Alan Joyce Gives Update on Qantas Operations

[kangarooflyer88]

From the Oz on-line

Qantas boss Alan Joyce has dumped nearly $17m worth of shares in the airline – nearly his entire stake – months out from his planned retirement. Joyce sold 2.5m worth of shares on June 1, according to a notice lodged with the ASX.

Following the sale Joyce will have 228,924 shares left, worth $1.45m at current market prices. The shares were accumulated during Joyce’s 13 year stint as chief executive.

While the shares were sold on the market, it’s unusual for CEO’s to liquidate nearly their entire holdings while they are still in the role.
Prior to the sale Joyce was a top 20 shareholder in Qantas with more than 2.7m shares in the airline.

I think 'dumped' is a bit unkind. Good luck, but it is a bit unusual, as the article says. I'm guessing would need Board dispensation, which would be very unusual to be refused in the circumstances.

I would think there are a bunch more shares not yet vested (last year's performance bonus - I guess its back?).

I suppose a key question too is what the tax consequences of holding all those shares in Qantas could be, particularly if he plans on leaving Australia for good which when combined with the fact that he's selling his Sydney house, seems like a distinct possibility. I'm not an accountant nor do I have any connections with people in high places (like PWC) so I won't speculate on what the implications are other than to note that this could be an important consideration.

-RooFlyer88

 

[Himeno]

Could he be the next CEO of OneWorld?

Is there talk of Rob Gurney moving on? Oneworld moved their HQ from New York to DFW (I assume colocated with AA's HQ as they shared office space with the oneworld member NYC offices) at the end of last year. Would Joyce want to move to Texas?
The oneworld Chairman is a rotation of member CEOs. Joyce was the prior chair, Akbar Al Baker replaced him in 2021.

 

[SYD]

I suppose a key question too is what the tax consequences of holding all those shares in Qantas could be, particularly if he plans on leaving Australia for good which when combined with the fact that he's selling his Sydney house, seems like a distinct possibility. I'm not an accountant nor do I have any connections with people in high places (like PWC) so I won't speculate on what the implications are other than to note that this could be an important consideration.

-RooFlyer88

Nothing there about leaving Oz for good.

But meanwhile, tax consequences are the same for anyone resident for tax purposes. Probably a shedload of CGT to pay depending on the cost base when each parcel vested. Plus, he probably would have paid tax on those shares when they vested.

 

[Melburnian1]

The interviewer in that video has an interesting background, not all of which appears in his wikipedia article. ..... richard quest SMH ....in Google will give you the rest.

Yes, recall him well: I used to switch the TV on in hotels: he'd often be on CNN with his unique style. Too noisy and lively for 0700 in the morning.

Your information however casts him in a new light. Great research!

 

[RooFlyer]

Yes, recall him well: I used to switch the TV on in hotels: he'd often be on CNN with his unique style. Too noisy and lively for 0700 in the morning.

Your information however casts him in a new light. Great research!

I thought it was reasonably well known - although I was in USA when the story broke.

 

[Princess Fiona]

Is there talk of Rob Gurney moving on? Oneworld moved their HQ from New York to DFW (I assume colocated with AA's HQ as they shared office space with the oneworld member NYC offices) at the end of last year. Would Joyce want to move to Texas?
The oneworld Chairman is a rotation of member CEOs. Joyce was the prior chair, Akbar Al Baker replaced him in 2021.

Confirmed last month that he is leaving
OneWorld

 

[RooFlyer]

Although its been reported that AJ and his partner have just bought the other half of their floor of their Rocks apartment building. Maybe not the thing to do if you are going off overseas? Flicked their $19mill place in Mosman.

Alan Joyce doubles down in luxury Sydney skyscraper

Alan Joyce and Shane Lloyd will list the Mosman home they bought last May. Outgoing Qantas chief executive officer Alan Joyce and his husband, Shane Lloyd, have snapped up a half floor apartment neighbouring one

www.realestatesource.com.au

 

[SYD]

Although its been reported that AJ and his partner have just bought the other half of their floor of their Rocks apartment building. Maybe not the thing to do if you are going off overseas? Flicked their $19mill place in Mosman.

Alan Joyce doubles down in luxury Sydney skyscraper

Alan Joyce and Shane Lloyd will list the Mosman home they bought last May. Outgoing Qantas chief executive officer Alan Joyce and his husband, Shane Lloyd, have snapped up a half floor apartment neighbouring one

www.realestatesource.com.au

That was in the link earlier. No suggestion that they’re exiting Oz but if your were spending time OS, an apartment is much better than an Mosman mansion!

