Eastar Jet announced on the 12th that it will improve its financial structure through a large-scale capital increase and strengthen its foundation for future growth by introducing new aircraft and expanding investments in safety.
Eastar Jet plans to complete a capital increase of 60 billion won within this month. The funds will be primarily allocated to expanding investments for the introduction of B737-8 new aircraft, which will be sequentially introduced starting in the second half of this year, as well as to establish a consolidated maintenance center and improve the crew training system, focusing on aviation safety investments.
The airline plans to maintain the youngest age among domestic low-cost carriers (LCCs) by introducing only new aircraft rather than used ones. As a result, the in-flight comfort is also expected to significantly improve.
Currently, 5 of the aircraft owned by Eastar Jet, which is one-third of its fleet, are next-generation eco-friendly B737-8 aircraft. This model has improved fuel consumption by approximately 15% compared to the transfer model of the previous generation (B737-800), achieving fuel cost reduction and carbon emission reduction.
Eastar Jet plans to additionally introduce 5 B737-8 aircraft by the end of this year’s second half, maximizing its cost competitiveness through reduced fuel and maintenance costs.
Since VIG Partners acquired 100% equity in 2023, Eastar Jet has been aggressively introducing aircraft based on financial support and past operational know-how to expand its market share.
Despite the unstable oil prices, exchange rates, and various external variables, the company achieved operating profit in the first quarter, and in the second half, it plans to focus on maximizing profitability based on economies of scale through aircraft introductions.
An Eastar Jet official noted, "Through a large-scale capital increase, we will secure financial soundness while particularly focusing on the introduction of new aircraft and investments related to aviation safety," adding, "In the second half of this year, we expect to strengthen profitability by securing routes that are anticipated to be transferred with the launch of a consolidated airline."