March 2, 2012

Boeing Celebrates 1,000th 777



EVERETT, Wash., March 2, 2012 /PRNewswire/ -- Boeing (NYSE: BA) and more than 5,000 employees, suppliers, customers and government officials celebrated the 1,000th 777 at a special event today. The 1,000th 777 jetliner will be delivered to Dubai-based Emirates later this month.

"As the largest 777 customer, it's very appropriate that Emirates is the recipient of our milestone 1,000th 777," said Jim Albaugh, president and CEO of Boeing Commercial Airplanes. "Emirates has set an industry high bar in providing excellent customer service and we're honored that the 777 is central to its efforts to be a global airline leader."

Last year was the best year on record for 777 sales with 200 orders from 22 customers – topping the previous record of 154 set in 2005. Production is at an all-time high for the program and a 20 percent rate increase begins this fall, increasing from seven to 8.3 airplanes per month. The program will begin building 100 airplanes per year beginning in 2013.   

Emirates is the 777 program's largest customer with 102 777s now in its fleet and 84 passenger airplanes and nine freighters on order. Emirates is the only airline that operates all six members of the 777 family.
"Emirates is honored to be the recipient of Boeing's 1000th 777 aircraft whose advanced long range capacity has been instrumental in our success of becoming a truly global airline," said His Highness Sheikh Ahmed bin Saeed Al-Maktoum, chairman and chief executive, Emirates Airline and Group. "As the world's largest operator of the 777, we have 93 more 777s on order, which is testament to our belief in the product and the role this aircraft will play in our goal to further establish Dubai as a central gateway to worldwide air travel."
"
The ultimate measure of success in this business is when you reach the 1,000 mark," said Larry Loftis, who until recently was vice president and general manager of the 777 program. "Reaching this milestone puts the 777 in an exclusive club and I would like to thank all our employees, suppliers and customers who made it possible."

"Reaching this milestone requires two things," Loftis added. "A product that provides exceptional value and a world-class production system to reliably bring that product to the marketplace – and we have both on the 777 program. As a result, the 777 program reached this milestone faster than any other twin-aisle airplane because of the 777's proven performance, exceptional value, continuous innovation and progressive environmental performance."

The 1,000th 777 is a 777-300ER (extended range) model that seats 360 passengers in a three-class configuration. To date, Boeing has recorded orders for 1,361 777s to 64 customers around the globe. 

Boeing Media

PICTURE: Diverted ANA 787 pays unexpected Heathrow visit




One of Japanese carrier All Nippon Airways' Boeing 787s has become the first of the type to arrive at London Heathrow after diverting from Frankfurt Main. The twin-engined aircraft, registered JA805A and operating flight NH203, touched down unexpectedly on 2 March.

ANA said the flight had been diverted "due to fog". It had been scheduled to land at Frankfurt at 05:25.
Meteorological data for Frankfurt at the time indicated fog, overcast skies and low visibility.
Similar conditions prevailed at other nearby hubs including Paris Charles de Gaulle and Munich.

The aircraft subsequently departed for Frankfurt ahead of operating the return NH204 service back to Tokyo Haneda. ANA has five 787s in service, all powered by Rolls-Royce Trent 1000 engines.

Flight Global

Japan's Peach Aviation launches first flight



Japan's low-cost carrier Peach Aviation started operations on 1 March, with the launch of two commercial domestic services. The first flight, MM101, departed from Osaka's Kansai International Airport at 07:17 local, landing at New Chitose Airport near Sapporo at 09:09. There were 162 passengers on board, a spokesman said.

The carrier launched its second flight, on the Osaka-Fukuoka route, about 20 minutes later carrying 168 passengers. Peach Aviation will operate three daily round trip flights on the Osaka-Sapporo route and four daily round trip flights on the Osaka-Fukuoka route.

Two new routes will begin in April - a twice-daily Osaka-Kagoshima service on 1 April and a twice-daily Osaka-Nagasaki service on 25 April - to be followed by the carrier's first international serivce which is scheduled to begin on 8 May from Osaka to Seoul's Incheon airport, the spokesman said.
It is planning to add three new routes within the next three months to Okinawa, Hong Kong and Taipei, he added.

Peach Aviation was set up in February 2011 with Y30 million in equity commitments from three investors: All Nippon Airlines owns 33.4%, Hong Kong First Investment Group holds a 33.3% stake and investment firm Innovation Network Corporation of Japan owns the remaining 33.3% stake. The airline operates a fleet of three Airbus A320s and has another seven on order.

