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VCVSpotter
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 8:40 pm

ZK-NBT wrote:
RainerBoeing777 wrote:
which routes Qantas will eliminate with the departure of the A380 it is impossible for the 14 B787s to replace the B747 & A380


Possibly none, maybe 1-2 ex BNE/MEL to focus on SYD again. It’s not impossible for the 14 787s to replace free A380 and 744 even the 787 isn’t flying atm.

Realistically not all the routes are going to restart at the same time though either, while there is a chance the A380 will come back at least some of them.


I agree that they would likely be able to find a way to cover everything, maybe downgrade some cities (not 100% familiar with the entire QF network so can't comment which ones) to smaller aircraft (A330 series) while the longer routes such as LAX go to 789. Then just operate the frequencies so that the aircraft can be flying all the time, but to different cities instead of something like a daily flight to most destinations. If they really need to, they could probably accelerate their 789s because of all the deferrals that most airlines will be doing (both now and the future).
https://docs.google.com/spreadsheets/d/ ... edit#gid=0

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744SPX
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 8:54 pm

Those six 744ER's would be perfect for conversion to firefighting supertankers
 
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MoKa777
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 9:00 pm

744SPX wrote:
Those six 744ER's would be perfect for conversion to firefighting supertankers


Yeah, I would love to see the 744ERs live on in some way
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PhilMcCrackin
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 9:32 pm

Damn.

100 airplanes is half of the combined Qantas/Jetstar fleet. I'm highly skeptical we'll see any of those A380s come back. Does QF own those outright or are they leased/financed?

Such a sad way to end the 747 era at Qantas.
 
blooc350
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 9:32 pm

The irony in this is they just celebrated their 100 year anniversary.

https://www.youtube.com/watch?v=rLq8if1nkTM&t=1s
 
travelhound
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 10:12 pm

PhilMcCrackin wrote:
Damn.

100 airplanes is half of the combined Qantas/Jetstar fleet. I'm highly skeptical we'll see any of those A380s come back. Does QF own those outright or are they leased/financed?

Such a sad way to end the 747 era at Qantas.


The A380's were financed through syndicated loans. Unfortunately, we don't know the loan terms, but if we use 12-year terms as a datum, aircraft should start coming off finance latter this year.

Either way, these aircraft have been largely paid for.

I think the issue for these aircraft revolve around the book values and the impact a write down would have on the QANTAS asset register.

Just some quick numbers using my QANTAS data base.

The current value of the QANTAS fleet (less interiors and spares) and excluding QANTASlink and Jetstar is somewhere around the $5 billion mark.The A380's represent nearly 22% of that total valuation with the aircraft having a current valuation close to $1.1 billion. To put this into perspective, the 737-800 fleet, the workhorse of the very profitable domestic operations have a valuation close to $1.3 billion.

The problem for QANTAS revolves around their owned and financed assets. My numbers suggest owned aircraft / equity in aircraft have valuations close to $4 billion meaning the A380's represent around 28% of the value of those assets. If we consider some of the A330's and 737's may be returned to lessors early (resulting in a book loss of asset), QANTAS could find themselves in a situation where they are in breach of finance contract covenants provisions.

I suspect one of the reasons for the share placement issue revolved around minimum equity provisions of their finance contracts. Simply, the share placement allowed the airline to raise cash, whilst at the same time meet minimum equity requirements. I suspect QANTAS does not need cash or cash equivalents (at this stage) close to $4.7 billion, so from this perspective QANTAS have probably restructured their whole business and subsequently financing arrangements around a substantially smaller airline and asset valuation base.

A write off aircraft assets would more than likely result in a substantial book loss. the book loss can be used to offset cash profits once the industry recovers. As such, it is probably a very prudent decision to write off assets that have limited economic value, as at some stage these airlines are going to need to generate as much cash they possibly can to pay of the debt they will amass during the pandemic.
 
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LAXintl
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 10:54 pm

Guess part of cuts is letting go of staff at their LAX hangar. With no flights, no need for the mechanics.
The lease on hangar runs till 2037. Let's see of QF keeps it for future use, or tries to sublease, or exit the lease entirely since it was designed around providing A380 checks.
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redroo
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 11:05 pm

travelhound wrote:
PhilMcCrackin wrote:
Damn.

