Viva Macau

In 1994, the Macau Government attracted a consortium of investors to start Air Macau with the promise of a 25-year monopoly concession. The carrier set up as a connecting airline for flights between China and Taiwan primarily as well as other Southeast Asian countries.

Under a sub-concession arrangement with Air Macau, Viva Macau launched new routes from Macau in 2006, pioneering the concept of LCC-type low-cost, long-haul services.[http://www.thestandard.com.hk/news_detail.asp?pp_cat=11&art_id=33131&sid=11136202&con_type=1&d_str=20061201&sear_year=2006 “Viva offers are no flights of fancy,” The Standard, 1 December 2006] Despite Air Macau holding the exclusive concession on all air routes out of Macau, after lengthy negotiations, the government agreed to license the new airline on the condition that any routes Viva Macau wanted to operate had first to be approved by Air Macau.

In the years that followed, Viva expanded service with new routes from Macau to Indonesia, Vietnam, Japan and Australia.[http://www.thestandard.com.hk/news_detail.asp?pp_cat=48&art_id=62494&sid=17907214&con_type=1&d_str=20080305&sear_year=2008 "Forging regional connections," The Standard, 5 March 2008][http://www.smh.com.au/travel/travel-news/asian-carrier-punts-on-melbourne-route-20091210-klec.html "Asian carrier punts on Melbourne route," Sydney Morning Herald, 10 December 2009] Viva Macau was named the “New Airline of the Year” in November 2007 by the Centre for Asia Pacific Aviation, due in part to its contribution to the development of the aviation industry and tourism in Macau and across Asia.[http://www.traveldailynews.com/pages/show_page/23213 "Viva Macau awarded CAPA new airline of the year 2007," Travel Daily News, 1 November 2007]

In September 2009, Viva Macau was voted in the “Top 10 Budget Airlines” by the readers of SmartTravelAsia.com for the second consecutive year.[http://www.smarttravelasia.com/travelpoll.htm#Sairlines “Best Asian Travel Brands 2009 – Best Budget Airlines, Asia,” SmartTravelAsia.com] Also in September 2009, Viva Macau become the first Macau-based airline to receive certification from the Macau Civil Aviation Authority (AACM) for Extended Twin Engine Operations (ETOPS). ETOPS is the global standard for efficient long-distance flight operations.

Due to Macau's limited workforce, the company employed staff from 28 different countries as well as local labor.

After the 2008 financial crisis, the company struggled financially and the Macau SAR government provided financial support to the airline. During 2008–2009, the Macau SAR government lent Viva Macau MOP200 million to help improve the airline's sustainability after taking similar action to rescue Air Macau.[http://www.macaunews.com.mo/index.php?option=com_content&task=view&id=735&Itemid=5|“Viva Macau takes US$ 25 million government loan amid financial crisis,” Macau News, 20 Jan 2010]

On 28 March 2010, the Civil Aviation Authority of Macau ordered Air Macau to cancel its sub-concession agreement with Viva Macau, alleging that Viva Macau failed to adequately assist passengers affected by flight delays and cancellations. The government then quickly revoked Viva Macau's Air Operator's Certificate saying that without a sub-concession, the airline was not compliant with the requirements for public air transport services.[http://www.gov.mo/egi/Portal/rkw/public/view/showcomp.jsp?id=InfoShowTemp&docid=c373e9278fecf8b08f6f03cb7021044a Announcement from the Civil Aviation Authority of Macau SAR (AACM)] The action is currently under appeal in the Macau courts and has raised questions for foreign investors regarding Macau's regulatory environment. The Macau SAR government provided assistance to passengers who were stranded because of the suspension of Viva Macau's operations.[http://www.macaudailytimes.com.mo/macau/10666-Viva-Macaus-eliminated.html Viva Macau’s eliminated] Viva Macau did plan to resume operations on the 2 April but those plans fell through.[http://www.flightglobal.com/articles/2010/03/30/340070/viva-macau-aims-to-restart-flights-on-2-april.html Viva Macau aims to restart flights on 2 April]

In April 2010 Viva commenced an administrative appeal in Macau's courts against the revocation of its license by the Macau government. The appeal was initially rejected by the Macau courts, claiming no involvement by the government.[http://www.macaudailytimes.com.mo/macau/22515-Courts-will-review-Vivas-grounding.html Courts will review Viva’s grounding, Macau Daily Times, February 23 2011] Members of US Congress and US State Department called attention to the case, noting that it involved the expropriation of the US investors in Viva Macau.[http://www.macaudailytimes.com.mo/macau/22304-State-Department-probe-Viva-Macau-demise.html US State Department to probe Viva Macau demise, Macau Daily Times, February 17 2011] In February 2011, the Macau supreme court overturned earlier rejections, allowing the administrative appeal to proceed and requiring public hearings for the Viva Macau case. According to the Macau court registry website the Viva Macau hearings were scheduled for May/June 2012.[http://www.court.gov.mo/ Macau Court Official Website]

