Royal Brunei Airlines to enter new restructuring phase

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Royal Brunei uniforms
During rebranding last year, Royal Brunei staff got new uniforms that follow the traditional Brunei fashion.

Brunei Darussalam’s national carrier Royal Brunei Airlines has announced that it is preparing a new five-year business plan running from April 2016 through March 2021 which will see it pursue expansion of its regional network within Asia-Pacific. The move comes after the airline is closing the books on a previous five-year plan that kicked off in April 2011 and will be finished by November 2015 and saw the carrier drop five of its 18 routes – Auckland, Perth, Brisbane, Kuching and Ho Chi Minh City.

However, Royal Brunei moved back into expansion mode in 2014, resuming flights to Ho Chi Minh City and launching flights to Bali. But its current network of 16 destinations, including its hub at Bander Seri Begawan in Brunei, is still three destinations smaller than its network from April 2011.

The new business plan will focus on expansion of the carrier’s regional network within Asia-Pacific. The airline, which recently celebrated its 40th anniversary, is also renewing its wide-body fleet and evaluating potential new destinations for 2016 and beyond. No new destinations are planned for 2015.

Inside Brunei 2013/14
Inside Brunei 2013/14
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$19.95

However, it is unlikely that Royal Brunei will expand its long-haul network despite performance improvements following the transition to Boeing 787s. But it is seen that the new A320neo fleet will open up opportunities for new medium-haul routes to Australia, South Asia and North Asia. Altogether, over the course of the new five-year plan, Royal Brunei’s fleet will increase by four aircraft.

Although the government-owned airline does not disclose financial reports, it is widely known that it incurred huge losses prior to its 2011 restructuring and remains loss-making. After the first restructuring phase, which included a rebranding, service enhancements and fleet simplification, the key challenge for Royal Brunei is now charting a course for profitable growth over the coming five years. Plans are to carve out a niche by remodeling the airline as a “boutique full-service carrier” in the highly competitive Southeast Asian airline marketplace.

 

Royal Brunei route map

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Reading Time: 2 minutes

During rebranding last year, Royal Brunei staff got new uniforms that follow the traditional Brunei fashion.

Brunei Darussalam’s national carrier Royal Brunei Airlines has announced that it is preparing a new five-year business plan running from April 2016 through March 2021 which will see it pursue expansion of its regional network within Asia-Pacific. The move comes after the airline is closing the books on a previous five-year plan that kicked off in April 2011 and will be finished by November 2015 and saw the carrier drop five of its 18 routes – Auckland, Perth, Brisbane, Kuching and Ho Chi Minh City.

Reading Time: 2 minutes

Royal Brunei uniforms
During rebranding last year, Royal Brunei staff got new uniforms that follow the traditional Brunei fashion.

Brunei Darussalam’s national carrier Royal Brunei Airlines has announced that it is preparing a new five-year business plan running from April 2016 through March 2021 which will see it pursue expansion of its regional network within Asia-Pacific. The move comes after the airline is closing the books on a previous five-year plan that kicked off in April 2011 and will be finished by November 2015 and saw the carrier drop five of its 18 routes – Auckland, Perth, Brisbane, Kuching and Ho Chi Minh City.

However, Royal Brunei moved back into expansion mode in 2014, resuming flights to Ho Chi Minh City and launching flights to Bali. But its current network of 16 destinations, including its hub at Bander Seri Begawan in Brunei, is still three destinations smaller than its network from April 2011.

The new business plan will focus on expansion of the carrier’s regional network within Asia-Pacific. The airline, which recently celebrated its 40th anniversary, is also renewing its wide-body fleet and evaluating potential new destinations for 2016 and beyond. No new destinations are planned for 2015.

Inside Brunei 2013/14
Inside Brunei 2013/14
Buy now and get 42 page Brunei 2012 report FREE
$19.95

However, it is unlikely that Royal Brunei will expand its long-haul network despite performance improvements following the transition to Boeing 787s. But it is seen that the new A320neo fleet will open up opportunities for new medium-haul routes to Australia, South Asia and North Asia. Altogether, over the course of the new five-year plan, Royal Brunei’s fleet will increase by four aircraft.

Although the government-owned airline does not disclose financial reports, it is widely known that it incurred huge losses prior to its 2011 restructuring and remains loss-making. After the first restructuring phase, which included a rebranding, service enhancements and fleet simplification, the key challenge for Royal Brunei is now charting a course for profitable growth over the coming five years. Plans are to carve out a niche by remodeling the airline as a “boutique full-service carrier” in the highly competitive Southeast Asian airline marketplace.

 

Royal Brunei route map

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