Jetstar Pacific, the Vietnam-based low-cost carrier, is making its first foray into the international market with scheduled services from its Ho Chi Minh City hub to Bangkok and Siem Reap.
The airline, owned partly by the Qantas-owned budget airline Jetstar, will be competing with Thai airlines already operating on the route including Thai Airways International, Bangkok Airways and Thai AirAsia.
It will also run against Bangkok Airways on the Ho Chi Minh City-Siem Reap which is due to begin a daily service on the route on Oct 26, using Airbus A319 jet, according to industry sources.
The daily Ho Chi Minh-Bangkok service is set to begin on Oct 31 while the Ho Chi Min-Siem Reap flights, also daily, will start on Nov 3.
These services will initially be operated with a fleet of Boeing 737 jetliners before transitioning to a future fleet of new Airbus A320 aircraft.
Jetstar Pacific chief executive Luong Hoai Nam said the launch of Bangkok and Siem Reap services was consistent with the airline's regional expansion, bringing and easier access to international destinations to and from the socialist-ruled country.
The airline also aims to take a price leadership position international markets from Vietnam, by offering the lowest fares on the international markets.
The one-way Bangkok-Ho Chi Minh fare starts from 600 baht, and from $40 between Ho Chi Minh and Siem Reap, excluding surcharges, fees and taxes.
The airline was established in 1991, started operations in April 1991 and has undergone a number of corporate restructurings since then.
As result of the July 2007 ownership change, Jetstar Pacific Airlines Joint Stock Aviation Company (formerly Pacific Airlines Joint Stock Aviation Company) is owned by State Capital Investment Corporation (SCIC) of Vietnam, Vietnamese businessman Luong Hoai Nam and Qantas of Australia.
Qantas has an 18% share and will increase its share gradually up to 30% in 2010. Qantas owns 100% of Jetstar Airways in Australia and 42.5% of Jetstar Asia Airways in Singapore.
The airline operates five Boeing 737-400s and will lease up to 30 Airbus A320 by 2014 to support its expanding domestic and regional services.
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