Ockie
Resident Lead Bender
SKYWISE, the new low-cost airline set up by the former founders of 1time Airline, expects to begin offering flights next month that are, on average, 25% cheaper than current flights between Johannesburg and Cape Town, the airline said this week.
No official launch date for the airline has been set as the directors are waiting for the Civil Aviation Authority to issue the company an air operator certificate (AOC), which will allow the carrier to commence operations.
Skywise has already paid deposits for the two Boeing 737-300s it will be using to operate five flights a day.
"We expect the AOC to be issued in August, which allows us to operate specific aircraft," said Glenn Orsmond, one of the Skywise directors and a former financial director or 1time.
Mr Orsmond and many of the original founding directors of 1time resigned in 2011. The airline went into provisional liquidation in November last year and it remains in limbo while potential investors are sought.
Domestic traffic in SA has fallen this year, according to the latest statistics published for domestic traffic by the Airports Company SA. Overall domestic passenger traffic in the three months to June fell 2.1% from the same quarter last year. There was a steep drop in domestic travel between May and June — a decrease of more than 5%.
Mr Orsmond said domestic travel in SA had been contracting since 1time’s exit from the market last year.
Other established carriers in the market had not increased their capacity to replace the 2.5-million seats that 1time’s absence had created. "All they have done is to put up the price of tickets significantly," Mr Orsmond said.
Skywise was not planning to take market share away from the likes of Mango, which is the low-cost subsidiary of South African Airways, or Kulula, the no-frills brand operated by Comair.
Rather Skywise would provide seats that were affordable enough to encourage people who had stopped flying when 1time closed to start flying again, said Mr Orsmond.
http://www.bdlive.co.za/business/tr...to-offer-cheaper-flights-than-those-of-rivals
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