KUALA LUMPUR: The Subang Skypark Terminal will add a new operator, Thai Lion Air, on March 21 when the airline begins its four weekly flights between Subang and Hat Yai in Thailand.
Thai Lion Air, part of PT Lion Group of Indonesia, will be the fourth carrier to run its operations from the Subang Skypark Terminal. The others are Firefly, Malindo Air and Berjaya Air.
PT Lion Group owns a 49% stake in Thai Lion Air, which was launched on Dec 4 last year, and it has already begun operations from the Don Mueang International Airport in Bangkok.
Currently, Thai Lion Air provides flights from Bangkok to Chiang Mai in Thailand, Jakarta in Indonesia as well as to the Kuala Lumpur International Airport (KLIA).
Thai Lion Air is the sister company of Malindo Air, in which PT Lion Group has a 49% stake. The remaining 51% stake in Malindo Air is owned by Malaysia’s National Aerospace and Defence Industries.
Thai Lion Air chief executive officer (CEO) Aswin Yangkiratvorn said the airline will use the latest ATR 72-600 aircraft for flights between the Subang terminal and Hat Yai International Airport four times a week.
He said at a press conference yesterday that Thai Lion Air’s new route is expected to develop opportunities for travellers and businessmen as Hat Yai is an important business centre in Thailand as well as a great shopping destination.
The airline presently has three aircraft — one ATR 72-600 and two Boeing 737-900ERs. The airline is looking to expand its fleet to 10 aircraft and will add another seven Boeing planes by year-end.
It is also looking to fly to more destinations from the Subang Skypark Terminal.
“We will have to look at the market first and then we will decide on other destinations,” said Aswin.
Malindo Air CEO Chandran Rama Muthy said it makes sense for the two airlines to synergise their operations as well as work together in terms of marketing and other airline operations as PT Lion Group is their common parent company.
“Malindo’s role in Thai Lion Air is to provide ticketing and marketing support. We also sell Thai Lion Air tickets on our website and vice-versa,” he said, adding that Malindo will be leveraging on Thai Lion Air’s facilities such as its sales counters.
On the airport tax at klia2, Chandran said he does not expect any increase for the time being and it will not have any effect on Malindo.
“Airport tax is paid by passengers and we pay it to Malaysia Airports Holdings Bhd. So, I don’t think there will be any effect.
“In fact, once we move to klia2, our airport tax will be much cheaper because the klia2 tax follows the LCCT [low-cost carrier terminal] rate,” he said.
Passenger service charge, or airport tax, is set at RM32 for international passengers and RM6 for domestic passengers at the LCCT. KLIA charges RM63 for international flights and RM9 for domestic flights.
Chandran said klia2 is making good progress and there will be tests for passenger movements and simulation of baggage systems.
This article first appeared in The Edge Financial Daily, on March 06, 2014.