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SilkAir to transfer some routes to Scoot ahead of merger with SIA

A SilkAir plane sits beside a Singapore Airlines plane at Changi Airport. Photo: REUTERS/Edgar Su
A SilkAir plane sits beside a Singapore Airlines plane at Changi Airport. Photo: REUTERS/Edgar Su

Singapore Airlines said its budget carrier Scoot will take over some routes from regional airline SilkAir over the next two years, ahead of a plan by the flag carrier to merge with SilkAir.

The move come after a detailed review to identify which airlines in the SIA Group portfolio are best suited to meet evolving customer demand, SIA said in a statement on Thursday (22 November). The changes are expected to take place between April 2019 and the second half of 2020.

In addition, SilkAir will be converting its Mandalay route to a seasonal service, while Scoot will suspend its long-haul services to Honolulu from June next year because of weak demand.

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SilkAir routes to be transferred to Scoot:

Source: SIA
Source: SIA

In addition, Scoot will transfer flights to Shenzhen in China to SilkAir from June 2019, and Kochi, India flights from October 2019. The budget carrier will also transfer flights to SIA for its Bengaluru and Chennai flights in May 2019 and May 2020.

All the route changes are subject to regulatory approvals.

“We are now at the half-way mark in our three-year Transformation Programme, and today’s announcement represents another significant development,” said SIA CEO Goh Choon Phong. “The route review will strengthen the SIA Group for the long term, with the right vehicles in our portfolio of airlines deployed to the right markets.”

SIA announced in May that SilkAir will undergo a significant investment programme to upgrade its cabin products ahead of the merger. The programme will see SilkAir’s cabins fitted with new lie-flat seats in business class, and the installation of seat-back in-flight entertainment systems in both business class and economy class.

Scoot’s fleet will meanwhile be expanded with the transfer of 14 Boeing 737-800s from SilkAir, while SilkAir will continue growing its operations in the years ahead as it takes delivery of new Boeing 737 MAX 8 aircraft.