Cathay prepares for new Hong Kong runway with HK Express deal
Cathay Pacific's pending acquisition of Hong Kong Express is just one element of its preparation to take advantage of growth opportunities afforded by the coming opening of a third runway at its Hong Kong base. HK Express will give Cathay a "running start" to rapidly expand in the low-cost segment once the new runway opens in 2024, says the carrier's chairman John Slosar. Cathay previously shied away from the low-cost strategy pursued by many of its peers. However, pressure from growing regional budget brands like AirAsia and Jetstar, and Chinese carriers, prompted it in 2017 to embark on a transformation programme to remain competitive. That effort, Slosar says, has included everything from identifying cost savings to generating additional revenue and, now, adding a low-cost carrier to its portfolio. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2019-05-31/oneworld/cathay-prepares-for-new-hong-kong-runway-with-hk-express-deal
https://portal.staralliance.com/cms/logo.png
Cathay prepares for new Hong Kong runway with HK Express deal
Cathay Pacific's pending acquisition of Hong Kong Express is just one element of its preparation to take advantage of growth opportunities afforded by the coming opening of a third runway at its Hong Kong base. HK Express will give Cathay a "running start" to rapidly expand in the low-cost segment once the new runway opens in 2024, says the carrier's chairman John Slosar. Cathay previously shied away from the low-cost strategy pursued by many of its peers. However, pressure from growing regional budget brands like AirAsia and Jetstar, and Chinese carriers, prompted it in 2017 to embark on a transformation programme to remain competitive. That effort, Slosar says, has included everything from identifying cost savings to generating additional revenue and, now, adding a low-cost carrier to its portfolio. <br/>
