Passengers booking nonstop business class flights from Singapore to New York’s Newark International Airport and Los Angeles International Airport would no longer be able to do so after 2013.
Singapore Airlines, which operates the world’s longest commercial flights, recently announced it has decided to stop its all-business class nonstop services from Singapore to New York and Los Angeles by the end of this year.
The airline in a statement said that it has been running into losses as it was unable to sell the business class seats in order to make flight operations financially viable. The airline has now indicated that it would be selling its five Airbus A340 aircrafts back to the manufacturer.
Goh Choon Phong, Chief Executive of Singapore Airlines, stated that the airline is planning to increase its capital expenditure for the next five years by 67 percent for buying new aircrafts and upgrade its cabins.
Phong said that there is a dire need to venture out of comfort zone, find new ways to boost sales and marketing, curtail expenditure, and vastly improve both operational efficiency and productivity.