HKG | Hong Kong International Airport

[hkskyline]

Hong Kong Express Airways Celebrate New Route Launch
Corporate Press Release

Hong Kong, July 31 2006… Hong Kong Express Airways today celebrated the launch of its newest scheduled service - between Hong Kong and Chongqing in Central southwestern China. Using its fourth 76-seat Embraer 170 passenger aircraft, the Hong Kong-based airline will operate three flights per week between the two business hubs - every Monday, Wednesday and Saturday.

“Strengthening links between Hong Kong and corresponding centres for trade and industry on the Mainland is at the very core of Hong Kong Express,” said Hong Kong Express Airways General Manager Sales, Simon Sin. “Today’s launch is one that we are accordingly very proud of and one that reflects our commitment to provide travellers with more choices to fly to more dynamic destinations around the region.”

Fast approaching its first anniversary, Hong Kong Express Airways has to date been keenly focused on establishing a key route network between its home in Hong Kong and Mainland China whilst simultaneously exploring routes throughout wider Asia. Chongqing is the airline’s fifth scheduled service in a fast growing network that currently comprises Hangzhou, Ningbo, Nanjing, and the hot Thai leisure destination Chiang Mai, launched just last month. In addition to its scheduled services, the airline also operates daily charter services to Taichung in Taiwan in conjunction with Mandarin Airlines and similarly to Laoag in the Philippines.

Situated on the upper reaches of the Yangtze River close to the recently completed three gorges dam, Chongqing is a dynamic economic hub. Home to nearly 32 million people, the city is not only China’s largest but quite possibly the world’s largest city.

[hkskyline]

Engine problems force Dragonair jet back to HK
3 August 2006
South China Morning Post

A Dragonair cargo flight with four crew on board made an emergency landing at Chek Lap Kok yesterday afternoon after both its engines developed technical problems.

Flight KA590, bound for Pudong Shanghai Airport, took off at 12.02pm, but an hour and 20 minutes later reported a problem with its two engines to air traffic controllers in Hong Kong.

The Airbus A300B4 landed safely just after 2pm. No-one was injured in the incident.

The Airport Authority issued a full emergency landing alert, with fire crews and ambulances on standby at the runway.

Dragonair said: "Prior to landing, a fault was noted in one of the aircraft's three hydraulic systems.

"The aircraft landed safely without incident and taxied to the parking bay as normal."

A Dragonair spokeswoman said that the plane's technical problems had "affected the thrust of the engines".

She added that the airline hoped to get more information about the problems from Express.Net, the US-based company which owns the aircraft.

Dragonair, which makes six weekly cargo flights to Shanghai, wet-leases the aircraft, meaning the aircraft, crew, maintenance and insurance is supplied by Express.net and the plane flies under Dragonair's call sign.

Express.Net could not be contacted for comment yesterday.

It is the second incident involving an Express.Net A300B4 Airbus in three months. Canadian media reported that on May 1, a wingflap detached from a plane coming in to land at Pearson Airport in Toronto and smashed into a parked car in a residential area.

Dragonair, the Airport Authority and the Civil Aviation Authority (CAD) are carrying out investigations into yesterday's incident.

Investigators are also looking into an incident on Saturday when two planes bound for Tokyo flew within 300 feet of each other while ascending after takeoff from Hong Kong airport. The safety standard distance is 1,000 feet.

A CAD spokesman said the Dragonair and Northwest Airlines flights, which took off shortly before 9am, two minutes apart, came within 300 vertical feet of each other 20 minutes after takeoff when the Northwest pilot turned left to avoid bad weather.

"An investigation is under way to see if it is control fault or pilot fault," the CAD spokesman said.

[hkskyline]

10,000 hit in airport chaos
Caroline Kim
Hong Kong Standard
Friday, August 04, 2006

The airport was thrown into chaos Thursday as a strengthening Typhoon Prapiroon passed west of the territory.

By 9pm, the travel plans of more than 3,000 passengers were in disarray, with 111 flights delayed, 249 canceled and 74 redirected to other airports, the Airport Authority said. By midnight, the number of passengers stranded at the airport hit more than 10,000.

Customer service representatives were bombarded with questions from irate passengers and waiting rooms filled up by the hour.

"I hope to never be in this situation again," said a 28-year-old woman whose flight to Taipei had been canceled three hours earlier.

Worst hit was Cathay Pacific, which reported only 12 arrivals and 19 departures during the day. With no letup in the weather, Cathay canceled all flights in and out until 9am today.

Dragonair canceled 63 flights.

Cathay provided transport allowances of HK$500 to Hong Kong passengers and hotel rooms for those from overseas. Those on standby received food, drinks and blankets.

The backlog of flights was expected to be cleared today, Airport Authority airfield general manager Ng Chi-kee said.

