Tiger to expand in India, orders 20 aircraft from Airbus

Tiger Airways Pte, the budget carrier partly owned by Singapore Airlines Ltd., ordered 20 single-aisle planes from Airbus SAS as it sets up a base in South Korea, and expands in Australia, Malaysia and India.
Tiger Air is converting options for A320 planes, valued at $1.3 billion, that were part of an order pledged in June, Chief Executive Officer Tony Davis told reporters in Singapore today. Tiger Air expects to finish delivery of the new planes by 2016. The airline will have a fleet of 70 planes by then, he said.
The deal will boost Tiger Air's total orders to 66, helping the airline counter growing competition in the region. AirAsia Bhd., Southeast Asia's biggest discount carrier, and Indonesia's PT Lion Mentari, both have more than 100 planes on order as economic growth and liberalization boost demand for air travel.
Davis, 42, who set up British Midland Airways Ltd.'s low- cost unit, wants to build a fleet of 70 aircraft to support a network, covering India, Australia and South Korea. Tiger Air operates 12 A320s and flies to more than 25 destinations.
The airline added the Indian cities of Chennai and Kochi to its network in October and began domestic flights in Australia a month later.
The airline also won approval to start flights between Singapore and Kuala Lumpur in February 2008.
18/12/07 Chan Sue Ling/Bloomberg

To Read the News in full at Source, Click the Headline

Categories: Foreign Dec 2007, Low Cost General Dec 2007