KEY POINTS:
Singapore Airlines' new manager in New Zealand, Looi Tein-Po, is facing a tough challenge. Like other airlines, Singapore faces soaring fuel costs and global economic contraction.
The 44-year-old started six months ago at the end of a year boosted by heavy outbound travel to the America's Cup and Rugby World Cup.
The airline will move into trickier territory later this year.
"It's a bit more challenging but in the short term we're still seeing good demand," he said.
The airline flies twice a day out of Auckland and five times a week out of Christchurch which Looi said could be upgraded to daily services next summer if demand warrants.
Singapore Airlines is the world's second-biggest airline by market value and at the release of its full-year results this month warned of tougher times ahead, despite a 62 per cent surge in 2007-08 group operating profit.
The overall group's operating profit rose S$810 million ($767 million) to S$2.12 billion, although net profit fell 3.7 per cent to just over $S2 billion when abnormals totalling S$668 million were taken into account.
Attributing its results to a strong business environment, the airline warned that the current turmoil in global financial markets had clouded the outlook for discretionary business travel.
"The combination of a global economic slowdown and record high fuel prices will make this a more challenging year for airlines," it said.
Looi, who has 60 staff in New Zealand, agrees.
"Fuel prices are a continuing concern."
The Singapore Airlines solution has been a concerted push to modernise its fleet of 100 aircraft to an average age at March of 6 years and 5 months.
Figures published late last year showed the worldwide average for wide body jets was 10.7 years.
Singapore Airlines was last year the launch customer for the Airbus A380 superjumbo. The airline now has four of the aircraft which fly from Singapore to London, Sydney and from last week, Tokyo.
On Friday the airline said it will add another London service when it gets a fifth A380, scheduled for June.
Looi said flights timed to connect with the A380 were popular with New Zealanders.
From May 5 the airline has been using Boeing 777-300ER aircraft out of Auckland. The stretched 777 is replacing 747-400s which are now being retired.
Looi studied civil engineering at university and started with the airline 20 years ago, working in fleet planning, fuel purchasing, cabin crew and service development, inflight sales and then sales and marketing.
Two years ago he was appointed Singapore manager of Abacus Travel Systems which provides a one-stop service for all travel-related information and services, including airline, hotel, car rental, cruise and insurance.
The opportunity to get back into the airline and head the New Zealand operation was something Looi jumped at. He visited New Zealand as a tourist 18 years ago and was reminded regularly of this country through New Zealand's 100% Pure campaign in Singapore.
