Peach Aviation starts Haneda – Seoul.

On February 6th, Peach Aviation [MM/APJ] inaugurated Tokyo/Haneda [HND/RJTT] – Seoul/Incheon [ICN/RKSI] (Peach Aviation announces Haneda – Seoul.). It became their second route from the downtown Tokyo airport after Taipei (Peach Aviation inaugurates Haneda – Taipei.), which was only launched in August 2015, and their 10th international route overall. Meanwhile, Seoul will now be served from three points: Okinawa/Naha [OKA/ROAH], Osaka/Kansai [KIX/RJBB], and Haneda. All flights are operated by 180-seat Airbus A320s.

Airbus A320-214 JA813P at Haneda moments after arriving from Seoul's Incheon as the inaugural flight. Peach's fleet boasts a modest 17 A320s, with the next example not due until October this year. (Photo: Aviation Wire)

The inaugural inbound flight MM1008 departed Incheon on February 5th at 2301 KST with a full load of 181 passengers including an infant, and touched down at Haneda past midnight at 0106 JST. A320-214 JA813P was assigned. Meanwhile, the maiden outbound leg MM1009 departed Haneda on February 6th at 0207 JST carrying 173 passengers including two infants, and arrived at Incheon early in the morning at 0442 KST. There is no time difference between Tokyo and Seoul.

Flight Schedule:
Haneda – Seoul/Incheon NEW 1 daily with A320-200.
MM1009 HND 0200 – 0435 ICN 320 Daily *From Feb/6.
MM1008 ICN 2250 – 0100(+1) HND 320 Daily *From Feb/5.

As with Peach's Haneda – Taipei link, the new service to Korea also uses the heavily-regulated airport's under-utilized midnight slot-pairs reserved exclusively for international flights. Peach added a fourth round-trip between Kansai and Seoul from the same day, and after that aircraft arrives into Seoul, it turns around to become the inbound flight to Haneda. After a brief 60-minute stay, it returns to Seoul as the outbound red-eye flight from Haneda, in time for the first flight of the day from Seoul back to Kansai.

"If you feel like you're up for a Korean barbeque or beauty salon tomorrow, Peach has been providing the answer for those in Osaka. Now we'll be offering that to everyone in Tokyo," said Shinichi Inoue, CEO of Peach, who was present at Haneda on the day. "Travel has become much more affordable and Japan and the rest of Asia are now closer than ever. We're looking forward to opening up our third and fourth international routes from Haneda," Mr. Inoue continued, without naming any destinations. Haneda's current constraints confine Peach to arrivals and departures between 2300 and 0600 only, so the third and fourth will also likely be existing cities on Peach's network if it wishes not to sacrifice aircraft utilization. Hong Kong [HKG/VHHH] and Kaohsiung [KHH/RCKH] would be natural choices.

Source: Aviation Wire, 2016 February 6th. (in Japanese)

Peach Aviation starts Okinawa – Seoul.

On September 4th, Peach Aviation [MM/APJ] launched Okinawa/Naha [OKA/ROAH] – Seoul/Incheon [ICN/RKSI] (Peach announces Okinawa – Seoul.). Operated by 180-seat Airbus A320-200s, the daily service became their fifth route out of their Naha hub (Peach launches Naha hub; but Naha – Ishigaki axed.). Japan's so far most successful LCC already serves the South Korean capital three times daily from Osaka/Kansai [KIX/RJBB].

Airbus A320-214 JA808P departs on Peach's inaugural flight from Naha to Incheon. It boasts a modest fleet of 16 A320s. Their 17th will arrive in November, followed by one aircraft each in March, July, and November next year for a total of 20. (Photo: Aviation Wire)

Inaugural flight MM905 departed Naha at 1304 JST with 151 passengers, including five children. Along with locals, many American workers at Okinawa's U.S. bases were also on the flight. Aircraft assigned was A320-214 JA808P, which arrived at Incheon 17 minutes late at 1532 due to traffic congestion. Return leg MM906 left Incheon at 1611 carrying a full load of 180 passengers, including three children, and arrived at Naha at 1824.

"Unlike the majors, Peach's target is younger travelers. We're seeing repeaters," said Shinichi Inoue, CEO of the Kansai-headquartered LCC, when asked about expansion in the Japan – South Korea market, which has seen Japanese incumbents reducing capacity due to political tensions and territorial disputes. Tokyo/Narita [NRT/RJAA]-based sister LCC Vanilla Air [JW/VNL] also withdrew from the market in March this year (Vanilla Air to suspend Seoul.).

Flight Schedule:
Naha – Seoul/Incheon NEW daily with A320-200.
MM905 OKA 1305 – 1515 ICN 320 Daily
MM906 ICN 1555 – 1805 OKA 320 Daily

Peach first arrived in Naha with service from Kansai on October 18th, 2012, and added Ishigaki [ISG/ROIG] on September 13th, 2013, followed by Taipei/Taoyuan [TPE/RCTP] seven days later. It was upgraded to a hub on July 19th, 2014 with the launch of Fukuoka [FUK/RJFF], though Ishigaki became the first route to be axed on Peach's network at the same time (Peach launches Naha hub; but Naha – Ishigaki axed.). Although Mr. Inoue cited heavy competition as the reason for the suspension, rumors point out to 39% owner ANA Holdings pressuring Peach to exit the short but high-demand route connecting the two major Okinawa islands to protect All Nippon Airways [NH/ANA]. Hong Kong [HKG/VHHH] was launched on February 21st (Peach commences Okinawa – Hong Kong.).

The growing LCC currently bases two A320s at Naha, with ambitions to turn it into a scissors hub to funnel passengers between the main islands of Japan and Southeast Asia. Peach has publicly said Thailand and Vietnam are their top priorities, followed by Malaysia and Singapore. Bangkok/Don Mueang [DMK/VTBD] is being evaluated for launch during the Winter 2015/2016 timetable (Peach mulls Okinawa – Bangkok.), possibly sometime after their 17th A320 is delivered in November. However, Peach does not offer a fly-through product as of yet, forcing passengers to buy two segments separately if they wished to connect, and this may need to change if Mr. Inoue is serious about a full-fledged transit hub.

