Tiger Airways to Set Up Second Australian Base at Sydney Airport in July

Tiger Airways Holdings Ltd. (TGR), the budget carrier backed by Singapore Airlines Ltd. (SIA), will establish a second Australian base in Sydney from July.

Three Airbus SAS A320 aircraft will be based in Sydney, creating more than 150 jobs and providing as many as 10 additional daily return services through the airport, Tiger Airways Australia said in an e-mailed statement today.

“Three aircraft operating from our second Australian base will provide up to 3,600 extra seats a day through Sydney Airport (SYD),” Andrew David, head of the Australia unit, said in the statement.

Tiger Australia is rebuilding services as it works to reassure regulators following safety violations that caused a six-week suspension of flights last year. The curtailment of Australian services has prompted Singapore-based Tiger Air to forecast a “significant net loss” in the year ending March.

The airline is allowed to operate a maximum of 64 services a day from October, up from 38 currently, after gaining approval from Australia’s Civil Aviation Safety Authority, it said yesterday.

The Australia unit won permission to resume flights in August, after agreeing to steps including improvements to pilot training, crew scheduling and fatigue management. The carrier was initially limited to 18 flights a day.

Tiger Australia was grounded after one of its planes came into land too low in Melbourne on July 1. The airline was already under a safety review. The order didn’t affect the carrier’s main unit in Singapore.

To contact the reporter on this story: Elisabeth Behrmann in Sydney at ebehrmann1@bloomberg.net

To contact the editor responsible for this story: Neil Denslow at ndenslow@bloomberg.net

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