But he said travelers should still contact their airlines before leaving home for updates on flight schedules.

The typhoon strengthened steadily as it crossed the South China Sea over the past few days. Although it remained classified only as a No 3 storm by the Observatory - meaning sustained winds of between 41 and 62 kilometers per hour were expected in Victoria Harbour - since 4:25pm Wednesday, Prapiroon caused damage and disruption typical of much more severe storms, raising questions of whether Hong Kong's 122-year-old system of tropical cyclone warning signals were still valid.

According to Observatory senior scientific officer Sandy Song, typhoon signals are determined by mean wind speeds. As wind speeds fell within 41 to 62kmh in the city, officials at the Observatory felt there was no need to raise the No8 signal - unlike Macau, which uses the same warning system.

But there were many complaints from residents on outlying islands, including Lantau and Wat Long where gales and squalls were much stronger.

The airport weather station recorded a gust of 111kmh at 4:50pm Thursday, which in the city would have necessitated a No8 signal. Gusts of 211kmh, recorded in Ngong Ping at 4:20pm, would have resulted in a signal No9 or 10 being raised had they occurred in the city.

Fong Chi-Kwong, webmaster for the popular Weather Underground of Hong Kong site, said warnings based on wind speeds in the harbor were more appropriate in years past when that part of the city was the center of activity.

"But now that much of that activity has moved to outlying areas, it might be time to reconsider how typhoon signals are determined," Fong said.

The population of outlying areas has risen over the years, with many residents commuting by ferry. Some complained that when they saw that only the signal No 3 was hoisted, they left home unprepared for the severity of the weather.

One Mui Wo resident, surnamed Tse, said that because the Observatory said Wednesday night that only the No 3 signal would be raised, she did not carry out her usual typhoon precautions around her house. Tse said trees around her house were uprooted and that there was other damage that could have been avoided if the No 8 had been issued.

In response to the complaints, the Observatory will devise a better system that will improve methods of determining typhoon signals.

"The trouble lies in the difference of wind distribution throughout Hong Kong," Song said.

At 1am today, Prapiroon was expected to head west-northwest about 14kmh across western Guangdong.

Prapiroon brought down more than 500 trees Thursday alone.

One car overturned when the driver apparently tried to avoid a tree that had fallen onto the Fan Ling Highway at Tai Po at 2:30pm. The driver was not seriously injured.

In another incident, four people, including a bus driver waiting in traffic, were admitted to Queen Mary Hospital after they were stung by bees after a tree was blown down on Mount Davis Road.

Ferries and train schedules were hit. One passenger aboard the 1:30pm slow ferry from Mui Wo to Central said it was the roughest crossing he had experienced in the more than 10 years he had lived on Lantau.

"Waves were crashing across the bow while the ferry was still in Silvermine Bay," he said. "The sea was turning to foam because of the driving wind and there was what looked like a small tornado on the water near Hei Ling Chau."

The Observatory said lingering rainbands will continue to affect the territory over the weekend.

Prapiroon slammed into the mainland late Thursday, forcing the evacuation of hundreds of thousands of people.

It made landfall near Yangjiang, 190 kilometers west of Hong Kong. Mainland meteorological officials said up to 180 millimeters of rain was expected to fall over the next few days.

More than 406,000 people have been moved to safety in Hainan, Guangdong and the Guangxi Zhuang Autonomous Region, Xinhua reported.

[hkskyline]

Thousands remain stranded at Hong Kong airport after Typhoon Prapiroon

HONG KONG, Aug 4, 2006 (AFP) - Thousands of exhausted and angry passengers remained stranded at Hong Kong airport Friday despite Typhoon Prapiroon moving away from the southern Chinese territory.

While the storm continues to weaken after making landfall in southern China, killing at least six people there, the Hong Kong international airport was still in chaos.

By late afternoon, thousands of passengers remained stranded in what an airline executive said was the worst disruption since the airport opened in 1998.

By 4.00 pm (0800 GMT) on Friday, Hong Kong Airport Authority said 322 flights had either taken off or landed at the city. Some 261 flights have been delayed with 51 being cancelled.

On Thursday, about 70 percent of the more than 800 flights scheduled were cancelled, delayed or diverted due to the storm.

A spokeswoman for the authority said more flights could be delayed or cancelled Friday as most were heavily booked during this peak travel season.

She warned travellers to check before going to the airport.

On Thursday, Hong Kong flag carrier Cathay Pacific sent local residents home with an offer of 500 Hong Kong dollars (64 US) each but international travellers were forced to scramble for scarce hotel rooms at the airport.

According to government figures, winds from the storm uprooted or damaged more than 2,000 trees while 20 cargo containers were tipped over at the city's massive shipping terminal.

Some beaches remained closed on Friday although most ferry services had resumed.

