Cathay Pacific chief executive John Slosar is hoping the recent easing in the fuel burden for airlines is here to stay, as Brent crude barrel prices dipped under the $100 level this month.
It provides much-needed relief as the aviation environment has been tough over the last 10 months, especially with robust fuel prices and the uncertain economic situation.
Cathay recently announced cost-cutting measures, including trimming capacity on long-haul routes and the early retirement of aircraft, as it warned of disappointing first-half earnings.
Slosar also ruled out starting long-haul, low-cost operations, a path that rival Singapore Airlines has taken through Scoot. "I don't see a case particularly for long-haul, low-cost. With the fuel price, the only way you can lower cost is if there's no real service or by cramming the seats," he says.
Source: Flight Daily News