100 airplanes is half of the combined Qantas/Jetstar fleet. I'm highly skeptical we'll see any of those A380s come back. Does QF own those outright or are they leased/financed?

Such a sad way to end the 747 era at Qantas.


The A380's were financed through syndicated loans. Unfortunately, we don't know the loan terms, but if we use 12-year terms as a datum, aircraft should start coming off finance latter this year.

Either way, these aircraft have been largely paid for.

I think the issue for these aircraft revolve around the book values and the impact a write down would have on the QANTAS asset register.

Just some quick numbers using my QANTAS data base.

The current value of the QANTAS fleet (less interiors and spares) and excluding QANTASlink and Jetstar is somewhere around the $5 billion mark.The A380's represent nearly 22% of that total valuation with the aircraft having a current valuation close to $1.1 billion. To put this into perspective, the 737-800 fleet, the workhorse of the very profitable domestic operations have a valuation close to $1.3 billion.

The problem for QANTAS revolves around their owned and financed assets. My numbers suggest owned aircraft / equity in aircraft have valuations close to $4 billion meaning the A380's represent around 28% of the value of those assets. If we consider some of the A330's and 737's may be returned to lessors early (resulting in a book loss of asset), QANTAS could find themselves in a situation where they are in breach of finance contract covenants provisions.

I suspect one of the reasons for the share placement issue revolved around minimum equity provisions of their finance contracts. Simply, the share placement allowed the airline to raise cash, whilst at the same time meet minimum equity requirements. I suspect QANTAS does not need cash or cash equivalents (at this stage) close to $4.7 billion, so from this perspective QANTAS have probably restructured their whole business and subsequently financing arrangements around a substantially smaller airline and asset valuation base.

A write off aircraft assets would more than likely result in a substantial book loss. the book loss can be used to offset cash profits once the industry recovers. As such, it is probably a very prudent decision to write off assets that have limited economic value, as at some stage these airlines are going to need to generate as much cash they possibly can to pay of the debt they will amass during the pandemic.


Thanks!

Pre Covid it was becoming clear that the A380s had little value - no more new ones; airlines dumping them; no secondhand market; etc. It was only a matter of time I thought before they’d have to be written down.

Better to take the pain now in the bad year than drag it out into more profitable times.
 
RainerBoeing777
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 11:07 pm

VCVSpotter wrote:
ZK-NBT wrote:
RainerBoeing777 wrote:
which routes Qantas will eliminate with the departure of the A380 it is impossible for the 14 B787s to replace the B747 & A380


Possibly none, maybe 1-2 ex BNE/MEL to focus on SYD again. It’s not impossible for the 14 787s to replace free A380 and 744 even the 787 isn’t flying atm.

Realistically not all the routes are going to restart at the same time though either, while there is a chance the A380 will come back at least some of them.


I agree that they would likely be able to find a way to cover everything, maybe downgrade some cities (not 100% familiar with the entire QF network so can't comment which ones) to smaller aircraft (A330 series) while the longer routes such as LAX go to 789. Then just operate the frequencies so that the aircraft can be flying all the time, but to different cities instead of something like a daily flight to most destinations. If they really need to, they could probably accelerate their 789s because of all the deferrals that most airlines will be doing (both now and the future).


LAX-SYD
LAX-MEL
DFW-SYD
if they go to B787 more planes would be needed

MEL-PER-LHR
SFO-SYD
BNE-LAX-JFK
SCL-SYD
JNB-SYD

These routes cover most of the B787 fleet, QF would need more aircraft
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QF744ER
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 11:49 pm

Don't underestimate how capable the A330 fleet is, remember several of the A332's were up-rated to operate LAX flights a number of years ago. The A333's are also incredibly versatile birds, whether it be hauling pax/freight or both. They can also operate PER-JNB-PER flights.

Thinking outside the box, there's no reason why QF9/10 couldn't operate via possibly DXB linking into EK's hub for onward connections with an A330. The recovery time is already built into the current slot at LHR with an early morning arrival and lunchtime departure.
 
