MINATO (dpa-AFX) - Japan's largest air carrier All Nippon Airways Co Ltd (ALNPF.PK, ALNPY.PK), commonly called ANA Group, Friday announced its two-year strategy for the fiscal years 2012 and 2013, including further efficiency measures to reduce costs by 100 billion yen. ANA also targets a 22 percent increase in its international operations in two years.
As part of its strategy, the company aims an increase in operating income to 110 billion yen in 2012, with consolidated operating income margin of 7.3 percent. For 2013, operating income target is 130 billion yen, with an operating income margin of 8.3 percent.
The Group said it will also consider a shift to a holding company structure, provisionally as of April 1, 2013, in order to maximize the management efficiency. The move is based upon the approval of ordinary general meeting of shareholders scheduled to be held on June 19, as well as approval from relevant authorities.
'The above plan is designed to strengthen ANA against a backdrop of global economic uncertainty, the ongoing sovereign debt crisis in the Eurozone, high oil prices and fluctuating foreign exchange rates and position it to become Asia's Number One airline in the face of increased competition from a new wave of Low Cost Carriers, other carriers in the region and other modes of transport,' the company stated.
In its International Business, the company plans to increase international seat kilometers 22 percent over fiscal 2011 by fiscal 2013 and expand and strengthen international route network by using Boeing 787 aircraft for long-haul routes.
In its Domestic Business, ANA will strengthen its ability to match supply with demand. It also plans to enhance competitiveness through full use of Boeing 787 aircraft.
In addition, ANA will expand its Cargo Business by using aircraft efficiently and by developing Okinawa Cargo Hub.
ALNPY.PK last traded on February 15 at $6.31.
Copyright RTT News/dpa-AFX
© 2012 AFX News