Flight Global

Peru considers Super Tucano, KC-390 offers



Photo Credit: Embraer/Flight Global
The Brazilian and Peruvian governments have signed a wide-ranging defense agreement covering mutual assistance and the procurement of new materiel and services for the latter's armed forces.
Among the key items within the mid-February agreement are the planned purchase of Embraer EMB-314 Super Tucanos, modernization of Peru's EMB-312 Tucanos and the nation's participation in Embraer's KC-390 tactical transport programme.

Budgetary constraints have repeatedly thwarted Peruvian air force plans to acquire Super Tucanos to replace its remaining Cessna A-37B light strike aircraft. However, during Peruvian defence minister Alberto Otárola's recent visit to Brazil, it was disclosed that negotiations for the purchase of 10 EMB-314s had been initiated. An order is expected to value about $150 million.

Peru has also discussed its possible entry into the EMB-312 Tucano modernisation programme, jointly developed by the Brazilian air force and Embraer.Otárola said Lima intends to cycle 20 Tucanos through Embraer this year. Its air force took delivery of 30 EMB-312s from 1987, but subsequently sold six to Angola. Its active inventory includes 16 of the type, as recorded by Flightglobal's MiliCAS database.

Peru's interest in potentially acquiring an undisclosed number of KC-390s to support its army is conditional on its aerospace companies securing an industrial role in the programme.


Flght Global

March 1, 2012

Boeing 787 Dreamliner Kicks Off Fourth Leg of the Dream Tour in Toronto



TORONTO, March 1, 2012 /PRNewswire/ -- Boeing's (NYSE: BA) 787 Dreamliner touched down at Toronto Pearson International Airport today to kick off the fourth leg of the 787 Dream Tour – a worldwide tour featuring the Dreamliner. This leg of the tour includes eight cities across North America.

The Dream Tour airplane is in Toronto to celebrate Air Canada's 75th Anniversary. During the two-day stop, Air Canada executives, employees and other guests will have a chance to view the airplane, including the interior. The airplane will also be open to employees of local Boeing 787 partner Messier-Bugatti-Dowty. Those employees provide the Dreamliner's landing gear structure and electric brakes.

"Boeing is pleased to have the 787 Dreamliner participate in Air Canada's 75th Anniversary celebration," said John Wojick, vice president of Sales for North America, Boeing Commercial Airplanes. "Bringing the 787 to Toronto enables us to showcase the future of the Air Canada fleet. The 787's cutting-edge technologies will provide Air Canada the economic advantages and passenger comfort to succeed and grow for decades to come."

The airplane, ZA003, was originally used for flight testing but has been elegantly refurbished to showcase the capabilities and features of the 787 including an interior that highlights the many passenger-preferred amenities of the airplane. "The 787 is a key component of our fleet renewal strategy and Air Canada's future," said Ben Smith, Executive Vice President and Chief Commercial Officer of Air Canada. "We are excited at the prospect of hosting the 787 for our 75th Anniversary. Our employees and special guests will see first hand the technologies that distinguish the 787, both in terms of improved operating performance and greater passenger comfort."

Made from composite materials, the Boeing 787 Dreamliner is the first mid-size airplane capable of flying long-range routes and will allow airlines to open new, non-stop routes preferred by the traveling public. As a result of innovative technologies, the airplane offers unparalleled operating economics, fuel efficiency and passenger comfort. More than 800 787s are on order by more than 50 airlines, a testament to the airplane's unique capabilities.

Boeing Media

Boeing, Air Astana Announce Order for Four 767-300ERs and Three Dreamliners



Photo Credit: Boeing Images
SEATTLE, March 1, 2012 /PRNewswire/ -- Boeing (NYSE: BA) and Air Astana have announced an order for four 767-300ERs (Extended Range) and three 787-8s. The order is valued at $1.3 billion at current list prices, making this the largest single order for commercial airplanes in Kazakhstan's history.

"Our decision to order the Boeing airplanes is part of Air Astana's long-term growth strategy to expand and modernize our fleet with newer, more fuel-efficient airplanes to serve domestic, regional and international routes," said Peter Foster, president, Air Astana.  "In addition, we want to offer an enhanced travel experience for our customers which we shall be able to do on these airplanes."        

