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16 Cathay Pacific Airways Limited Annual Report 2008
Review of Operations PASSENGER SERVICES
The early part of the year saw a significant boost
in our services to India, with a total of 20 extra
flights being added. Delhi was turned into a
double-daily service and a new destination,
Chennai, was added. The latter has performed
reasonably well, though demand to and from India
as a whole lagged behind the capacity growth.
Services to the Middle East were expanded in
October as a result of the fuel-price-led
redeployment of capacity. Dubai moved from a
double daily service to triple daily. Demand
remained strong throughout the year.
Dragonair
Dragonair launched a new daily flight to Hanoi in
October and initial loads have been encouraging.
A new flight to Manila, which commenced in
December, is providing more options for travellers
to and from the Philippines.
Loads to Kathmandu have been reasonable in the
first year of operation, though the Dhaka service
has been hampered by visa restrictions.
Flights to Phuket and Kota Kinabalu have enjoyed
good loads throughout the year.
Dragonair entered the Indian market in July with a
new daily service to Bengaluru.
North Asia
Cathay Pacific
Business to and from Taiwan was satisfactory
despite the impact of cross-straits charter flights.
These charter flights were introduced in July and
were significantly increased from December, to a
greater number of destinations. We are still
assessing the potential long-term impact on our
business.
Korea flights performed satisfactorily, though the
depreciation of the Won did reduce yield.
Japan flights performed well with some yield
improvement, helped by the strengthening of the
Yen in the last quarter.
Cathay Pacific withdrew its passenger services to
Xiamen in September.
Demand to Mainland China, and Beijing in
particular, was adversely affected by visa
restrictions imposed on international travellers
entering Mainland China during the Olympic
Games period.