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SINGAPORE: It looks like Singapore Airlines (SIA) is once again becoming "a great way to fly".
Financially, things are starting to look brighter for the national carrier which has never reported a full year loss for decades.
After two quarters of losses, the airline is once again in the black, and in fact almost erased the previous six months combined losses in its third quarter ended 31 December 2009.
The group reported net profits of S$404 million compared with a combined loss of S$466 million in its first half.
The airline itself recorded an operating profit of S$231 million in the third quarter, against an operating loss of S$157 million in the previous quarter, with not only load factor improvements but also yields.
Hedging losses were also lower.
If the trend continues, the national carrier will not only wipe out its previous losses but should also report a modest profit for the financial year ending March 31.
Its stock price too has shot past S$15 a share (for which as a holder of a lot of 1,000 shares I am grateful).
However, SIA, a national icon that most of us are very proud of, should not rest on its laurels.
Rather, it should work to improve its image that has in recent times been somewhat tarnished by the airline's brashness and treatment of its loyal customers.
Take for example the time that SIA decided to switch to an all business class cabin for its direct services to New York and Los Angeles just before the recent financial crisis.
Customers who had earlier booked seats in economy on these direct flights were not upgraded - instead they were transferred to indirect flights - without any compensation for the added inconvenience.
A customer who had booked his daughter on executive economy back to Singapore from New York was instead given a normal economy seat on an indirect flight. To his consternation, the airline did not offer an apology nor did it automatically refund the additional fare paid for the executive economy seat.
SIA, which reduced its all business class flights to New York from daily to five times a week last February, has since resumed its daily service as the world recovers from the crisis.
Hopefully the airline will not resume its callousness with its customers.
Then, there was the time when it decided to tighten its passenger loyalty programme and scrapped the much sought-after Solitaire PPS Club Life membership.
This raised the ire of many of its high revenue generating customers, especially those who were near the point of being admitted to the exclusive club. Some threatened to sue while others swore never again to support the carrier.
And often at the first sign of trouble SIA and its wholly-owned subsidiary SilkAir are too quick to trim the premium service for which passengers pay extra.
For instance SilkAir appears to have recently returned to the era of silent movies, even in business class.
Previously business class passengers on the regional carrier were provided a portable video player for their entertainment. This was taken away with nary a word of explanation.
And why do customers buying SIA tickets in Singapore often have to pay a huge premium over those buying the same sector tickets from the opposite end?
Like Fifa, the International Football Federation, SIA appears to think that people here in Singapore are much better off than elsewhere in the world and therefore can afford to pay more.
I'm sure that with the global economic recovery now underway, SIA will soon begin raising its prices (Perhaps, it already has).
Please don't be too hasty in withdrawing all the discounts that passengers were just beginning to get used to.
Yes, SIA is a great way to fly, but it can be even a greater way to fly.
Never take your loyal passengers for granted and be the airline that Singaporeans can continue to be proud of.
- TODAY/sc
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