The Viva Macau case comes at a time of increasing questions about the rule of law in Macau. In October 2011, the chairman of the local supreme court publicly criticized the Macau government, citing poor decision making in many administrative procedures “resulting from lack of knowledge about the laws and regulations.” [http://www.macaudailytimes.com.mo/macau/30662-Head-courts-criticises-administrative-decisions.html “Head of Macau Court Criticises Government Decisions,” Macau Daily Times, October 20 2011] The head of the Macau Legal Association cited concerns about bias in the Macau courts in favor of the local government in administrative appeal cases.[http://www.macaudailytimes.com.mo/macau/35907-courts-show-inclination-towards-government.html “Courts show inclination towards Government,” Macau Daily Times, May 17 2012] And, the US Consul General for Hong Kong and Macau publicly highlighted the need for an equitable environment for US businesses, with a transparent rule of law guaranteeing investor rights.[http://hongkong.usconsulate.gov/cg_sy2012050301.html U.S. Consulate in Hong Kong & Macau, Consul General’s May 3 2012 speech transcript][http://www.macaubusiness.com/news/macau-needs-%E2%80%98equitable-business-environment%E2%80%99/15658/ “Macau needs ‘equitable business environment’,” Macau Business, April 19 2012]

Hearings began on May 31, 2012, focusing on the actions of Macau's Secretary for Transport and Public Works, Lau Si Io, who acted with disregard for established official procedures. Viva Macau's former director of engineering, Yok Cheow Lee, is quoted as saying that in his 40 years in the aviation industry he had not “come across any airline being terminated suddenly without a warning and a period of time to justify [why it was having problems].”[http://www.macaubusiness.com/news/viva-macau%E2%80%99s-licence-revoke-%E2%80%98shocking%E2%80%99/16534/ “Viva Macau license revoke ‘shocking’", Macau Business] Air Macau stated during the first hearing that it had to terminate the sub-concession contract due to government pressure.

Meanwhile, Macau's aviation sector continues to lag after the termination of Viva Macau. In November 2011 Air Macau received an additional US$90 million injection from the Macau government; instead of expanding routes it purchased a fleet of Mercedes Benz limousines.[http://www.macaubusiness.com/news/luxury-ride/15270/ “Luxury ride,” Macau Business, April 5 2012][http://www.macaudailytimes.com.mo/macau/35907-courts-show-inclination-towards-government.html “Courts show inclination towards Government,” Macau Daily Times, May 17 2012] Due to a lack of operating airlines at Macau Airport, the government was forced to bail out the Macau Airport with a US$240 million injection in spring 2012.[http://www.macaudailytimes.com.mo/macau/35836-cam-raised-1-95-billion-to-repay-loans.html “Macau Airport (CAM) raised US$240MM (MOP1.95 billion) to repay loans,” Macau Daily Times, May 15 2012]

The de facto national carrier of Macau, Air Macau, had concluded a licensing agreement that allowed Viva Macau to operate (since Air Macau owns the air-traffic rights to destinations that Viva Macau intended to fly to). In addition, Viva Macau was negotiating further co-operation with Air Macau in the form of joint marketing or codesharing. The two airlines were not expected to compete with each other while Air Macau continued to concentrate on short-haul full-service routes, especially domestic flights to People's Republic of China and Republic of China.

File:B-mav.jpg (B-MAV).]]

File:B-maw.jpg (B-MAW).]]

In its short history, Viva Macau had changed its destinations depending on consumer demand. The airline also operated a number of charter flights to Japan, including Tokyo. It was likely that their routes would have been expanded in the future (including the possibility of scheduled service to Tokyo via Ibaraki Airport).

Viva Macau operated the following Boeing aircraft (at 28 March 2010):[http://www.ch-aviation.ch/aircraft.php?search=set&airline=MAU&al_op=1 Viva Macau Fleet - CH-Aviation]{{cite web |url=http://www.flyvivamacau.com/en/on_board/ |title=Welcome to Viva Macau - On Board |website=www.flyvivamacau.com |url-status=dead |archive-url=https://web.archive.org/web/20061020021319/http://www.flyvivamacau.com/en/on_board/ |archive-date=2006-10-20}}

The acquisition of more aircraft was planned, building up to a fleet of 10-15 aircraft within five years.

Viva Macau operated a two-class service – Economy Class and Premium Class. Checked luggage is not included in the ticket price for Economy passengers – they may purchase up to {{Convert|15|kg|lb}} of luggage allowance on check-in. Economy offers {{convert|32|in|cm}} of seat pitch and buy-on-board meal service. Premium passengers receive {{convert|55|in|cm}} of seat pitch and free meals as well as {{convert|30|kg|lb}} of checked luggage included in the ticket price.

{{Portal|Aviation|Companies}}

• Transport in Macau
• Macau International Airport
• AirAsia X

{{reflist}}

• [https://web.archive.org/web/20120305015826/http://www.japannewsreview.com/travel/20071218page_id=3494 Low-cost airlines making their way to Japan] - [http://www.japannewsreview.com/ Japan News Review] 18/12 2007
• [https://web.archive.org/web/20071222121426/http://www.flyvivamacau.com/en/content/index.php?tag=PressRoom_20071031 Viva Awarded CAPA New Airline of The Year 2007] -

{{Commons category}}

• [https://web.archive.org/web/20080517031452/http://www.flyvivamacau.com/ Viva Macau official site]
• [http://gohongkong.about.com/od/daytrips/a/VivaMacau.htm Profile of Viva Macau]
• [http://www.ab9il.net/avgallery/photo6.html Viva Macau cabin and cockpit photos]

{{Navbox Airlines of Macau}}

{{Navbox Airlines of the People's Republic of China}}

{{Transport in China}}

Category:Defunct airlines of Macau

Category:Defunct low-cost airlines

Category:Airlines established in 2005

Category:Airlines disestablished in 2010

Category:Defunct airlines of China

Category:1995 establishments in Macau

Category:2010 disestablishments in Macau