Singapore Airlines aims for regional dominance as rivals pull back

[HS-TQE]

Well it does help when you got a cash-rich Government parent combined with Taxpayer funds to bail you out.

Although to their credit, SIA did sell many of their aircraft to lessors and chose to lease them back to raise funds. (whereas Qantas instead mortgaged/encumbered their 787 fleet).

SYDNEY/SINGAPORE — Singapore Airlines, flush with US$16 billion (S$21.63 billion) raised since the start of the pandemic thanks to help from a state investor, is in a position of dominance among its Southeast Asian rivals as they downsize and restructure.

The crisis threatened the survival of hub carriers that lack domestic markets such as SIA, Hong Kong's Cathay Pacific Airways and Dubai's Emirates. Indeed, Singapore Prime Minister Lee Hsien Loong last year said the government would "spare no effort" to ensure SIA made it through the pandemic.

Its majority shareholder, government-owned investment arm Temasek Holdings underwrote one of the world's biggest airline rescue packages. Thanks to that, SIA's has enough funds to keep going for at least two more years without cuts, and is modernising its fleet to save fuel, reduce maintenance costs and meet environmental goals while other airlines shed aircraft.

Cash-rich Singapore Airlines aims for regional dominance as rivals pull back

SYDNEY/SINGAPORE — Singapore Airlines, flush with US$16 billion (S$21.63 billion) raised since the start of the pandemic thanks to help from a state investor, is in a position of dominance among its Southeast Asian rivals as they downsize and restructure.

www.todayonline.com

 

[clifford]

Well it does help when you got a cash-rich Government parent combined with Taxpayer funds to bail you out.

Although to their credit, SIA did sell many of their aircraft to lessors and chose to lease them back to raise funds. (whereas Qantas instead mortgaged/encumbered their 787 fleet).

Cash-rich Singapore Airlines aims for regional dominance as rivals pull back

SYDNEY/SINGAPORE — Singapore Airlines, flush with US$16 billion (S$21.63 billion) raised since the start of the pandemic thanks to help from a state investor, is in a position of dominance among its Southeast Asian rivals as they downsize and restructure.

www.todayonline.com

Surely that's a bad thing for us, as it may well lead to less competition and higher fares? Qantas is bad enough...

 

[MEL_Traveller]

Surely that's a bad thing for us, as it may well lead to less competition and higher fares? Qantas is bad enough...

I think there will always be enough competition... regionally at least Thai and Vietnam airlines should survive. More broadly in Asia there will be at least one Korean carrier, one Japanese, and multiple Chinese. Low cost will come back... maybe different operators and smaller fleets.

However... arguably Singapore Airlines would be one of the better carriers to endure if it ever eventuated to less competition? Great hub airport, modern fleet, good hard and soft product on that fleet, regular frequencies, vast route network, almost universally excellent cabin crew. Not all of those things can be extended to our national carrier unfortunately.

 

[Jousams]

Atleast to Europe, there won’t be many competition issues as SQ will be up against two other government funded airlines in EK and QR.

It’s kind of like cashed up foreign government subsidising our travel to Europe .

 

[HS-TQE]

Atleast to Europe, there won’t be many competition issues as SQ will be up against two other government funded airlines in EK and QR.

It’s kind of like cashed up foreign government subsidising our travel to Europe .

EY too to some extent is government owned/subsidised. Their government also basically funded their loans/capital before COVID to fix up Hogan's screwups.

 

[dajop]

EY too to some extent is government owned/subsidised. Their government also basically funded their loans/capital before COVID to fix up Hogan's screwups.

I wouldn't have though that too many (non-LCC) carriers located in the corridor between Australia and Europe don't receive government support. Even before COVID. TG, MH, GA, UL, AI (in addition to SQ, EK, EY and QR).