[hkskyline]

Hong Kong airport returns to normal

HONG KONG, Aug. 5 (Xinhua) -- The Hong Kong International Airport set a record on Friday of transporting 160,000 passengers in a single day, according to statistics released by the airport authority here Saturday.

Operations at the airport have fully recovered since Saturday morning, said the Airport Authority Hong Kong (AA). It added that by 17:00 (0900 GMT)on Saturday, 592 flights have left or arrived at Hong Kong.

According to the statistics from the authority, 811 flights arrived at or departed from Hong Kong on Friday, carrying 160,000 passengers, which set a record of passengers carried within a single day.

Howard Eng, Airport Management Director of the authority, said the authority's 55,000-plus staffs worked day and night to restore orders and ensure public security in the airport.

Hong Kong-based carrier, Cathay Pacific Airways announced Saturday that its flight operations are returning to normal, with the majority of the airline's 1,000 passengers still at the Hong Kong International Airport Saturday morning being given seats on replacement flights. The airline is still working very hard to accommodate the 100 passengers still waiting for seats.

Dragonair Airways said that 13 flights have been canceled while more than 1,900 stranded passengers have rebooked or rerouted.

Typhoon Prapiroon on Thursday night made its landfall into west parts of southern China's Guangdong Province, some 300 km west of Hong Kong, pounding powerful winds and downpour and disrupting air and sea traffics in Hong Kong. More than 100,000 passengers were stranded at the airport.

[hkskyline]

Airlines add extra flights after typhoon disruptions
Bloomberg
5 August 2006

Cathay Pacific and Dragonair, the city's biggest carriers, added extra flights Friday after a typhoon disrupted 70 percent of the scheduled flights through Hong Kong the day before and stranded thousands of passengers overnight. Cathay added three flights to Bangkok and two to Taipei, while Dragonair added 14, the airlines said in separate statements. Still, 190 flights at Hong Kong International Airport were delayed or canceled as of 1 p.m. Friday, the Airport Authority said.

More than 2,000 passengers had to spend the night at the airport even after the airline found 650 hotel rooms for international travelers, Cathay said. Hong Kong residents were given money for local transportation.

[hkskyline]

Criticism mounts as air chaos drags on
Where's the co-ordination, ex-aviation chief asks, with 40,000 waiting for flights
5 August 2006
South China Morning Post

The Airport Authority and airlines were accused of failure to co-ordinate yesterday as airport chaos in the wake of Typhoon Prapiroon dragged on through a second day.

With an estimated 40,000 passengers still waiting to be cleared last night, tempers flared as people stood in queues for more than five hours trying to get information.

The airport, which recorded wind speed of nearly 100km/h for the 10 minutes ending 4pm on Thursday and received 28 reports of wind shear from pilots, was the worst affected part of the city as it was buffeted by strong winds under the typhoon signal No 3.

Responding to criticism that a No 8 signal should have been issued on Thursday, Observatory chief Lam Chiu-ying said his staff had judged conditions according to scientific data collected. But he hinted the alert system might be revised.

The airport terminal was carpeted with people yesterday, and shouts filled the air as exhausted and exasperated passengers swamped airline counters, scrambling for the latest flight status.

Peter Lok Kung-nam, former director-general of civil aviation, said the airport authority and airlines appeared to have no crisis management. "There seemed to be no co-ordination. They did not seem to be interested in solving the problems, only kicking the bucket down the street," he said.

Passengers complained they could not get accurate or updated flight information from the display boards or airline staff, whom they described as disorganised.

The Airport Authority said it was not to blame as it had to wait for information from the airlines. "If they have not finalised their schedules, we can't update the information on our screens," a spokeswoman said.

Some passengers said they had waited for five hours in queues before their inquiries were heard; others complained that even when they were issued a boarding pass, no gate number was printed on it.

Tempers occasionally became so heated that police had to be called in to help maintain order, and the Airport Authority sent clowns to keep passengers entertained.

By 10pm, 78 of yesterday's flights had been cancelled and 567 delayed. The authority warned congestion could run into this morning.

Democratic Party legislator Andrew Cheng Kar-foo also urged the authority and airlines to brush up their crisis management skills. "Everything seemed to be out of control at Chek Lap Kok. That is not what the Hong Kong people expect to see at our world-class airport."

The authority's general manager (airfield), Ng Chi-kee, admitted the typhoon had posed "a challenge" to management, which had done its best.

At the counters of the worst-hit airline, Cathay Pacific Airways, the crowds kept swelling all day. But air movements appeared to start returning to normal last night. By 10pm, 687 flights had been cleared.

"The arrangement has been unprofessional," said Yau Ee-nah, a frustrated Cathay passenger from Malaysia, who queued for hours in hope of rebooking a flight to Kuala Lumpur. "Nobody seems to know anything. Hotlines were never answered. I was just told to queue."

