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Kulula challenges other airlines

Feb 11 2010 15:22

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Comair Limited [JSE:COM]

Last traded 4
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Last Updated: 01-09-2015 at 09:53. Prices are delayed by 15 minutes. Source: McGregor BFA

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1time, Kulula dispute hots up


Johannesburg - Airline - Comair's [JSE:COM] low cost subsidiary - has challenged all South African airlines to lower their airfares during the Fifa World Cup.

"The World Cup should not be seen as a 'get rich quick' scheme," it said in a statement on Thursday.

This followed last month's announcement by the Competition Commission that it was investigating collusion among South African airlines on World Cup prices and pricing strategies.

"Since the World Cup draw, at the beginning of December 2009, has consistently offered the lowest airfares during the tournament.

"An additional 28 000 seats, mostly on its new Boeing 737-800 aircraft, have already been added to cater for World Cup fans."

The airline said it had also undertaken to provide an additional 15 000 seats if demand for World Cup seats grew.

"It's our policy to rather add more flights than to rely on pushing prices up.

"If you compare the prices of domestic flights during the tournament, our prices are the lowest, finished and klaar."

It challenged all airlines in the country to reduce their prices.

"Many of the additional seats have been added, to and from Lanseria [airport], which has proved to be a popular choice for World Cup travellers for its ease of use and low cost flights.

"Flights from that airport during June 2010 are still being sold from as little as R419." said that even though there had been "a lot of whinging and misinformation" from one of its competitors about its fares out of Lanseria, this competitor's fares from OR Tambo International Airport were higher than those from Lanseria.

"Over the World Cup period they are three times higher," alleged.

It was announced earlier this week that 1time airline would take its complaint against rival Comair to the Competition Tribunal.

Comair and Lanseria airport have an agreement that flights have exclusive use of the airport for flights to Durban and Cape Town.

The agreement is due to expire only next year.

- Sapa


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