Cathay sees 'significant recovery' in premium traffic
Cathay Pacific CEO, Tony Tyler, stated the carrier has seen a "significant recovery" in premium traffic, adding: "It's not back to the 2008 levels, but that would set quite a high benchmark because that was the peak of the pre-crisis bubble. But it is back well above where it was last year" (Wall Street Journal, 25-Jul-2010). Mr Tyler said the carrier is "still having a good look at Premium Economy".
Cathay Pacific: "We are in a very volatile, cyclical business, and the trick is to keep calm when things are going very badly, but not to go crazy when things are going well. One lesson is to make sure you use the good times to get your balance sheet in good shape ... There is a good case for thinking positively on it for long-haul travel...The divergence between business and economy-class products has become quite extreme. There's a big difference now between the products, much bigger than there ever was before, and the pricing reflects that. So, it may well be that an intermediate product might be a winner for us. It also enables you to tailor your economy product to be appropriate to the fares people are paying. People are prepared to pay and accept a no-frills service," Tony Tyler, CEO. Source: Wall Street Journal, 25-Jul-2010.