Businesswoman Sherry Kwok, whose plane was diverted to Taipei on Thursday after an aborted landing, finally arrived in Hong Kong yesterday. "I cannot remember any stronger wind," she said. "The plane was descending but it was hit by strong winds. It was like riding a rollercoaster. I thought I would die."

[hkskyline]

Hong Kong airport warns of long delays as new rules apply
12 August 2006
South China Morning Post

US-bound passengers have been warned they will not be able to carry last-minute purchases of duty free alcohol and cigarettes onto planes, as part of tough new restrictions on hand luggage.

The Hong Kong Airport Authority has also pleaded with passengers to heed the new security arrangements for cabin luggage to ease delays at the airport, and to turn up at least three hours before flying, rather than two.

Terminal manager Eric Wong said despite extensive publicity, many passengers were still trying to carry banned products such as oils and gels onto US and UK-bound flights.

Beverages, shampoo, sunscreen, facial lotions and toothpaste are banned in hand luggage.

Passengers are allowed baby milk or juice if a baby or small child is travelling with them, as well as essential medicines.

"We urge people to pack these items to avoid causing delays at the airport," Mr Wong said in front of a collection of banned items at Chek Lap Kok airport yesterday.

There were delays of between 20 minutes and an hour for flights to the US yesterday, as security imposed the tough new hand-baggage regulations, he said.

While most flight schedules returned to normal in Hong Kong, extra sniffer dogs and bomb disposal and detection teams were called in at airports regionwide.

In Pakistan, where at least seven people, including two British nationals, were arrested in connection with the London plot, extra armed police stood guard at major airports in Karachi, Islamabad and Lahore. "Passengers were not allowed to carry hand luggage in all the foreign flights," said a security official at Karachi's Jinnah International Airport.

At some airports, electric and electronic equipment, including mobile phones and cameras, had to be checked in on certain routes.

British police believe the alleged plot uncovered on Thursday involved smuggling liquid explosives and electronic devices that could contain a detonator onto planes for assembly on board.

The plot bore striking similarities to a 1995 scheme hatched in the Philippines in which up to 12 US-bound aircraft from Asia were to have been blown up over the Pacific Ocean using liquid explosives.

The main airport in Manila was on high alert yesterday with passengers required to undergo an extra round of security checks before boarding all flights.

Manila airport security chief Angel Atotubo said given the "renewed global threat of terrorist attacks, particularly in airport terminals", the facility was under a heightened security alert.

[hkskyline]

Few careers push ordinary people to the limits the way fire fighting does
12 August 2006
South China Morning Post

WHEN SENIOR FIREMAN Cheung Chi-ming first crawled into the burning China Airlines plane that had skidded off the runway at the Hong Kong International Airport one summer evening in 1999, the harrowing scene he came across was the stuff of movies - and the trappings of nightmares.

Screaming passengers were dangling by their seat belts from the ceiling of the plane that had flipped over. Others were stuck under mountains of debris as jet fuel rained down on the cabin in stifling 50-degree heat. The veteran fireman, who had close to three decades of experience, had never experienced anything like it before.

Heavy rain and gusting winds brought on by Typhoon Sam had knocked the plane sideways on landing, snapping off its wing and rolling it over on to its back before the rear erupted into a fireball.

"We were working against the clock to get everyone out of there as quickly as possible for fear the plane could explode," said Mr Cheung, who was one of the first firemen to arrive on the scene.

"It eventually took us about half an hour to get everyone out. I had to release people stuck up in the ceiling, rescue women trapped under debris, and escort people out the wreckage."

In recognition of his role in the rescue operation, then chief executive Tung Chee-hwa awarded Mr Cheung with a medal for his bravery.

Few careers push ordinary people to the limits of human endurance in quite the same way as fire fighting, where bravery and courage are almost mandatory requirements of the job rather than rare personal qualities.

But at times it can be easy to forget that firemen are people, too.

"I would be lying if I said I never felt scared. But it is only after I have left the site and had time to reflect back on what happened that the fear finally hits home," Mr Cheung said.

"Obviously, after 28 years of experience, I have seen more and had more training, so I am much more confident about my work, calmer and better able to control my emotions than when I first started. But there can still be fear."

Mr Cheung said the dangers of fire fighting had petrified him on his first day on the job.

His first job was to tackle a fire that had broken out at a cluster of hillside wooden houses in Choi Hung - a common occurrence in Hong Kong during the 1970s and 1980s.

"I just followed my supervisor's instructions, opened the roadside fire extinguisher, aimed the spray hose at the fire and mounted a ladder to try and put the fire out from above, even though I couldn't see very much beyond the smoke.

"It was very nerve-racking," he said. "I was afraid there would be an explosion at the site or [I would fall] into the inferno."