In addition to bringing big-jet ranges to mid-size airplanes, the 787 provides airlines with unmatched fuel efficiency using 20 percent less fuel than today's similarly sized airplanes. Passengers will also see improvements on the 787, from an interior environment with higher humidity to increased comfort and convenience.
The Boeing 767 family is a complete family of clean, quiet, fuel-efficient airplanes that provide maximum market versatility in the 200- to 300-seat market. Boeing has delivered more than 1,000 767s that are flown by over 120 operators around the world.

"We are extremely pleased that Air Astana has partnered with Boeing to participate in the region's growing air transport market," said Marty Bentrott, vice president of sales for Middle East, Russia and Central Asia, Boeing Commercial Airplanes. "Today, airlines are increasingly looking at lower operating costs and fuel efficiency without compromising on technological innovations and customer experience. We are confident that both the 767-300ER and the 787 Dreamliner will play an important role as Air Astana continues with its expansion plans."

Boeing Media

Air Force Cancels Embraer Light Attack Contract



The Air Force Tuesday cancelled its contract for a Light Air Support aircraft with Sierra Nevada Industries and Embraer, will reopen competitive bidding, and has announced an investigation into the way the previous bid was handled. The Air Force raised eyebrows in December when it kicked Hawker Beechcraft's AT6B out of the running for the $1 billion contract. That left only Sierra Nevada's assembled-in-Florida version of the Embraer Super Tucano in the competition and the contract was awarded a few days later. "While we pursue perfection, we sometimes fall short, and when we do we will take corrective action," Secretary of the Air Force Michael Donley said in a statement. Donley would not say why the contract was overturned, only that senior officials were not satisfied with the documentation supporting the award. Rep. Mike Pompeo, R-Kan., said a sudden reversal like this is rare and significant. "The Air Force does not do that lightly," Pompeo told The Washington Post. "This is highly unusual, which suggests that there is going to be a very broad re-look of the entire process."

Of course, Hawker Beech welcomed the news. The company took the government to court to challenge the procedural process of the bid and that case is still ongoing. Hawker Beech Corp. Chairman Bill Boisture has been vocal in his battle with the government over the bid and said Tuesday's decision was welcome news. "We commend the Air Force for this decision and we believe strongly it is the right thing for the Air Force, the taxpayers and the people of Hawker Beechcraft," he said in a statement. Embraer, meanwhile, seemed taken aback by the move. "Embraer remains committed to offer the best solution to the U.S. Air Force and will await further clarification on the subject to decide next steps, in consultation with its partner, [Sierra Nevada Corporation]," the company said in a brief statement. Sierra Nevada spokesman Taco Gilbert told the Post the decision was a "big disappointment."

Aviation Week

Aer Lingus Expects More A350 Delays



Aer Lingus expects further delays in the delivery of the Airbus A350, CEO Christoph Mueller tells Aviation Week, and plans to begin talks with the airframer about a new delivery schedule for the carrier’s nine A350-900s on firm order.

Airbus late last year delayed entry into service of the aircraft by up to six months, with the first A350-900 now expected in the first half of 2014. The shift was due to the late completion of major components. At the time, A350 program chief Didier Evrard said Airbus wants to limit the amount of traveled work in final assembly, trying to avoid the issues that Boeing has faced in the 787 program. Mueller says he expects delays beyond the ones announced by Airbus. The airline is due to receive its first A350-900 in 2015.

The airline is nonetheless progressing with fleet planning. Mueller says the A321NEO would be the “ideal aircraft” for Aer Lingus’s transatlantic routes, which currently are served by four A330-300s and three -200s. The A321NEO would have enough range for the Dublin-New York and Dublin-Boston routes, but it could not be used for the Chicago service. The airline has not yet ordered new narrow-bodies. It currently has a one A319, 34 A320s and three A321s.

Aer Lingus managed to reach a €49 million ($66 million) operating profit in 2011, a much better result than anticipated at the start of last year and a margin of 4.7%. The profit was only slightly below the 2010 earnings (€52 million). The carrier attributed the success mainly to a 4.8% improvement in average yield per passenger. Revenues increased by 6% to €1.3 billion.

Demand is particularly strong in the business travel market, and the airline finds its long-haul, business-class cabin is becoming “too small.” The airline therefore plans soon to make an announcement about increased long-haul premium capacity.