32andBelow
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Thu Jun 25, 2020 11:58 pm

QF744ER wrote:
Don't underestimate how capable the A330 fleet is, remember several of the A332's were up-rated to operate LAX flights a number of years ago. The A333's are also incredibly versatile birds, whether it be hauling pax/freight or both. They can also operate PER-JNB-PER flights.

Thinking outside the box, there's no reason why QF9/10 couldn't operate via possibly DXB linking into EK's hub for onward connections with an A330. The recovery time is already built into the current slot at LHR with an early morning arrival and lunchtime departure.

I don’t think it really makes sense to not operate lax with a380. Historically they can fill it and then some.
 
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 12:53 am

32andBelow wrote:
QF744ER wrote:
Don't underestimate how capable the A330 fleet is, remember several of the A332's were up-rated to operate LAX flights a number of years ago. The A333's are also incredibly versatile birds, whether it be hauling pax/freight or both. They can also operate PER-JNB-PER flights.

Thinking outside the box, there's no reason why QF9/10 couldn't operate via possibly DXB linking into EK's hub for onward connections with an A330. The recovery time is already built into the current slot at LHR with an early morning arrival and lunchtime departure.

I don’t think it really makes sense to not operate lax with a380. Historically they can fill it and then some.


Look at what Alan Joyce said. Qantas are expecting international travel to be nil for the next 12 months at least,.and don't expect traffic to recover for many years after that. That might sound pessimistic, but he also said that isn't even their worse case scenario. From their modelling they really don't need the capacity for the next several years.
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 1:05 am

RyanairGuru wrote:

Look at what Alan Joyce said. Qantas are expecting international travel to be nil for the next 12 months at least,.and don't expect traffic to recover for many years after that. That might sound pessimistic, but he also said that isn't even their worse case scenario. From their modelling they really don't need the capacity for the next several years.

I believe he also said it's hopeful they will have the Trans Tasman bubble by next July. Thats a long way away.
 
ZK-NBT
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 2:25 am

RainerBoeing777 wrote:
VCVSpotter wrote:
ZK-NBT wrote:

Possibly none, maybe 1-2 ex BNE/MEL to focus on SYD again. It’s not impossible for the 14 787s to replace free A380 and 744 even the 787 isn’t flying atm.

Realistically not all the routes are going to restart at the same time though either, while there is a chance the A380 will come back at least some of them.


I agree that they would likely be able to find a way to cover everything, maybe downgrade some cities (not 100% familiar with the entire QF network so can't comment which ones) to smaller aircraft (A330 series) while the longer routes such as LAX go to 789. Then just operate the frequencies so that the aircraft can be flying all the time, but to different cities instead of something like a daily flight to most destinations. If they really need to, they could probably accelerate their 789s because of all the deferrals that most airlines will be doing (both now and the future).


LAX-SYD
LAX-MEL
DFW-SYD
if they go to B787 more planes would be needed

MEL-PER-LHR
SFO-SYD
BNE-LAX-JFK
SCL-SYD
JNB-SYD

These routes cover most of the B787 fleet, QF would need more aircraft


Of course they may need more aircraft in future but remember not all routes will resume at once either.

AJ is still hopeful in Project sunrise though it will likely now be delayed by years, so there when demand picks up is the option to order A35Js and also return a small number of A380s to service, if they Brough 6 A380s back they would do SYD-LAX and SYD-SIN-LHR if they ever comes back.
 
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 2:28 am

QF744ER wrote:
Don't underestimate how capable the A330 fleet is, remember several of the A332's were up-rated to operate LAX flights a number of years ago. The A333's are also incredibly versatile birds, whether it be hauling pax/freight or both. They can also operate PER-JNB-PER flights.

Thinking outside the box, there's no reason why QF9/10 couldn't operate via possibly DXB linking into EK's hub for onward connections with an A330. The recovery time is already built into the current slot at LHR with an early morning arrival and lunchtime departure.


A332s ran AKL-LAX for a while, some of the newest ones may make BNE-LAX in a low density configuration?

They could do as you say JNB via PER, personally LHR would be via PER first before DXB was even considered. I get it maybe a temp option if there is an aircraft shortage in future.
 
