Thai Tiger /Tiger Thai Looking More Doubtful.

[LindsayBKK]

Safety fears may ground Tiger Airways following Civil Aviation Safety Authority 'show cause' notice

CASA issues Tiger with a "show cause" notice

Ansett hit with similar warning before bankruptcy

Consistently ranked as worst of the major airlines

BUDGET airline Tiger Airways is at risk of being grounded by the aviation regulator following a spate of safety and maintenance breaches.

In a blow for the struggling airline industry, the Civil Aviation Safety Authority has issued Tiger with a "show cause" notice.

It is the most serious action taken by CASA against a major Australian airline since Ansett was hit with a similar warning in 2001 just months before it went bankrupt.

The revelation of the notice issued on March 23 comes as Tiger and other major airlines brace for one of their busiest flying periods.

The Courier-Mail can reveal CASA has written to Tiger's Melbourne-based management raising concerns it was not following proper procedures to ensure utmost safety of passengers.

The regulator wants urgent answers amid concerns pilot training standards have slipped and short-cuts have been taken on maintenance and other operations.

Tiger's entry to the market triggered a price war in which Qantas and Virgin dropped their domestic fares by 30 per cent.

But the CASA notice means the budget airline is one step away from losing its flying licence.

Airline industry sources said the sector had been rife with rumours about Tiger.

Since its 2007 entry to Australia, Tiger has targeted the tourism market and undercut its competitors with a range of "special" fares including 1 cents flights.

But the price war with Qantas, Jetstar and Virgin has sparked concerns that passenger safety and pilot training is taking a back seat to the need to maintain profitability.

Tiger has consistently ranked as the worst of the major airlines and had a 72 per cent "on time" record for last year.

CASA said last night it "does not comment on show cause notices". But it has given Tiger 21 days from the time it served the notice to respond to the log of claims.

In a statement last night, Tiger Airways said it had a policy of not commenting on dealings between the airline and the regulators.

"However, last month, CASA asked Tiger to clarify certain matters, which Tiger has responded to in full," it said.

"Safety underpins Tiger's operations at all times."

The aviation sector has been struggling with soaring fuel costs and predictions of reduced profits. Queensland's deadly floods and Cyclone Yasi have also triggered a slump in tourism numbers, contributing to the sombre outlook for the airline industry.

The tough market has forced Tiger to defer the introduction of new aircraft to bolster its fleet of 10 planes flying between the major capital cities and tourism havens such as Cairns and the Sunshine Coast.

Today's revelation means Tiger's management will almost certainly be called before a parliamentary inquiry into pilot training and airline safety.

The Senate committee has heard serious allegations of cost-cutting by airlines, many of which are struggling to survive.

Tiger chief executive Crawford Rix who took over in May 2010 has described the airline's approach as "getting a customer from A to B with the lowest possible fare we can get them at, doing it efficiently, getting them there on time".

Tiger operates about 100 flights a week in Australia but customers have complained of lengthy delays and regular cancellations

FULL STORY

[LindsayBKK]

Tiger Airways grounds flights amid safety warnings

Tiger Airways cancels packed flights

Throws Easter travel plans into chaos

Move comes as safety concerns raised

BUDGET airline Tiger Airways has cancelled packed pre-Easter flights after the aviation regulator raised a spate of serious safety concerns.

A Melbourne-Sydney flight due to leave at 11.50am today has been cancelled, while Melbourne-Brisbane service scheduled to leave at 6.15am today was cancelled earlier this morning, reports say.

Both were booked to near capacity and alternate services will not be available until Saturday.

The move has left travellers desperate to get home for the holidays forced to spend hundreds on last-minute flights with other carriers.

A Tiger spokeswoman apologised, saying only that Tiger's decision had been made for "operational reasons".

The development comes after the Civil Aviation Safety Authority threatened to ground Tiger over serious safety and maintenance breaches.

In a bombshell for the struggling airline industry, the CASA issued Tiger with a "show cause" notice on March 23, asking why it should not suspend its licence.

The regulator wants urgent answers amid concerns pilot training standards slipped and there were short cuts on maintenance and other operations.

It is the most serious action taken by CASA against a major Australian airline since Ansett was hit with a similar warning in 2001, just months before it failed.

CASA, in a sternly worded letter to Tiger's Melbourne management, raised concerns the cut-price carrier wasn't following proper procedures to ensure utmost safety of passengers.

Last night Tiger said it had a policy of not commenting on airline-regulator dealings.

"However, last month, CASA asked Tiger to clarify certain matters, which Tiger has responded to in full," it said. "Safety underpins Tiger's operations at all times."

The explosive revelations come as Tiger and other airlines brace for one of their busiest flying periods over Easter.

Airline industry sources said the sector has been rife with rumours about Tiger.

The low-cost airline has triggered a price war with Qantas and Virgin forcing them to drop their domestic fares by 30 per cent. Since its 2007 entry to Australia, Tiger has targeted the tourism market and undercut its rivals with a range of "special" fares including 1c flights.

But there were concerns its profitability was taking priority over passenger safety and pilot training.

Tiger has consistently ranked as the worst of the major airlines and had just a 72 per cent "on time" record for last year.

It now faces serious allegations over its commitment to maintenance and flight operations.

It is the first time in a decade that CASA has launched such action against a major airline.

In a statement last night, CASA said it "does not comment on show-cause notices".

But it has given Tiger 21 days from the time it served the notice to respond to the log of claims.

The explosive revelations come at a bad time for a sector battling soaring fuel costs and forecasts of reduced profits.

Queensland's deadly floods and Cyclone Yasi have also triggered a slump in tourism numbers, adding to the sombre outlook for the airline industry.

The tough market has forced Tiger to defer new aircraft to bolster its fleet of 10 planes flying between the major capital cities and tourism havens such as Cairns and the Sunshine Coast.

The revelations mean Tiger's management will almost certainly be dragged before a parliamentary inquiry into pilot training and airline safety. The Senate committee has heard serious allegations of cost-cutting by airlines, many of which are struggling to stay afloat.

Tiger has described the airline's approach as "getting a customer from A to B with the lowest possible fare we can get them at, doing it efficiently, getting them there on time".

But for the past two years, it was last in the CHOICE survey of domestic airlines.

It has about 100 flights a week in Australia but many customers have complained of lengthy delays and regular cancellations.

FULL STORY

[Thailand]

With the launch of Thai Tiger Airways being postponed on 4 separate occasions already not really much of a surprise that there were underlying problems. Maybe the procrastination of the Thai side (no doubt who gets what money related) may just have saved them from jumping in to a can of worms.