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SilkAir Orders 23 737-800s + 31 737 MAX 8s

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But the air fare of MI is anything but cheap, .....

To those who bother to snoop around, yes, that may well be what they will discover

But the real beauty is when one is still able to convince people, more importantly the flying masses, that one is cheap(er) ........ :)

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Seem like the general trend nowadays is to go cheap !

Here you have MI outperforming the parent

LCC's flourishing everywhere

At the other end of the spectrum, news is Hong Kong Airlines will 'suspend' her all business flights to London

CX has just posted a horror story (by their standard)

:)

 

Before you know it, MI will be doing all the SE Asia runs for SQ. ::80::

 

At least they could keep the revenue within the group, instead of losing out to the LCC's....

Edited by H C Chai

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Before you know it, MI will be doing all the SE Asia runs for SQ. ::80::

 

At least they could keep the revenue within the group, instead of losing out to the LCC's....

I hope they won't... but it's safe to assume that CGK, BKK, DPS, MNL will continue to be served by SQ.

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I think it's a matter of time before SQ pulls out of KUL completely. They struggle to fill up their 330 most of the time.

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But the air fare of MI is anything but cheap, and you get minimum foods on all of their flights, tiny legroom with drop-down LCD screens every four rows and the cabin crew service is definitely no SQ.

 

the legroom is ok and is far better then many inc MAS

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why they still retain BWN rather than completely handed it to MI?

People using FFP fom other Star carriers could be one of the reasons... Besides, O&D traffic between BWN and SIN is very high. I once saw a SIA 773 at BWN and it was a full flight. There was another RBA 320 leaving 10 or 15 minutes earlier to SIN and the flight was full too.

 

 

the legroom is ok and is far better then many inc MAS

They have a few different sea configuration for their 32S. All the new 320 features 12 J seats and 138 Y seats. Terrible seat pitch in both classes with only 30" seat pitch in Y. The new 319 which has an equally terrible seat pitch in both classes too.

 

While the cabin interior of their old 320 (J-16; Y-126) and 319 (J-12; Y106) looks very tired, the seats are much more comfortable with better seat pitch in Y at 32". 2" difference of seat pitch makes a huge difference :)

 

By the way, the newly revamped SilkAir website is now up and running.

Edited by Isaac

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People using FFP fom other Star carriers could be one of the reasons... Besides, O&D traffic between BWN and SIN is very high. I once saw a SIA 773 at BWN and it was a full flight. There was another RBA 320 leaving 10 or 15 minutes earlier to SIN and the flight was full too.

why they still retain BWN rather than completely handed it to MI?

 

As Isaac mentioned, it is very much to ensure that BWN remains part of the Star Alliance network. BWN is unique as 3 of the 5 weekly services are operated by MI aircraft for SQ and not even code-shared with MI. This just shows you the load that SQ expects on this route.

 

Although it is very much a standard MI service these days, a few years ago, the meal service was SQ standard, SQ cutlery etc, SQ inflight mags and even the headrest covers were replaced with SQ's for the BWN run. So, back then, there was quite a bit of prep work done to the MI aircraft flying this route for SQ.

 

2 of the other two services are operated by SQ 773 although this regularly gets sub by a 2-class 772 if there is no F demand or Y is not full. If during school holidays, the flights are packed, otherwise they can be fairly empty, although it may be a different story on the cargo loads.

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Slot availability behind SilkAir’s switch from A320 to 737, says Leahy

 

 

Airbus says it lost out to the Boeing 737 Max in the recent campaign at SilkAir due to a lack of early slots rather than any competitive advantage its rival holds over the A320neo. The airframer is confident it will maintain its claimed market share lead in the single-aisle sector.

Airbus chief operating officer for customers John Leahy tells Flightglobal that the loss to Boeing of SilkAir - an existing Airbus A320 operator - was "a disappointment", but was all about its rival having early delivery slots.

In August the Singaporean airline signed an agreement for 68 737s, including orders for 23 737-800s and 31 737-8 Max aircraft along with purchase rights for another 14 aircraft. Deliveries begin in 2014 and the airline will transition to an all-737 fleet by 2021.