Source: Aviation Wire, 2015 September 4th. (in Japanese)
Source: Aviation Wire, 2015 September 4th. (in Japanese)

Peach Aviation commences Kansai – Miyazaki.

On August 28th, Peach Aviation [MM/APJ] started serving Miyazaki [KMI/RJFM] with a daily evening flight to and from Osaka/Kansai [KIX/RJBB], becoming the first LCC to land in the last prefecture in Kyushu yet to be served by one (Peach loads Kansai – Miyazaki.). The route used to be operated by All Nippon Airways [NH/ANA] until March 2007. The growing LCC flies into three other Kyushu points: Fukuoka [FUK/RJFF], Kagoshima [KOJ/RJFK], and Nagasaki [NGS/RJFU].

Airbus A320-214 JA805P departs Miyazaki for the first return leg to Kansai. Peach currently operates 16 aircraft with the next to arrive in November. (Photo: Aviation Wire)

Inaugural flight MM189, flown by Airbus A320-214 JA805P, departed 19 minutes late due to traffic congestion at Kansai, and arrived into Miyazaki 14 minutes late at 1944 JST. It was fully booked, however, the final passenger count was 169 including a child. The first return leg, flight MM190, departed at 2020, 20 minutes behind schedule, with a load of 172 passengers, including one infant, and arrived back at Kansai at 2121. Passengers were given Peach-branded beach sandals along with luggage tags.

Flight Schedule:
Kansai – Miyazaki NEW daily with A320-200.
MM189 KIX 1825 – 1930 KMI 320 Daily
MM190 KMI 2000 – 2105 KIX 320 Daily

Governor of Miyazaki Shunji Kouno, who greeted the first arrival, enthused "It's a flight we've been waiting for. With the new link, our ties to the Kansai (Greater Osaka) region in terms of economy, tourism, and trade only grows." Meanwhile, Shinichi Inoue, CEO of Peach commented "Miyazaki and Kansai have a deep relationship. We want to tap into that demand," adding "We're targeting the VFR (visiting friends and relatives) market as well. We encourage everyone to fly with us as if you ride a train."

Fares range from 4,590 JPY for a Happy Peach ticket, which only includes a 10-kilogram carry-on baggage allowance, and go up to 20,990 JPY for last-minute, flexible and inclusive tickets. A special fare starting at 2,290 JPY will be offered until August 30th to help promote the new link. Although Peach is the sole carrier connecting the airport with Kansai, ANA flies six times daily to Osaka/Itami [ITM/RJOO] while Japan Airlines [JL/JAL] also flies five times daily to the convenient downtown Osaka airport.

Source: Aviation Wire, 2015 August 28th. (in Japanese)
Source: Traicy, 2015 August 29th. (in Japanese)

Peach Aviation inaugurates Haneda – Taipei.

On August 8th, Peach Aviation [MM/APJ] commenced Tokyo/Haneda [HND/RJTT] – Taipei/Taoyuan [TPE/RCTP], becoming the first Japanese LCC to serve the capital's preferred but heavily-regulated downtown airport (Peach expands Taipei; Haneda and more Kansai.). The service will initially operate six days a week with 180-seat Airbus A320s, but will increase to daily from October 25th. The growing LCC has also added a third Osaka/Kansai [KIX/RJBB] – Taipei/Taoyuan round-trip.

Airbus A320-214 JA806P taxies at Haneda for departure on Peach's inaugural flight to Taoyuan Airport near Taipei. (Photo: Aviation Wire)

Affected by a typhoon that engulfed Taiwan, departure of inaugural flight MM1029 was delayed 10 hours and 45 minutes. Reservation was full, however, 30 passengers opted for a refund because of the flight disruption, and the load was 150. The flight, flown by A320-214 JA806P, departed Haneda at 1640 JST. "If you live near Haneda, you can park your bicycle here and go on a day trip to Taiwan. For those from Taiwan, you can spend more time at a bar in Tokyo," said Shinichi Inoue, CEO of Peach.

Flight Schedule:
Kansai – Taipei/Taoyuan increase from 14 to 20 weekly. (21 weekly from Oct/25)
MM023 KIX 0840 – 1030 TPE 320 Daily *Departs 10 min late on Mo.
MM027 KIX 1605 – 1755 TPE 320 Daily
MM029 KIX 2105 – 2255 TPE 320 Tu/We/Th/Fr/Sa/Su *No operation on Oct/16 & 23.
MM022 TPE 0915 – 1255 KIX 320 Mo/We/Th/Fr/Sa/Su *No operation on Oct/17 & 24.
MM024 TPE 1105 – 1445 KIX 320 Daily *Departs 10 min late on Mo.
MM028 TPE 1830 – 2210 KIX 320 Daily

Haneda – Taipei/Taoyuan NEW six weekly with A320-200. (Daily from Oct/25)
MM1029 HND 0555 – 0830 TPE 320 Mo/We/Th/Fr/Sa/Su *No operation on Oct/17 & 24.
MM1028 TPE 0030 – 0445 HND 320 Mo/We/Th/Fr/Sa/Su *No operation on Oct/17 & 24.

Peach's new link uses Haneda's under-utilized midnight slot-pairs allocated for international services. Under normal operations, the aircraft for the Haneda route arrives into Taipei as the third flight from Kansai late in the evening, and turns around for a red-eye flight to Haneda. After a brief 70-minute stay, it returns to Taipei as the outbound flight from Tokyo, in time for the first flight of the day from Taipei back to Kansai. Fares range from 7,680 JPY for a Happy Peach ticket, which only includes a 10-kilogram carry-on baggage allowance, to 53,580 JPY for last-minute, flexible and inclusive tickets.

The Kansai-based carrier became the first Japanese LCC to serve Haneda and the third overall after AirAsia X [D7/XAX], Hong Kong Express Airways [UO/HKE] (d.b.a. HK Express), and Spring Airlines [9C/CQH]. Tigerair Taiwan [IT/TTW] and Zest Airways [Z2/EZD] (d.b.a AirAsia Zest) have plans as well.