 

[kangarooflyer88]

Although its been reported that AJ and his partner have just bought the other half of their floor of their Rocks apartment building. Maybe not the thing to do if you are going off overseas? Flicked their $19mill place in Mosman.

Alan Joyce doubles down in luxury Sydney skyscraper

Alan Joyce and Shane Lloyd will list the Mosman home they bought last May. Outgoing Qantas chief executive officer Alan Joyce and his husband, Shane Lloyd, have snapped up a half floor apartment neighbouring one

www.realestatesource.com.au

Difficult to say. I doubt anyone would bat an eye moving into an apartment building for a short term rental/lease. And certainly a couple million for an apartment is not much either considering the average cost to purchase a rental these days. Whether it makes prudent financial sense given the housing market is set to cool off in the coming months remains to be seen.

 

[SYD]

Whether it makes prudent financial sense given the housing market is set to cool off in the coming months remains to be seen.

It’s Sydney….

 

[brokenagain]

Qantas boss Alan Joyce has dumped nearly $17m worth of shares in the airline – nearly his entire stake – months out from his planned retirement. Joyce sold 2.5m worth of shares on June 1, according to a notice lodged with the ASX.

He’s just getting his money out before the dumpster fire he has left behind becomes apparent and the share price plummets.

 

[RichardMEL]

For that kind of place in the Rocks and Sydney, at those levels, the housing market ups and downs are a little irrelevant. It's a whole other playing field for those folks.

 

[kangarooflyer88]

He’s just getting his money out before the dumpster fire he has left behind becomes apparent and the share price plummets.

I think that characterization of Mr. Joyce is inaccurate. As others have mentioned he is no fly by night airline executive. He has been with Qantas as CEO for sometime to say nothing of the countless other airlines he served in various management capacities. He has been through the best and the worst of times at QF (I suspect some on this forum can think of numerous controversies during his tenure) and still stuck through. Clearly he wouldn't have a job if he was an awful airline CEO (just ask former CoUniHound CEO Jeff Smisek).

It's very easy to criticize something someone does, but it's very difficult for people to praise the good deeds people do. For instance, consider the humble Hobart International Airport. Where would the airport be today without its Qantas Club lounge (once voted the best airline lounge in South Tasmania)? Indeed, one could point to the expansion of the Qantas lounges domestically as one major achievement Uncle Alan ushered in during his tenure.

-RooFlyer88

 

[SYD]

It was interesting and not totally unsurprising the comments on the remaining A380s - recognising that customers love them and they generate cash. Win Win. Yet some airlines couldn’t make them work. What if QF had taken delivery of 20?

Qantas once ordered 20 Airbus A380s – now only ten will fly again

Over the past two decades, the Qantas Airbus A380s followed a bumpy flightpath and at times an uncertain trajectory.

www.executivetraveller.com

 

[craven morehead]

View attachment 332632

Yes Istanbul over the weekend

The Titanic 2

 

[kangarooflyer88]

I see they uploaded another segment of the interview with AJ.

Some might argue his toughest decision was shutting down domestic Qantas operations several years ago to pre-empt a strike, but that's neither here nor there.

-RooFlyer88

 

[RichardMEL]

Some might argue his toughest decision was shutting down domestic Qantas operations several years ago to pre-empt a strike, but that's neither here nor there.

-RooFlyer88

That was October 2011. Much more than "several years ago"

 

[jb747]

Some might argue his toughest decision was shutting down domestic Qantas operations several years ago to pre-empt a strike, but that's neither here nor there.

It was all operations, not just domestic. And there was never going to be a strike. He was simply showing how tough he was. Interestingly, when it went to the industrial tribunal (or whatever it's called) he got virtually nothing out of it. He's simply been at war with all of the staff for his entire reign. And that has been the entire extent of his 'management'. Done absolutely nothing to make people want to fly with the airline.

 

[jakeseven7]

given the housing market is set to cool off in the coming months

Oh right, please also post lotto numbers for next week while you are at it

 

[kangarooflyer88]

That was October 2011. Much more than "several years ago"

Eight years ago to be exact (my calendar is still stuck in 2019 since I fail to recognize COVID and its effects on aviation).

It was all operations, not just domestic. And there was never going to be a strike. He was simply showing how tough he was. Interestingly, when it went to the industrial tribunal (or whatever it's called) he got virtually nothing out of it. He's simply been at war with all of the staff for his entire reign. And that has been the entire extent of his 'management'. Done absolutely nothing to make people want to fly with the airline.

Debatable. Certainly their international operations wouldn't be impacted since the QF flight ticket could be exchanged freely for another ticket in the event of a strike per MC99/EU261.