"It seems that was one of the advantages of having some early slots. We are sold out and were not able to offer those slots to SilkAir," says Leahy, adding that those A320neo positions were earmarked for the recently announced Philippine Airlines order, which was "a big win" for Airbus.

Leahy dismisses the threat offered by the CFM International Leap-1B-powered 737 Max now that the design is more fully defined. He has dubbed the re-engined derivative the "737 Maxed out", believing that it is not as good as Airbus had feared it would be.

"I'm delighted with what I've heard about the Max. It's much heavier than we thought it would be, the performance isn't as good as we thought it might be. I'm very comfortable we'll maintain 60% of the market in this category."

Leahy's one major concern - highlighted by the SilkAir situation - is the lack of slots. "I just wish I had more Neos to sell," he says.

 

http://www.flightglobal.com/news/articles/video-slot-availability-behind-silkairs-switch-from-a320-to-737-says-leahy-376095/

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SINGAPORE - SilkAir's profitability may be squeezed as it navigates its way through a period of expansion at a time when the regional economy is slowing and rival carriers are also growing capacity, Chief Executive Officer Leslie Thng told TODAY.

In the last financial year that ended in March, SilkAir's operating profit margin was a healthy 14 per cent, significantly higher than Singapore Airlines' (SIA) margin, which was less than 2 per cent.

However, Mr Thng said it will be a challenge to keep it at such a high level.

"As far as possible, we'd like to maintain a double-digit profit margin, but realistically I think maybe we are looking at a high single-digit profit margin in the years to come, especially when we continue to add capacity," he said in an interview.

SilkAir is going through a period of rapid expansion. Earlier this year, it announced it had ordered 54 Boeing 737s which will allow it to increase capacity on existing routes, as well as add new routes to its current network of 41 destinations from Singapore.

"As we expand our capacity as competitors are adding capacity, what we can expect is that in terms of our yields it would be a challenge to maintain them at current levels. So, we would then see the average fare we're going to charge our passengers would most likely come down a little bit. As well as adding capacity, we'll be launching promotions to create awareness in the market to try to fill up our flights," said Mr Thng, who took up his position in September.

So far, SilkAir's expansion strategy has been successful. Although the regional arm of SIA grew capacity by a massive 23.1 per cent in the first half of the current financial year, it still managed to increase the number of seats it sold: Its load factor went up to 74.4 per cent from 74.2 per cent in the same period last year.

The expansion does bring challenges, though. For example, introducing Boeing planes to its current all-Airbus fleet will add to SilkAir's operating costs.

"During the initial phase while we try to achieve the rollover to Boeing, there'll be some duplication of resources, but my team will be working very hard to keep our costs competitive in that period," said Mr Thng, adding that this will be a temporary issue as SilkAir aims to have a Boeing-only fleet by the end of the decade.

And introducing the latest B737s to the fleet also brings additional benefits to SilkAir.

"When we have the 737 Max 8, that would allow us to extend our wings further to maybe six-and-a half hours, and that would be able to get us to maybe Cairns and maybe the whole of India and China," Mr Thng said.

Expanding SilkAir's network is a very carefully considered process as the airline wants to fly to new destinations which are viable on a long-term basis and which SIA can sell to its passengers as well.

To that end, Mr Thng believes that destinations which offer both leisure and business potential are perfect for SilkAir. Previously, the airline had focused more on leisure destinations, but that has changed in recent years because of the growth of the economy in South-east Asia, he said.

Australia may offer SilkAir some untapped potential for developing new routes, especially bearing in mind the closer links that have developed between SIA and Virgin Australia. SIA recently bought a 10-per-cent stake in Virgin Australia, and the two have expanded their codeshare agreement. Darwin is currently SilkAir's sole destination in Australia.

Said Mr Thng: "We are still interested in having more points in Australia, but we're still at the evaluation stage. When the time is right and the travel demand is there, we would not rule out going into another new point in Australia."