Peach currently operates eight international and 12 domestic routes from its hubs at Kansai and Okinawa/Naha [OKA/ROAH] (Peach launches Naha hub; but Naha – Ishigaki axed.), and carried its 10 millionth passenger on August 6th. It will add Kansai – Miyazaki [KMI/RJFM] on August 28th (Peach loads Kansai – Miyazaki.) followed by Naha – Seoul/Incheon [ICN/RKSI] on September 4th (Peach announces Okinawa – Seoul.). Tokyo/Narita [NRT/RJAA] (Peach starts Narita to Fukuoka and Sapporo.) and Sendai [SDJ/RJSS] (Peach plans Sendai hub by Summer 2017.) have already been announced as their third and fourth future bases, and China and Thailand are on the horizon (Peach mulls Okinawa – Bangkok.).

Source: Aviation Wire, August 8th. (in Japanese)

Peach expands Taipei; Haneda and more Kansai.

On June 25th, Peach Aviation [MM/APJ] officially revealed the launch of Tokyo/Haneda [HND/RJTT] – Taipei/Taoyuan [TPE/RCTP] on August 8th (Peach plans Narita hub and Haneda – Taipei.). The service will initially be operated six days a week with 180-seat Airbus A320s, but is expected to be increased to daily from the Winter 2015/2016 schedule. On the same date, the growing LCC will also add a third Osaka/Kansai [KIX/RJBB] – Taipei/Taoyuan round-trip which will be flown six days a week.

Airbus A320-214 JA803P taxies at Narita. Peach's fleet will steadily grow to 20 by 2017 (Peach orders three Airbus A320s.). No A320neo are planned at least for now. (Photo: Ryosuke Yano)

Peach's new link uses Haneda's under-utilized midnight slot-pairs allocated for international services. The aircraft for the Haneda route will arrive into Taipei as the third flight from Kansai late in the evening, and turn around for a red-eye flight to Haneda. After a brief 70-minute stay, it will return to Taipei as the outbound flight from Tokyo, in time for the first flight of the day from Taipei back to Kansai.

Fares will range from 7,680 JPY for a Happy Peach ticket, which only includes a 10-kilogram carry-on baggage allowance, and go up to 53,580 JPY for last-minute, flexible and inclusive tickets. Tickets will go on sale at a later date yet to be announced. A promotional 12,000 JPY round-trip fare will be offered for travel between August 19th and October 23rd.

Flight Schedule:
Kansai – Taipei/Taoyuan increase from 14 to 20 weekly. (Aug/8 - Oct/24)
MM023 KIX 0840 – 1030 TPE 320 Daily *Departs 10 min late on Mo.
MM027 KIX 1605 – 1755 TPE 320 Daily
MM029 KIX 2105 – 2255 TPE 320 Tu/We/Th/Fr/Sa/Su *No operation on Oct/16 & 23.
MM022 TPE 0915 – 1255 KIX 320 Mo/We/Th/Fr/Sa/Su *No operation on Oct/17 & 24.
MM024 TPE 1105 – 1445 KIX 320 Daily *Departs 10 min late on Mo.
MM028 TPE 1830 – 2210 KIX 320 Daily 

Haneda – Taipei/Taoyuan NEW six weekly with A320-200. (Aug/8 - Oct/24)
MM1029 HND 0555 – 0830 TPE 320 Mo/We/Th/Fr/Sa/Su *No operation on Oct/17 & 24.
MM1028 TPE 0030 – 0445 HND 320 Mo/We/Th/Fr/Sa/Su *No operation on Oct/17 & 24.

"We have become a pioneer in creating new markets. As with Kansai, we hope to tap into the still under-served Tokyo market and expand the pie," said CEO Shinichi Inoue. The Kansai-based carrier will be the first Japanese LCC to serve heavily-regulated Haneda, and the third LCC overall after AirAsia X [D7/XAX], Hong Kong Express Airways [UO/HKE] (d.b.a. HK Express), and Spring Airlines [9C/CQH], which will also start on August 5th with a four-times-weekly service connecting Shanghai/Pudong [PVG/ZSPD]. Tigerair Taiwan [IT/TTW] and Zest Airways [Z2/EZD] (d.b.a AirAsia Zest) have plans as well.

Besides the newly-announced Haneda route, Peach is adding Kansai – Miyazaki [KMI/RJFM] on August 28th (Peach loads Kansai – Miyazaki.), followed by Naha – Seoul/Incheon [ICN/RKSI] on September 4th (Peach announces Okinawa – Seoul.). From its base at Osaka/Kansai [KIX/RJBB] and Okinawa/Naha [OKA/ROAH] (Peach launches Naha hub; but Naha – Ishigaki axed.), Japan's so far most successful LCC would operate nine international and 13 domestic routes covering 17 destinations by then. Tokyo/Narita [NRT/RJAA] (Peach starts Narita to Fukuoka and Sapporo.) and Sendai [SDJ/RJSS] (Peach plans Sendai hub by Summer 2017.) have already been announced as their third and fourth hubs in the future.

Source: Peach Aviation, June 25th. (in Japanese)
Source: Peach Aviation, June 25th. (in Japanese)

Peach orders three Airbus A320s.

On June 16th, Peach Aviation [MM/APJ] signed a firm contract to purchase three Airbus A320-200s. A signing ceremony was held at the Paris Air Show, attended by President Shinichi Inoue, Fabrice Brégier, CEO of the European planemaker, along with John Leahy, its COO. Although this order becomes their first direct order with Airbus, Peach has signed a Memorandum of Understanding (MoU) with Fuyo General Lease for a sale-leaseback arrangement upon delivery in 2016-2017 for the newly-ordered aircraft.

