PETALING JAYA (Aug 16, 2011): Budget carrier Firefly will continue as an independent brand under Malaysia Airlines's (MAS) ownership, but will now offer frills on its flights with its fleet of ATR 72-500 turboprops out of Subang and Penang.
However, a new full-service regional airline will be set up and will take over the existing Boeing jets of Firefly.
Firefly managing director Datuk Eddy Leong said the new executive committee (exco) of the national carrier has decided to retain Firefly's brand and strengthen its presence in the regional services.
"However, Firefly will stop flying the jets (such as its Boeing 737-800s and 737-400).
"Our resources will be used to start a new full-service regional airline named Sapphire," he told SunBiz yesterday.
"That will start soon. An announcement will be made," Leong said, likening the new airline to Singapore Airlines' Silk Air and Hongkong's Dragonair.
"Firefly will also be upgraded into a full-service turboprop operator. It will also be expanded in terms of fleet size and routes," he added.
Leong said his team has been tasked to start Sapphire as well as run Firefly.
He said the decision was made following an exco meeting last Friday which included MAS chairman Tan Sri Md Nor Yusof and its newly-appointed director Tan Sri Tony Fernandes, who is also AirAsia group CEO.
The tie-up between MAS and rivals AirAsia and AirAsia X last week had cast uncertainty over the future role of Firefly and whether it would cease to operate, which has been offering low-cost travel with its fleet of 10 ATR 72-500s, four 737-800s and one 737-400.
However, the rise of Firefly has led to a head-on competition with low-cost carrier AirAsia, and has hurt yields for AirAsia, especially on routes from the KL International Airport to Kuching and Kota Kinabalu.
Source: http://www.thesundaily.my
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