New chief announced at HK Express as Cathay Pacific completes acquisition
Cathay Pacific completed the acquisition of low-cost carrier HK Express and has wasted no time in making key changes.
It has started laying off workers and appointed a new airline chief.
Pre-takeover HK Express president Louis Li has left the company and Ronald Lam has been named as HK Express CEO.
Lam was Cathay Pacific director of commercial and cargo.
A number of other HK Express managers have reportedly been laid off.
"Our focus is now on transitioning smoothly and ensuring that we continue to offer more choices to our customers," a Cathay spokesman said.
In time, HK Express’ Reward-U loyalty programme is expected to be integrated into Cathay Pacific’s Asia Miles.
Likewise, the U-Fly Holidays travel brand, which offers travel packages to HK Express destinations, will likely become part of Cathay Pacific Holidays.
However, HK Express will remain a distinct low cost brand and offers the Cathay customer base more choice, said Cathay CEO Rupert Hogg.
"HK Express will continue to operate as a stand-alone airline using the low-cost carrier business model. I would also like to reassure HK Express customers that there is no change to the airline’s operating model and that business will continue as usual."
"Our respective businesses and business models are largely complementary. HK Express captures a unique market segment that, together with the extensive network offered by the Cathay Pacific Group, could multiply connection opportunities," Hogg said.
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Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
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