Meanwhile, even though budget carriers continue to proliferate in Asia, Mr Thng is committed to maintaining SilkAir as a full-service airline. He pointed out that SilkAir has maintained its profitability in the face of the onslaught from low-cost rivals, while adding that maintaining the full-service model is important in terms of cross-selling to customers travelling on SIA.

Indeed, SilkAir is looking at ways of further differentiating itself from its budget rivals.

With SilkAir offering more flights lasting up to five hours to destinations in China and India, Mr Thng said the airline is reviewing whether it should enhance its entertainment offerings to help keep passengers occupied.

Currently, SilkAir offers inflight magazines and silent shows on common TV screens, and Mr Thng said that customer feedback suggests that passengers on longer flights would appreciate some extra entertainment. However, details of what could be provided and when it might be introduced have not been decided yet.

 

http://www.todayonline.com/Business/EDC121129-0000022/SilkAir-faces-headwinds-as-it-expands

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Silk Air Boeing 737-800 Preliminary Planned Operations from late-Feb 2014

by JL

Update at 0720GMT 13SEP13

 

In GDS timetable listing as of 13SEP13, Singapore Airlines is starting to display planned Boeing 737 operation by Silk Air. Based on timetable listing, SQ-coded flight operated by Silk Air sees first Boeing 737-800 operation takes off on 20FEB14. Preliminary Silk Air Boeing 737 operation as follow.

 

eff 20FEB14 Singapore Kuala Lumpur SQ5316/5315 (MI322/321) Day 467

eff 20FEB14 Singapore Penang SQ5306/5305 (MI352/351) Day 4; SQ5308/5307 (MI354/353) Day x467 (eff 21FEB14); SQ5310/5309 (MI348/347) Day 467 (eff 27FEB14)

eff 21FEB14 Singapore Phuket Various services

eff 17MAR14 Singapore Siem Reap Da Nang Singapore SQ5024 (MI633) Day 16

eff 18MAR14 Singapore Da Nang Siem Reap Singapore SQ5023 (MI636) Day 23

eff 20MAR14 Singapore Kochi SQ5368/5367 (MI468/467) Day 47

 

ScreenShot007.png

 

Note flights listed above are only showing as 737 operating under SQ flight number, but MI flight numbers continues to display A319/320, including actual reservation. SQ-coded flights displaying Boeing 737 operation until 29MAR14 inclusive.

Source: http://tinyurl.com/nkr6gry

 

Seems like KUL will be the first destination for MI's 738.

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SilkAir is planning to upgrade its in-flight product in 2014 as the Singapore Airlines (SIA) full-service regional subsidiary starts to transition to a Boeing 737-800 fleet. SilkAir will also continue to grow rapidly in 2014 in line with the SIA Group’s increased focus on Asia.
But SilkAir has seen profitability slip in recent months as competition has intensified in the regional market within Asia. A 12% capacity increase through the first seven months of the current fiscal year has not been absorbed, resulting in a drop in load factor and clouding SilkAir’s short-term outlook.
The forthcoming product upgrade is designed to further differentiate SilkAir from LCCs and cement its position as a leading full-service regional carrier in the Southeast Asia region. But SilkAir has decided against following Cathay Pacific regional subsidiary Dragonair in improving its business class seat.
SilkAir to take first 737 in early 2014
SilkAir currently operates a fleet of 18 A320s and six A319s, according to the CAPA Fleet Database. The carrier took delivery of its last A320 in Oct-2013 and in early 2014 will take the first of at least 54 new 737-800s. SilkAir completed in Nov-2012 an order for 23 current generation 737-800s and 31 737 MAX 8s, which are slated to be delivered by the end of 2021.

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from TODAyonline

SilkAir testing wireless in-flight entertainment system

SINGAPORE — SilkAir is testing a wireless in-flight entertainment system on one of its Airbus A320 aircraft, which will allow passengers to stream multimedia content such as movies, television programmes and music directly onto their personal devices while on board their flight.

