SIA, Lufthansa form new JV
Flights between Singapore and both Frankfurt and Munich, as well as flights between Singapore and Zurich, are to be operated under revenue-sharing arrangements.
November 11, 2015
By PLA Editor
Air & Cargo Services air cargo Air Cargo Asia air cargo freight Air Forwarding air freight Air Freight Asia Air Freight Logistics air freighter air freighting Air Logistics Asia Air Shipping Asia airlines cargo airways cargo asia cargo news cargo aviation Carsten Spohr Lufthansa SIA Singapore Airlines
Singapore Airlines (SIA) and Lufthansa have signed a wide-ranging partnership agreement that will see the two airline groups operating key routes between Singapore and Europe on a joint-venture basis, in addition to significantly expanding codeshare ties and deepening commercial co-operation.
Flights between Singapore and both Frankfurt and Munich, as well as flights between Singapore and Zurich, are to be operated under revenue-sharing arrangements. New SIA-operated flights between Singapore and Düsseldorf, which are to be launched in July 2016, will also be covered under such arrangements.
The two airline groups also intend to co-operate in key markets in Europe, Southeast Asia and Australia, co-ordinating schedules to provide customers more convenient connections between route networks, offering joint fare promotions, and aligning corporate programmes.
In addition to SIA and Lufthansa, the agreement includes SIA subsidiary SilkAir, and Lufthansa subsidiaries Austrian Airlines and Swiss. Elements of the agreement are subject to approval in various jurisdictions.
The expanded codeshare ties will provide SIA customers with convenient access to and from points in Austria, Belgium, Germany and Switzerland, via the transfer hubs of Frankfurt, Munich and Zurich, with more than 20 new codeshare routes.
Lufthansa and Swiss will in turn codeshare with SIA and regional arm SilkAir on more routes serving destinations in Southeast Asia and the Southwest Pacific. Other elements of the agreement that require additional levels of regulatory approval may be implemented progressively through 2016.
“This agreement deepens ties with the wider Lufthansa Group, providing a solid foundation for numerous commercial co-operation opportunities,” said Singapore Airlines CEO Goh Choon Phong.
Added Carsten Spohr, chairman of the executive board and CEO of Deutsche Lufthansa AG: “Our intensified partnership with Singapore Airlines is an excellent addition to our global joint venture network, and is a cornerstone of our Asia Strategy. And all these strategic partnerships will help the Lufthansa Group further consolidate its leading position in all key markets.”