights arriving, connecting and departing within a few hours.
Tiger even claims to have invested $105 million in aircraft assets in Adelaide. Really? No-one ever pays that much for a few small Airbuses, and they do fly all over the country.
Will the general media swallow the hype? Probably.
Ben Sandilands writes:
Almost under the radar -- compared to the saturation coverage of Qantas -- a fierce little battle for incentives-to-fly is going on between Tiger and Jetstar. On Friday, Tiger announced it would quit Darwin only a few hours before Jetstar was heaping praise on the NT government, the airport and the local industry for its "support" in making the top end capital its new "hub" for northern Australia. Figures of around $3 million worth of "support" were mentioned by informed sources. It doesn’t matter what the amount was, as there is nothing improper or illegal in Australia in carriers leveraging all sorts of concessions or commitments to start or expand services.
Tiger did the same thing when it chose Rockhampton and Mackay as Queensland destinations, choices which may have been wrong given that it has stopped selling those flights from late October pending a review. Virgin Blue has used the same tactics in its expansion. It muscled in on the Qantaslink routes to Port Macquarie and Albury the same way, and today announced it would do the same thing in Mildura, using real jets instead of stuffy little turbo-prop buzz boxes like its competitors.
Tiger seems to have real problems in Australia. Since it launched last November it has been easily rolled out of any market Jetstar chooses, having been sent packing from Newcastle and now Darwin the moment the Qantas subsidiary became serious about extra flights and similar fares.But Tiger spokesperson Matt Hobbs claims this will all change soon, when it announces new but unspecified plans for the Singapore-owned venture.
In the meantime, both Tiger and Jetstar are misusing the term "hub" and "base" for what are only exercises in parking jets overnight for better scheduling, and paying for the cheapest accommodation they can get for the crews. The Darwin Jetstar "hub" involves three jets from the middle of next year. Tiger's new Adelaide base, where incentives may have been easy to pick up after Jetstar said it was closing its own, is where two Tiger jets will park. "Hub" in the real world means Changi, or Chicago’s O’Hare airport, with banks of hundreds of flights arriving, connecting and departing within a few hours.
Tiger even claims to have invested $105 million in aircraft assets in Adelaide. Really? No-one ever pays that much for a few small Airbuses, and they do fly all over the country.
Will the general media swallow the hype? Probably.
Audited profit figures out
Tiger Airways profit takes flight - Breaking News - Business - Breaking News
Tiger Airways profit takes flight
Budget carrier Tiger Airways said it had booked a net profit of $S37.8 million ($A30.1 million) in the financial year to March, despite higher oil prices and stiff competition.
The carrier said the earnings from its Singapore operations reversed a loss of $S14.3 million ($A11.3 million) in the previous fiscal year and met a pledge to be profitable within its third year of operation.
Tiger, 49 per cent owned by Singapore Airlines, said revenues rose 56 per cent to $S271 million ($A215 million). It said it had a cash balance of $S19.6 million ($A15.6 million).
The firm said operations from Singapore contributed the profits as its new Australian domestic service was still expanding.
"Even with the challenging market conditions and current oil prices we remain confident about the long-term success of both our Asian and Australian based airlines," said Tiger chief executive Tony Davis.
"We continue to see strong demand for our low fares and we are committed to continued growth as we expand our operations in both Australia and Singapore."
Tiger Airways did not give net profit figures for the fiscal first quarter to June, but said there was a 57.8 per cent increase in revenue, a 64.9 per cent rise in seat capacity and that passenger numbers climbed 73.7 per cent.
Davis said the airline was able to cope with higher fuel costs by hedging against price rises and maintaining disciplined cost control.
"Clearly oil has been a challenge for all airlines. But ... we're not seeing the impact that some other airlines are seeing in Europe and North America of reducing demand," Davis told reporters.
He said the firm was making sure it could cope with higher oil prices, but stood ready to take advantage of a correction in crude costs.
Oil prices were trading below $US120 a barrel after falling from all-time peaks above $US147 last month.
Tiger Airways connects Singapore with destinations in South-East Asia, China, Australia and India.
© 2008 AFP
Tiger Airways profit takes flight - Breaking News - Business - Breaking News
Tiger Airways profit takes flight
Budget carrier Tiger Airways said it had booked a net profit of $S37.8 million ($A30.1 million) in the financial year to March, despite higher oil prices and stiff competition.
The carrier said the earnings from its Singapore operations reversed a loss of $S14.3 million ($A11.3 million) in the previous fiscal year and met a pledge to be profitable within its third year of operation.
Tiger, 49 per cent owned by Singapore Airlines, said revenues rose 56 per cent to $S271 million ($A215 million). It said it had a cash balance of $S19.6 million ($A15.6 million).
The firm said operations from Singapore contributed the profits as its new Australian domestic service was still expanding.
"Even with the challenging market conditions and current oil prices we remain confident about the long-term success of both our Asian and Australian based airlines," said Tiger chief executive Tony Davis.
"We continue to see strong demand for our low fares and we are committed to continued growth as we expand our operations in both Australia and Singapore."
Tiger Airways did not give net profit figures for the fiscal first quarter to June, but said there was a 57.8 per cent increase in revenue, a 64.9 per cent rise in seat capacity and that passenger numbers climbed 73.7 per cent.
Davis said the airline was able to cope with higher fuel costs by hedging against price rises and maintaining disciplined cost control.
"Clearly oil has been a challenge for all airlines. But ... we're not seeing the impact that some other airlines are seeing in Europe and North America of reducing demand," Davis told reporters.
He said the firm was making sure it could cope with higher oil prices, but stood ready to take advantage of a correction in crude costs.
Oil prices were trading below $US120 a barrel after falling from all-time peaks above $US147 last month.
Tiger Airways connects Singapore with destinations in South-East Asia, China, Australia and India.
© 2008 AFP
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Tiger pouncing on ADL
Seeing as there will be a fair bit of ADL announcements from TT soon, might as well put them all in one place
They have announced MEL-ADL now going 6 Daily from 15th December
A319's start services on 1st Feb while a new A320 comes to MEL mid December....
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It's the one on the western side of Richard Williams DriveCant miss it. It is the bit between the Qlink 717's are and where that NJS BAE is taxiing out. on google earth that is!
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A little birdy also told me that they are taking over the old terminal
But things may of course change...
Nunc est bibendum
What the terminal like itself... is it shabby?
Should be perfect for Tiger!
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Actually from what I herd from certian Adelaide Airport Lease managment people is that...
Alliance, Tiger, Air South, Jetcraft will all move into the old terminal, as the current General Aviation Terminal (across from the main terminal) is being demolished and turned into a hotel, soon-ish....
So old terminal will be come general aviation, Alliance and Tiger....
Should be good when they get all the rats, cobwebs, and dust everywhere...
Try and get a tour inside, you'll actually feel sicker after being in there, its quite bad they have let it get that that...
Alliance, Tiger, Air South, Jetcraft will all move into the old terminal, as the current General Aviation Terminal (across from the main terminal) is being demolished and turned into a hotel, soon-ish....
So old terminal will be come general aviation, Alliance and Tiger....
Should be good when they get all the rats, cobwebs, and dust everywhere...
Try and get a tour inside, you'll actually feel sicker after being in there, its quite bad they have let it get that that...