By Gaurav Raghuvanshi
SINGAPORE--Singapore Airlines Ltd. (C6L.SG) Friday said it plans
to spend 18.6 billion Singapore dollars (US$14.3 billion) over the
next five years, primarily to buy new planes.
The Singapore flag carrier will spend S$2.95 billion in its next
fiscal year starting April 1, according to information provided by
the company to Singapore Exchange.
The airline will take delivery of two Airbus Group N.V. (EADSY)
A330 jets and three Boeing Co. (BA) B777-300ER planes through March
next year. However, its operating fleet will stay unchanged at 105
jets as it will also retire four B777-200s and one A330-300
jet.
Its budget long-haul unit Scoot Pte. will take delivery of two
Boeing 787-9 Dreamliner jets and retire two 777-200s, also keeping
its fleet constant at six. Regional full service unit SilkAir will
get three 737-800s and take out two Airbus jets from its fleet,
which will grow to 27 aircraft by March 31, it said.
Singapore Airlines said it has hedged 65.3% of the jet fuel it
needs between October and March at an average price of US$116 a
barrel. Singapore Airlines said on Thursday that its fuel bill,
which accounts for 38% of total costs, eased a bit to S$1.43
billion in the July-to-September quarter from S$1.47 billion in the
same quarter last year, due a decline in global crude oil
prices.
Write to Gaurav Raghuvanshi at gaurav.raghuvanshi@wsj.com
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