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Key Asian Operators Attend Low Cost Airline Symposium

Travel News Asia 6 February 2004

The newly-appointed Chief Executive of Sky Asia, the new low-cost airline linked with Thai Airways, will be among a list of high profile airline, airport and aviation industry executives speaking at the Asia Pacific Low Cost Airline Symposium in Singapore next week.

In the first public address in his new role, Patee Sarasin, formerly founder of advertising house Bates (Thailand), will talk about the establishment of the new venture and its operational plans.

The programme for the two-day symposium at the Raffles City Convention Centre on February 12 and 13 also features Tony Fernandes, the CEO of Malaysian low-cost airline AirAsia. AirAsia’s joint venture in Thailand, Thai AirAsia, is due to begin flying between Singapore and Bangkok on February 16.

Mr Fernandes will focus on the issues involved in building new markets and moving from domestic to international services, and discuss the future plans for AirAsia and Thai AirAsia.

Also speaking is David Huttner, the Head of Strategy for Virgin Blue, the Australasian low cost airline which has captured 30% of the domestic market and is now operating to New Zealand. His address will cover expansion and partnership options, and the changes at Virgin Blue with its transition to partial public ownership.

More than 200 delegates will attend the symposium and workshop, organised by the Centre for Asia Pacific Aviation to highlight the emergence of low cost airlines across the region and their impact on government policy, airlines, airports, tourism, manufacturers and suppliers.

The event will also examine the latest developments with low cost airlines in the Asia Pacific and their implications for:

- The regional market;
- Airports;
- Aircraft Manufacturers;
- Financiers and Investors;
- Tourism;
- Travel suppliers

Peter Harbison, one of the region’s most prominent commentators on aviation, and Managing Director of the Centre for Asia Pacific Aviation, will set the scene with a discussion of LCA-related issues. This will be based on the Centre’s new report Low Cost Airlines in the Asia Pacific, which is being launched at the symposium.

Chairing the symposium, Mo Garfinkle, of Washington-based GCW Consulting, will provide an overview and update of the experience with LCAs in Europe and North America.

The event brings together key figures in the expansion of the low-cost phenomenon in Asia, including Datuk Mohd Sidik Shaik Osman, Director of Senai Airport Terminal Services (SATS), the company in charge of Malaysia’s low-cost base, Senai International Airport, just across the border from Changi Airport, Singapore.

He will speak about the challenges involved in negotiating to meet the requirements of low-cost operators and the substantial growth potential offered to airport operators by price-led services.

Kerrie Mather, the Chief Executive of Macquarie Airports, 53% owner of Sydney Airport – a major airport for Virgin Blue and its international subsidiary Pacific Blue - will explore the opportunities available and investor returns possible through LCA services. Target markets for LCAs and whole-of-government strategy will be discussed by Chan Wai Leong, Executive Director of Macau International Airport Company.

The aircraft manufacturer’s perspective on the impacts of low-cost airline development will be provided by Drew Magill, the Director - Market Analysis for Boeing, and Christian Scherer, Deputy Head Commercial, for Airbus.

The opportunities and benefits for regional tourism provide by low-cost carriers will be addressed by Kok Chwee Sim, Director of the Pacific Asia Travel Association, and Tunku Iskandar, the Director General of ASEAN Tourism Association.

The symposium will also look at the implications for distribution technology and Global Distribution Systems through Martin Symes, the Executive Director Commercial for Asian travel portal Zuji, and Cameron Curtis, the Vice President Sales, Asia Pacific, for Sabre Airline Solutions.

Other speakers include Eric Kohn, the Deputy Chairman of German LCA dba, formerly Deutsche BA, Phil Roberts, the Managing Partner and Vice President of Unisys, and Australia’s former international air services negotiator Tony Wheelens, now an Associate of the Centre.

Dr Cheong Choong Kong, the former Chief Executive and Deputy Chairman of Singapore Airlines (now Executive Director and Chairman, Oversea-Chinese Banking Corporation Limited) will chair a special panel discussing the development of the Asian LCA model.

The symposium will be followed by a workshop on “How to Run a Low-Cost Airline Subsidiary and Succeed” on the morning of February 14. It will be conducted by Michael Coltman and Andrew Cowen, two senior executives with extensive experience on the inside of operating one of Europe’s low cost carriers.

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