4-Mar-2016 9:13 PM
HK Express is relatively more resilient during a downturn compared to FSC
HK Express CEO Andrew Cowen, speaking at the CAPA Airline Fleet & Finance Summit 2016, said (04-Mar-2016) an LCC is relatively more resilient during a downturn as LCC tickets are by and large non-refundable. Mr Cowen noted some full-service carriers are highly reliant on business class and flexible fares for revenue, which falls immediately upon a downturn. "While LCCs are making money in most of their fare classes and from a cash side if passengers decide they don't want to fly then frankly, we still have their money," he said.