That first day stuck with Mr Cheung, not only because it marked his initiation into the profession but also because of what he had learnt from his colleagues.

"I will never forget the first thing my supervisor taught me. He said no matter how deep you venture into the site, you always need to know the exit route," Mr Cheung said, adding that this was important so that firemen could find their way out of a site before their air tanks, which only last for 45 minutes, ran out.

"We typically work in groups of two, so my partner and I would be expected to find the way out together. If the supervisors don't see us emerging after 45 minutes, they will send people in to look for us."

While pressures in life are inevitable, stress for firemen is more acute. They are responsible for rescuing people, looking after each other and are also duty bound to keep themselves safe.

"The most challenging part of the work is to remain cautious, assess the situation and figure out the right approach to take," Mr Cheung said.

"There is absolutely no room for error in our work because that could mean the difference between life and death."

Firemen work a 24-hour shift, then get 48 hours off before restarting the cycle. While on stand-by, they must be at the fire station at all times. Meals are provided, and physical and theoretical training take place throughout the day until the alarm bell rings.

"In the city districts, the fire truck has to reach the site of the fire within six minutes from the time the emergency call comes in, so the fire truck waits for no one," Mr Cheung said.

"Whether we are having dinner or taking a shower, we have to be ready to go whenever the alarm bell rings and the announcement calls for your team."

Although it was the idea of being a hero that first lured Mr Cheung to apply to become a fireman at the age of 20, he soon realised that fire fighting cannot be done independently, and that teamwork is everything.

"There is no such thing as enemies at fire scenes, even if you happen not to like that person. The attitude we take is that we are in this together and we need to look out for each other," he said.

"We could come across a gas leak smell but have no idea what it is until we open that door; it could be a salty fish or inflammable products, but we just don't know until we go in. So the spirit is very much one of sticking together."

Firemen are responsible for a wide scope of work that includes breaking through locked doors, getting into lifts that have broken down, talking suicidal people out of jumping off tall buildings, rescuing animals from trees, investigating fire safety complaints and promoting fire prevention campaigns.

Mr Cheung stays healthy by exercising regularly, eating well and going to bed early.

While he may not be as fit as he was when he was in his 20s, he said the experience he had acquired as a fireman was worth its weight in gold.

[hkth]

From news.gov.hk:
Airport passengers hit record high

[dicksonlai]

Robust Visitor Traffic Boosts Passenger Volume to New Heights

(HONG KONG, 14 August 2006) - Robust visitor traffic fuelled passenger volume at Hong Kong International Airport (HKIA) to a new record of 4.1 million passengers in July, up 8.6% over the same month last year.

The busy traffic also boosted July's aircraft movements to a new height of 24,000, representing a 5.4% increase over last July, while cargo throughput continued to rise steadily to 292,000 tonnes.

Airport Management Director of the Airport Authority Hong Kong Mr Howard Eng is delighted with July's performance. He said, "The 8.6% growth in passenger volume was attributed to an increase in travellers to and from the Chinese Mainland and Southeast Asia. We expect the growth momentum to continue for the remainder of the year."

Mr Eng added that to maintain HKIA's high quality passenger service, the number of Airport Ambassadors stationed in the airside to offer immediate assistance to passengers has been doubled to almost 50 since July as the airport is gearing up for the summer break.

Following the inaugural passenger flight of Saudi Arabian Airlines in July, HKIA welcomed its 81st airline, Air Niugini, to launch its weekly passenger service connecting Hong Kong to a new destination - Port Moresby - on 8 August.

Port Moresby is the capital city and administrative centre of Papua New Guinea. Located in the southwestern Pacific Ocean, the country is richly endowed with natural resources, including a wide range of agricultural products and mineral deposits.

In the past 12 months, passenger throughput rose 9% to 43 million. Cargo throughput and aircraft movements recorded 7% and 10% year-on-year growth to 3.5 million tonnes and 277,000, respectively.

http://www.hongkongairport.com/eng/pr/pr_847.html

[hkskyline]

Hong Kong air crew praised for rescues
By Keith Wallis in Hong Kong
11 August 2006
Lloyd's List

HONG Kong’s government flying service has been commended by the Chinese government for saving the lives of 91 seafarers during typhoon Prapiroon last week.

In a two-day operation involving three helicopters and a turboprop British Aerospace Jetstream J41 aircraft, air crew initially airlifted 23 seafarers from the barge Wing On IV, which had run aground 172 km southwest of Hong Kong.

Air crew were scrambled later the same day to rescue a further 68 seafarers on the Hai Yang Shi You 298, which had sent out distress signal after running aground about 132 km southwest of Hong Kong.

Described in rescue reports as a “barge”, the Hai Yang Shi You 298is a 1983-built, 6,701 gt standby safety vessel belonging to China National Offshore Oil Corp.

