THY CEO: Third airport to reduce ticket fares
Temel Kotil, CEO of Turkish Airlines (THY), stated Monday that airline tickets will fall with the opening of Istanbul's third airport, which is expected to start providing service in 2018.
Speaking to an Anadolu Agency reporter in Ankara, Kotil said that the drop in oil prices as well as current turmoil in global markets will also lower prices.
"We expect that the reduced costs through the inauguration of the third airport will also be reflected in ticket prices. Decreasing oil prices has also been reflected in ticket prices. Our revenues do not increase as our passenger number increases, but we don't have any problems with our profit margins," Kotil said.
Kotil noted that currency rate fluctuations also determine ticket prices, however, they have set their prices accordingly and balanced profit-passenger ratios.
Emphasizing THY's efforts to reduce carbon emissions, Kotil stated they have set a goal to reach by 2050. "Our fleet is very young, which provides great efficiency in fuel consumption. We also use sophisticated software to help reduce fuel consumption. Our planes change their trajectory in light air, and therefore we contribute to the environment by covering the longest distance with the least possible fuel," Kotil said. Kotil later joined the Sixth Istanbul Finance Summit, where he stated that 6 percent of Turkey's GDP is connected with aviation. Istanbul is now among the top five tourism destinations in the world, even better than New York, Kotil said, noting that the city now hosts 12 million tourists annually. "The Turkish economy will grow, and Istanbul will become the biggest center of aviation with tourist numbers reaching 30 million annually, which means $30 billion in a year. This will happen in less than 20 years," Kotil said, underlining how the Turkish aviation sector now serves 48 million passengers annually on domestic flights and 131 million passengers on all flights. Describing the third airport project as "the wisest in the world," Kotil said that the airport will serve 70 million passengers in its first year and the government will generate $1 billion in a year. Kotil stated that THY is now the strongest airline in Africa with 10,000 tickets sold daily. The continent's middle class as well as appetite for air travel has grown significantly in recent years.
Speaking to an Anadolu Agency reporter in Ankara, Kotil said that the drop in oil prices as well as current turmoil in global markets will also lower prices.
"We expect that the reduced costs through the inauguration of the third airport will also be reflected in ticket prices. Decreasing oil prices has also been reflected in ticket prices. Our revenues do not increase as our passenger number increases, but we don't have any problems with our profit margins," Kotil said.
Kotil noted that currency rate fluctuations also determine ticket prices, however, they have set their prices accordingly and balanced profit-passenger ratios.
Emphasizing THY's efforts to reduce carbon emissions, Kotil stated they have set a goal to reach by 2050. "Our fleet is very young, which provides great efficiency in fuel consumption. We also use sophisticated software to help reduce fuel consumption. Our planes change their trajectory in light air, and therefore we contribute to the environment by covering the longest distance with the least possible fuel," Kotil said. Kotil later joined the Sixth Istanbul Finance Summit, where he stated that 6 percent of Turkey's GDP is connected with aviation. Istanbul is now among the top five tourism destinations in the world, even better than New York, Kotil said, noting that the city now hosts 12 million tourists annually. "The Turkish economy will grow, and Istanbul will become the biggest center of aviation with tourist numbers reaching 30 million annually, which means $30 billion in a year. This will happen in less than 20 years," Kotil said, underlining how the Turkish aviation sector now serves 48 million passengers annually on domestic flights and 131 million passengers on all flights. Describing the third airport project as "the wisest in the world," Kotil said that the airport will serve 70 million passengers in its first year and the government will generate $1 billion in a year. Kotil stated that THY is now the strongest airline in Africa with 10,000 tickets sold daily. The continent's middle class as well as appetite for air travel has grown significantly in recent years.
Last Update: September 14, 2015 20:44