27th February Big Qantas announcement

[Major]

Share price down 3.1% to $1.23

 

[Danger]

Joyce blaming "giant wave of international carriers" in the past five years.

 

[Clivem]

I see they think they can pull $150m from driving / pushing suppliers and vendors harder ........Good luck with that one right now.

 

[Danger]

There are a number of airlines who use the PER J lounge

But, sadly, it's a Qantas lounge that will not serve any Qantas passengers. Logic (which I acknowledge is not Qantas's strong point) says it will go.

 

[Kendall Roy]

Joyce pulling out the old recurring "Fuel costs" line. Also referred to foreign airlines being gov't debt backed (not so subtle hey!)

 

[markis10]

But, sadly, it's a Qantas lounge that will not serve any Qantas passengers. Logic (which I acknowledge is not Qantas's strong point) says it will go.

Except for the seasonal AKL flight

 

[Chucksta]

Is QF cutting PER-SIN completely or just cutting back on the number of days?

Anyway, now that Jetstar have also cut PER-CGK, there is very little reason for me to keep flying QF.

SQ offer 3 flights a day from PER-SIN and connections all over asia.

How can I support an airline like QF that doesn't support PER?

 

[vitagen]

But, sadly, it's a Qantas lounge that will not serve any Qantas passengers. Logic (which I acknowledge is not Qantas's strong point) says it will go.

I'm sure its a cashcow for them minus the JQ users. Have you seen the MH 'lounge' lol

 

[BD1959]

"“We are facing some of the toughest conditions Qantas has ever seen,” Mr Joyce said. “Australia has been hit by a giant wave of international airline capacity, with a 46 per cent increase incompetitor capacity since 2009 more than double the global increase of 21 per cent over the same period."

These would be the same competitors AJ tours the world spruiking as codeshares and encouraging customers to fly on to China, the Middle East, Vietnam etc?

This guy has allowed a business deteriorate from a $1.4B profit on $16B revenues through various disruptive industrial campaigns (so that we can contain costs and remain competitive) to a point where only the loss of 1/6th of the workforce will allow it to continue. What has he done in all of this time??

Now is not the time for AJ to go - it should have happened years ago - and the Board bears the responsibility for the mess the Company is now in.

Regards,

BD

 

[Danger]

Joyce:

• Average fleet age of 7.7 years
• Consolidated engineering bases from three to one
• We've sold non-core assets
• Over the past five years no company has worked harder to deal with these new economic realities
• Improvement in our customer service [achieved]
• Our tie-up with EK has been overwhelmingly positive and our customers love it
• In the circumstances we face, all of this is not nearly enough
• Qantas can compete in any fair fight
• We've been able to compete with one hand tied behind our back with the Qantas Sale Act [really?]

 

[nvthanglong]

Qantas is not ready for the global game. Don't keep claiming the labour cost or other factors because Air NZ, at the same time, announced its record profit of more than $NZ180 million. I wonder how Alan Joyce survive after this announcement.

 

[Danger]

Except for the seasonal AKL flight

Assuming they stay.

Fourteen services a year does not make an international carrier. Qantas could very easily shift them into the EK lounge, I would think.

 

[a330j]

I still don't understand how a CEO who presides over the share price tanking from around $3-4 when he took over to $1 now has not been sacked. I remember when BHP tanked to around $10 back in the 90s, the lynch mobs were out for the Board and CEO.

 

[Mr_Orange]

Joyce:

• Our tie-up with EK has been overwhelmingly positive and our customers love it

What? I mean WTF? Really? Love it? I don't think so. It has been an unmitigated disaster. They basically open the floodgates to EK run whatever route they like at QF's expense!

 

[JessicaTam]

"There are currently 152 users browsing this thread. (79 members and 73 guests)"

 

[Danger]

Joyce:

• We'll be a far leaner Qantas Group
• We'll make these decisions regardless of any government action
• We'll see a major change in our fleet profile
• Eight A380s on order will be deferred, as well as three of the remaining 11 787s
• More than 50 aircraft will be deferred or sold
• By the end of June 2016 fleet will be down from 11 types to seven
• 5000 staff over the next three years, including the 1000 announced last year

 

[Fruitcake]

They basically open the floodgates to EK run whatever route they like at QF's expense!

That's the whole point. Remember that QF sees share of revenue from every EK ticket sold for travel from Australia to points beyond Dubai, even if it's for travel solely on EK operated and marketed flights.

 

[Clivem]

"There are currently 152 users browsing this thread. (79 members and 73 guests)"

Could be 73 lazy Jurno's looking for their 'piece' angle .......Probably 20~30 or so from WA Media outlets.

 

[Aussie_flyer]

Qantas is not ready for the global game. Don't keep claiming the labour cost or other factors because Air NZ, at the same time, announced its record profit of more than $NZ180 million. I wonder how Alan Joyce survive after this announcement.

Air nz dont have a virgin in their backyard either.

 

[RickyT84]

Qantas is not ready for the global game. Don't keep claiming the labour cost or other factors because Air NZ, at the same time, announced its record profit of more than $NZ180 million. I wonder how Alan Joyce survive after this announcement.

IMO, Air NZ is more of a 'niche' carrier which works for them. It has a much smaller international network that QF and its domestic and Trans-Tasman product is more low-cost and full service. Granted they have also made some right fleet choice (i.e. the 777) which helps.

Remember, Air NZ also went through a massive restructuring early last decade and I sincerely hope that QF can do the same and comes out stronger.