Singapore Airlines, CAAS, SATS

[lemon_drop]

Are the three companies related (besides being in the same industry)?
I'm aware that CAAS has recently split. I'm asking more about the company that would be the running Changi Airport.

[WhiteTissue]

Originally Posted by lemon_drop

Are the three companies related (besides being in the same industry)?
I'm aware that CAAS has recently split. I'm asking more about the company that would be the running Changi Airport.

SIA is the one operating the airlines, backed by Temasek Holdings; while CAAS takes care of Changi Airport. Currently CAAS also takes care of the policies and airtport regulatory work. The split is to separate out the commercial arm of CAAS (the portion that runs the airport) from the policy and regulatory arm. I think this is to help make CAAS (the corporatised one) more efficient and be able to compete better in the world market. Similar to how PSA was split up between PSA and PSA Corp / PSA International, or HDB and Surbana. With a corporatised arm, CAAS can then partake in more overseas business and bid for projects to run overseas airports. Hope this helps!

[mondayblues]

at the same time, this introduces the possibility of higher prices for consumers. which raises the importance of having a framework to make sure that corporatisation of the airport doesn't lead to higher profits at the expense of the genearl public...

[cookieguy]

Originally Posted by mondayblues

at the same time, this introduces the possibility of higher prices for consumers. which raises the importance of having a framework to make sure that corporatisation of the airport doesn't lead to higher profits at the expense of the genearl public...

humm oil prices down to below US$80 per barrel....aussie dollar down to less than 1. Good to do down under now hahaha....

[lthams]

In any case, any move to boost the profits of Changi Airport will indirectly benefit those in living in Singapore.

Lthams

[mondayblues]

Originally Posted by lthams

In any case, any move to boost the profits of Changi Airport will indirectly benefit those in living in Singapore.

Lthams

That might not be true. Higher profits might come about because higher rates are imposed on customers, who will definitely consist of Singaporeans. That's the danger in corporatisation: that the rich get richer at the expense of the general public...

[GreyWonder]

I would prefer to see corporatisation with a more positive spin.
It means higer efficiency, more productive, less bureacracy, more competitive and hence better quality of service overall. Personally I don't mind paying a bit more for better service Currently, the airport tax that we are paying for Changi is about the same as most other major airports - however the quality of service is much better (for the other airports, I dunno what we are paying the airport tax for seriously... but it's something you can't get away from...)

Besides, I think the bulk of their revenue will still be from airline operators and not from consumers like us.

[cookieguy]

due to the global economic uncertainty with the drop in oil prices (as of current 27 Oct 08 at US$60 per barrel) and tourism slowdown, we see SIA, SATS share prices plummet.

however in singapore, people treating holidays as "must-have getaways" just like necessities. not so for other countries though.

SIA help make the singapore flag flies