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Singapore Airlines' contraction strategy as load factors and yields dominate

Premium Analysis

Singapore Airlines (SIA) is a shrinking force, the price of regained profitability. SIA flew almost 13% fewer seat kilometers in Jun-2010 than it did in Jun-2008, even though the airline did expand capacity by 1.8% year-on-year. Over the same two-year period, Cathay Pacific has contracted its capacity by just 2%, whereas Emirates has expanded by close to 30%.

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