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NTLDaz
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Joined: Sun Aug 21, 2011 7:56 am

Re: Australian Aviation Thread - May 2020

Thu May 07, 2020 8:26 am

zkncj wrote:
qf2220 wrote:
eamondzhang wrote:
IIRC both JQ and TT ran $19 promotions before so honestly this is nothing new. Although this was probably 4 or 5 years ago now.

Michael


the difference then was that they were the ones without market power so really they could charge whatever they wanted. QF has market power and there are ACCC abilities to prevent market power abuses from being used in exactly this situaiton.


NZ would often either match or undercut an JQ special, $9 domestic sales aren’t unheard of on NZ/JQ, or further an field looking to Europe 1euro fares are an thing on airlines like RyanAir.

Loss leader fares aren’t an bad thing for the market, they help motivate the market.

An person picking up an $19 SYD-MEL, is still going to do good for the economy. They are definitely going to spend allot more on there trip than just the $19, which otherwise they wouldn’t of spent.

In SYD alone if they took the train they are already paying atleast $18 into NSW.


It's not about loss leader fares per se. It's about someone using predatory pricing to damage a competitor. Allowing someone to do that is not good for the market. Monopolies tend to end up nasty without strict regulation. NZ may discover that if JQ don't return.
 
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a36001
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Re: Australian Aviation Thread - May 2020

Thu May 07, 2020 10:50 am

eta unknown wrote:
UA crew in 747 days used to often fly LAX-SYD-SFO-SYD-LAX so I don't see there being really any substance to the SYD-LAX route permanently going and NZ taking their place.


The aircraft used to do that. The crew were definitely LAX>SYD>LAX & SFO>SYD>SFO there was no triangle flying. When the MEL tag was in operation the crew would do LAX>SYD overnight then SYD>MEL>SYD overnight again then SYD>LAX. :)
 
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qf2220
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 12:30 am

zkncj wrote:
qf2220 wrote:
eamondzhang wrote:
IIRC both JQ and TT ran $19 promotions before so honestly this is nothing new. Although this was probably 4 or 5 years ago now.

Michael


the difference then was that they were the ones without market power so really they could charge whatever they wanted. QF has market power and there are ACCC abilities to prevent market power abuses from being used in exactly this situaiton.


NZ would often either match or undercut an JQ special, $9 domestic sales aren’t unheard of on NZ/JQ, or further an field looking to Europe 1euro fares are an thing on airlines like RyanAir.

Loss leader fares aren’t an bad thing for the market, they help motivate the market.

An person picking up an $19 SYD-MEL, is still going to do good for the economy. They are definitely going to spend allot more on there trip than just the $19, which otherwise they wouldn’t of spent.

In SYD alone if they took the train they are already paying atleast $18 into NSW.


Thats an incredibly simplistic view of the competition equation.

The longer term impacts of competition where the competitor is prevented from accessing the market and prices increase to a monopolist level, denying the ability for many to travel and reducing their contribution to the economy is a far bigger cost.

Said another way, monopolist prices reduce the velocity of money in the economy and we are seeing first hand what that has done to spending and economic activity with the current issue.
 
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qf789
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 5:21 am

Qantas and Perth Airport feud goes up a few notches

Today Perth Airport has given Qantas two days to come to genuine and meaningful talks over unpaid fees otherwise it will terminate most of Qantas leases, that being a total of 39 leases.

Of the 39 leases, 21 are current which have all been served with breach notices for non payment, the other 18 are in "holdover" of which Perth Airport has already given 30 days notice to Qantas that these leases will not be renewed.

FIFO, repatriation and freight flights will not be impacted. From ready this I would assume Terminal 3 will remain open however I would say Terminal 4 is in jeopardy.

https://www.watoday.com.au/national/wes ... 54r5x.html

https://www.afr.com/companies/infrastru ... 508-p54r5b
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PJC62
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 5:22 am

BA, Qatar alliance for Australian flights gets the go-ahead

Not sure if many will be over the moon with this?

https://www.executivetraveller.com/news ... nt-venture
 
travelhound
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 5:43 am

Does anybody know if JQ’s first A321LR is still scheduled for a August delivery?

