Cathay explains why it will not follow other Asian carriers in launching an LCC subsidiary or brand

Cathay Pacific Airways remains unconvinced there is value in establishing low-cost carrier subsidiaries or brands even as most of its peers start to follow pioneer Qantas in launching LCCs.

Singapore Airlines' decision to expand into the long-haul budget sector with Scoot has other full-service carriers throughout Asia and beyond wondering if they should follow the emerging long-haul LCC trend. But while Cathay CEO John Slosar calls Scoot "a very interesting development" he believes SIA may find that it has its hands full as it already owns regional carrier SilkAir and has just increased its stake in short-haul LCC Tiger Airways. "To have that many [brands] will be an issue," Mr Slosar predicts.