27th February Big Qantas announcement

[Colster]

I think I accidentally achieved lifetime Plat-Du-Jour yesterday at the Melbourne QP... whatever I ate seems to be hanging around

 

[thommo50]

Qantas asking the government for a bailout.

 

[markis10]

A serious and uniformed guess:

More route rationalisation CGK/MNL and noumea to go
Integration of JQ into the EK lovenest
Ordering four 777s for DFW etc
Cancellation of the remaining A380s

 

[lovestotravel]

Cancellation of the A380s
Ordering a few A350's for DFW
QF9/10 - Gone
A320's to be introduced into QF Domestic to replace 738s

 

[Bundy Bear]

Along with the Profit & Loss(well really a loss) announcement from QF I can see another route cut on the cards, Markis10 has suggested a likely cancellation.

 

[cmdwedge]

It has to be a partial sell-off of the QFF programme.

 

[eastwest101]

A serious and uniformed guess:

More route rationalisation CGK/MNL and noumea to go
Integration of JQ into the EK lovenest
Ordering four 777s for DFW etc
Cancellation of the remaining A380s

All sound possible/plausible to me. Rationalize CGK/MNL and NOU possible but stupid given the size and potential of the Indonesian market in particular. But they have abandoned India and can't take China seriously so not surprising that they can't take Indonesia seriously either.

Saying the integration of JQ into into the EK lovenest - is that JQ services into and out of DXB? or just codesharing and status benefits for EK customers on JQi and JQd metal? Would require some sort of co-operation and decision about the status of all the different JQs within the Qantas Group. Lots of different possibilities there? JQi base and aircraft base in DXB? Partial sale of JQ business to EK?

Ordering 777s or taking orders from EK's 777 order book, again, sounds too sensible and logical to be plausible to me.

Cancellation of remainder of A380s seem highly likely to me as well, not necessarily on Feb 27 but at some point yes.

 

[Interlude]

It has to be a partial sell-off of the QFF programme.

Isn't the value of QFF integrally related to the perceived value of the QF brand? If, as many think, QF is itself in terminal decline, how could QFF be seen as a valuable asset by any potential buyer? Any announcement that involves (i) further cuts to QF services etc. etc. and (ii) full or partial sale of QFF, would be an inherently flawed "solution", in that one leg of it seems to cripple the other. But not the first time we have seen QF board kicking its own legs out from under itself (sorry, a rather pained metaphor).

 

[docjames]

Cancellation of the A380s
Ordering a few A350's for DFW
QF9/10 - Gone
A320's to be introduced into QF Domestic to replace 738s

If they dump QF9/10 then they'll have a/c for DFW.

 

[markis10]

If they dump QF9/10 then they'll have a/c for DFW.

They have aircraft now, four burners are not the answer, while the Airbus alternative is too little too late. NZ grabbed some more 777s recently with delivery in under a year, I expect QF could do the same.

 

[TheBOSman]

QF9/10 - Gone

Just DXB-LHR, so passengers flying MEL-LHR connect onto the SYD-DXB-LHR from a QF MEL-DXB? Or MEL-DXB as well? I can definitely see the DXB-LHR of QF9/10 going away, but the entire route I'm not so sure of. Flying MEL-SYD-DXB-LHR for all QF would not be enjoyable, due to that ridiculous (for domestic-international connections) terminal setup at SYD.

 

[maninblack]

They have aircraft now, four burners are not the answer, while the Airbus alternative is too little too late. NZ grabbed some more 777s recently with delivery in under a year, I expect QF could do the same.

I know its a bit OT but think how NZ's handy little long haul fleet is going to look in 12 months and then take a look at QF's. I wish I knew something about Rugby Union so I could make some smart alec analogy.

 

[drewbles]

Cancellation of the A380s
Ordering a few A350's for DFW
QF9/10 - Gone
A320's to be introduced into QF Domestic to replace 738s

QF9/10 back via SIN?

 

[markis10]

I know its a bit OT but think how NZ's handy little long haul fleet is going to look in 12 months and then take a look at QF's. I wish I knew something about Rugby Union so I could make some smart alec analogy.

I do like their 767 with winglets

 

[Kefci2000]

QF1 just originates out of MEL int terminal and flys LHR x SYD and DXB

 

[Kefci2000]

By the way this is the quietest I have seen SYD Dom J lounge on a Friday night for a long time

 

[JessicaTam]

"Qantas would like to announce that their website management team will be returning from 2 years of maternity/paternity leave on the 27th February. Their return will allow the work experience mail room staff to return to their normal duties."

 

[Daggs01]

My tip on the big announcement is the merger of Jet Star and Qantas; Virgin has proved the hybrid model works, and with recent financial performance, they would need to adapt to something very similar, but I would say the established idenity of Qantas will stay, and the Jet Star influence will deliver a 3 cabin class service on Domestic; J, Y+ and Y; and up to five class service on International; F, J, Y+, Y, Y-.

The key is pure economics. Having both Qantas and Jet Star compete for the same business with double the operating expenses really hurts the pocket. They have the all the economic data about the profit maximisation efficiency point, based on supply of flights and demand for them across the whole business. It makes economical sense to cut the number of flights offered by both carriers where they compete for bums on seats.

My view on the cabin classes looks something like this:

• For Domestic - J, Y+ and Y. Qantas full service will be Y+ with Y being Jet Star style service.
• For International - F, J, Y+, Y, Y-. Qantas full service from Y and up. Y- is jet star style service.

There is more flexibility in this model as it allows easy changes to supply based on demand for a particular class, where a flight may sell out for Y- then the cost will be efficient.

This will allow the Qantas group to compete domestically with Virgin at more time slots, and internationally against the full service carriers and the low cost carriers, while reducing the number of empty and utilising aircraft more efficiently. It would also allow Qantas to retire some of the Boeingsaurus's without having to purchase new aircraft, just a refit and respray where appropriate.

The biggest issue with this proposition will be the redundancy of staff who will no longer be needed; sure it will mostly be back of house staff, front line staff will take a hit too.

You will probably see a lot more of the Jet Star metal international short haul, with a focus on Y+, Y and Y-. The for ILH the traditional Qantas jet but with the 5 class separator.

And to top it off with something that will cheese off the frequent flyers and point hoarders, 20% increase in points needed for a reward flight, point burning will be first in first out, and it will become easier to have points expire - probably points earned from non-flying activities will only have a shelf life of a year unless you fly in that year where you must redeem a minimum of 10,000 points (or your full balance if less). For companies who are members of Acquire, they will have the options that when there employees travel the flyer wont earn points (or will only receive the tier bonus) - this would suck because companies will then mandate that you have to fly qantas and only qantas.

 

[ReLoad]

As it's is my Birthday that day, I am expecting one he'll of a party with my induction as the first member into Platinum Two. - it's a club so wanky and so pretentious that once you become a member the SSST (super special services team) will immediately turn up at your bedside with a gold embossed copy of the fin review and a pair of baby harp seal fur slippers personally killed by Alan Joyce.

I'll also have Miranda Kerr jump out of a cake in the SYD F Lounge and Neil perry to cook up my favourite bangers and mash.

It's going to be a hell of a day.

Watch this space!!!

 

[lovestotravel]

My tip on the big announcement is the merger of Jet Star and Qantas; Virgin has proved the hybrid model works

Not sure that has been proved at all actually