Two Super Puma helicopters rescued 56 crew from the vessel but due to extremely bad weather in Hong Kong the rescue of the remaining 12 seafarers had to be delayed until the following day when they were airlifted to safety.

Commending the air crew, China’s vice-minister of communications Huang Xianyao said: “President Hu Jintao, premier Wen Jiabao and vice-premier Zeng Qinghong want me to pass their heartfelt thanks to the government flying service team.”

China’s state council, the country’s highest decision-making body, also sent its thanks to the air crew.

Flying services head Captain Brian Butt said: “It is one of the most demanding rescues we have ever undertaken.

“The wind was strong and the sea was high. The ship was pitching 45 degrees up and down, and rolling about 20 to 25 degrees side to side.”

[hkth]

RTHK news:
New CEO appointed for Dragonair 2006-08-23 HKT 19:07

Cathay Pacific has appointed an executive from Swire Pacific's Taiwan subsidiary, Kenny Tang, as the Chief Executive Officer of Dragonair. This came shortly after Stanley Hui announced that he had resigned. The airline will become a wholly-owned subsidiary of Cathay once a proposed share reform is formalised. Mr Tang said he would focus on maximising the synergies and opportunities arising from Dragonair's mainland services and Cathay's international network.

[hkskyline]

BA bans crew from Hong Kong bar after date-rape claims
Sat Aug 19, 11:38 PM ET

HONG KONG, China (AFP) - British Airways has banned its staff from drinking at a popular Hong Kong bar after stewardesses were slipped a date-rape drug while drinking there, a media report says.

The ban follows a warning to the British flag-carrier's 13,000 staff in November about the threat of drinks being spiked with the tranquilliser Rohypnol while drinking off-duty in unsavoury bars.

Hong Kong's Sunday Morning Post, citing sources, said BA was concerned about one popular unnamed bar in the seedy Wan Chai district following complaints from four stewardesses that they felt unwell after visiting it in the past year.

"We are undertaking an investigation following a number of reports of crew feeling unwell after visiting the bar," BA told the Post from London. "We have advised our crew to avoid visiting the bar."

Sources told the Post the four had found they'd been drugged with Rohypnol, a tranquilliser prescribed to insomniacs but which has often been used by rapists to snare their victims.

The infamous Wan Chai harbourside district was Hong Kong's centre of vice and crime when it was a major docking area for British and later US naval port calls during the Korean and Vietnam wars.

While the government has since tried to clean the area up, its handful of remaining go-go bars remain a reminder of its seamier past.

[hkth]

From news.gov.hk:
Cathay Pacific thrives on its own efforts: CS

[hkskyline]

Rising fuel costs plunge Dragonair into the red
Hong Kong Standard
Thursday, August 31, 2006

Higher fuel prices dragged Hong Kong- based Dragonair into the red during the first half, with the carrier incurring a loss of HK$43.3 million compared to a profit of HK$95.2 million recorded during the same period last year.

China National Aviation, or CNAC (1110), which currently holds 43.29 percent of Dragonair, said fuel prices had jumped 32 percent in the first six months of the year.

Fuel accounted for 29 percent of Dragonair's total operating costs in the first half, up 5.9 percent year on year, said CNAC chairman Kong Dong.

The Standard reported Tuesday that Dragonair is planning to lay off a significant number of support staff when its ownership passes to Cathay Pacific Airways (0293).

In June, CNAC sold its entire stake in Dragonair to Cathay Pacific, which agreed to buy out all other Dragonair shareholders, including China National Aviation, Air China and CITIC Pacific, in an HK$8.2 billion deal.

Peter Drolet, an analyst at UOB Kay Hian, is bullish about Cathay and Dragonair's future under the bigger carrier.

"Since Dragonair is currently operating at a loss, Cathay's job will be to turn it around for profitability. In order to do that, Cathay is going to have to cut costs," he said.

"Cutting staff is always unfortunate for the staff, but it's good for Cathay Pacific, since they have an obligation to their shareholders."

Drolet added that another option Cathay might explore would be cutting out some of the more unprofitable routes that Dragonair flies, and expanding flights on the more profitable ones or even adding new routes.

Dragonair flew 2.6 million passengers in the first half, with passenger revenues increasing 8.5 percent from last year to HK$2.97 billion, due to increased capacity on China routes. It carried 188,000 tons of cargo in the first half, with cargo revenue at HK$1.99 billion, up 7.5 percent on the same period last year.

Cathay Pacific chairman Christopher Pratt said last week that Dragonair should begin to see positive contributions from the merger next year.

As a result of the merger, CNAC and parent Air China will hold a combined 17.5 percent in Cathay Pacific, while the latter will pay HK$4.07 billion to widen its stake in Air China from 10 percent to 20 percent. Shareholders from Cathay, Air China, CNAC and CITIC Pacific granted approval last Tuesday to the complex deal, which will facilitate the takeover of Dragonair.