Could be a good news news item to create interest in air travel again.
 
myki
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 5:47 am

PJC62 wrote:
BA, Qatar alliance for Australian flights gets the go-ahead

Not sure if many will be over the moon with this?

https://www.executivetraveller.com/news ... nt-venture

If LHR-SIN-SYD is still strong and is kept, not sure what would really change much. Perhaps an addition of LHR-DOH-BNE being that QR have exhausted rights to Australia and are unable to do DOH-BNE themselves? If the stopover point is irrelevant as someone just wants to get to the other end as quickly possible, this could be a good thing with MEL-DOH-LHR (for example) being shorter than MEL-SYD (change of terminal, immigration) -DOH-LHR.
 
anstar
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 5:48 am

PJC62 wrote:
BA, Qatar alliance for Australian flights gets the go-ahead

Not sure if many will be over the moon with this?

https://www.executivetraveller.com/news ... nt-venture

I'm guessing QR and BA frequent flyers will be wrapped with this.
 
JQ321
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 5:52 am

qf789 wrote:
Qantas and Perth Airport feud goes up a few notches

Today Perth Airport has given Qantas two days to come to genuine and meaningful talks over unpaid fees otherwise it will terminate most of Qantas leases, that being a total of 39 leases.

Of the 39 leases, 21 are current which have all been served with breach notices for non payment, the other 18 are in "holdover" of which Perth Airport has already given 30 days notice to Qantas that these leases will not be renewed.

FIFO, repatriation and freight flights will not be impacted. From ready this I would assume Terminal 3 will remain open however I would say Terminal 4 is in jeopardy.

https://www.watoday.com.au/national/wes ... 54r5x.html

https://www.afr.com/companies/infrastru ... 508-p54r5b

Perth Airport is really starting to seem like bullies. This is the issue with monopolies.
 
qf002
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 6:04 am

JQ321 wrote:
Perth Airport is really starting to seem like bullies. This is the issue with monopolies.


I don't even understand what they are trying to achieve here, taking action that won't actually impact on QF? Same story with the farcical parking of diggers in front of VA aircraft a couple of weeks ago.

Either take meaningful action that forces a response from QF or just settle down and revisit the issue at a more appropriate time later in the year.
 
zkncj
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 6:30 am

qf789 wrote:
Qantas and Perth Airport feud goes up a few notches

Today Perth Airport has given Qantas two days to come to genuine and meaningful talks over unpaid fees otherwise it will terminate most of Qantas leases, that being a total of 39 leases.

Of the 39 leases, 21 are current which have all been served with breach notices for non payment, the other 18 are in "holdover" of which Perth Airport has already given 30 days notice to Qantas that these leases will not be renewed.

FIFO, repatriation and freight flights will not be impacted. From ready this I would assume Terminal 3 will remain open however I would say Terminal 4 is in jeopardy.

https://www.watoday.com.au/national/wes ... 54r5x.html

https://www.afr.com/companies/infrastru ... 508-p54r5b


So does PER want any airlines? Maybe they will do enough to try to drive QF and VA away in the short-term and of course that would workout great for them and there stage.
 
moa999
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 9:19 am

Definite power struggle going on with claims on both sides.
That should not be playing out in the press.

The claim of 8m mum and dad's superranuants is beyond silly, given those same 8m will be invested in Qantas given its index position.

In some ways it probably wouldn't be a bad option for Qantas to see some leases terminated, although problematic if things recovery quickly.

Airports statements that they aren't looking to cancel any critical leases is interesting, because if they do end up terminating leases, it presumably starts to bring up issues in another contract (that being the Perth Airport lease)

A quick Google me to the following as termination events
- the failure of the airport operator to use the airport as an airport by denying access to air transport; and
- a situation where the Civil Aviation Safety Authority (CASA) withdraws the airport operator’s aerodrome licence.

Would have though some of Nev Powers (Perth Airport Chairman) mining mates would be placing some concerned calls
 
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EK413
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Re: Australian Aviation Thread - May 2020

Fri May 08, 2020 10:17 am

This news doesn’t come as a surprise.

https://amp-smh-com-au.cdn.ampproject.o ... 54ptr.html


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VH-BZF
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Re: Australian Aviation Thread - May 2020

Sat May 09, 2020 4:00 am

https://www.thenational.ae/lifestyle/tr ... -1.1016487

I've read elsewhere that the government is planning some further charters with QF metal this coming week ex Delhi to BNE & CBR as well as charter flights from BOM to MEL & MAA to SYD.
Ansett Australia - (was) One of the worlds great airlines!
 
