Hong Kong Express to transform into LCC in Jul/Aug-2012

Hong Kong Airlines president Yang Jianhong stated Hong Kong Express Airways will be transformed into a LCC in Jul-2012 or Aug-2012, operating under its new low-cost model to cities in mainland China, South Korea, Japan and Southeast Asia and using the traffic rights of Hong Kong Express to Shanghai, Beijing, Singapore, Seoul, Kuala Lumpur, Osaka and Taipei (South China Morning Post, 17-Nov-2011). Mr Yang stated the new LCC will appoint a CEO with experience in European LCCs and will acquire 15 A320s over the next three to four years while its current fleet of five B737-800s will be transferred to Hong Kong Airlines in 2012. The new LCC is expected to compete with Cathay Pacific on its lucrative regional routes particularly to Beijing, Shanghai and Taipei.