[hkskyline]

Philippine Airlines Eyes Davao Routes to Japan, Korea, HK

DAVAO CITY, Sept 1 Asia Pulse - Philippine Airlines (PAL) is set to establish new Davao air routes to Japan, Korea, and Hong Kong, Atty. Domingo Duerme, PAL senior assistant vice president for Mindanao, said.

"Of the three destinations, PAL sees heavy traffic in the Korea market. If plans push through, PAL will create a direct Davao-Hong Kong flight and Davao-Japan and Davao-Korea flight via Manila," he said.

Duerme said data in terms of travel frequency from travel agents, air transportation industry data, and historical figures, are significant factors to consider in pursuing the proposed new routes.

PAL should create three flights a day for the proposed new destinations to sustain the market, Duerme added.

PAL identifies Korea as a potential market with the increasing number of Korea nationals visiting Davao, Japan for its still sprouting japayukis, while Hong Kong for its famous Disneyland, Duerme said.

He said PAL has ordered a number of air crafts as part of its expansion plans.

[hkth]

RTHK news:
Beijing approves share deal between Air China & Cathay Pacific 2006-09-01 HKT 07:08

Beijing has approved a share transaction between Air China and Cathay Pacific, which will make Dragonair a wholly-owned subsidary of Cathay. The chairman of Air China, Li Jiaxiang, said he was waiting for the State Council to complete the paperwork on the restructuring. He said Air China planned to increase fuel hedging and surcharges to counter rising fuel costs. The airline posted a 23 percent fall in first half profit to 458 million yuan.

[hkskyline]

Reverend blessed with an entrepreneurial touch
3 September 2006
South China Morning Post

There probably couldn't be a worse time to start a long-haul, low-fare airline. Aviation fuel prices are rocketing, competition is keen and every week seems to bring a new terrorist threat.

But none of this concerns the Reverend Raymond Lee Cho-min, founder and chairman of Hong Kong's newest airline, Oasis Hong Kong Airlines, which will provide direct flights to London-Gatwick in October for fares as low as HK$1,000 one way.

"I'm a contrarian investor,'' he said. "The last two years have seen 40 per cent wiped off the accumulated profits of the US airline industry, but what I saw was an unprecedented opportunity."

In may take a miracle to get this bird flying, but Mr Lee, 51, has a history of taking flight off a trough. During a slump in US real estate prices in the early 1990s, he bought buildings in Boston whose value had crashed by 90 per cent, launching his property empire there called Oasis Development Enterprises, which he estimates now has holdings worth up to US$500 million.

Thereby hangs a singular tale. A bona fide man of the Protestant cloth, Mr Lee, born in Ithaca, New York, to a Hong Kong father and a Shanghai mother, has divided his life between here and the US since then. In 1992 he added a tie to his dog collar, and together with his wife, Priscilla Huang Lee, whom he met in Bible study class, plunged into the Boston property business.

Dean of Chapel at nearby Gordon College at the time and coming from a well-heeled Hong Kong property family, Mr Lee saw the Boston commercial sector being throttled by greedy management companies collecting fees of 15 per cent for doing often-unnecessary maintenance work.

"I saw meaningless, wasteful spending, which meant no money was being made," he said.

Mr and Mrs Lee cashed in their stocks and bonds, pulled together funds from family and friends, raising US$8 million to buy their first Boston building. They dispensed with the management companies and took over the maintenance.

The results were dramatic. "We made close to 30 per cent returns, even in down times. Occupancies rose from 65 per cent to 95 per cent. That pushed the value of buildings up seven times, so I got into bigger and bigger deals," Mr Lee said.

And no, he does not think God and big business make uneasy bedfellows: "There is no dichotomy. Having money and helping people is not mutually exclusive."

Many of the staff he paid to paint, fix, and manage his buildings were young Cambodians - former gangsters whom his church helped train in artisan skills.

His fortune made, Mr Lee looked heavenwards again, and saw struggling legacy airlines, choked byantiquated working practices and network agreements. He saw carriers hamstrung by missed and late connections beyond their control. This, he noted, kept long-haul average utilisation down to 16 hours a day, when planes were designed to do 17. He was sure he could do better.

"I knew I could make money with point-to-point long-haul flights averaging 17 hours a day usage," he said. Unfettered by network connections, he was sure he could eliminate the cost of missed slots.

