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BOUNCING BACK Asia-Pacific Airlines Leading World Recovery As Traveller Confidence Returns – Orient Aviation Survey

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BOUNCING BACK Asia-Pacific Airlines Leading World Recovery As Traveller Confidence Returns – Orient Aviation Survey MAGAZINE OF THE ASSOCIATION OF ASIA PACIFIC AIRLINES VOL. 9 NO. 8 JUNE 2002 ASIA BOUNCING BACK Asia-Pacific airlines leading world recovery as traveller confidence returns – Orient Aviation survey ATM in Asia: Korean Air’s China Southern’s Special Report World Cup goal baby boomers EXECUTIVE INTERVIEW: Australian Airlines, low cost but with frills A Wilson Press publication PUBLISHER Wilson Press Ltd VOL. 9 NO. 8 JUNE 2002 GPO Box 11435 Hong Kong Tel: Editorial (852) 2893 3676 Fax: Editorial (852) 2892 2846 E-mail: [email protected] Web Site: www.orientaviation.com Chief Executive and Editor-in-Chief Barry Grindrod E-mail: [email protected] Publisher Christine McGee E-mail: [email protected] Chief Correspondent Tom Ballantyne MAGAZINE OF THE ASSOCIATION OF ASIA PACIFIC AIRLINES Tel: (612) 9638 6895 COVER STORY VOL. 9 NO. 8 JUNE 2002 Fax: (612) 9684 2776 E-mail: [email protected] Special Correspondent Kitty McKinsey Tel: (852) 2987 6116 ASIA E-mail: [email protected] Hong Kong & China Wellington Ng BOUNCING Tel: (852) 2893 3676 E-mail: [email protected] Japan BACK Page 14 Daniel Baron ASIA Tel: (813) 3203 7106 BOUNCING E-mail: [email protected] Cathay Pacific leads way Philippines Rene Mallari with plane orders, new jobs BACK Tel: (632) 413 8726 Asia-Pacific airlines leading world recovery as E-mail: [email protected] as airline traffic climbs traveller confidence returns – Orient Aviation survey Photographers Patrick Dunne (chief photographer), ATM in Asia: Korean Air’s China Southern’s Rob Finlayson, Andrew Hunt, Hiro Murai Special Report World Cup goal baby boomers Design & Production EXECUTIVE INTERVIEW: Australian Airlines, low cost but with frills ü Design + Production Cover photo: Patrick Dunne A Wilson Press publication Colour Separations Twinstar Graphic Arts Co. Printing NEWS Lammar Offset Printing Company Ltd Asiana to join the Star Alliance 8 ADVERTISING Safety crackdown in China 8 South East Asia and Pacific Tankayhui Media, Tan Kay Hui Five-year fees waiver for new flights into Kuala Lumpur 8 Tel: (65) 9790 6090 New Bangkok airport ‘on target’ for 2005 opening 9 Fax: (65) 6280 2823 E-mail: [email protected] Pressure on PAL chief Tan to buy shares 9 The Americas/Canada New president named at Garuda Indonesia 19 Barnes Media Associates Carriers’ World Cup goals 22 Ray Barnes Tel: (1) 434 927 5122 Did JAL/JAS escape too lightly in merger deal? 28 Fax: (1) 434 927 5101 China Southern’s ‘adoption specials’ 29 E-mail: [email protected] Air Pacific battles back 31 Europe REM International Boeing home from home in Asia 32 Stephane de Remusat Tel: (33 5) 34 27 01 30 Fax: (33 5) 34 27 01 31 NEWS BACKGROUNDER E-mail: [email protected] SQ006 pilots backed by peers as Taiwanese New Media & Circulation Manager Leona Wong Wing Lam accident report comes under fire 20 Tel: (852) 2865 3966 E-mail: [email protected] EXECUTIVE INTERVIEW Association of Asia Pacific Airlines Secretariat Australian Airlines chief executive Denis Adams: Suite 9.01, 9/F, New airline will be low-cost, but with ‘frills’ 24 Kompleks Antarabangsa, Jalan Sultan Ismail, 50250 Kuala Lumpur, Malaysia. Director General: Richard Stirland SPECIAL REPORT ... AIR TRAFFIC MANAGEMENT Commercial Director: Carlos Chua Sophistication of ATM systems an Technical Director: Leroy Keith Tel: (603) 2145 5600 economic necessity – China has got the message 26 Fax: (603) 2145 7500 E-mail: [email protected] REGULAR FEATURES Published 10 times a year February, March, April, May, June, Publisher’s Letter 5 July/August, September, October, November and December/January. Perspective 6 © All rights reserved Business Digest 33 Wilson Press Ltd, Hong Kong, 2002. The views expressed in this magazine are not necessarily 7 those of the Association of Asia Pacific Airlines. LETTERS TO THE EDITOR June 2002, Orient Aviation 3 FROM THE EDITOR’S DESK POLITICS TO THE FORE olitics is once again to the fore at two of Asia’s most office, THAI chairman Virabongsa Ramangkura resigned political airlines. And with mixed results. abruptly, apparently at the behest of a group of pilots unhappy For a start, let’s look at Indonesia. When Abdulgani, about a board approved promotion of an executive pilot four the president of national carrier, Garuda Indonesia, months ago. They threatened to strike. decided to step down he recommended his execu- Bangkok media speculated that the pilots’ demands and Ptive vice-president finance, Emirsyah Satar, to his government strike threat were smokescreens. They alleged there were masters as his successor. Alas, others had ideas of their own, factions within Thailand’s Finance and Communications and among them the elder brother of the Minister for State Enter- Transport Ministries who wanted to control the carrier and the prises, Laksamana Sukardi. And