Mueller says Aer Lingus has increased its market share in Ireland by 8% since 2008 and now has a share of 43.9%. The carrier has focused on more frequencies in core markets and reduced exposure to charter-type low-frequency destinations. That also has helped with improving connectivity at its Dublin base.

The airline plans to continue operating outside the global alliances, saying they are “too expensive.” It would reconsider if the cost of joining and maintaining membership decreased. Mueller still expects Ireland to proceed with Aer Lingus’s privatization this year, although that schedule may shift to early 2013.

He says he has only read in the press about Etihad Airways supposedly being interested in investing in Aer Lingus, but he cautions that another airline shareholder would only make sense if the arrangement did not have any negative consequences for Aer Lingus’s bilateral relationships with other carriers. Mueller says he is not sure that is the case for Air Berlin. Etihad recently bought 29% of the German airline, which is due to join the Oneworld alliance in March.

Aviation Week

Hong Kong Airlines May Cancel A380 Over ETS


 
Hong Kong Airlines Ltd. has threatened to cancel an order for 10 Airbus A380s in the latest escalation of tension over the European Union’s decision to extend its emissions trading system (ETS) to aviation, the South China Morning Post reported. The Hong Kong-based carrier, which is backed by China’s fourth-largest carrier, Hainan Airlines Co. Ltd., said it is under pressure to cancel its order for 10 A380s with a list value of $3.8 billion, the Hong Kong newspaper said.

“We cannot do something which is against our country’s interests,” it quoted airline president Yang Jianhong as saying.A spokeswoman for Airbus said the Hong Kong Airlines orders “have been placed in the order book and they remain there”.Others officials declined to comment. “I cannot confirm this and I have no comment on this,” said Kenneth Thong, Hong Kong Airlines’ head of corporate governance and international affairs.

In Brussels, Isaac Valero-Ladron, EU spokesman for climate action, said the European Commission does not comment on “possible commercial decisions.” Plans to announce the high-profile A380 deal between Airbus and Hong Kong Airlines were called off at the Paris Airshow last June because of China’s anger over the ETS, industry sources said. But Hong Kong Airlines confirmed its A380 order some months later.

So far, China Southern Airlines is the only mainland Chinese airline to order the A380. Two of the five planes it ordered are already in service on the Beijing-Guangzhou route. In February, China banned its airlines from participating in the European Commission’s ETS unless they were given approval.
At a daily briefing on Thursday, Chinese Foreign Ministry spokesman Hong Lei repeated China’s opposition.

“The facts show that Europe’s actions are unpopular and will have no effect,” he said. “We hope that Europe can face squarely the international community’s concerns and devote themselves to solving the issue, not further complicating it.”


Airbus Military lands C-295 deal with Kazakhstan



Kazakhstan's air force is to receive up to eight C-295 medium transports under the terms of a new agreement signed with Airbus Military. The nation's state-owned Kazspets export agency has signed a contract for two aircraft to be delivered by April 2013, plus a separate memorandum of understanding covering a planned further six, Airbus Military said on 1 March. The production order also includes support services, spare parts and ground support equipment, according to the European manufacturer.

Photo Credit: Airbus Military/Flight Global
 The C-295 is already operated by users including the Spanish air force


"Separate firm contracts will be signed progressively over the next few years," said Airbus Military, with the company to also deliver technical training to enable Kazakh personnel to support the type independently in the future. The Kazakhstan air force's current airlift fleet includes a combined 10 Antonov An-12, An-24/26 and An-72 transports, as recorded by Flightglobal's MiliCAS database.


Flight Global

Boeing picks up awards for record-breaking 787 flight



Boeing has been presented with twin official records for the 787's December 2011 attempt to break the longest flight for an aircraft in its weight class and establishing an around-the-world speed record. The National Aeronautic Association (NAA) on 28 February presented Boeing with two certificates confirming its record flights.

ZA006, Boeing's sixth 787 flight test aircraft, fitted with General Electric GEnx-1B engines, departed Boeing Field, Seattle, US, on 6 December 2011 en route for Dhaka, Bangladesh, weighing 212t (467,375lb), including 103t of fuel, the volumetric shut-off limit for the aircraft.

Rod Skaar, assistant chief production pilot for Boeing Commercial Airplanes, called the flight "delightfully" boring, as was intended. "You don't want any excitement, you don't want any adventure, you don't want any drama," he said.


