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Saturday 2 November 2019

Singapore Airlines and Malaysia Airlines link up

Singapore Airlines and Malaysia Airlines have moved a step closer to a long-mooted eventual merger or takeover.

The two neighbouring national airlines have proposed closer business ties for revenue sharing on flights between Singapore and Malaysia.

They will also link for expanded code-sharing, joint marketing activities and will align their frequent-flyer programs.

Flights to Singapore and Malaysia will operate under a joint business arrangement by offering joint fare products which could include inclusive air passes allowing customers regional connections on a single ticket.

Code-sharing will be significantly expanded with more than a dozen new Malaysian destinations phased in over time.

"We are very pleased to take our partnership with Malaysia Airlines to a new level - this will be a win-win for both our airline groups, and provide new benefits for our customers," said SIA CEO Goh Choon Phong.

The new agreement includes SIA subsidiaries SilkAir and Scoot, as well as Firefly, the sister airline of MAB. It follows the signing of a memorandum of understanding in June 2019, which aimed to provide new customer benefits as well as new business opportunities.

Malaysian CEO Captain Izham Ismail said: “We are honoured to collaborate alongside SIA in providing our customers a more competitive product between Malaysia and Singapore and the opportunity to travel to more global destinations.

"This is in line with Malaysia Airlines’ long-term business plan goal of engaging in deep partnerships to extend our reach and presence globally. This partnership is more than a conventional partnership and we believe in the mutual benefits for both airline groups and countries.”

Subject to regulatory approvals, the code-share flights will be progressively made available for sale through the airlines’ respective booking channels in key markets around the world.

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