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``Singapore a major destination''

R. Balaji

Jet Airways intends to branch out

Singapore: Jet Airways, which linked Chennai and Singapore with a direct flight on Wednesday, is looking at the city state as an important destination and not just as a transit point for feeding other international players.

According to Chief Operating Officer Peter Leuthi, business, tourism and personal traffic to this destination are on the rise. The airline's link with the Singapore Tourism Board on packages and promotional ideas is a key development. Jet Airways expects international traffic to grow to contribute, as much as the domestic services, to revenue in the next four or five years. Cargo, now a small component, will come into its own with the acquisition of wide-bodied machines. It could be spun off into a separate division or a partner inducted to form a joint venture.

Addressing the media, he said the airline would be an "international carrier with a strong domestic base."

No low-cost mode

It plans on being a $3 billion company by 2008-09 by when its fleet strength would be over 80. It would also be a full service airline and "there is no intention of a low-cost mode in Jet Airways brand."

In India, where it has a market share of over 45 per cent, it would strengthen its traffic in the metros — target at least same day return with other cities — and link all major tourist destinations. In two years' time it would have added 12 Boeing 737s — 10 purchased and two leased.

On the expansion to the international destinations, he said that after its maiden flight to Singapore from Chennai, it was looking at another from Delhi. But, its plans extend beyond the South East. It has two daily flights to London from Delhi and Mumbai and a third would be introduced from May-June next and it would link more destinations in the U.K.

Aggressive play

Jet Airways intends branching out to Brussels, France, Germany and the Americas, he said.

In Asia, it would link Thailand, Hong Kong and China, and in Africa the South and East. West Asia, which is closed to private players under the current policy in India, would be a target when it is opened up.Driving its expansion to new destinations would be its aggressive plans in acquiring wide-bodied flights. Its board has approved these acquisitions, which start with the first of the 12 A330s coming in May 2006 and more following in the second quarter of 2007 up to end 2008.

Another 10 Boeing 777s which would start joining the fleet from the second quarter of 2007, and, there is an option on 10 additional aircraft. In 2009 it would have a fleet of 83-84 aircraft, Mr. Leuthi said.

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