After flying 10,710nm (19,814km), ZA006 landed in Dhaka with 13.6t of fuel remaining. Boeing officially received credit from the NAA for 10,336nm flown. The distance record for the 200-250t weight class was held by an Airbus A330 that flew 9,127nm in 2002.

After 200 people toured the new twin-jet during a 1h 52min refueling stop on the ground in the Bangladeshi capital, the 787 departed Dhaka heading eastbound, having taken on 86t of fuel for the second leg of the journey.

The 787's lateral and vertical navigation modes (LNAV and VNAV) were used to fly the overwhelming majority of the record-breaking flights, said Mike Carriker, chief pilot for Boeing product development.
As NAA rules prohibit cutting a waypoint corner short, as the LNAV function is designed to do to optimize routing, the 787 was required to switch to heading select mode, overflying predetermined turn points in New York, Luxor, Egypt, and southern India before proceeding on course.

On its return leg to Seattle, the 787 landed with 9.08t of fuel remaining, even after accelerating the Dreamliner to Mach 0.88 for the final 6h of the flight. The global circumnavigation lasted 42h 26min.
Six pilots, on rotating 4h shifts throughout the flight, were among 13 people on board ZA006, including two NAA observers.


Flight Global

Moscow approves deal for 92 Su-34 bombers



Photo Credit: Military Photos.net
Russia's defense ministry signed a deal for 92 Sukhoi Su-34 "Fullback" strike aircraft on 1 March, marking the biggest deal for a single aircraft type for the nation's air force in more than 20 years. To cover deliveries until 2020, the deal was signed by defence minister Anatoly Serdyukov and Sukhoi general director Igor Ozar. The Su-34s will replace all the Su-24 bombers in service, Serdyukov said. A source quoted by Russia’s Interfax news agency put the value of the deal at around 100 billion roubles ($3 billion).

The defense ministry had previously said 70 Su-34s would be delivered by 2015. Six aircraft are in service at Russia's test and evaluation center at Lipetsk, with a further 10 due to be delivered this year. The Russian air force will eventually field a total of about 120 Su-34s in five squadrons of 24 aircraft each, its commander Col Gen Alexander Zelin said at last year's MAKS air show near Moscow.

Powered by two AL-31MF turbofan engines, the twin-seat Su-34 is designed to conduct precision strikes on heavily defended targets under all weather conditions, day or night. It is armed with a GSh-301 30mm cannon and a wide variety of air-to-air and air-to-surface missiles and bombs.

Noting that the Su-34 is entering service more than a decade behind original plans, Douglas Barrie, an air warfare analyst with the London-based International Institute for Strategic Studies, said: "The Su-34 will, with the appropriate avionic and weapons systems, provide the air force with a capable long-range strike platform, with considerably more punch than the Su-24."

The defense ministry has said the air force will procure more than 1,500 new aircraft by 2020. Moscow's Su-34 order was signed only two days after the Russian navy confirmed an order for 24 RAC MiG-29K/KUB carrier-based fighters.


Flight Global

F-22 redesign considered as oxygen system concerns linger



US Air Force leaders are considering a redesign of the Lockheed Martin F-22 but still have no answers for the oxygen system breakdowns responsible for another operational disruption. F-22s based in Alaska were grounded for one day in mid-February after three separate pilots reported hypoxia symptoms, the Air Combat Command confirmed to Flightglobal.

It was at least the third temporary stand-down for the F-22 since the USAF deactivated the entire fleet for four months until last September. But air force officials are no closer to identifying the cause of the string of incidents, including one fatal crash in November 2010 that was preceded by a failure of the pilot's oxygen supply. USAF officials hoped an expert panel led by retired Gen Gregory Martin might yield the answer. The team has now reported its findings, but found no "smoking gun", said Lt Gen Herbert Carlisle, deputy chief of staff for operations, plans and requirements.

The USAF is considering a broad range of options, including redesigning the F-22 to include a back-up oxygen supply, Carlisle said. This would automatically detect an oxygen system malfunction and activate, he added. The F-22 already is equipped with an emergency oxygen system, but it must be manually activated by the pilot after the onboard oxygen generation system (OBOGS) stops working.

Capt Jeff Haney was killed on 16 November 2010 when his F-22 crashed in Alaska. Haney inadvertently steered the aircraft into the ground while trying to reach a handle to activate his emergency oxygen system.
The OBOGS had already stopped functioning during the incident. An unexplained oxygen leak in the engine compartment prompted an automatic fire protection system to shut down the supply of bleed air to the OBOGS.