F9Animal
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 2:44 am

I feel so bad for any airline employee right now. It has to be stressful in this environment for almost all airline employees. Qantas IMO will be around after the dust settles. I have always admired their culture, and their leadership. I really hope this isn't the end of their 380 though. I would think they might keep a few for when things pick up again. Especially their SYD to LAX runs.

It is just so shocking how fast this happened. Having been through the industry when 9/11 happened, I really thought it was going to be much more devastating than what it was. Seems like things rebounded fairly quick from that.

What we see happening today feels worse than what 9/11 was. Talk about depressing times.
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airzona11
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 2:48 am

travelhound wrote:
PhilMcCrackin wrote:
Damn.

100 airplanes is half of the combined Qantas/Jetstar fleet. I'm highly skeptical we'll see any of those A380s come back. Does QF own those outright or are they leased/financed?

Such a sad way to end the 747 era at Qantas.


The A380's were financed through syndicated loans. Unfortunately, we don't know the loan terms, but if we use 12-year terms as a datum, aircraft should start coming off finance latter this year.

Either way, these aircraft have been largely paid for.

I think the issue for these aircraft revolve around the book values and the impact a write down would have on the QANTAS asset register.

Just some quick numbers using my QANTAS data base.

The current value of the QANTAS fleet (less interiors and spares) and excluding QANTASlink and Jetstar is somewhere around the $5 billion mark.The A380's represent nearly 22% of that total valuation with the aircraft having a current valuation close to $1.1 billion. To put this into perspective, the 737-800 fleet, the workhorse of the very profitable domestic operations have a valuation close to $1.3 billion.

The problem for QANTAS revolves around their owned and financed assets. My numbers suggest owned aircraft / equity in aircraft have valuations close to $4 billion meaning the A380's represent around 28% of the value of those assets. If we consider some of the A330's and 737's may be returned to lessors early (resulting in a book loss of asset), QANTAS could find themselves in a situation where they are in breach of finance contract covenants provisions.

I suspect one of the reasons for the share placement issue revolved around minimum equity provisions of their finance contracts. Simply, the share placement allowed the airline to raise cash, whilst at the same time meet minimum equity requirements. I suspect QANTAS does not need cash or cash equivalents (at this stage) close to $4.7 billion, so from this perspective QANTAS have probably restructured their whole business and subsequently financing arrangements around a substantially smaller airline and asset valuation base.

A write off aircraft assets would more than likely result in a substantial book loss. the book loss can be used to offset cash profits once the industry recovers. As such, it is probably a very prudent decision to write off assets that have limited economic value, as at some stage these airlines are going to need to generate as much cash they possibly can to pay of the debt they will amass during the pandemic.


Great detailed post. QF are one of the iconic airlines. Nothing better looking than their 747s. Let’s hope this ends quickly.
 
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 2:54 am

A Qantas pilot has put on Twitter that while details are sketchy Qantas is possibly drawing up some plans for some sort of final farewell tour for the 747 with something to be firmed up next week

https://twitter.com/Keg767/status/12763 ... 94880?s=20
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smi0006
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 3:10 am

LAXintl wrote:
Guess part of cuts is letting go of staff at their LAX hangar. With no flights, no need for the mechanics.
The lease on hangar runs till 2037. Let's see of QF keeps it for future use, or tries to sublease, or exit the lease entirely since it was designed around providing A380 checks.


Don’t QF service some customer airlines in LAX also? Could actually be a decent revenue source, or at least cover their costs?
 
smi0006
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 3:16 am

F9Animal wrote:
I feel so bad for any airline employee right now. It has to be stressful in this environment for almost all airline employees. Qantas IMO will be around after the dust settles. I have always admired their culture, and their leadership. I really hope this isn't the end of their 380 though. I would think they might keep a few for when things pick up again. Especially their SYD to LAX runs.

It is just so shocking how fast this happened. Having been through the industry when 9/11 happened, I really thought it was going to be much more devastating than what it was. Seems like things rebounded fairly quick from that.

What we see happening today feels worse than what 9/11 was. Talk about depressing times.