Captdasbomb
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Re: Australian Aviation Thread - May 2020

Sat May 09, 2020 5:38 am

moa999 wrote:
Definite power struggle going on with claims on both sides.
That should not be playing out in the press.

The claim of 8m mum and dad's superranuants is beyond silly, given those same 8m will be invested in Qantas given its index position.

In some ways it probably wouldn't be a bad option for Qantas to see some leases terminated, although problematic if things recovery quickly.

Airports statements that they aren't looking to cancel any critical leases is interesting, because if they do end up terminating leases, it presumably starts to bring up issues in another contract (that being the Perth Airport lease)

A quick Google me to the following as termination events
- the failure of the airport operator to use the airport as an airport by denying access to air transport; and
- a situation where the Civil Aviation Safety Authority (CASA) withdraws the airport operator’s aerodrome licence.

Would have though some of Nev Powers (Perth Airport Chairman) mining mates would be placing some concerned calls


FIFO flights will not be affected. Would be interesting if Twiggy buys into Virgin how Qantas will deal with the loss of FMG business & how many other miners will jump ship
 
VH-BZF
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Re: Australian Aviation Thread - May 2020

Sat May 09, 2020 7:31 am

Captdasbomb wrote:
moa999 wrote:
Definite power struggle going on with claims on both sides.
That should not be playing out in the press.

The claim of 8m mum and dad's superranuants is beyond silly, given those same 8m will be invested in Qantas given its index position.

In some ways it probably wouldn't be a bad option for Qantas to see some leases terminated, although problematic if things recovery quickly.

Airports statements that they aren't looking to cancel any critical leases is interesting, because if they do end up terminating leases, it presumably starts to bring up issues in another contract (that being the Perth Airport lease)

A quick Google me to the following as termination events
- the failure of the airport operator to use the airport as an airport by denying access to air transport; and
- a situation where the Civil Aviation Safety Authority (CASA) withdraws the airport operator’s aerodrome licence.

Would have though some of Nev Powers (Perth Airport Chairman) mining mates would be placing some concerned calls


FIFO flights will not be affected. Would be interesting if Twiggy buys into Virgin how Qantas will deal with the loss of FMG business & how many other miners will jump ship


Perth Airport behaviour is disgusting in all of this, there they are complaining of such a massive drop in traffic and passenger numbers and now acting like this to alienate your biggest customer, what a crock!
I've heard that they haven't paid Qantas for the lease they signed to buy last year and now they threatening QF with this! As mentioned by someone above, Perth airport is a monopoly in all of this and so they seem to hold and wield all the power. Hope there can be a truce and a deal brokered and quickly!

BZF
Ansett Australia - (was) One of the worlds great airlines!
 
Qf648
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Re: Australian Aviation Thread - May 2020

Sat May 09, 2020 10:35 am

moa999 wrote:
Definite power struggle going on with claims on both sides.
That should not be playing out in the press.

The claim of 8m mum and dad's superranuants is beyond silly, given those same 8m will be invested in Qantas given its index position.

In some ways it probably wouldn't be a bad option for Qantas to see some leases terminated, although problematic if things recovery quickly.

Airports statements that they aren't looking to cancel any critical leases is interesting, because if they do end up terminating leases, it presumably starts to bring up issues in another contract (that being the Perth Airport lease)

A quick Google me to the following as termination events
- the failure of the airport operator to use the airport as an airport by denying access to air transport; and
- a situation where the Civil Aviation Safety Authority (CASA) withdraws the airport operator’s aerodrome licence.

Would have though some of Nev Powers (Perth Airport Chairman) mining mates would be placing some concerned calls


Are you kidding? This is right out of Nev's playbook. But if it keeps escalating the govt thought casa will have to act.
 
qf2048
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Re: Australian Aviation Thread - May 2020

Sat May 09, 2020 11:18 pm

PJC62 wrote:
BA, Qatar alliance for Australian flights gets the go-ahead

Not sure if many will be over the moon with this?

https://www.executivetraveller.com/news ... nt-venture

When the world goes back to "normal" could BA Re route BA 15/16 LHR-DOH-SYD-DOH -LHR? Would QR be then aloud to codeshare on the BA flight giving them one more frequency they could use to start BNE?

