Lion Air Group reportedly plans to launch a Thai LCC subsidiary, Thai Lion Air, with the carrier already recruiting staff, according to a report from Bangkok Post. Thailand’s Civil Aviation Department director-general Woradej Harnprasert said: “Lion Air's entry is good for more healthy competition, giving passengers choice.” The start-up will reportedly operate from Thailand’s Bangok Don Mueang International Airport, using up to six Boeing 737-800s. Mr Harnprasert said the start-up was yet to apply for an air operator’s certificate, and Thai entities are required by law to hold at least 51% ownership in the company. According to the CAPA Fleet Database, Lion Air Group currently operates 15 737-800s, with a further 11 on order.
Lion Air Group to start Thai LCC subsidiary, Thai Lion Air: report
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The shake-up will be extended to several other routes in 2014 as Thai Lion quickly expands its fleet from two to 10 aircraft. But Thai AirAsia, which also plans to add eight aircraft in 2014, will remain a much larger carrier and is well positioned to respond to the challenge as it has a stronger and more established brand.
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