Jeju Air Turns 19 "Secures Overwhelming Cost Competitiveness"

12% Cost Reduction Through Direct Aircraft Purchase

Jeju Air, celebrating its 19th anniversary, emphasized its commitment to enhancing core competitiveness amid significant uncertainties. The airline plans to secure overwhelming cost competitiveness through fleet modernization and respond to the restructuring of the aviation industry.

On the 25th, Jeju Air announced that CEO Kim I-bae highlighted these points at the 19th anniversary event held the previous afternoon at Jeju Air's Seoul branch in Gangseo-gu, Seoul, under the theme "I am J, Going Strong." CEO Kim stated, "In a time of greater uncertainty than any other year due to unclear international affairs, the economy, and the restructuring of the aviation industry, we must respond swiftly and dynamically," adding, "We will enhance Jeju Air's unique core competitiveness to build a foundation for a greater leap forward."

He particularly emphasized acquiring next-generation aircraft to achieve overwhelming cost competitiveness compared to competitors. CEO Kim explained, "The fuel efficiency of next-generation aircraft shows an 18% reduction compared to the existing fleet," and added, "Our fleet operation strategy based on direct purchases brings revolutionary cost structure improvements compared to the previous operating lease method, enabling about a 12% cost reduction despite the initial cost burden for introducing purchased aircraft." He also stressed that such investments are something no competitor can make.

Alongside this, Jeju Air plans to pursue ▲ concretizing response strategies to the aviation industry restructuring and focusing company-wide capabilities ▲ realizing investment effects for management efficiency such as IT advancement ▲ and building a healthy organizational ecosystem.

He also expressed gratitude to employees who have navigated through the post-COVID-19 situation. He said, "Last year, we successfully accomplished challenges such as establishing a foundation for management normalization, building stable revenue models in the hotel business and ground handling sectors, launching a new brand campaign, strengthening ESG (environment, social, and governance) management, and obtaining Customer-Centered Management (CCM) certification," adding, "this was all thanks to the efforts of our employees who fulfilled their duties in their respective positions despite the difficult environment."

This content was produced with the assistance of AI translation services.