Tough times ahead for Asia Pacific airlines, Qantas offers two-for-one fares
The carriers' shares had a better day on Friday (14-Nov-08), rising 0.9%, 3.6% and 4.7%, respectively.
Asia Pacific selected airlines daily share price movements (% change): 14-Nov-08
AAPA's Director General, Andrew Herdman, stated that consumer confidence around the world "has been severely damaged", and members are bracing themselves for "tough times" in 2009, on expectations of a further deterioration in passenger and cargo demand during the first half of 2009.
Qantas has announced one of the biggest sales in its history, with two-for-one sale fares available across the majority of its international network for travel in the traditionally weak period from 01-Feb-08 to 31-Mar-09.
SIA stated last week that although advance bookings for the immediate next quarter are holding up "reasonably well", there are "signs of weakness beyond that". CEO, Chew Choon Seng added a post-results briefing that premium demand is "still holding firm" for long-haul markets, but the airlines was seeing business passengers "trading down" to economy for shorter-haul travel within the region.
Cathay Pacific stated on 12-Nov-08 that demand to and from Hong Kong "remains depressed, particularly on the corporate sales side". CEO, Tony Tyler added the airline faces a "very difficult" 2009, as the global economic slowdown hits travel demand, meaning Cathay would have to remain flexible in its planning.