These devices include laptops, the Apple iPhone, iPad, iPod as well as Android tablets and smartphones.

Access to the in-flight content, which will complement the airline’s existing overhead entertainment system, is free, said SilkAir, the regional arm of Singapore Airlines (SIA). “This initiative was introduced based on feedback from customers who wanted access to more in-flight entertainment options on our flights,” said SilkAir’s Chief Executive Leslie Thng.

If the trial is successful, SilkAir will introduce the system across its aircraft fleet by next year, he added. In addition to customers’ feedback, SilkAir said it will be monitoring technical performance of the wireless streaming during the trial.

A growing number of airlines are tapping wireless streaming to upgrade their in-flight service. Virgin Australia, for example, is progressively rolling out wireless in-flight entertainment across its domestic and international short-haul fleet. The system is offered on selected flights operated by equipped Boeing 737-800 aircraft.

SilkAir’s move is the latest in a series of initiatives to woo customers amid intense competition. Last month, SIA and SilkAir raised baggage limits, allowing travellers an extra 10kg allowance for check-in luggage. Other projects initiated by SIA include a US$50-million (S$63.4 million) plan to offer in-flight connectivity and new cabin products.

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Singapore Airlines (SIA) full-service regional subsidiary SilkAir is planning more rapid capacity and network expansion for 2014. The carrier plans to expand its fleet by four aircraft to 28 as eight 737-800s are delivered and four A320s exit.
2014 will also be a year of major milestones. SilkAir turns 25 years old in Feb-2014 and will celebrate the occasion by taking delivery of its first of at least 54 new 737s.
Normally low key SilkAir is also using its silver anniversary to come out of its shell with a major marketing campaign. Product improvements will be introduced and several more destinations will be added, starting with Mandalay in Myanmar and Krabi in the Philippines.
SilkAir’s rapid growth trajectory continues
SilkAir currently operates a fleet of 18 A320s and six A319s to 45 destinations in 12 countries. The carrier has grown significantly in recent years in line with the SIA Group’s strategy to focus more on the Asia-Pacific region, where market conditions are more favourable compared to Europe and North America.
SilkAir reported a 20% jump in ASKs for the fiscal year ending 31-Mar-2013. ASKs were up another 14% in the six months ending 30-Sep-2013 and 13% in the months of Oct-2013 and Nov-2013. SilkAir chief executive Leslie Thng says ASKs will be up 12% to 13% for the full fiscal year ending 31-Mar-2014 and that the carrier expects continued double-digit annual growth for the rest of the decade. Double-digit growth began in the fiscal year ending 31-Mar-2012, when ASKs were up 12%.
The 737 order, which was announced in Aug-2012, will enable SilkAir to more than double the size of its fleet over the next decade. The order included 23 737-800s, 31 next-generation 737 MAX 8s and 14 purchase rights. The 737-800s will be delivered over the next three years, starting with eight in 2014. The 737 MAX 8s are slated to be delivered from 2018.
Steady double-digit annual capacity increases will be generated by growth in aircraft numbers and an increase in the average aircraft size. SilkAir’s current A320s are configured with 150 seats while its new 737-800s will be configured with 162 seats, resulting in an 8% increase in seat capacity.
There will be 12 business class and 150 economy class seats on SilkAir’s 737-800s. Both cabins will feature power sockets and audio programming. A combination of drop down screens and downloadable wireless in-flight entertainment content will be available.

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Comparing SQ's new seats to Silk Air new 737 cabin, looks like the latter only received the leftovers. I wish they invested more on the interior than choosing off the shelf.

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SilkAir launches wireless inflight entertainment trial
Regional wing of SIA to trial streaming content to customers’ tablets, smartphones on one of its aircraft

 

PUBLISHED: 26 DECEMBER, 1:34 PM

SINGAPORE — SilkAir, Singapore Airlines’ (SIA) regional wing, announced today (Dec 26) that it is starting a trial to allow its onflight multimedia content to be streamed wirelessly to customers’ laptops, tablets and smartphones.