Airbus A320-214 JA801P makes its maiden flight back on October 14th, 2011. Peach has since (conservatively) built its fleet to 14, becoming the so far most successful LCC in Japan. (Photo: Airbus)

The growing LCC currently operates 14 A320s on lease, with another three to be delivered on lease in FY2015. The latest contract would bring its fleet to 20 by 2017. All seat 180 passengers in a single-class layout. Regarding the re-engined A320neos, Mr. Inoue said "We are evaluating the aircraft under many conditions. It's not that we have declined the A320neo." However, Mr. Inoue reiterated that Peach doesn't intend to equip any of its A320s in service or on order with sharklets, commenting "For short-haul routes, it's not worth the investment. The aircraft simply gets heavier."

Asked whether Peach is considering other A320 family aircraft, Mr. Inoue responded "For now we'll stick with the A320, but if situations change, we would like to react with flexibility." The larger A321 has been studied. Meanwhile, Mr. Inoue showed interest in the Airbus Space-Flex module, which would add six more seats to the A320 by reallocating galleys and lavatories, bringing up capacity to 186.

From its base at Osaka/Kansai [KIX/RJBB] and Okinawa/Naha [OKA/ROAH], Japan's so far most successful LCC currently operates 12 international and seven domestic routes covering 15 destinations. Kansai – Miyazaki [KMI/RJFM] will be added on August 28th (Peach loads Kansai – Miyazaki.) followed by Naha – Seoul/Incheon [ICN/RKSI] on September 4th (Peach announces Okinawa – Seoul.). Tokyo/Narita [NRT/RJAA] (Peach starts Narita to Fukuoka and Sapporo.) and Sendai [SDJ/RJSS] (Peach plans Sendai hub by Summer 2017.) have already been announced as their third and fourth hubs in the future. Mr. Inoue declined to comment on the Tokyo/Haneda [HND/RJTT] – Taipei/Taoyuan [TPE/RCTP] launch (Peach plans Narita hub and Haneda – Taipei.).

Source: Airbus, June 16th. (in English)
Source: Aviation Wire, June 16th. (in Japanese)
Source: Fuyo General Lease, June 17th. (in Japanese)

Peach starts Narita to Fukuoka and Sapporo.

On March 29th, Peach Aviation [MM/APJ] strengthened its network from Tokyo/Narita [NRT/RJAA], inaugurating Fukuoka [FUK/RJFF] and Sapporo/New Chitose [CTS/RJCC] with two round-trips and one, respectively, using 180-seat Airbus A320s. Kanto (Greater Tokyo) region's primary international gateway has been designated its third hub (Peach confirms Narita hub; adds Fukuoka and Sapporo.) after Osaka/Kansai [KIX/RJBB] and Okinawa/Naha [OKA/ROAH] (Peach launches Naha hub; but Naha – Ishigaki axed.). 

An Airbus A320 of Peach arrives at Narita. (Photo: Aviation Wire)

The first flight to Fukuoka as MM523 departed Narita at 0908 JST, eight minutes behind schedule, carrying 166 passengers, and arrived at the Kyushu airport at 1125, 20 minutes later than the published time. A320-214 JA810P was assigned. Meanwhile, the first inbound flight from Sapporo as MM582 departed New Chitose at 0941, six minutes late, with a load of 167 passengers, and arrived at Narita at 1112, two minutes behind schedule. A320-214 JA814P operated the flight. 

Flight Schedule:
Narita – Fukuoka NEW 2 daily with A320-200. (Mar/29 - Oct/24)
MM523 NRT 0900 – 1105 FUK 320 Daily
MM525 NRT 1330 – 1535 FUK 320 Daily
MM524 FUK 1220 – 1410 NRT 320 Daily
MM526 FUK 1610 – 1800 NRT 320 Daily

Narita – New Chitose NEW 1 daily with A320-200. (Mar/29 - Oct/24)
MM585 NRT 1455 – 1640 CTS 320 Daily
MM582 CTS 0935 – 1110 NRT 320 Daily

"Peach changes people's lifestyles. Peach brings positive changes to the cities we fly to. You can expect a lot from us," enthused CEO Shinichi Inoue. Fukuoka and Sapporo became the second and third cities served from Narita by the growing LCC, after it launched a link from its base at Kansai on October 27th, 2013. Peach now flies Kansai – Narita three times daily. One-way fares from Narita to Fukuoka will range from 4,790 JPY to 23,590 JPY, while the flight to New Chitose will start from 3,990 JPY and go up to 23,190 JPY.

Peach is engaging itself in a new round of battle against Narita-headquartered rival Jetstar Japan [GK/JJP], which opened their second hub at Kansai, Peach's home base, in June 2014 (Jetstar Japan launches Kansai hub.). Sister LCC Vanilla Air [JW/VNL], a wholly-owned subsidiary of ANA Holdings, which also controls 38.67% of Peach, is also based at Narita. The Chiba airport thus becomes the first airport to become a hub for all four Japanese LCCs, though Peach has opted against moving into Narita's new LCC Terminal, dubbed Terminal 3, which is slated to open on April 8th.

The Narita – New Chitose route became the first to see three LCCs competing along with majors All Nippon Airways [NH/ANA] and Japan Airlines [JL/JAL], though the majors mostly cater to passengers connecting with international flights. For Summer 2015, Vanilla Air will fly up to eight round-trips and Jetstar Japan up to seven, with ANA and JAL with two and one, respectively. Narita – Fukuoka is served by Jetstar Japan up to seven times daily, ANA double-daily, and JAL with a single round-trip. Vanilla Air does not fly to the Kyushu airport, though predecessor AirAsia Japan (Mk I) [JW/WAJ] used to (CoachFlyer JW8541: NRT - FUK on AirAsia Japan's Airbus A320.).

Peach currently flies 14 aircraft on 12 domestic and seven international routes covering 15 destinations. It continues to develop its Naha hub adding Hong Kong [HKG/VHHH] on February 21st (Peach commences Okinawa – Hong Kong.), to be followed by Seoul/Incheon [ICN/RKSI] on September 4th (Peach announces Okinawa – Seoul.). Several more Asian destinations are in the cards, including Bangkok (Peach mulls Okinawa – Bangkok.) and Macau (Peach reveals Macau in the works.). Meanwhile, they have also announced intentions to make Sendai [SDJ/RJSS] its fourth hub by 2017 (Peach plans Sendai hub by Summer 2017.).

