Singapore Airlines Cargo Unit -2: Other Network Changes
SINGAPORE (Dow Jones)--Singapore Airlines (Singapore: SIAL.SI - news) Ltd. (P.SAL) Tuesday said its unit SIA Cargo will impose a surcharge of 10 U.S. cents a kilogram for shipments of more than 45 kilograms to defray increased security costs and higher insurance premiums.
SIA Cargo will start implementing the change from Oct. 8, as a result of the Sept. 11 terrorist attacks in the U.S., SIA said in statement.
The terrorist attacks have also prompted SIA Cargo to adopt a number of other changes to its network, the airline said.
From Oct. 28, SIA Cargo will reroute an existing freighter service to Los Angeles via Seoul, instead of Macau, it said.
In addition, SIA Cargo will suspend a weekly freighter service to Melbourne and Perth from Oct. 9, while frequency to Sydney has been reduced to twice weekly since early September.
SIA said its cargo unit also will suspend a weekly freighter service to Penang, Malaysia from Oct. 5.
(MORE) Dow Jones Newswires 02-10-01
Other Network Changes
In the wake of the Sept. 11 terrorist attacks and possible military reprisals by the U.S. against Afghanistan, global aviation insurers recently canceled their war-risk insurance coverage to airlines and airports worldwide.
The insurers notified airlines and airports that their existing war-insurance policies would be canceled, and they would have to take out new policies with more limited coverage and higher premiums than the existing contracts.
In the same statement, SIA said some adjustments to its global network of cargo services are part of its long-term strategic planning.
From Oct. 30, SIA Cargo will operate a twice-weekly service from Singapore to Dallas-Fort Worth via Hong Kong.
A twice-weekly freighter service will commence Nov. 1 from Singapore via India to Munich and New York, SIA said.
SIA Cargo will become the only international cargo carrier to operate a regular freighter service to Munich, the airline said.
-By Shen Hong, Dow Jones Newswires; 65-4154-156; firstname.lastname@example.org