tiger announces heavy losses,still grounded

EMBATTLED Tiger Airways has revealed it has lost upwards of $20 million on its Australian operations so far this year as it suffered fresh blows in its bid to fly again.

The revelation coincided with news the safety watchdog is likely to seek a court order keeping the airline grounded at least into next week.

Tiger's acting chief executive Chin Yau Seng last night outlined heavy losses in Australia which dragged its Singapore parent into the red even before it was ordered to stop operating by Australia's safety watchdog.

The airline's Australian offshoot lost $18.05 million in the three months to the end of June, largely due to escalating fuel costs and the Chilean volcano fallout, then since July 1 has paid out $15.09 million on refunded sales and other revenue.

On top of that is the loss of $1.5 million a week which the airline last night conceded the grounding had cost it.

The figures came as the Civil Aviation Safety Authority stated that Tiger must re-submit safety documentation for a third time before it will consider allowing the airline to fly again, making it unlikely it will be back in the air before next week.

Mr Chin committed the airline to Australia, despite stating it had contributed to the group's $9.34 million operating loss in the three months to the end of June.

The group's Singapore arm, which flies throughout Asia, made a profit of $5.8 million

He said Tiger put safety as its first priority and was fully committed to its Australian operation.

It would not "pull the plug'' at any time.

The Civil Aviation and Safety Authority (CASA) grounded Tiger's 10 Australian-based Airbus A320s on July 1.

He said he was not in a position to comment on reports that Tiger?s Australia destinations would be cut back to five locations ? Perth, Adelaide, Brisbane, Sydney and the Gold Coast ? from Melbourne.

He also would not comment on whether Tiger may transfer some of its 10 Australian aircraft back to Singapore to supplement its expanding Asian routes.

In another blow, CASA has identified extra problems with the Tigers's documentation.

Both CASA and Tiger are due back in the Federal Court in Melbourne tomorrow, where it is likely an extension will be sought to the order grounding Tiger which was granted on July 7, six days after CASA initially ordered the airline out of the skies.

CASA grounded Tiger's 10 Australian-based Airbus A320s on July 1.

CASA is awaiting Tiger to submit the relevant safety documentation to the satisfactory standard.