It’s rough times, I’m still employed in the industry, but deciding when it’s time to jump ship and changes industries. Do I hang on, hoping it gets better at some point and career opportunities come for the recovery, or do I leave the ship now whilst there are still some jobs about? Before sept when they are likely to dry up....

Whilst this is tough on employees at least QF is honouring redundancy payouts, I see this as a way for QF to reduce their legacy labour costs, and set themselves up with a lower cost base for recovery. Recovery will be tough, but they will come out leaner and more agile on the other side. Senior Employees who get a full redundancy may not be idea, but also could be considered fortunate. Be curious to see the balance between voluntary and involuntary redundancy between the collectivised groups. I fee very sorry for junior employees who just joined the industry and have few jobs and choices to go to.

Also going to be significant skills And experience shortage within the industry in five years - through no ones fault but circumstances. This industry has been battered, but we are a tough bunch.
 
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zeke
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 3:53 am

777ER wrote:
Why Jetconnect when its a lower cost mainline division with crews for all types of aircraft in service including the now retired 744


QF would be smart to increase the slash and burn in main line and get rid of as many of the legacy staff they have on the books from management, engineering, ground staff, and crew. They have the perfect excuse to use at the FWC, the government policy change that prevents them from flying international.

They could move more 737 to NZ and have NZ based aircraft and crews operating through Australia at a cost savings of at least 20%.

When things pickup they can terminate the Jetconnect contractors like they have done before and hire people in a Australia on lower contracts.

I have said on this site before I think QF will get rid of the 747 and A380 during this crisis. The covid excuse is just too perfect an opportunity to pass up getting rid of your most expensive staff.
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tullamarine
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 4:32 am

zeke wrote:
777ER wrote:
Why Jetconnect when its a lower cost mainline division with crews for all types of aircraft in service including the now retired 744


QF would be smart to increase the slash and burn in main line and get rid of as many of the legacy staff they have on the books from management, engineering, ground staff, and crew. They have the perfect excuse to use at the FWC, the government policy change that prevents them from flying international.

They could move more 737 to NZ and have NZ based aircraft and crews operating through Australia at a cost savings of at least 20%.

When things pickup they can terminate the Jetconnect contractors like they have done before and hire people in a Australia on lower contracts.

I have said on this site before I think QF will get rid of the 747 and A380 during this crisis. The covid excuse is just too perfect an opportunity to pass up getting rid of your most expensive staff.

They could do all of this but they are also asking the government for support. The government are keen to keep as many people in work as possible. It is unlikely to offer financial support if the funds are ultimately used to fund further redundancies; the optics are politically intolerable.
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 4:47 am

LAXintl wrote:
Guess part of cuts is letting go of staff at their LAX hangar. With no flights, no need for the mechanics.
The lease on hangar runs till 2037. Let's see of QF keeps it for future use, or tries to sublease, or exit the lease entirely since it was designed around providing A380 checks.

There's currently three A380 at the LAX hangar, so for the time being at least there'll be mechanics and staff there.
 
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 4:48 am

RainerBoeing777 wrote:
VCVSpotter wrote:
ZK-NBT wrote:

Possibly none, maybe 1-2 ex BNE/MEL to focus on SYD again. It’s not impossible for the 14 787s to replace free A380 and 744 even the 787 isn’t flying atm.

Realistically not all the routes are going to restart at the same time though either, while there is a chance the A380 will come back at least some of them.


I agree that they would likely be able to find a way to cover everything, maybe downgrade some cities (not 100% familiar with the entire QF network so can't comment which ones) to smaller aircraft (A330 series) while the longer routes such as LAX go to 789. Then just operate the frequencies so that the aircraft can be flying all the time, but to different cities instead of something like a daily flight to most destinations. If they really need to, they could probably accelerate their 789s because of all the deferrals that most airlines will be doing (both now and the future).