BA could send their SYD-SIN pax on QF to meet up with BA 12 if that would better suit passengers needing a stopover in SIN.
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Obzerva
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Re: Australian Aviation Thread - May 2020

Sun May 10, 2020 1:12 am

qf2048 wrote:
PJC62 wrote:
BA, Qatar alliance for Australian flights gets the go-ahead

Not sure if many will be over the moon with this?

https://www.executivetraveller.com/news ... nt-venture

When the world goes back to "normal" could BA Re route BA 15/16 LHR-DOH-SYD-DOH -LHR? Would QR be then aloud to codeshare on the BA flight giving them one more frequency they could use to start BNE?

BA could send their SYD-SIN pax on QF to meet up with BA 12 if that would better suit passengers needing a stopover in SIN.


Given that QR was running an A380 SYD-DOH selling it without BA's help, I doubt they'd pull that flight to codeshare on BA doing instead on what would likely be a smaller aircraft just to start BNE.

QR would be better just being poised on the sidelines for a bilateral change, which could be a chance given everything's quite subject to change at the moment.

The most I could see BA codesharing on all of QR's services to Australia, and it's advantageous to have that in place, given you'd have to assume the viability of the LHR-SIN-SYD flight on BA could be reviewed post COVID19. BA might just go, well QR can do it for us. The pressure for routes to be profitable rather than just being marginal will be huge.
 
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qf789
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Re: Australian Aviation Thread - May 2020

Sun May 10, 2020 9:08 am

Thai Airways latest changes

BNE, 2 weekly 772 from 1 Jul 20
MEL, 5 weekly A359 from 1 Jul 20
PER - 3 weekly A333, from 1 Jul 20
SYD - 5 weekly 77W from 1 Jul 20

https://www.routesonline.com/news/38/ai ... t-08may20/
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EK413
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Re: Australian Aviation Thread - May 2020

Sun May 10, 2020 2:43 pm

qf789 wrote:
Thai Airways latest changes

BNE, 2 weekly 772 from 1 Jul 20
MEL, 5 weekly A359 from 1 Jul 20
PER - 3 weekly A333, from 1 Jul 20
SYD - 5 weekly 77W from 1 Jul 20

https://www.routesonline.com/news/38/ai ... t-08may20/

Are airlines publishing these schedule changes with an expectation borders will reopen?


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ben175
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Re: Australian Aviation Thread - May 2020

Sun May 10, 2020 3:12 pm

I have noticed QF has been flying 333's between MEL, SYD and BNE - does anyone know are they actually filling these flights or is it mainly for freight?

I'm flying PER-MEL sometime in the coming week and am very interested to see how full the current domestic flights are.
 
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qf2220
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 12:05 am

anstar wrote:
PJC62 wrote:
BA, Qatar alliance for Australian flights gets the go-ahead

Not sure if many will be over the moon with this?

https://www.executivetraveller.com/news ... nt-venture

I'm guessing QR and BA frequent flyers will be wrapped with this.


*rapt
 
eamondzhang
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 12:12 am

ben175 wrote:
I have noticed QF has been flying 333's between MEL, SYD and BNE - does anyone know are they actually filling these flights or is it mainly for freight?

I'm flying PER-MEL sometime in the coming week and am very interested to see how full the current domestic flights are.

Last time tried a selected few routes (MEL-SYD mostly) and it seems to me most, if not all, of these flights are pure freight flight

I can only see a few 738 flights on the random (close-by) dates I selected

Cheers,
Michael
 
tullamarine
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 12:14 am

ben175 wrote:
I have noticed QF has been flying 333's between MEL, SYD and BNE - does anyone know are they actually filling these flights or is it mainly for freight?

I'm flying PER-MEL sometime in the coming week and am very interested to see how full the current domestic flights are.

I would assume it is mainly for freight. Australia Post are really suffering at the moment with increased freight volumes but reduced air capacity. QF is the prime mover of Australia Post's cargo so have probably decided to use the A330s freight capacity to clear some of the backlog.

