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SQ confirms interest in Oz - SBS

 
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Old 1st Aug 2002, 11:03
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rmm
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SQ confirms interest in Oz - SBS

From SBS news,

http://www.theworldnews.com.au/index...ranscript=List

Subject to denials tomorrow.

Singapore Airlines has tonight confirmed it is looking at becoming Australia`s third domestic airline. But the company says its assessment is still in the early stages. Access to domestic terminal space remains the biggest barrier.

Singapore Airlines says it`s keeping its options open on whether it may become Australia`s third domestic carrier. Speculation is rife in the aviation industry that Singapore is best placed to be the new entrant in the market, filling some of the empty Ansett gateways.

PETER HARBISON, CENTRE FOR ASIA PACIFIC AVIATION: It has - depending on the reports - somewhere between $2-4 billion in cash reserves effectively. It would come into the Australian market, I would presume with some form of Australian investor as well - in other words, as not entirely in its own right.

Singapore Airlines has confirmed to SBS World News it`s in the early stages of assessing the proposition. But it says a fundamental barrier is access to domestic terminals, although a team of contract experts has been in Australia talking to airport owners. The company has noted yesterday`s comments by ACCC Chairman Professor Allan Fels that he doesn`t want the Sydney terminal carved up only between Qantas and Virgin. The Centre for Asia Pacific Aviation believes it may be just a matter of months before Singapore flies into the Australian domestic market.

PETER HARBISON: There is so much compelling financial value in doing it that I just cannot see how anybody would not see just how obvious it is that they need to be here.

15% of Australia`s local air traffic comes off the back of international services.

KEVIN O`CONNOR, DEUTSCHE BANK: So you`ve got Singapore Airlines and other carriers saying "Hey, we are feeding profitable business to Qantas. "Is there enough of that to give us the core - the base - "to start up a small domestic airline in Australia?" Now, whether or not that in its own right will work, it`s still not obvious it would.

And, in the regional aviation league, the turbulence has ended for Kendall and Hazelton, finally sold to Australiawide, saving up to 700 jobs.
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Old 1st Aug 2002, 12:13
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somewhere between $2-4 billion in cash reserves effectively.
ahh.... shucks

Let's give QF a run for their money!!!
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Old 1st Aug 2002, 22:33
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Waiting ,waiting,waiting

What do ya recon "lame",give it a go or stand back!!

Any idea where to send resumes,or expressions of interest ??
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Old 2nd Aug 2002, 00:30
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I hear that the former chief pilot (I think his title was something more grand than that, but the top pilot position) has been ringing former A320 crews looking for expressions of interest.

The whole sho will be doomed if SQ allows the previous flt dept incumbents to run it though.

Who's gunna tell them that these losers contributed to the downfall??
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Old 2nd Aug 2002, 00:40
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Smile

Recruitment on a large scale has been occurrring in MEL over the past two weeks through a a few private companies invited to tender for the contract. They have asked for LAME, Various Engineering positions, Operations, Project Management, Logistics etc. etc. Criteria was minimum of 12 months professional experience in aviation, domestic or international. I sense that the process is being 'fast tracked' or hurried along. It will be very interesting?

One has to question who or whom is behind all of this??

May it all unfold in a new chapter of Australian Aviation??

Standby...................................
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Old 2nd Aug 2002, 04:53
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Who will look after cabin crew recruitment?
I'm volunteering. Any takers?
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Old 4th Aug 2002, 00:49
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Here we go AGAIN!

I'll believe it when Peter Hitchener announces it on the Channel 9 news !
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Old 4th Aug 2002, 01:20
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Cross fingers,
a second real life carrier, without all the hire wire acts and clowns to sell it.

Good luck to them, also give QF a bit of competition, won't hurt anybody
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Old 4th Aug 2002, 03:55
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I just hope that what actually develops matches the imagination of some of the contributors to this and other forums.

Given the stakes, there have to be very powerful forces trying to prevent any new operator from succeeding. Some have suggested that Corrigan's recent outbursts may be broadsides at SQ, rather than the issue of gate access.

The only reason VB has survived was the Air NZ / AN debacle. Good luck to them.

VB would be at worst, dead and buried or at best, a minor player, had there been some (more intelligent) management of the crisis with ANZ / AN.

If SQ does get up domestically, don't be surprised to see "strange" alliances developing to stop the QF juggernaut.
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Old 4th Aug 2002, 13:30
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not sure if anyone else saw the buisness program on abc on sunday morning, but the presenter went on talk about the domestic avitation industry and how Singers were looking at getting in to it,

the interesting part was when he said that the hardest thing was for them to start up a new brand name and the $$ involved to market it and to give it a good reputation, and that they would probably call themselves Ansett, as most people thought it wasnt the majority of the staff's fault that the company went under and still thought well of the ansett brand name

any thoughts??

will be intersting to see what happens.....

Last edited by chinese chicken; 4th Aug 2002 at 13:33.
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Old 4th Aug 2002, 19:17
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Old Chinese proverb


FOOL AND HIS MONEY IS QUICKLY PARTED


So they want to come and lose more money, well thats just fine.

Perhaps 2 unbranded gates each east coast capital? Singapore Airlines, Silk Air or ANSETT - Doesn't really matter in a name, though perhaps OZ flight attendants would have trouble fitting the Singapore Girl image and I'm not sure they would get away with employing cheap Chinese girls to work here.

.
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Old 4th Aug 2002, 23:58
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Wink

Some Chinese ckicks aren't so cheap mate!
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Old 5th Aug 2002, 00:21
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Skystar - I have heard the same in Melbourne. Seems that possible recruits must be able to drop everything and start work with virtually no warning...
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Old 5th Aug 2002, 02:09
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Lurk R, Unfortunately, I think there are lots of A320 qualified crew/LAMES etc in MEL at the moment who would probably able to start at short notice, providing it doesn't clash with their fortnightly Centrelink visit.

It would be interesting to know what sort of market share SQ believes would be necessary to sustain such an operation. Previously, I had heard that such an operation would achieve half its necessary market solely by picking up existing Star int'l pax who need to be moved around the country though I'd have thought that PER would have had to have been included for this to be the case. Without PER, I doubt the new airline is much use as lots of Star pax need to move across the continent after arriving from Asia etc into PER before moving onto MEL/SYD. ADL probably isn't such an imperative due to its low int'l pax.

The potential / probable loss of NZ from Star is an interesting addition to the mix as this means the new operation would probably be required to operate trans-Tasman from SYD and MEL to link up with UA though I'd assume the ACCC would ensure that SQ-OZ would have no trouble getting slots etc for such a service as part of the horse-trading with QF.

As far as branding is concerned, I'd doubt AN is a goer but, as I've said before, I know the marketing consultancy that did all the Pacific Star work for AN/NZ last year and they haven't been paid so I'm sure they'd happily onsell the results of all their work which included marketing plan, livery etc.
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Old 5th Aug 2002, 03:51
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Apparently 15% of all domestic travel is on carriage from overseas. With an alliance the partners buy discounted tickets from each other and as Star don't have on carriage down here at the moment it is costing them a fortune.
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