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PUTTING on a BRAVE FACE ANA President,Yoji Ohashi, Opposes the JAL/JAS Merger Plan, but Is Optimistic About the Future

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PUTTING on a BRAVE FACE ANA President,Yoji Ohashi, Opposes the JAL/JAS Merger Plan, but Is Optimistic About the Future MAGAZINE OF THE ASSOCIATION OF ASIA PACIFIC AIRLINES VOL. 9 NO. 7 MAY 2002 Focus on Japan PUTTING ON A BRAVE FACE ANA president,Yoji Ohashi, opposes the JAL/JAS merger plan, but is optimistic about the future Fees row rumbles on as Narita opens second runway Small carriers battle for survival NO-FRILLS THRILLS IN MALAYSIA IT spending on a charge in the Asia-Pacific airline industry — SPECIAL REPORT A Wilson Press publication PUBLISHER Wilson Press Ltd VOL. 9 NO. 7 MAY 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 MAGAZINE OF THE ASSOCIATION OF ASIA PACIFIC AIRLINES Tom Ballantyne COVER STORY JAPAN SPECIAL VOL. 9 NO. 7 MAY 2002 Tel: (612) 9638 6895 Fax: (612) 9684 2776 E-mail: [email protected] Hong Kong & China Wellington Ng PUTTING ON Page 14 Tel: (852) 2893 3676 Focus on Japan E-mail: [email protected] Japan A BRAVE FACE PUTTING Daniel Baron JAL/JAS merger poses a threat, but Tel: (813) 3203 7106 ON A E-mail: [email protected] ANA president remains upbeat BRAVE Philippines FACE Rene Mallari • Japan bows to pressures ANA president, Yoji Ohashi, Tel: (632) 413 8726 • Charges debate overshadows opening of opposes the JAL/JAS merger plan, E-mail: [email protected] but is optimistic about the future second Narita runway Fees row rumbles on as Photographers Narita opens second runway Patrick Dunne (chief photographer), • Innovation a key to survival for small carriers Small carriers Rob Finlayson, Andrew Hunt, Hiro Murai • Executive Interview: All Nippon Airways presi- battle for survival Design & Production dent, Yoji Ohashi NO-FRILLS THRILLS IN MALAYSIA ü Design + Production IT spending on a charge in the Asia-Pacific Colour Separations airline industry — SPECIAL REPORT Twinstar Graphic Arts Co. Cover photo: A Wilson Press publication Printing Patrick Dunne Lammar Offset Printing Company Ltd NEWS ADVERTISING South East Asia and Pacific Tankayhui Media, Tan Kay Hui Air China crash “will not effect merger schedule” 10 Tel: (65) 9790 6090 Cathay Pacific Airways to acquire regional freighter fleet? 10 Fax: (65) 6280 2823 E-mail: [email protected] Virgin looking to pick up where Ansett Australia left off 10 The Americas/Canada Express mail operators cry foul over China restrictions 11 Barnes Media Associates Ray Barnes Singapore Engineering to buy 25% in Chinese MRO GAMECO 11 Tel: (1) 434 927 5122 Fax: (1) 434 927 5101 EVA Air re-hire laid-off staff and increase salaries 13 E-mail: [email protected] Better than expected financial results for China Airlines 13 Europe REM International U.S. warned of possible retaliatory action over passenger list demands 24 Stephane de Remusat Tel: (33 5) 34 27 01 30 Fax: (33 5) 34 27 01 31 FEATURE E-mail: [email protected] New Media & Circulation Manager Asia’s first no-frills carrier, Air Asia, out to prove sceptics wrong 22 Leona Wong Wing Lam Tel: (852) 2865 3966 E-mail: [email protected] AIRPORTS Association of Asia Pacific Airlines Secretariat Kuala Lumpur airport in big push to attract new business 25 Suite 9.01, 9/F, Kompleks Antarabangsa, Sydney sale back on track 26 Jalan Sultan Ismail, 50250 Kuala Lumpur, Malaysia. Director General: Richard Stirland Commercial Director: Carlos Chua SPECIAL REPORT ... INFORMATION TECHNOLOGY Technical Director: Leroy Keith Tel: (603) 2145 5600 E-spending on the increase again among Asia-Pacific carriers 28 Fax: (603) 2145 7500 E-mail: [email protected] Lufthansa Systems, Lido Aeronet ‘connect’ in Singapore 32 Published 10 times a year February, March, April, May, June, July/August, September, October, REGULAR FEATURES November and December/January. © All rights reserved Publisher’s Letter 7 Wilson Press Ltd, Hong Kong, 2002. Perspective 8 The views expressed in this magazine are not necessarily those of the Association of Asia Pacific Airlines. Business Digest 33 May 2002, Orient Aviation 5 FROM THE EDITOR’S DESK ON THE MOVE et us not get carried away, but there are positive signs are travelling again. The down side for the airlines, said Shiu, that better times lie ahead for the region’s airlines. is that “average fares are much lower than last year reflecting Cathay Pacific Airways is the most recent car- aggressive discounting and continued weakness in demand for rier to announce small, but positive growth of 0.9% front-end business travel”. in passenger traffic for March as well as reporting a All this may seem small beer, but not if you are, in particular, Lmarked improvement in cargo volume (11.4%) compared to a U.S airline. Significant recovery for them is way off. Indeed, the same month in 2001. the International Air Transportation Association has predicted And the airline is beginning to re-instate a number of that the world’s airlines will lose US$6 billion on international flights, including services to North America, suspended after services this year. September 11 last year, “in a measured response to improved Importantly, however, it appears confidence has been market demand”. Other carriers in the region also have resumed restored in air travel in the Asia-Pacific. How much the As- suspended services or are to re-introduce them soon. sociation of Asia Pacific Airlines “Travel Moves People” media All Nippon Airways president, Yoji Ohashi, says in this campaign helped is hard to exactly quantify, but it certainly issue that his airline’s passenger traffic is returning to normal played its part. quicker than expected. If nothing else the joint campaign showed the industry Taiwan’s EVA Air laid off several hundred of its staff last was prepared to roll up its sleeves and go out and persuade year, but the carrier is re-hiring 100 flight attendants as traffic people the skies were safe. It could be said travel also moved picks up. It also has restored salaries to pre-September 11 levels the industry. when cuts of up to 30% were made. In our Information Technology (IT) special report, writer Kitty McKinsey describes how Asia’s airlines are beginning to spend less time on security issues than in the months post September 11 and are investing more time and money in IT as a means to cut costs and boost profits. BARRY GRINDROD Once again it’s a sign of changing times. As Cathay’s gen- Chief Executive and Editor-in-Chief eral manager for revenue management, Ian Shiu, said, people 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 Corporate Communication Manager, VP Corporate Communications, Communications, Mr David Beatson Ms Laura Crampton Mr Rolando Estabilio Tel: (64 9) 336 2770 Fax: (64 9) 336 2759 Tel: (852) 3193 3193 Fax: (852) 3193 3194 Tel: (632) 817 1234 Fax: (632) 817 8689 All Nippon Airways EVA Air Qantas Airways President and CEO, Mr Yoji Ohashi President, Ms Kitty Yen Managing Director and CEO, Senior VP, Public Relations, Mr Koji Ohno Deputy Senior Vice President, Mr Geoff Dixon 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 Ansett Australia (Although closed Ansett is still Garuda Indonesia Royal Brunei Airlines officially an AAPA member) President, Mr Abdulgani Acting Chairman, Pehin Dato Haji Yahya VP Corporate Affairs, Mr Pujobroto Executive Director, Asiana Airlines Tel: (6221) 380 0592 Fax: (6221) 368 031 Pengiran Ali Pengiran Ahmad President & Chief Executive, Tel: (673 2) 229 799 Fax: (673 2) 221 230 Mr Park Chan-bup Japan Airlines Managing Director, PR, Mr Hong Lae Kim President, Mr Isao Kaneko Singapore Airlines Tel: (822) 758 8161 Fax: (822) 758 8008 Director, Public Relations, Deputy Chairman and CEO, Mr Geoffrey Tudor Dr Cheong Choong Kong Cathay Pacific Airways Tel: (813) 5460 3109 Fax: (813) 5460 5910 VP Public Affairs, Mr Rick Clements Chief Executive Officer, Mr David Turnbull Tel: (65) 541 4030 Fax: (65) 545 6083 Corporate Communications General Korean Air Manager, Mr Alan Wong Chairman and CEO, Mr Yang Ho Cho Thai Airways International Tel: (852) 2747 8868 Fax: (852) 2810 6563 Managing VP, Corporate Communications, President, Mr Kanok Abhiradee Mr Jun Jip Choi Director, PR, Tel: (822) 656 7065 Fax: (822) 656 7288/89 Mrs Sunathee Isvarphornchai China Airlines Tel: (662) 513 3364 Fax: (662) 545 3891 Chairman, Capt. Yun-ling Lee President, Mr Philip Hsing-Hsiung Wei Malaysia Airlines Vietnam Airlines VP, Corp Comms, Mr Paul Wang Chairman, Tan Sri Azizan Zainul Abidin President and CEO, Tel: (8862) 2514 5750 Fax: (8862) 2514 5754 Head of Industry Affairs, Mr Nguyen Xuan Hien Ms R. Nordiana Zainal Shah Dep Director, Corp Affairs, Tel: (603) 2165 5154 Fax: (603) 2163 3178 Mr Nguyen Huy Hieu Tel: (84-4) 873 0928 Fax: (84-4) 827 2291 May 2002, Orient Aviation 7 DIARY PERSPECTIVE Edited by second convention and ex- Christine McGee hibition centre. Said Hans Bakker, the AA commercial FINE TUNING: director, who was recruited Singapore Airlines’ from Schiphol Internation- (SIA) deputy chairman and al Airport to add commercial chief executive, Dr. Cheong and consumer vitality to the Choong Kong, announced newly built HKIA, SkyPlaza several new appointments in is part of the AA’s plan to April in a series of manage- make the airport “a leading ment shifts intended “as part international transport and of an ongoing programme logistics hub connecting the to develop SIA senior man- world with China by air, land agement members”.
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