As I understand it, pax volumes remain very low with load factors of around 20% pretty normal.
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qf789
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 12:40 am

Not really a surprise but Qantas has told Airbus and Boeing it will not be taking delivery of A321LR’s or 789’s until the worst of Coronavirus has passed

https://www.executivetraveller.com/news ... deliveries
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VH-BZF
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 1:00 am

ben175 wrote:
I have noticed QF has been flying 333's between MEL, SYD and BNE - does anyone know are they actually filling these flights or is it mainly for freight?

I'm flying PER-MEL sometime in the coming week and am very interested to see how full the current domestic flights are.


I've heard that the A330-300's allow for max freight uplift, however also with pax flights, it allows for social distancing and uplifting more passengers than on smaller aircraft. So generally flights on the golden triangle are fully loaded to 60% to allow for the seat next door to be blocked out. An inefficient way to fly, however when the government are subsidising these flights, it can justify flying them. As mentioned above, there have also been PER-MEL/SYD A330-300's operating additional freight services due the huge backlog of parcels, mail and freight.

BZF
Ansett Australia - (was) One of the worlds great airlines!
 
ben175
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 3:19 am

VH-BZF wrote:
ben175 wrote:
I have noticed QF has been flying 333's between MEL, SYD and BNE - does anyone know are they actually filling these flights or is it mainly for freight?

I'm flying PER-MEL sometime in the coming week and am very interested to see how full the current domestic flights are.


I've heard that the A330-300's allow for max freight uplift, however also with pax flights, it allows for social distancing and uplifting more passengers than on smaller aircraft. So generally flights on the golden triangle are fully loaded to 60% to allow for the seat next door to be blocked out. An inefficient way to fly, however when the government are subsidising these flights, it can justify flying them. As mentioned above, there have also been PER-MEL/SYD A330-300's operating additional freight services due the huge backlog of parcels, mail and freight.

BZF


Glad to know, I was hoping I wouldn’t have to sit next to somebody! I will report back with loads on my transcon when I fly within the next 7 days.
 
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SCFlyer
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 3:32 am

First round bids for VAH due this Friday. The usual suspects of Bain, BGH/Temasek, Twiggy, Indigo Partners, et al should get a move on.

https://www.executivetraveller.com/news ... lar-buyers
 
tullamarine
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 3:59 am

SCFlyer wrote:
First round bids for VAH due this Friday. The usual suspects of Bain, BGH/Temasek, Twiggy, Indigo Partners, et al should get a move on.

https://www.executivetraveller.com/news ... lar-buyers

You do realise it is entirely possible that there will be nothing announced by anyone following the receipt of indicative offers. All the indicative offers will do is potentially trim down the list of interested parties; the remaining parties will then have 6 weeks to submit their binding offer. Should no commercial offers be received, which is probably unlikely at this stage, it could make the administrators decide that the adminstration process is untenable and recommend a liquidation.
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 11:31 am

tullamarine wrote:
SCFlyer wrote:
First round bids for VAH due this Friday. The usual suspects of Bain, BGH/Temasek, Twiggy, Indigo Partners, et al should get a move on.

https://www.executivetraveller.com/news ... lar-buyers

You do realise it is entirely possible that there will be nothing announced by anyone following the receipt of indicative offers. All the indicative offers will do is potentially trim down the list of interested parties; the remaining parties will then have 6 weeks to submit their binding offer. Should no commercial offers be received, which is probably unlikely at this stage, it could make the administrators decide that the adminstration process is untenable and recommend a liquidation.


That's a risk, but this is a game of chess. I wouldn't be shocked if at least one of the supposed bidders (Bain? Twiggy?) is simply waiting in the wings in the hope that nobody submits a binding offer so they can swoop in at the last second to "save" the company from liquidation for mere cents. IMHO the chance of VAH liquidating is very low, but I wouldn't be shocked if the eventual bidder offers a lot less than what the administrators would like
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QF742
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 12:06 pm

RyanairGuru wrote:
tullamarine wrote:
SCFlyer wrote:
First round bids for VAH due this Friday. The usual suspects of Bain, BGH/Temasek, Twiggy, Indigo Partners, et al should get a move on.

https://www.executivetraveller.com/news ... lar-buyers

You do realise it is entirely possible that there will be nothing announced by anyone following the receipt of indicative offers. All the indicative offers will do is potentially trim down the list of interested parties; the remaining parties will then have 6 weeks to submit their binding offer. Should no commercial offers be received, which is probably unlikely at this stage, it could make the administrators decide that the adminstration process is untenable and recommend a liquidation.