Source: Aviation Wire, March 29th. (in Japanese)

Peach plans Sendai hub by Summer 2017.

On March 9th, Peach Aviation [MM/APJ] announced that they would establish their fourth hub at Sendai [SDJ/RJSS] in the northeastern prefecture of Miyagi by Summer 2017. Aircraft along with maintenance crews would be based there, and the growing LCC would add both domestic and regional international destinations. It currently flies three daily round-trips to Osaka/Kansai [KIX/RJBB], their home base.

Airbus A320-214 JA804P at Sendai. Peach started serving Sendai in April 2013, becoming the first new airline to serve the airport after the Great East Japan Earthquake of 2011 devastated the region. Local communities are being rebuilt but still far from finished, and Tohoku still remains one of Japan's poorest rural areas. (Photo: Aviation Wire)

"Making Sendai a hub has been our desire ever since starting up in 2012. We are delighted to be able to build a hub at Sendai, our fourth after Kansai, Naha, and Narita. We hope to contribute to the Tohoku (northeastern Japan) region by bringing in tourists not only from other parts of Japan but also from Asian cities. By bringing in low fares, we could increase the number of those who fly as well as the number of exchanges," said CEO Shinichi Inoue.

Japan's so far most successful LCC is on expansion mode. Their Okinawa/Naha [OKA/ROAH] hub, just launched in July last year (Peach launches Naha hub; but Naha – Ishigaki axed.), will see Seoul/Incheon [ICN/RKSI] (Peach announces Okinawa – Seoul.) being added from September while Bangkok/Don Mueang [DMK/VTBD] is in the works (Peach mulls Okinawa – Bangkok.). Incheon would be the fifth nonstop city after Kansai, Taipei/Taoyuan [TPE/RCTP], Fukuoka [FUK/RJFF], and Hong Kong [HKG/VHHH] (Peach commences Okinawa – Hong Kong.).

Meanwhile, Tokyo/Narita [NRT/RJAA] was designated their third hub (Peach confirms Narita hub; adds Fukuoka and Sapporo.) only last month, with Fukuoka and Sapporo/New Chitose [CTS/RJCC] to be added on March 29th. The Chiba airport thus becomes Japan's first to host a hub for all four LCCs, though Peach has so far opted against moving into Narita's new LCC Terminal, dubbed Terminal 3, which is slated to open on April 8th.

Source: Kahoku Shimpo, March 7th. (in Japanese)
Source: Peach Aviation, March 9th. (in Japanese)

Peach announces Okinawa – Seoul.

On March 5th, Peach Aviation [MM/APJ] announced that they will launch Okinawa/Naha [OKA/ROAH] – Seoul/Incheon [ICN/RKSI] on September 4th, as they gradually expand their second hub located in the Ryukyu islands. The new service will be operated daily using 180-seat Airbus A320-200s. Meanwhile, the Naha – Fukuoka [FUK/RJFF] route will be increased to double-daily on the same day. 

Specially-themed Airbus A320-214 JA804P Violetta RUNE entered service on March 4th. The decals, in collaboration with girls' magazine Violetta and the late artist Rune Naito's RUNE GIRL, will be worn by another two aircraft until the end of 2015. (Photo: Peach)

Fares for the new flights will go on sale on March 9th at 1500 JST. A one-way Happy Peach fare, the basic ticket which only includes a 10-kilogram carry-on baggage allowance, for Naha – Incheon will start from 5,980 JPY, not including taxes and a processing fee. The same basic fare for Naha – Fukuoka will start from 4,290 JPY.

Flight Schedule:
Naha – Fukuoka increase from 1 to 2 daily with A320-200. (Mar/29 - Oct/24)
MM282 OKA 0815 – 0955 FUK 320 Daily *NEW from Sep/4.
MM288 OKA 1750 – 1930 FUK 320 Daily
MM283 FUK 1025 – 1205 OKA 320 Daily *NEW from Sep/4.
MM289 FUK 2015 – 2155 OKA 320 Daily

Naha – Seoul/Incheon NEW daily with A320-200. (Sep/4 - Oct/24)
MM905 OKA 1305 – 1515 ICN 320 Daily
MM906 ICN 1555 – 1805 OKA 320 Daily

Peach already serves Incheon three times daily from Osaka/Kansai [KIX/RJBB]. From their Okinawa hub, the growing LCC currently serves Fukuoka, Hong Kong [HKG/VHHH] (Peach commences Okinawa – Hong Kong.), Kansai, and Taipei/Taoyuan [TPE/RCTP], with Incheon to become its fifth nonstop destination. Launched in July 2014, Naha was selected by Peach with ambitions to use it as a scissors hub (Peach launches Naha hub; but Naha – Ishigaki axed.) to funnel passengers between the main islands of Japan and Southeast Asia. 

"From Naha, we eventually want to fly to Ho Chi Minh City, Hanoi, Bangkok, Kuala Lumpur, and Singapore," CEO Shinichi Inoue said in February. For their first link to Southeast Asia, earlier reports pointed out to a launch as early as this summer, with the destination widely expected to be Thailand. Peach is already discussing with Thai airport authorities about Naha – Bangkok/Don Mueang [DMK/VTBD] (Peach mulls Okinawa – Bangkok.).

Source: Peach Aviation, March 5th. (in Japanese)

Peach reveals Macau in the works.

Peach Aviation [MM/APJ] will start flying to Macau [MFM/VMMC], confirmed CEO Shinichi Inoue at the Aviation Festival Asia, which took place in Singapore from February 12th to 13th. Mr. Inoue did not reveal when the launch would be and from which Peach hub; Osaka/Kansai [KIX/RJBB], Okinawa/Naha [OKA/ROAH] (Peach launches Naha hub; but Naha – Ishigaki axed.), or Tokyo/Narita [NRT/RJAA] (Peach confirms Narita hub; adds Fukuoka and Sapporo.).