LAX-SYD
LAX-MEL
DFW-SYD
if they go to B787 more planes would be needed

MEL-PER-LHR
SFO-SYD
BNE-LAX-JFK
SCL-SYD
JNB-SYD

These routes cover most of the B787 fleet, QF would need more aircraft

Plus BNE-ORD and BNE-SFO.
 
tullamarine
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 5:06 am

BNEFlyer wrote:
RainerBoeing777 wrote:
VCVSpotter wrote:

I agree that they would likely be able to find a way to cover everything, maybe downgrade some cities (not 100% familiar with the entire QF network so can't comment which ones) to smaller aircraft (A330 series) while the longer routes such as LAX go to 789. Then just operate the frequencies so that the aircraft can be flying all the time, but to different cities instead of something like a daily flight to most destinations. If they really need to, they could probably accelerate their 789s because of all the deferrals that most airlines will be doing (both now and the future).


LAX-SYD
LAX-MEL
DFW-SYD
if they go to B787 more planes would be needed

MEL-PER-LHR
SFO-SYD
BNE-LAX-JFK
SCL-SYD
JNB-SYD

These routes cover most of the B787 fleet, QF would need more aircraft

Plus BNE-ORD and BNE-SFO.

I think we can safely say ORD won't happen this decade. QF's attempts to launch ORD appear doomed, the first time it was 9/11 and this time it is COVID. Next time it becomes an option, chances are the Sunrise aircraft will be available and QF will operate SYD-ORD which would be its preferred routing anyway.
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 5:44 am

zeke wrote:
777ER wrote:
Why Jetconnect when its a lower cost mainline division with crews for all types of aircraft in service including the now retired 744


QF would be smart to increase the slash and burn in main line and get rid of as many of the legacy staff they have on the books from management, engineering, ground staff, and crew. They have the perfect excuse to use at the FWC, the government policy change that prevents them from flying international.

They could move more 737 to NZ and have NZ based aircraft and crews operating through Australia at a cost savings of at least 20%.

When things pickup they can terminate the Jetconnect contractors like they have done before and hire people in a Australia on lower contracts.

I have said on this site before I think QF will get rid of the 747 and A380 during this crisis. The covid excuse is just too perfect an opportunity to pass up getting rid of your most expensive staff.


JetConnect also supply’s crew to JetstarNZ operations, so maybe some
JetConnect Qantas crew may get to shift over to Jetstar.

NZ has just rescinded 100 domestic cabin redundancies, with higher than expected demand (flights are back to 65%, and on track to be back at 85% by year end) https://i.stuff.co.nz/business/industri ... mand-rises

So there is some hope for JetConnect crews, that domestic maybe increased within New Zealand for them.
 
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zeke
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 6:27 am

tullamarine wrote:
They could do all of this but they are also asking the government for support. The government are keen to keep as many people in work as possible. It is unlikely to offer financial support if the funds are ultimately used to fund further redundancies; the optics are politically intolerable.


My understanding of job keeper is there is no obligation for the employer to retain the employee. September is the target removal date of that, which I think may line up with the redundancies.
Human rights lawyers are "ambulance chasers of the very worst kind.'" - Sky News
 
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seahawk
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 6:39 am

It is rather simple, if there is no working vaccine or cure for COVID-19 by September/October those cuts will only be the beginning.
 
tullamarine
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jun 26, 2020 6:55 am

zeke wrote:
tullamarine wrote:
They could do all of this but they are also asking the government for support. The government are keen to keep as many people in work as possible. It is unlikely to offer financial support if the funds are ultimately used to fund further redundancies; the optics are politically intolerable.


My understanding of job keeper is there is no obligation for the employer to retain the employee. September is the target removal date of that, which I think may line up with the redundancies.

QF is asking for an extension of JobKeeper beyond September. Such an extension would have to apply to all Australian airlines and probably the wider tourism and hospitality sector. An extension will be on the basis that these people return to work; the government is not going to continue to fund so-called zombie jobs. QF, and by extension VA, ZL etc, need to accept that the government will expect and possibly demand that supported jobs post September are ongoing roles.
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Ishrion
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Re: Qantas to sack 6000 employees, ground 100 aircraft until mid 2021, retires 747 fleet early

Fri Jul 03, 2020 5:15 am

Qantas will operate 747 farewell flights in Sydney, Brisbane, and Canberra.

https://www.executivetraveller.com/news ... e-canberra

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