Singapore Airlines (SIA) and Malaysia Airlines (MAB) signed (30-Oct-2019) a wide-ranging commercial agreement, proposing to share revenue on flights between Singapore and Malaysia, expand codeshare routes, and participate in joint marketing activities to develop tourism. The agreement is subject to regulatory approvals from the relevant competition authorities and includes SIA’s subsidiaries SilkAir and Scoot, as well as Firefly. It intends to include the following:
- Flights between Singapore and Malaysia will operate under a joint business arrangement, MAB and SIA will coordinate flight schedules;
- The carriers will offer joint fare products, align corporate programmes to expand the value proposition to customers, and explore tie ups between their frequent flyer programmes;
- They will also expand codeshare arrangements to include more destinations on each other’s networks. The parties currently codeshare on flights between Singapore and Kuala Lumpur, Kota Kinabalu, Kuching and Penang;
- SIA and SilkAir plan to codeshare on MAB’s domestic flights, serving a total of 16 destinations in Malaysia;
- MAB will codeshare on flights between Singapore and Malaysia, Europe, South Africa and other destinations once necessary approvals are granted. This will be implemented in phases;
- MAB and SIA will collaborate on joint marketing activities to boost long haul tourism to Malaysia and Singapore. The parties will also explore the potential development of airpasses, which will enable customers travelling to Malaysia through the Kuala Lumpur and Singapore hubs more choices to visit other parts of the country, including Kuantan, Kuching and Kota Kinabalu on a single ticket.
The carriers signed an MoU in Jun-2019.