Thursday, August 5, 2010

THAI, Tiger to launch new low-fare airline in Bangkok

BANGKOK – Thai Airways International (THAI) and Tiger Airways announced Monday the signing of a Memorandum of Understanding to form a new low fare airline called Thai Tiger Airways Private Limited. The new airline will operate the same low fare, low cost model as the other airlines in the Tiger Airways Group, and is expected to commence operations in the first quarter of 2011, pending regulatory approvals.

Based here, Thai Tiger will operate international and domestic flights out of Suvarnabhumi International Airport offering short-haul, point-to-point services within a five-hour flying radius. The route network and further information on the corporate structure will be announced in due course.

“We believe that this move will provide revenue opportunities for THAI and allow THAI to be more competitive in the region with the anticipated growth in the low cost market as a result of continued ASEAN air liberalization policies by 2015 which we expect will lead to growth in air travel in the Asian market. Thai Tiger will offer an entirely different line of products to that offered by THAI,” Piyasvasti Amranand, THAI president, said.

“Thai Tiger will be well positioned to offer low fares to even more parts of the Asia-Pacific region from its base in Asia's tourism leader, Thailand. Bangkok is a key gateway to the whole of South East Asia and from its base at Suvarnabhumi Airport, Thai Tiger will be well positioned to also serve destinations in North Asia and the Indian sub-continent. Spreading our pawprint means greater economies of scale for Tiger Airways, which in turn enables us to lower costs and fares even further,” Tony Davis, Tiger Airways Group president and CEO, said.

Thai Tiger will operate a consistent Airbus A320 aircraft fleet in line with other airlines in the Tiger Airways Group.

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