That's a risk, but this is a game of chess. I wouldn't be shocked if at least one of the supposed bidders (Bain? Twiggy?) is simply waiting in the wings in the hope that nobody submits a binding offer so they can swoop in at the last second to "save" the company from liquidation for mere cents. IMHO the chance of VAH liquidating is very low, but I wouldn't be shocked if the eventual bidder offers a lot less than what the administrators would like


Even if someone were to buy VA for cents, the debt would have to be hugely cut. No one could afford to fund VA’s debt levels and it’s only being made worse by COVID. If Deloitte don’t receive any decent offers, then as administrators they will need to decide if liquidation is in fact a better outcome for creditors.
 
timtam
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 2:24 pm

SCFlyer wrote:
First round bids for VAH due this Friday. The usual suspects of Bain, BGH/Temasek, Twiggy, Indigo Partners, et al should get a move on.

https://www.executivetraveller.com/news ... lar-buyers


This is the start of the process. This is where they work out who is serious and who is not and kick those out of the process that are not serious. Usually the first round is indicative bids based on the published information memorandum. They might have given them access to a limited data room. From this first round, they will create a shortlist who can proceed to the next round.

Typically this short list will then be allowed into the full data room and can undertake Q and A of the VA team so that they can prepare to lodge their firm bid. This is a time consuming process for everyone so you only let those who are very serious into this stage.From the second round they will select the preferred bidder and then will allow them into the black box which contains all the really confidential information about the company.

Not all processes are the same and they could shortcut it by allowing shortlisted bidders into the black box in the second round, particularly if there is nothing special inside the black box.
 
myki
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 7:22 pm

Another option for Brits to get back to the UK, and for Aussies to get back to the homelands with MEL-AUH-LHR-AUH-MEL on EY

https://www.etihad.com/en/travel-update ... it-flights
 
Aviator34ID
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 10:03 pm

Early in the shutdown QF shrank to an active domestic fleet of just 1x330, 1x737 and 1xQ400.

What is their active fleet at the moment? And International?
 
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EK413
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 11:35 pm

When I first read the title I thought it was an error but it appears both the Indigo Group & Indigo airlines are in the race to take over Virgin Australia.


https://www.executivetraveller.com/news ... st-carrier


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Whatsaptudo
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 11:44 pm

Aviator34ID wrote:
Early in the shutdown QF shrank to an active domestic fleet of just 1x330, 1x737 and 1xQ400.

What is their active fleet at the moment? And International?


I think that us a wrong interpretation of what Alan Joyce said. That fleet is all that QF was operating between Sydney and Melbourne, that specific route only. It was during a conversation about Virgin, after they announced they were stopping all flying except 1 Sydney-Melbourne service 6 days a week.
Even before the Government Minimum network began, QF was still operating around 25% of it 737 fleet.
 
Aviator34ID
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Re: Australian Aviation Thread - May 2020

Mon May 11, 2020 11:55 pm

Ok, thank you.
 
Ishrion
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 12:11 am

"Rex to challenge Qantas, Virgin Australia on capital city routes"

To launch its capital city network, Rex would seek to lease 10 single-aisle jets, either in the Airbus A320 or Boeing 737 series.

The airline believes that in the current depressed state of the air travel market, these jets would be available at very attractive rates.


https://www.executivetraveller.com/news ... hts-routes

I don't think they've ever had Airbus/Boeing aircraft in their fleet?
 
Doublecatered
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 12:19 am

According to media reports this morning, looks like Rex is seriously considering buying jets to operate the main trunk routes, positioning themselves in between QF and JQ but with a lower cost base.

Interesting times!!
 
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qf2220
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 12:33 am

REX on the capitals? I wonder if there is some sort of positioning going on here to get themselves acquired and incorporated into the new VA? Nothing like a competitive threat to get some money flowing?
 
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SCFlyer
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 12:57 am

REX mulling at expansion into capitals. Most of the article is paywalled on AFR.

Regional Express Holdings will capitalise on the turmoil from Virgin Australia’s collapse and invest $200 million launching capital city services to compete with Qantas, Jetstar and Virgin Mark II.