Two Airbus A320s of Peach rest between flights at their Kansai hub. (Photo: Peach)

"Macau is one of our next targets," said Mr. Inoue. If Peach commences Macau, it would be the first and only Japanese carrier to serve the former Portuguese colony. Currently, Kansai and Narita receive nonstop flights from Macau with only Air Macau [NX/AMU] operating the routes.

The expanding LCC just added Naha – Hong Kong [HKG/VHHH] on February 21st (Peach commences Okinawa – Hong Kong.), in addition to its twice-daily Kansai – Hong Kong flights. Mr. Inoue had earlier also confirmed that their first Southeast Asian destination would be served from Naha this summer, and the city would be announced in March; Naha – Bangkok/Don Mueang [DMK/VTBD] (Peach mulls Okinawa – Bangkok.) is rumored. "From Naha, we eventually want to fly to Ho Chi Minh City, Hanoi, Bangkok, Kuala Lumpur, and Singapore," said Mr. Inoue, who has long talked of making Naha a scissors hub to funnel passengers between the main islands of Japan and Southeast Asia.

Macau is not as far as Southeast Asia, so it could be served nonstop from any of Peach's three hubs.

Source: Traicy, February 24th. (in Japanese)

Peach commences Okinawa – Hong Kong.

On February 21st, Peach Aviation [MM/APJ] launched four-times-weekly Okinawa/Naha [OKA/ROAH] – Hong Kong [HKG/VHHH] service with 180-seat Airbus A320s, as announced in September last year (Peach announces Okinawa – Hong Kong.). The new link becomes the Osaka/Kansai [KIX/RJBB]-headquartered LCC's seventh international route overall, and its fourth nonstop destination from its second hub at Naha (Peach launches Naha hub; but Naha – Ishigaki axed.).

Peach's Naha staff see off Airbus A320-214 JA803P depart on their inaugural flight to Hong Kong on February 21st. The launch of their long-awaited first route to Southeast Asia from the Ryukyu airport this summer will likely coincide with their 15th A320 delivery in July. (Photo: Aviation Wire)

The last time the route saw a Japanese carrier operating was until March 2003 with Japan Airlines [JL/JAL]; Peach thus becomes the first LCC to fly the route and the first Japanese airline in 12 years.

The inaugural outbound flight MM965 departed Naha at 1522 JST with a load of 127 passengers, including three children. A320-214 JA803P was assigned to the flight. Meanwhile, the first inbound flight MM964 touched down at Naha at 1605 JST with 168 passengers on board. It was operated by A320-214 JA801P. Victor L. L. Chu, Chairman of Hong Kong-based Far Eastern Investment Group, which owns 33.3% of Peach, was also on the inaugural inbound leg.

Flight Schedule (Feb/21 - Mar/28)
Naha – Hong Kong NEW 4 weekly with A320-200.
MM965 OKA 1645 – 1830 HKG 320 Mo
MM965 OKA 1530 – 1715 HKG 320 We
MM965 OKA 1525 – 1710 HKG 320 Sa
MM965 OKA 1305 – 1450 HKG 320 Su
MM964 HKG 1235 – 1550 OKA 320 Mo/We/Sa/Su

Flight Schedule (Mar/29 - Oct/24)
Naha – Hong Kong 3 weekly with A320-200.
MM965 OKA 1340 – 1505 HKG 320 Mo/Fr/Sa
MM964 HKG 1230 – 1600 OKA 320 Mo/Fr/Sa

One-way fares start from 7,180 JPY. Peach has initially decided to serve the route four times a week, but will reduce to three times during the upcoming Summer 2015 timetable. CEO Shinichi Inoue says he wants to fly the route daily, as soon as favorable slot times become available at the bustling airport serving the former British colony. "Inbound demand has been extraordinary, and I'm convinced that Okinawa is already a very attractive destination," Mr. Inoue commented, adding "We wanted to launch the route in time for the Chinese New Year peak travel period."

Meanwhile, Mr. Inoue also confirmed that their first destination in Southeast Asia will be served from Naha this summer, and the city will be revealed in March. "From Naha, we eventually want to fly to Ho Chi Minh City, Hanoi, Bangkok, Kuala Lumpur, and Singapore," said Mr. Inoue. Earlier in February, Airports of Thailand (AoT), which manages the kingdom's six major international airports, disclosed that Peach is discussing Naha – Bangkok/Don Mueang [DMK/VTBD] (Peach mulls Okinawa – Bangkok.). With Thailand now being Japan's sixth biggest inbound market accounting for 4.9% of all foreign visitors, and Japan the most popular outbound market for Thailand, this route is highly likely to become Peach's first link to Southeast Asia.

The Naha hub was launched in July 2014 with ambitions to use it as a scissors hub to funnel passengers between the main islands of Japan and Southeast Asia. From their Okinawa hub, the growing LCC serves Fukuoka [FUK/RJFF], Kansai, Taipei/Taoyuan [TPE/RCTP], and now Hong Kong. Naha – Ishigaki, which was axed in July 2014 owing to heavy competition (Peach launches Naha hub; but Naha – Ishigaki axed.), could be resumed when the airline has "enough resources to fly two or three daily flights," Mr. Inoue said. Miyako [MMY/ROMY] is also on Peach's radar. Meanwhile, a third hub is being set up at Tokyo/Narita [NRT/RJAA] (Peach confirms Narita hub; adds Fukuoka and Sapporo.).

Source: Ryukyu Shimpo, February 21st. (in Japanese)
Source: Aviation Wire, February 21st. (in Japanese)

Peach plans Narita hub and Haneda – Taipei.

Peach Aviation [MM/APJ] is planning to add Tokyo/Haneda [HND/RJTT] – Taipei/Taoyuan [TPE/RCTP] this summer, becoming the first Japanese LCC to operate into the heavily-regulated downtown Tokyo airport. It will also make Tokyo/Narita [NRT/RJAA] its third hub after Osaka/Kansai [KIX/RJBB] and Okinawa/Naha [OKA/ROAH], and will launch flights from Narita to Fukuoka [FUK/RJFF] and Sapporo/New Chitose [CTS/RJCC] as early as March.

