TransAsia Airways board approves plan to establish Taiwan's first LCC, could commence op in 1 year

TransAsia Airways board approved (20-Nov-2013) plans to establish a subsidiary tentatively named Chuanmin Air Transport Co Ltd with an estimated investment of TWD2000 million (USD66.7 million) to TWD3000 million (USD100 million), with the funds to come from the carrier's long-term funds. The proposed start-up will primarily operate scheduled and non-scheduled domestic and international passenger services, cargo, mail and other civil air transport operations and other related businesses. TransAsia stated the objective of the start-up is to "cater to different segments and expand air operation." TransAsia also stated the start-up will be Taiwan's first LCC, launching a competition for the public to name the start-up with the winner to be awarded unlimited flights on TransAsia for 10 years. TransAsia chairman Vincent Lin said the carrier will not only be the first Taiwan-owned LCC but also the only one that puts a priority on the needs and purchasing habits of Taiwanese travellers. Mr Lin stated the development of LCCs has now become a global trend, particularly LCCs entering the Taiwan market, and one that Taiwan can not be absent in. Mr Lin reiterated the LCC will be 100% owned by the TransAsia Airways Group and will have fleet comprising of two to three A320/A321s initially with flight radius within five hours, including to Southeast Asia, Northeast Asia as well as second- and third-tier cities in mainland China, stating "we will lease brand new aircraft for a brand new airline. We will use the best equipment possible." More details on routes is expected to be announced in three to six months. Mr Lin said he hopes the LCC will commence operations at the end of Nov-2014. [more - original PR - Chinese I][more - original PR - Chinese II][more - original PR - Chinese III]