for some weeks Samudera chairman was in their way. Sukardi was touted as favourite for the post. It brought back It is true Thai Prime Minister Thaksin Shinawatra likes to memories for many, particularly within Garuda, of the corrupt keep a close eye on THAI. Last October, he sacked Kanok’s pred- and nepotistic Suharto regime, which had almost bankrupted ecessor, Bhisit Kuslasayanon, a respected 30-year veteran of the the airline. airline. Recently, he promoted a former classmate to the rank of Fortunately, the minister was made of sterner stuff. He air chief marshal and made him a THAI senior executive. overlooked his sibling and said, rightly so, that he had to give Thaksin and his lieutenants are all powerful. The big ques- a good example and avoid a conflict of interest when he ap- tion is: does it make for a better airline? Let’s hope so. THAI, pointed Garuda’s new boss. He decided on a man of long airline once one of Asia’s finest pioneering airlines, needs all the help it experience, Indra Setiawan, and was duly publicly praised for can get if it is to proceed to its much delayed part-privatisation his judgement. and implement an upgrade of its inflight product. However, the decision did not go down well with his big brother. He has now issued a libel writ against Garuda’s former president for defamation following comments Abdulgani made in a local newspaper about Samudera when the Garuda ap- pointment was being debated. Meanwhile, in Bangkok, where Thai Airways International (THAI) and its government are no strange bedfellows, there is yet more intrigue. BARRY GRINDROD The day before the new president, Kanok Abhiradee, took Chief Executive and Editor-in-Chief THE ASSOCIatION OF ASIA PACIFIC AIRLINES MEMBERS AND CONtaCT LIST: Air New Zealand Dragonair Philippine Airlines Chief Executive, Mr Ralph Norris Chief Executive Officer, Mr Stanley Hui President, Mr Avelino Zapanta General Manager Group Communications, Corporate Communication Manager, VP Corporate Communications, Mr David Beatson Ms Laura Crampton Mr Rolando Estabilio Tel: (632) 817 1234 Fax: (632) 817 8689 Tel: (64 9) 336 2770 Fax: (64 9) 336 2759 Tel: (852) 3193 3193 Fax: (852) 3193 3194 Qantas Airways All Nippon Airways EVA Air Managing Director and CEO, President and CEO, Mr Yoji Ohashi President, Ms Kitty Yen Mr Geoff Dixon Senior VP, Public Relations, Mr Koji Ohno Deputy Senior Vice President, Group General Manager Public Affairs, Tel: (81 3) 5756 5675 Fax: (81 3) 5756 5679 Mr K. W. Nieh Mr Michael Sharp Tel: (8862) 8500 2585 Fax: (8862) 2501 7599 Tel: (612) 9691 3760 Fax: (612) 9691 4187 Asiana Airlines President & Chief Executive, Garuda Indonesia Royal Brunei Airlines Chairman, Pehin Dato Haji Yahya Mr Park Chan-bup President, Mr Indra Setiawan Executive Director, TBA Managing Director, PR, VP Corporate Affairs, Mr Pujobroto Tel: (673 2) 229 799 Fax: (673 2) 221 230 Mr Hong Lae Kim Tel: (6221) 380 0592 Fax: (6221) 368 031 Tel: (822) 758 8161 Fax: (822) 758 8008 Singapore Airlines Japan Airlines Deputy Chairman and CEO, Cathay Pacific Airways President, Mr Isao Kaneko Dr Cheong Choong Kong Chief Executive Officer, Mr David Turnbull Director, Public Relations, VP Public Affairs, Mr Rick Clements Corporate Communications General Mr Geoffrey Tudor Tel: (65) 541 4030 Fax: (65) 545 6083 Manager, Mr Alan Wong Tel: (813) 5460 3109 Fax: (813) 5460 5910 Tel: (852) 2747 8868 Fax: (852) 2810 6563 Thai Airways International President, Mr Kanok Abhiradee Korean Air Director, PR, China Airlines Chairman and CEO, Mr Yang Ho Cho Mrs Sunathee Isvarphornchai President, Mr Philip Hsing-Hsiung Wei Managing VP, Corporate Communications, Tel: (662) 513 3364 Fax: (662) 545 3891 VP, Corp Comms, Mr Paul Wang Mr Jun Jip Choi Tel: (8862) 2514 5750 Fax: (8862) 2514 5754 Tel: (822) 656 7065 Fax: (822) 656 7288/89 Vietnam Airlines President and CEO, Malaysia Airlines Mr Nguyen Xuan Hien Chairman, Tan Sri Azizan Zainul Abidin Dep Director, Corp Affairs, Mr Nguyen Huy Hieu Tel: (603) 2165 5154 Fax: (603) 2163 3178 Tel: (84-4) 873 0928 Fax: (84-4) 827 2291 May 2002, Orient Aviation 5 DIARY PERSPECTIVE Edited by CLOSER giran will, however, continue retired from Qantas, was out Christine McGee Cathay Pacific Air- to assist airline executives in jogging when he experienced ways and Dragonair from their search for a new CEO, chest discomfort. His doctor Hong Kong and China Air- who will be asked to make RBA ordered him to hospital and lines (CAL) and EVA Air “achieve official profitability” decided surgery was neces- from Taiwan are inching their by next March. sary. Strong, who has always way towards a new Air Serv- striven for supreme fitness, ices Agreement although COMEBACK said his family had a history talks between the Taiwan According to various re- of heart disease. He is now Airlines Association and ports, James Hogan, the chairman of both an Austral- the Hong Kong Govern- short-lived chief executive of ian consumer motoring asso- ment finished in mid-May a very briefly revived Ansett, ciation and the supermarket without resolution.
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