Saying only that most of the airline comes from his own funding, he gave the Hong Kong government a commitment that his company would have US$100 million in order to get the requisite licence, and bring in as partners VTech's Allan Wong, who now holds 15 per cent of the venture, and Richard K Lee of Trinity Textiles, with just under 10 per cent. But objections from Cathay Pacific and other carriers delayed his plans, thwarting his schedule to lease of five aircraft, and forced him instead to later buy two "middle-aged" 1989 Boeing-747-400s for US$40 million apiece, paid for with the aid of unspecified banks loan. Modern 747s would be only 8 per cent cheaper to run, he insists, "but our capital costs are much lower than legacy carriers so their age doesn't matter".

As other budget leaders like Ireland's RyanAir and the US's Southwest, Oasis also cut costs by seeking licences for his initial six routes from mostly secondary airports: Gatwick, Oakland in California, Chicago, Cologne, Milan and Berlin. "Costs have been pared by using ... locally hired London pilots and hi-tech ticketing," he said.

He is less upfront about the price of the tickets. The bulk of the economy fares are not actually that cheap. When pushed, Mr Lee admits only 10 per cent of the tickets to London will be HK$1,000. He's cagey about the price for the rest of the tickets, but in these competitive times, it seems likely he will have to undercut the major players, including Cathay Pacific and British Airways, with their 10 direct daily flights to London, never mind the "one-plus-one" market of Eva, Thai, Malaysian and Singapore airlines, which fly to London via their respective hubs.

Where he could win is at the front of the plane. Mr Lee calculates that most corporate business travel budgets no longer stretch to Cathay Pacific's HK$44,000-plus round trip fare to London.

"I know that Morgan Stanley's business class budget for Hong Kong-London is only HK$28,000," he explains. "We plan to offer business class for HK$10,000 one way. It's a necessity for a businessman to arrive in tip-top shape and for that you need affordable business class." For that alone, many passengers might say hallelujah.

[hkskyline]

Tibet direct flights on the cards
Carrie Chan in Lhasa and Jonathan Cheng
Hong Kong Standard
Thursday, August 31, 2006

After 60 days of operation, the Qinghai- Tibet railroad to Lhasa has made travel to the Roof of the World more accessible than ever for the outside world.

But Hong Kong tourists looking for a taste of Tibet may find themselves on a faster track, with the China Aviation Bureau currently considering the possibility of direct flights between Hong Kong and Lhasa.

The news, revealed Wednesday by Yang Haibin, vice chairman of the People's Government of Tibet Autonomous Region, is lacking in detail since the arrangement has not been approved.

But Yang confirmed that plans had been submitted to the bureau and would likely be limited to package tour groups.

Speaking to journalists on a media tour to Tibet using the newly opened railroad, Yang also introduced a new airport that will be opening in a few days in Linzhi - a tourist spot whose natural beauty has been compared with Sichuan province's Jiuzhaigou.

The civil airport in Linzhi, Tibet's third, is reported to be able to handle more than 100,000 passengers a year, and will see its first flights tomorrow, Yang said.

Direct flights will arrive there from Chengdu, the capital of neighboring Sichuan province.

Put together, plans like these are expected to further accelerate the massive changes already being wrought in Tibet by Beijing's attempts to open up this pristine region to development.

So far, Yang said, the new railroad from Qinghai has brought in 2.6 million tourists in July and August - almost twice as many as the 1.5 million tourists who arrived in Tibet during the same period last year.

"This is going to give a strong push to the economic and social development of Tibet," Yang said.

The rail link adds a third option to the two existing modes of entry to Tibet - roads and airplanes.

But the railway is only expected to strengthen the aviation industry's foothold in the region, Yang said, since the majority of tourists are planning "circular itineraries" that combine a train ticket into or out of Tibet with a one- way plane ticket in the opposite direction.

Already, Yang said, the aviation industry has seen a jump in traffic, with authorities reporting 47 percent growth in July.

Among the five biggest airlines, the daily 13 flights has already been increased to 25 flights, and projections for 2006 estimate tourist traffic at 1.1 million to Tibet - up from 800,000 last year.

Meanwhile, planned railway links to Nepal, India, Yunnan province and Xinjiang will create what Yang calls a "composite transportation link in the region." He added: "Tibet is going to be more open. People will get smarter, and when you get smarter, you develop faster."

In addition to increased tourism, Yang is also expecting massive growth in logistics and import-export, now that the train link is open.

Transportation costs to and from Tibet, which make up a significant portion of production costs, will fall to about 0.12 yuan (HK$0.11) per kilometer for goods sent by train, compared with current costs of about 0.30 yuan to 0.40 yuan per kilometer for goods sent by highway.

Yang is throwing open the door for Hong Kong investors interested in getting in on the Tibet boom. He said a "free financing policy" would encourage investment in the region, adding there was a need for more hotels - many of which were already seeing 90 percent room occupancy, year-round.

Yang also promised that some of the benefits would trickle down to the region's people. The government was planning its first subsidies to farmers, so they can build their own homes. He also said the authorities would expand Tibet's electricity network.