Bonza Airline Discussion

[Ansett]

I think its sad that Bonza has gone. We need more pioneering aviation companies for regional and mainline routes to ensure a competitive general aviation market. For me Bonza took on too much with too little. Slower more sustainable growth could work. I hope that this is not the death nail to more competition and expansion in the Australian Avation industry.

 

[equus]

Hmmm. I wonder if there is a different angle? That of Australian Consumer law? Ie, you purchased a product that is not fit for purpose? Or that you wouldn’t have purchased had you known of the quality? I mean, who would purchase a ticket now, or in fact ever again… with bonza given their track record? Would you have purchased a ticket at the time had you known they were likely to have all their planes seized?

So I reckon there’s an argument you are already due for a refund, regardless that it’s a future supply. People need some certainty of their travel plans in order to book accommodation, etc. Bonza can’t provide that certainty.

You are certainly due a refund under ACL- but that right doesn't involve your card scheme. As someone due a refund, regardless of the reason. you will be joining the pool of unsecured creditors, and almost certainly won't see anything.

Card scheme chargebacks are contractual, get the money at first instance from the merchant acquirer (who then becomes the unsecured / secured creditor), but the card issuer has no ACL obligations here.

 

[equus]

You can still do chargeback on debit card transactions, clearly Ubank (which is apart of NAB) doesn't want to entertain it.

There lies the issue with liability for chargebacks. The liability (when the merchant can't pay) will lie with the merchant acquirer. Typically, merchant acquirers are also issuers, so if your card is issued by the bank (or a subsidiary) of the acquirer, they have an incentive to not allow you to lodge a chargeback, as they will have to pay out the funds. If your card is issued by a different bank, they don't care, as the money comes from the merchant acquirer.

As has been pointed out in this thread, your approach here is to push back by lodging a complaint with uBank, and then escalate to AFCA if they don't lodge the chargeback.

 

[dajop]

I think its sad that Bonza has gone. We need more pioneering aviation companies for regional and mainline routes to ensure a competitive general aviation market. For me Bonza took on too much with too little. Slower more sustainable growth could work. I hope that this is not the death nail to more competition and expansion in the Australian Avation industry.

Yes slower and more sustainable growth, perhaps with an aircraft size better suited to the target markets too.

 

[HS-TQE]

Bonza could have had a slightly better chance of sticking for the long-term (although not a guarantee of course) if they were able to stay the course with their original plan of either turbo-props or Embraer 175/190s on their initial routes before 777 came along.

 

[Quickstatus]

Yes slower and more sustainable growth, perhaps with an aircraft size better suited to the target markets too.

Add in better capitalisation and less dodgy financing arrangements.

 

[Captain Halliday]

No doubt ancillary revenue was core to all the issues.

If they’d just sold a few more budgie smugglers I’m sure they’d have been a member of Star Alliance before EOFY.

 

[jb747]

Reading the other day, that the original business model actually had them using ATR/Dash type aircraft. That would have made a lot more sense. MAX was always doomed (from a number of angles).

 

[dajop]

Reading the other day, that the original business model actually had them using ATR/Dash type aircraft. That would have made a lot more sense. MAX was always doomed (from a number of angles).

Doomed for Bonza. Probably worked well for the crooks behind the Bonzi scheme.

 

[Saab34]

Reading the other day, that the original business model actually had them using ATR/Dash type aircraft. That would have made a lot more sense. MAX was always doomed (from a number of angles).

I sort of wished that happened, as I think a low cost model like that might actually work. Wouldn’t have issue filling seats and they could probably run a heavier frequency.

 

[moa999]

Looks like VH-UIK has ended up at SSH in Egypt.
Not sure if there is a paint shop there as neither Egypt Air or Air Cairo have Maxes, though Egypt Air has some on order.

 

[tcasfail]

Looks like VH-UIK has ended up at SSH in Egypt.
Not sure if there is a paint shop there as neither Egypt Air or Air Cairo have Maxes, though Egypt Air has some on order.

Should continue on into Europe in a few hours.

 

[Harrison_133]

VietJet were looking at picking up Bonza:

The Australian Financial Review has confirmed Vietnam’s VietJet was among those looking at Bonza’s aircraft operator certificate, a crucial licence needed to establish a foothold in the domestic aviation market. Bonza, which began flying only last year, has few other assets, with its aircraft heading overseas to other carriers.

Two sources said VietJet had been looking at ways to expand into Australia, with an order of 66 Boeing 737 Max 8 aircraft, the first of which are due for delivery this year.

VietJet confirmed the airline – which arrived in Australia in April and flies 48 flights a week to Melbourne, Sydney, Brisbane, Perth and Adelaide – had walked away from talks.

Source: Bonza hopes fade as VietJet walks from deal talks

 

[Saab34]

It doesn’t really matter which low cost mob is looking at it, they all face the same conundrum, simply the high cost of operating here. Have a look at some of the numbers that has been reported, and it seems all but impossible to make money.

Air Asia is about the only operator I would have any faith in to make it work. But they are not here, that explains it all. Door has been open for them for as long as anyone else.

 

[HS-TQE]

IIRC the AirAsia founder said you'd have to "be crazy" or something along those lines to set up an LCC in Australia. This was around the time the then SQ-owned Tiger Airways Holdings set up their Tiger Airways franchise in Australia.

 

[FruitySnack]

IIRC the AirAsia founder said you'd have to "be crazy" or something along those lines to set up an LCC in Australia. This was around the time the then SQ-owned Tiger Airways Holdings set up their Tiger Airways franchise in Australia.

I think the quote is they must have been "on drugs".

Airline rival 'must have been on drugs'

AirAsia chief executive Tony Fernandes says his rival, Tiger Airways, must have been "on drugs" when it decided to set up a domestic airline in Australia and says he has no plans to do the same....

www.afr.com

 

[FruitySnack]

It doesn’t really matter which low cost mob is looking at it, they all face the same conundrum, simply the high cost of operating here. Have a look at some of the numbers that has been reported, and it seems all but impossible to make money.

Air Asia is about the only operator I would have any faith in to make it work. But they are not here, that explains it all. Door has been open for them for as long as anyone else

I am fascinated but what parties such as VietJet Air are actually interested in. Is it the AOC, the airport agreements...? Somehow I doubt it's the staff which is unfortunate for them. But I wouldn't be surprised if there is some form of transaction that takes place, just not sure what exactly.

 

[tcasfail]

Bazza is currently en route to Toulouse.

 

[Mr H]

Bazza is currently en route to Toulouse.

Just like their creditors who are also going Toulouse.

 

[Saab34]

Looks like MALC is en route to Port Hedland. Farewell