Viva Macau seeking government financial assistance extension. LCCs growing in South Korea
Viva Macau has reportedly requested an extension on government financial assistance, according the Hoje Macau newspaper. The airline was granted financial assistance from mid-2008 until Sep-2009, reportedly through the Commercial and Industrial Fund, through which the government can finance private businesses.
The level of financial may have reached as much as MOP100 million (USD12.5 million), according to the reports.
Elsewhere in North Asia, Korea Airports Corp stated the country’s four LCCs transported 5 million passengers in 2009, accounting for 27.7% of total domestic traffic, an improvement from a market share of 9.7% in 2008. Air Busan was the nation’s largest LCC, with 1.4 million passengers, followed by Jeju Air (1.4 million passengers), Jin Air (1.2 million) and Eastar Jet (990,000 passengers).
Shares in SpiceJet gained 4.5% yesterday, on improved Dec-2009 traffic results. SpiceJet has underperformed the market over the past month to 13-Jan-2010, falling 1.47% compared to the Sensex's 2.28% gain, but rose 8.55% compared to the Sensex’s 2.28% gain over the past month. In 2009, the carrier’s shares soared 221%.
Selected LCCs daily share price movements (% change): 14-Jan-2010