|Quoting CM (Reply 29):|
Can't afford the PDPs? QF is not in a strong financial position at present.
That's a myth. QF
is in a strong financial position with good, positive cash flows and enough profitable units to sustain them. The 787 cancellations was more about sustaining this position while they turn around International than a sign that the overall group is not in a strong financial position. It was all about preserving their investment grade credit rating which is something that very few airlines have. (Less than a handful)
|Quoting mariner (Reply 28):|
I am more interested in profitability and the cost to Qantas in terms of lost opportunity is incalculable.
Entirely agreed. A mitigation strategy executed back in 2007/2008 for A332's and 777's would have been better than waiting until 2013 for the 787.
|Quoting EK413 (Reply 30):|
So I take it management plan on switching strategy and concentrate on QF mainline domestic opposed to JQ...?
Not entirely. JQ
Asia and JQ
Japan will continue to take A320's and expand through narrowbody flying. The strategy for QF
mainline domestic has been;
- Replace the older 734's with 738's - that will be completed next year;
- Modernise and expand regional flying - done with all of the new Dash 8-400's and the retirement of a substantial number of the 200's.
- Expand into regional WA
& FIFO flying - done through both QF
mainline domestic to Karratha, Port Hedland etc and through the acquisition of Network;
- Modernise the domestic widebody fleet - this is where the 787 has Domestic down. The 767's should already be gone however what QF
are currently rolling out with the IPAD IFE etc is actually pretty good. Doing that, along with adding the 5 domestic A332's for transcon flying, and re-deploying international configured 747's & A330's has kept them competitive in key SYD
So even through the expansion of Jetstar, domestic has been a focus for Qantas and has been the profit powerhouse for the flying part of the group. I'd say the most neglected part of the group was QF
International to be honest and that probably highlights why that division got to where it was.