Budget airline Cebu Pacific will complete the return of five Airbus aircraft from newly-acquired Tiger Airways to their original owner Tiger Airways Singapore Pte Ltd.
Two of Tiger Airways’ Airbus A319s have already been returned to the Singaporean airline while three more A320s will be returned by the third quarter of 2014, lawyer Jorenz Tañada, Cebu Pacific vice president for corporate affairs, said in a text message.
According to aviation market analysis firm Centre for Asia Pacific Aviation, “Cebu Pacific was unwilling to assume the Tigerair Philippines fleet of five A320 family aircraft as they are powered with different engines from Cebu Pacific’s A320 fleet.”
Cebu Pacific spent $7 million to buy the 40 percent share of Tiger Airways Singapore Pte Ltd and $8 million for the 60 percent owned by Filipino businessmen in Tigerair Philippines, giving the budget airline 100-percent control when the purchase was completed on March 22.
It plans to rename Tiger to Go Air Inc.
Cebu Pacific currently operates more than 2,200 flights a week to 24 international and 33 Philippine destinations in its network while Tigerair Philippines operates 118 flights a week week to 11 domestic and international destinations.
The combined fleet is expected to allow Cebu Pacific to fly to high-growth markets like Australia, Myanmar, and India and allow Tigerair Philippines to fly more passengers to additional cities in Cebu Pacific’s network in the Philippines and North Asia.
Source: JDS, GMA News