Airbus A320-214 JA810P Wing of Tohoku rests between flights at Kansai. Three aircraft will be added in 2015 for a total of 17, as the carrier grows conservatively yet ambitiously. (Photo: Peach)

Peach would only become the third LCC serving Haneda, after AirAsia X [D7/XAX] and Hong Kong Express Airways [UO/HKE] (d.b.a. HK Express). The new link to Taipei would depart around 0200 or 0300 JST and operate daily with 180-seat Airbus A320s, using the airport's midnight (2300 - 0600) slots, which are underutilized, with only 27 slot-pairs currently used out of 40 total available.

Last November, Japan's Ministry of Land, Infrastructure, Transport, and Tourism (MLIT) introduced a scheme where landing fees would be discounted 50% for the first year, 30% for the second, and 20% for the third for new routes using the midnight slots, in a bid to lure more airlines. Unpopularity of the midnights slots is largely due to public transportation being almost non-existent during those times, with the only choice being taxis. But that is gradually showing signs of improvement, with new midnight buses and extended train schedules.

Meanwhile, Peach has reportedly decided to establish its hub to serve the Kanto (Greater Tokyo) region at Narita. Last month, CEO Shinichi Inoue had revealed that the carrier was considering opening hubs in Sapporo and Tokyo, as well as Bangkok, Ho Chi Minh City, and Seoul. Japan's so far most successful LCC already operates three times daily to Narita from its Kansai base. Their second hub at Naha was only opened last July (Peach launches Naha hub; but Naha – Ishigaki axed.), and Hong Kong is the next route to be launched on February 21st (Peach announces Okinawa – Hong Kong.), becoming the fourth spoke from its southern base.

Peach, however, has decided against moving into Narita's new controversial LCC Terminal, dubbed Terminal 3, which is slated to open on April 8th. It currently uses Terminal 1, which houses All Nippon Airways [NH/ANA], subsidiary of Peach's 38.67% and largest shareholder ANA Holdings. Launching a Narita hub would translate to Peach going head to head with ANA Holdings' wholly-owned subsidiary Vanilla Air [JW/VNL]. Tomonori Ishii, President of the fledgling Narita-based LCC, had previously said that it wants to avoid competing with its Kansai-based sister.

Source: Nikkei Shimbun, January 2nd. (in Japanese)
Source: Traicy,  January 13th. (in Japanese)
Source: Nikkei Shimbun, January 16th. (in Japanese)

Peach launches Naha hub; but Naha – Ishigaki axed.

On July 19th, Peach Aviation (MM/APJ) officially launched their second hub at Okinawa/Naha (OKA/ROAH), commencing a daily round-trip connecting Naha and Fukuoka (FUK/RJFF) (Peach announces Naha – Fukuoka.) with 180-seat Airbus A320s. One aircraft will be based at Naha.

Departing for MM288's inaugural flight, Airbus A320-214 JA806P is seen off by employees of Peach and officials of Okinawa. (Photo: Peach)

The inaugural flight MM288 from Naha to Fukuoka departed at 1639 JST with 174 passengers, and arrived at the Kyushu airport at 1823. Return leg MM289 departed Fukuoka at 1906 with an identical number of passengers at 174, and arrived back at Naha at 2041. One-way fares range from 4,290 to 21,990 JPY. Naha will now offer three destinations, including Osaka/Kansai (KIX/RJBB) and Taipei/Taoyuan (TPE/RCTP). The Ishigaki (ISG/ROIG) link was suspended on the previous day on July 18th.

Flight Schedule (July 19th - September 20th):
Naha – Fukuoka NEW 1 daily with A320-200.
MM288 OKA 1635 – 1815 FUK 320 Daily
MM289 FUK 1845 – 2025 OKA 320 Daily

Flight Schedule (September 21st - October 25th):
Naha – Fukuoka 1 daily with A320-200.
MM288 OKA 1820 – 2000 FUK 320 Daily
MM289 FUK 2030 – 2210 OKA 320 Daily 

In April, the Kansai-based LCC announced major flight disruptions due to the lack of pilots (Peach outlines Summer 2014 mass cancellations.), resulting in 2,080 cancellations, a whopping 16.1% of its total 12,886 flights planned between May 1st and October 25th. Naha – Ishigaki was initially reported to be a temporary casualty, however, it was recently revealed that it would be suspended from July 19th, and will be terminated on August 31st, axing the route indefinitely. Peach will continue to maintain a once-daily Kansai – Ishigaki link.

CEO Shinichi Inoue said "Load factors weren't bad," adding "There are many carriers here, and we decided it would be wiser to use the aircraft somewhere else," citing heavy competition. ANA Group offers nine daily round-trips, JAL Group flies seven, while Skymark Airlines (BC/SKY) operates four round-trips, and Peach had one. After Skymark and Peach entered the market with fares as low as 4,200 JPY and 3,290 JPY, respectively, ANA (parent ANA Holdings minority-owns Peach) and JAL slashed their fares from around 20,000 JPY to 5,000 JPY, sparking a fare war. Naha – Ishigaki thus became Peach's first route to be terminated.

Peach becomes the second Japanese LCC to launch a second hub, after Tokyo/Narita (NRT/RJAA)-based Jetstar Japan (GK/JJP) launched their Kansai hub (Jetstar Japan launches Kansai hub.) on June 12th. Strategically located, Peach intends to use Naha as a scissors hub to funnel passengers between the main islands of Japan and Southeast Asia. "Our A320s cannot reach Southeast Asia from Kansai, but the Naha hub would enable us to meet the growing demand to and from that region," Mr. Inoue says. He added that Thailand and Vietnam are at the top of the list of destinations he would like to start flying to.

The Kansai-based LCC currently operates 10 A320 flying six international and 10 domestic routes. Peach is owned 38.67% by ANA Holdings, 33.33% by Hong Kong-based First Eastern Investment Group, and 28.0% by Innovation Network Corporation of Japan.

