SINGAPORE: SATS’ Japanese subsidiary has signed an inflight catering contract with Delta Air Lines worth S$325 million, the Singapore company announced on Wednesday (Jun 24).
The subsidiary, TFK Corporation, is set to commence catering services for the American airline at Narita and Haneda airports in Tokyo by October this year. Delta operates 22 flights from both airports. The airline’s inflight kitchen at Narita will close, following the transition to TFK.
The contract is not expected to have material impact on SATS’ net tangible assets per share and consolidated earnings per share for the current financial year, the company said.
TFK currently serves more than 40 airlines, including Japan Airlines, Singapore Airlines, Qantas and Lufthansa. SATS has a 59.4-per cent stake in TFK.