Singapore Airlines to shift planes from SilkAir to budget arm Scoot

Singapore Airlines said Thursday it expected to transfer some jets from its SilkAir regional airline to budget carrier Scoot, allowing it to compete more effectively against low-cost rivals like AirAsia Group and Lion Group. The plan comes after the carrier announced last month it would absorb underperforming SilkAir into the parent brand after 2020 when a program to upgrade cabins at a cost of more than S$100m gets under way. Singapore Airlines has been undertaking a three-year transformation program designed to cut costs and boost revenue amid competition from Chinese and Middle Eastern rivals and low-cost carriers. Scoot recently began listing job ads for Boeing 737 jet pilots despite operating a narrowbody fleet of rival Airbus A320s. Singapore Airlines said Thursday that it expected to transfer some of SilkAir’s 737s to Scoot to help optimise the overall group’s network, but it declined to provide further details such as the number of planes involved. As part of the transformation program, it has already transferred routes to five destinations in Southeast Asia from SilkAir to Scoot.<br/>
Reuters
https://www.reuters.com/article/us-singapore-air-silkair/singapore-airlines-to-shift-planes-from-silkair-to-budget-arm-scoot-idUSKBN1JH1E8
6/21/18
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