Budget airline Hong Kong
Express expects to add widebody aircraft to fleet
Send a link to a friend
[September 05, 2017]
By Jamie Freed
HONG KONG (Reuters) - Low-cost airline Hong
Kong Express Airways, part-owned by Chinese conglomerate HNA Group,
plans to add widebody aircraft to it fleet eventually to make use of
limited airport slots and allow for growth to longer-range destinations,
its chief executive said on Tuesday.
The airline and sister carrier Hong Kong Airlines have been expanding
rapidly in a challenge to Hong Kong's dominant airline, Cathay Pacific
Airways <0293.HK>, which last month reported its worst first-half loss
in at least 20 years amid increased competition that lowered fares.
"I think we will certainly progress to widebodies," HK Express Chief
Executive Officer Andrew Cowen told Reuters. "One solution to the slots
constraints is to perhaps do fewer frequencies but with widebodies.
Obviously widebodies would also allow us to go further afield."
HK Express flies to 28 destinations in mainland China and other
countries such as Japan, Thailand and Vietnam with a fleet of 20 A320
family narrowbody aircraft. It flies to Tokyo, Osaka and Seoul four
times daily from Hong Kong International Airport, where slots are
limited and availability is constrained until a third runway opens in
2023.
![](http://archives.lincolndailynews.com/2017/Sep/05/images/ads/current/ldn_sda_062409.png)
The carrier, which is not listed and does not disclose its earnings
publicly, has grown its capacity by about 48 percent in the last year.
Cowen said it was unclear whether the carrier would report a profit this
year amid what he described as "aggressive discounting" by rival
airlines.
Cowen declined to put a timeframe on a move to widebody aircraft but
named the Boeing Co <BA.N> 787 and the Airbus SE <AIR.PA> A330neo and
A350 models as potential options.
[to top of second column] |
![](../images/090517pics/busine57.jpg)
HK Express Chief Executive Officer Andrew Cowen speaks during an
interview in Hong Kong, China September 5, 2017. REUTERS/Bobby Yip
![](http://archives.lincolndailynews.com/2017/Sep/05/images/ads/current/graue_17_cruze_080717.png)
"We haven't made any firm decision," he said. "We are just looking forward about
different options and ways about meeting that market demand and strengthening
our position in the market."
Hong Kong Airlines, which is also part-owned by HNA but not positioned as a
low-cost carrier, operates widebody A330 aircraft and last week took delivery of
its first A350 as part of an expansion into the North American and European
markets.
Cowen said HK Express did not coordinate with Hong Kong Airlines on destination
selection and flight timings but the pair were planning to begin deepening their
relationship in the coming weeks, eventually developing into a codeshare. "It is
going to be a step-by-step rollout," he said.
A Hong Kong Airlines spokeswoman said: "We have just signed the interline
agreement with Hong Kong Express. However, there is no codeshare agreement under
discussion for the time being."
(Editing by Jacqueline Wong)
[© 2017 Thomson Reuters. All rights
reserved.] Copyright 2017 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed. |