HAVIK747
Topic Author
Posts: 92
Joined: Fri Apr 09, 2004 6:46 am

QF Vs JetStar Vs Australian

Wed Dec 14, 2005 8:58 am

Does anyone know how JetStar's proposed international expansion will effect Australian Airlines international services ... 3 QF invested international carriers ... a bit odd
 
cragley
Posts: 391
Joined: Tue Jul 20, 2004 6:09 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 9:35 am

The whole Jetstar Intl expansion was a bit of a shock considering that Australian Airlines made a loss for the financial year while Jetstar was profitable. I thought that they would have merged Jetstar and Australian into the 1 entity as they both serve the same market, Leisure.

The other idea is that Jetstar will serve leisure destinations, while Australian Airlines will serve cities that Qantas can not operate profitably to, ex: KUL, ICN bla bla bla.
 
RichardJF
Posts: 565
Joined: Tue Mar 06, 2001 7:07 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 9:41 am

The general idea is that QF realised that expanding Qantas with it's high cost structure was unrealistic especially in lower yielding tourist markets.
So they set up AO. However once they took over Impulse airlines a small Australian domestic carrier they realised it had even lower wages and conditions. So as a way of combating Virgin Blue they set up Jetstar off the Impulse base.
The intention now is to get the Qantas longhaul wages and conditions at the Jetstar International level.
It's likely that once the strategy has played out the Jetstar International brand will get phased out and they'll all be Qantas.
 
miami1
Posts: 652
Joined: Wed Feb 28, 2001 10:31 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 1:59 pm

I good way to look at it is to view AO as like the 'QantasLink' of long haul. It is full service but flies to secondary destinations.

Jetstar is Jetstar - a true LCC.
 
Simpilicity
Posts: 881
Joined: Mon Oct 31, 2005 4:21 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 3:11 pm

Quoting RichardJF (Reply 2):
It's likely that once the strategy has played out the Jetstar International brand will get phased out and they'll all be Qantas.

I think AO will be phased out & AO staff will be offered jobs at Jetstar INT at lower wages.
 
RichardJF
Posts: 565
Joined: Tue Mar 06, 2001 7:07 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 3:23 pm

With the new purchases QF's going to be geared up. 1500 managers plenty of debt, high costs. $1bn annual profit mostly off domestic.
 
miami1
Posts: 652
Joined: Wed Feb 28, 2001 10:31 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 3:35 pm

Simplicity -
AO pilots are on contract from QF.

The cabin crew EBA is very similar to what is proposed for JQ Int - should it involve Australian based employees. The AO Cabin Crew EBA II is completely bare bones. There is no guarantee that JQ Int will not be crewed by overseas based crew.

JQ domestic pilots have just refused the inital offer from Jetstar to operate International services. It is too low.

I have heard rumour that one plan may be to operate AO in QF colours with Y and Y+. Flights would be Qantas (operated by Australian). Either way Australian operates in a niche market. Their Japan flights are not suited to Jetstar's model.
 
Simpilicity
Posts: 881
Joined: Mon Oct 31, 2005 4:21 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 3:52 pm

Quoting Miami1 (Reply 6):
JQ domestic pilots have just refused the inital offer from Jetstar to operate International services. It is too low.

Yes so the pressure is on to reduce wages !!! Foreign crews for Jetstar Int. would surely be a definite, as I here some Thai crews (not necessarily TG) get 10% of what QF flight attendants get !!! Even putting them up for a night at a cheap 2 or 3 star hotel in Australia would still work out a lot cheaper than Australian crews.
 
Gemuser
Posts: 4403
Joined: Mon Nov 24, 2003 12:07 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 6:01 pm

Quoting RichardJF (Reply 5):
With the new purchases QF's going to be geared up. 1500 managers plenty of debt, high costs. $1bn annual profit mostly off domestic.

Put a sock in it!

Quote from:
http://www.qantas.com.au/regions/dyn.../details?ArticleID=2005/dec05/3369

The Chairman of Qantas, Ms Margaret Jackson, said Qantas intended to fund the purchase of the new aircraft from operating cash flow.

That means NO debt to pay for the planes.

Gemuser
DC23468910;B72172273373G73873H74374475275376377L77W;A319 320321332333343;BAe146;C402;DHC6;F27;L188;MD80MD85
 
Simpilicity
Posts: 881
Joined: Mon Oct 31, 2005 4:21 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 7:20 pm

Quoting Gemuser (Reply 8):
Jackson, said Qantas intended to fund the purchase of the new aircraft from operating cash flow.

So lots more sackings coming up fast !!! Unions r guna love that. Looks like we guna have a big QF strike !!! Great for the share price !!!
 
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ClassicLover
Posts: 3980
Joined: Tue Mar 09, 2004 12:27 pm

RE: QF Vs JetStar Vs Australian

Wed Dec 14, 2005 11:49 pm

Quoting Simpilicity (Reply 9):
So lots more sackings coming up fast !!! Unions r guna love that. Looks like we guna have a big QF strike !!! Great for the share price !!!

How do you figure that when the airline is expanding? Get back to me when you pull your head out of the sand.

Trent.
I do quite enjoy a spot of flying - more so when it's not in Economy!
 
Simpilicity
Posts: 881
Joined: Mon Oct 31, 2005 4:21 pm

RE: QF Vs JetStar Vs Australian

Thu Dec 15, 2005 5:39 pm

Quoting ClassicLover (Reply 10):
How do you figure that when the airline is expanding? Get back to me when you pull your head out of the sand.

Expanding? What r they going to do use Chinese crews they are about the cheapest u can get !!!
 
anstar
Posts: 2882
Joined: Sun Nov 23, 2003 3:49 am

RE: QF Vs JetStar Vs Australian

Sun Dec 18, 2005 8:29 pm

Quoting Simpilicity (Reply 11):
ing ClassicLover (Reply 10):
How do you figure that when the airline is expanding? Get back to me when you pull your head out of the sand.

Expanding? What r they going to do use Chinese crews they are about the cheapest u can get !!!

QF will most likely use Aussie based crews, but with a much lower and more realistic salary than current QF long haul Flight Attendants.

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