Reference: Nikkei Shimbun, July 18th. (in Japanese)
Reference: Peach Aviation @ Facebook. (in Japanese)
Reference: Aviation Wire, July 20th. (in Japanese)

Peach reports first full-year profit for FY2013.

On June 19th, Peach Aviation (MM/APJ) reported they have recorded a full-year net profit of 1.05 billion JPY for fiscal year 2013, which ended on March 31st. The Osaka/Kansai (KIX/RJBB)-based LCC had targeted a full-year profit for their third year and has effectively accomplished it, becoming the first Japanese LCC to achieve the milestone. FY2012 was a 1.29 billion JPY loss.

Airbus A320-214 JA805P basks in the sun at their Kansai hub. (Photo: Peach)

Revenue reached 30.6 billion JPY, operating revenue was 2.7 billion JPY, and current earnings showed 1.7 billion JPY. System-wide average load factor was 83.7% and fare-paying passengers numbered approximately 3 million. Their 13th Airbus A320 was delivered earlier this month, and plans are on track to launch their second hub at Okinawa/Naha (OKA/ROAH) on July 1st (Peach announces Naha – Fukuoka.). CEO Shinichi Inoue believes peak and off-peak load factors showing minimal fluctuation as one of the important contributing factors.

FY2014 is expected to suffer 3 billion JPY of lost revenue from the massive flight disruption (Peach outlines Summer 2014 mass cancellations.) due to the lack of pilots, however, Peach estimates network expansion will bring a 10% increase in revenue. One more A320 will be delivered this year in November for a total of 14, and three will be added each year in the following two years for a total of 20 by the end of 2016.

Reference: Aviation Wire, June 19th. (in Japanese)

Peach to cancel up to 2,088 flights this summer.

On April 24th, Peach Aviation (MM/APJ) announced at a press conference held at Japan's Ministry of Land, Infrastructure, Transport and Tourism (MLIT) that they are considering canceling up to 2,088 flights from May 19th through October 25th due to pilot shortage.

Airbus A320-214 JA806P taxies for departure at Seoul's Incheon. (Photo: Ryosuke Yano)

The Osaka/Kansai (KIX/RJBB)-based LCC currently employs 108 cockpit crews, consisting of 52 Captains and 56 First Officers (Copilot), however, eight Captains are absent from work due to health-related issues, and the company's target to recruit 10 additional Captains from outside is not going as planned. Peach denied any reports that in-house training of First Officers to become Captains is failing as well as rumors of flight attendants and maintenance crew shortages.

As a result, they have already decided to cancel 448 flights from May 19th to June 30th, covering flights from Kansai to Fukuoka (FUK/RJFF), Hong Kong (HKG/VHHH), Kagoshima (KOJ/RJFK), Matsuyama (MYJ/RJOM), Okinawa/Naha (OKA/ROAH), Sapporo/New Chitose (CTS/RJCC), Sendai (SDJ/RJSS), and Seoul/Incheon (ICN/RKSI), offering full refunds as well as re-booking on other Peach-operated flights. It is estimated that 3 billion JPY of revenue would be lost. Final decisions on flights after that date will be announced on April 30th. 2,088 flights equates to 16% of their planned schedule, affecting over 26,000 passengers.

Peach CEO Shinichi Inoue told media "From now on, we will leave more room (for target misses) in recruitment and network plans, so that this never happens again." However, he reiterated that the fledgling LCC is on-track to launch its second hub at Naha on July 19th (Peach announces Naha - Fukuoka.) and its first full year profit is still expected for FY2013, which ended last month, and another year of profit for FY2014 could be reached by increasing aircraft utilization for Winter 2014/2015. Peach currently operates a dozen Airbus A320s, with another to arrive in June, and two more before March 2015.

Crew shortages for Airbus A320s; first Jetstar Japan (GK/JJP) with maintenance crews and now Peach with pilots. In historically Boeing-dominated Japan, recruiting and training staff certified for Airbuses is not catching up with demand. Opting for Boeing 737s for that reason, are executives of Spring Airlines Japan (IJ/SJO) (Spring Airlines Japan to launch services on June 27th.) smiling?

Source: Nikkei Shimbun, April 24th. (in Japanese)
Source: Asahi Shimbun, April 24th. (in Japanese)
Source: Aviation Wire, April 24th. (in Japanese)

Naha's LCC Terminal goes international.

Naha Airport's (OKA/ROAH) LCC Terminal opened to international flights today on February 10th, after CIQ (customs, immigration, quarantine) facilities were unveiled three days ago. Peach Aviation's (MM/APJ) daily Naha - Taipei/Taoyuan (TPE/RCTP) flight moved over from the airport's International Terminal. The first flight using the new facility, MM923, departed at 1257 local time with 171 passengers bound for Taoyuan.

Airbus A320-214 JA806P taxies at Okinawa's Naha Airport. (Photo: Ryosuke Yano)

In October 2012, Naha became the first Japanese airport to accommodate a terminal dedicated for LCCs, when All Nippon Airways (NH/ANA) converted a leased cargo hangar into a simple terminal. It is currently being used by Peach, minority-owned by ANA, and Vanilla Air (JW/VNL), 100%-owned by ANA. However, without CIQ until now, for its Taiwan service Peach had to bus its passengers to the LCC Terminal from the International Terminal after they had passed immigrations. 

Growing Peach has announced that its Naha hub, its second after Osaka/Kansai (KIX/RJBB), will be operational on July 19th, coinciding with the delivery of their 13th Airbus A320 and the basing of one aircraft there (Peach announces Naha - Fukuoka.). Strategically located, they intend to use the Naha hub to funnel passengers between the main islands of Japan and southeast Asia. "Our A320s cannot reach southeast Asia from Kansai, but the Naha hub would enable us to meet the growing demand to and from that region", Peach CEO Shinichi Inoue enthused. He added that Thailand and Vietnam are markets he would like to tap into "as early as possible".

Meanwhile, Naha will also open its all-new International Terminal on February 17th.

Source: Aviation Wire, February 10th. (in Japanese)