The trial will begin on one of its Airbus A32- aircraft, and will be complimentary for its customers.

SilkAir added that it looks forward to introducing this system across its aircraft fleet by next year upon a successful trial.


SilkAir plans new routes to tap travel demand

SINGAPORE — SilkAir had a rather bumpy ride last year and may have failed to see concrete returns from its capacity injection in 2013 to develop new markets, but the regional wing of Singapore Airlines is determined to press on.

Plans are already underway to push up capacity even more and launch new routes this year to meet the growing travel demand in South-east Asia. It will focus on growing its key markets in China, India and Indonesia, Vice-President for Commercial Ryan Pua told TODAY at an event detailing activities for its 25th anniversary this year.

“We have 12 points in Indonesia. For the time being, that should be sufficient, but we might add one or two more in the next two to three years,” he said. “For China and India, we expect to add one or two more points this year. Details are being finalised and we hope to announce them soon.”

At least two new destinations — Kalibo in the Philippines and Mandalay in Myanmar — have already been confirmed for this year, following 2013’s additions of Semarang, Makassar and Yogyakarta in Indonesia. SilkAir’s network now includes 45 cities in 12 countries.

“This ambition reflects our reading of this market. Asia will be the growth engine of the world; everyone is coming here … With more-than-one-billion populations in China and India, (travel demand) will have to grow. That’s why we will be expanding — either increasing frequency to existing cities or launching new points,” Mr Pua said.

SilkAir aims to grow capacity by double digits annually. In the first half of its current financial year, from April to September last year, it increased capacity by 14.4 per cent. For the entire year, the increase will be around 12 to 13 per cent, Chief Executive Leslie Thng said.

Despite the airline’s ambitions, aggressive capacity injection was the main drag on SilkAir’s first-half operating profit, which plunged 41.1 per cent year-on-year to S$21.8 million.

“For our new routes, we will need some time and resources to create awareness and demand in the market. That will have impact on our results, but we believe we’re doing this for the company for the long term,” Mr Thng said, adding that the three Indonesian routes launched last year had “decent” load factors.

Marking its silver anniversary celebrations, SilkAir will take delivery of the first aircraft in its new fleet of 54 Boeing 737s early next month. A total of eight planes are expected this year, with the remaining aircraft to be delivered by the end of this decade.

“Thirty-one of these will be the next generation 737 Max 8s, which will be ready in 2017-18. They will come with bigger engines and allow us to fly further,” Mr Thng said. “These aircraft show our commitment to maintain a young and modern fleet, and, at the same time, to continue our expansion in this region.”

Edited by Teo

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Can I ask if anyone has recently flown Silkair on SIN - KCH, LGK or PEN? Just curious to know if they have up their game in catering by providing something more substantial, or they are still serving the cold sandwiches or hot chicken pie that looks like a kari puff....

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Despite my feedback to the airline, they continue to provide the soggy, sad and pathetic pies.

 

You're better off tapao your own Ramli Burgers.

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they are still a much better option to fly on the SIN-KUL sector than MAS and usually a lot cheaper. In addition the crew are far better then the uninterested people manning the MAS flights on this sector.

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Product improvements will be introduced and several more destinations will be added, starting with Mandalay in Myanmar and Krabi in the Philippines.

 

 

At least two new destinations — Kalibo in the Philippines and Mandalay in Myanmar — have already been confirmed for this year, following 2013’s additions of Semarang, Makassar and Yogyakarta in Indonesia. SilkAir’s network now includes 45 cities in 12 countries.

 

So it is Krabi or Kalibo?

 

Can I ask if anyone has recently flown Silkair on SIN - KCH, LGK or PEN? Just curious to know if they have up their game in catering by providing something more substantial, or they are still serving the cold sandwiches or hot chicken pie that looks like a kari puff....

 

Does the poor meal applies on BKI-SIN too?

 

KUL will be in first destination that will be receiving the brand new B738. Inaugural flight will be on 20 February 2014. http://airlineroute.net/2014/01/09/mi-738-update2/

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