While Haney's supply of breathing air was cut off, other F-22 pilots have reported symptoms suggesting their air supply was not filtered properly.

 Flight Global

MAS writes down value of A330Fs, blames P2F programme



Malaysia Airlines (MAS) has been forced to write down the value of its Airbus A330-200 freighters, blaming the airframer's recent decision to launch a passenger-to-freighter conversion programme for the type. The carrier's MASkargo division will take delivery of the last of four new-build freighters this year, dating from a 2010 order. It also operates a pair of Boeing 747-400 Freighters.

However, in its full-year results for 2011, MAS booked an impairment charge of M$314 million ($104.8 million) against the value of the aircraft, citing losses in the cargo operation and the conversion programme which it said will "depress the value of new freighters". Revenue at MASkargo fell by 14% in 2011, leading to a pre-tax loss of M$19 million, compared with a M$141 million profit in 2010.

MAS also plans to significantly reduce the size of its fleet by 2014, taking it from the current figure of 91 aircraft down to 80. This will involve the return of some 58 older airframes to lessors, with the majority of these leaving MAS's fleet in 2012, it said.

Fleet reductions will focus on the "older uneconomical 18- to 19-year-old aircraft", it said. According to Flightglobal's Ascend Online database, the bulk of these are 737-400s, with it operating 33 of the narrowbodies built prior to 1995. Just three of its 36 737-400s were manufactured after this date. Depending on when the older types are phased out, it could leave the carrier with as few as 33 of its current fleet this year.

Total cost of the retirements will be M$1.03 billion, with a charge of M$602 million booked in 2011's accounts. A further write-down on the value of aircraft spares cost it an additional M$179 million.
Meanwhile in 2012 MAS will receive 23 new aircraft, it said. According to Ascend this includes two A330Fs, eight 737-800s, three ATR 72-500s, four A330-300s and five A380s, with one as-yet unknown, from a total backlog of 60 at the start of 2012.

By 2014 the average age of its fleet will have been cut to 7.7 years, it said.

Flight Global

Singapore's Changi airport to build new LCC terminal



Singapore Changi Airport's Budget Terminal will be torn down next year to make way for a new, bigger terminal that will be able to handle 16 million passengers annually. Construction of the new terminal, to be known as Terminal 4, will begin in 2013 and is expected to be operational by 2017, said operator Changi Airport Group (CAG).

Flightglobal Pro understands that the terminal will have two levels - one for departures and another for arrivals - and will likely be able to accommodate widebody aircraft. The current terminal is a one-storey building and has 10 aircraft parking stands for narrowbodies. "It will be designed to enable efficient passenger processing and [the] quick turnaround of aircraft, and will not have aerobridges," said CAG.

Terminal 4 will also be more upscale, hence the removal of the word budget from its name, and offer a wide range of medium to high-end retail and food outlets as well as amenities that will "better serve the needs of travellers". The Budget Terminal will shut down on 25 September, and low-cost carriers (LCCs) based there - Singapore's Tiger Airways, Malaysia's Berjaya Air and Firefly, and the Philippines' Cebu Pacific and Seair, will begin their operations at Terminal 2 on the same day.

CAG has been in talks with the airlines since late last year and said that they will be working with them to ensure a smooth transition. The Budget Terminal, which has a capacity of seven million, handled 4.6 million passengers last year. Once completed, the four terminals will have a capacity to handle 80 million passengers annually. Last year, Changi handled a total of 46.5 million passengers, an increase of 10.7% from a year earlier.

Singapore-based carriers such as Singapore Airlines, SilkAir, Tiger Airways, Jetstar Asia and new long haul low-cost carrier Scoot have ordered new aircraft and foreign carriers have also expressed their interest to grow their air links with Singapore, said CAG. "The new terminal will enable CAG to sustain the long-term growth of Changi Airport," it added.

Terminal 2, which has a capacity of 23 million passengers, had a throughput of 13 million last year. One reason CAG is demolishing the Budget Terminal now, is so as to do it while Terminal 2 still has room to accommodate the LCCs. Between 2005 and 2011, the market share of LCCs at Changi Airport rose from 5.6% of total passenger traffic to 25.6%.

The Budget Terminal, first built in 2006, underwent an expansion barely two years later to double its capacity. CAG is also splitting four of its aircraft bays at Terminal 2 to boost handling capacity.

Flight Global