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S. Korea's new budget airline preparing for takeoff

yonhapnews.co.kr

Yeongnam Air, South Korea's new low-cost, regional airline, is buying new aircraft and hiring employees in preparation for its 2007 takeoff, industry sources said Tuesday.

The company, based in the port city of Busan and formed in early 2006, said it has signed a deal with Fokker of the Netherlands to buy F-100 jets for its fleet. Once service begins, the company will increase the number of commercial airlines operating in the country to five.

It said five of its twin-engine Fokker planes, capable of seating 109 people, will be operational by the first half of next year. This is the first time for a local budget airline to use jets for its flights.

Hansung Airlines and Jeju Air operate turbo-prop planes. Hansung has two French-built ATR-72s, while Jeju flies five Canadian-made Q-400s.

Yeongnam said it has hired mechanics from Korean Air, South Korea's largest commercial airline, and has signed a separate contract with another firm to keep its aircraft in top condition.

Budget airlines have received criticism for minor accidents that have eroded consumer confidence.

In addition to buying its fleet, the company said it plans to hire 150 employees in the coming months to carry out operations in the air and on the ground.

"A regional airline is needed for the Gyeongsang region because most air traffic in the country is centered in Seoul and Incheon, causing inconvenience for those living in the provinces," a spokesman for the company said.

The company, like other low-cost airlines, may strive for international routes, but government policymakers said strict safety measures and operational expertise are prerequisites to such a move. At present, only Korean Air and Asiana are allowed international flights.

 Printable Version  | published May 22, 2007