26 May '11, 5am

UPDATE 1-Singapore Air to set up low-fare long-haul carrier - Yahoo! News

* New carrier to operate within one year * To use wide-body planes for medium, long haul * Move comes as competition increases from budget airlines * AirAsia boss dismisses threat from new carrier (Adds AirAsia chief executive) SINGAPORE, May 25 (Reuters) - Singapore Airlines , the world's second-most valuable listed airline, set out plans to enter the long-haul budget carrier market by setting up a new subsidiary expected to compete with AirAsia X. The premium carrier faces competition from other players in Asia and the Middle East that cater to high-end passengers as well as fast-expanding budget airlines in Asia. Wednesday's move by Singapore Airlines' new Chief Executive Officer Goh Choon Phong marks a major reversal from his predecessor's strategy. "This is driven by the changing landscape in the industry. If you look at what's happening (in Malaysia), AirAsia X has r...

Full article: http://sg.news.yahoo.com/1-singapore-air-set-low-fare-lon...

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#Singapore Airlines to set up no-frills low-cost long-haul #airline Can #SIA exist in both markets? What's #LCC name? #SQ

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