An SIA-SilkAir merger makes for a better way to fly

SOMETIME in the near future, the SilkAir brand will no longer exist, after parent Singapore Airlines (SIA) assimilates the regional carrier under its wings.

The announcement last Friday comes almost a year after SIA announced that Tiger Airways and Scoot would operate under the Scoot brand. SIA's operational consolidation makes business sense - with the mergers, the national carrier will focus on two distinct brands: SIA in the premium segment and Scoot for the budget market. This would make for better strategic and operational focus in the highly competitive airline industry.

The planned SIA-SilkAir merger will take place after a US$100 million-plus fleet upgrade for the regional airline's existing fleet of 11 Airbus A320-family aircraft and 22 Boeing 737-800 as well as 737 MAX 8 aircraft. The modernisation of the aircraft will include the upgrade of SilkAir's cabins, which will be fitted with new lie-flat seats in business class, and the installation of inflight entertainment systems in both business class and economy class - a move which is necessary to ensure closer product and service consistency across SIA's full-service network.