In a move that could harm the sale price achieved by Virgin’s administrators, the regional airline operator is working on a business plan that includes leasing 10 narrow-bodied jets as well as employing new pilots, cabin crew and ground staff.


AFR Paywall: https://www.afr.com/companies/transport ... 511-p54rvs
 
JQ321
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 1:30 am

Hopefully they won't have an issue if QANTAS operates any of the routes they operate on and not call the ACCC on them.
Interesting that it will start early next year.
Wonder why they think anyone would work for them for less than a jetstar pilot.
 
eamondzhang
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 1:40 am

JQ321 wrote:
Hopefully they won't have an issue if QANTAS operates any of the routes they operate on and not call the ACCC on them.
Interesting that it will start early next year.
Wonder why they think anyone would work for them for less than a jetstar pilot.

Or they might as well upgrade some of their current pilot to be 737/320 certified....

Michael
 
tullamarine
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 2:03 am

SCFlyer wrote:
REX mulling at expansion into capitals. Most of the article is paywalled on AFR.

Regional Express Holdings will capitalise on the turmoil from Virgin Australia’s collapse and invest $200 million launching capital city services to compete with Qantas, Jetstar and Virgin Mark II.

In a move that could harm the sale price achieved by Virgin’s administrators, the regional airline operator is working on a business plan that includes leasing 10 narrow-bodied jets as well as employing new pilots, cabin crew and ground staff.


AFR Paywall: https://www.afr.com/companies/transport ... 511-p54rvs

My uinderstanding is moving from a turbo-prop AOC to jet AOC is not necessarily an easy process. REX's predecessor Kendell did this in the '90s when they introduced the CRJ200 and found it incredibly expensive and they had access to their parent's (Ansett) experience. $200M doesn't sound anywhere near enough for such an endeavour.
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travelhound
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 2:07 am

Either way there will be plenty of pilots to choose from.

I was thinking a Queensland based airline (something like REX) flying regional Qld and Brisbane - major capital cities could also be another option. Queensland and its core industries (agriculture/resources/tourism) are all heavy reliant upon regular air transport services. There are a whole lot option that could come out in the wash.
 
SYDSpotter
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 2:10 am

Doublecatered wrote:
According to media reports this morning, looks like Rex is seriously considering buying jets to operate the main trunk routes, positioning themselves in between QF and JQ but with a lower cost base.

Interesting times!!


The plan is the lease jets rather than buy jets. The reports are that they are aiming to raise $200m to lease up to 10 aircraft. The $200m potential investment is twice their current market capitalisation!

If the domestic aviation sector is fundamentally different post COVID-19, then their plan could work. But if the market returns to how it was previously and VA emerge to be 70-80% of their original size, Rex are dead in the water IMHO. 10 aircraft just isn't going to cut it for domestic flying between the main capital cities, TigerAir couldn't make it work with a similar amount of aircraft.
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CraigAnderson
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 2:19 am

More non-paywalled stories on Rex plans for capital city flights.

https://www.executivetraveller.com/news ... hts-routes

https://www.smh.com.au/business/compani ... 54s3y.html

I realize it’s only speculation but A320neo jets would be a great point of differentiation to the Boeing 737s of QF and VA, and the idea of a ‘Euro-business class’ premium cabin won’t thrill the ardent frequent flyers but it’s totally appropriate to short trips like SYD-MEL and in keeping with affordable fares for a middle of the market carrier.
 
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CraigAnderson
Posts: 540
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 2:20 am

More non-paywalled stories on Rex plans for capital city flights.

https://www.executivetraveller.com/news ... hts-routes

https://www.smh.com.au/business/compani ... 54s3y.html

I realize it’s only speculation but A320neo jets would be a great point of differentiation to the Boeing 737s of QF and VA, and the idea of a ‘Euro-business class’ premium cabin won’t thrill the ardent frequent flyers but it’s totally appropriate to short trips like SYD-MEL and in keeping with affordable fares for a middle of the market carrier.
 
brucetiki
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Re: Australian Aviation Thread - May 2020

Tue May 12, 2020 2:24 am

Have Rex actually bought any aircraft in their time, or are still purely running on aircraft they inherited?
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