Rex enters trading halt ahead of announcement

[lang_13]

“Aviation operator Regional Express (Rex) has been placed into a trading halt ahead of an announcement being made by the airline.”

happening ahead of profit announcement

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02677318-2A1455478?access_token=83ff96335c2d45a094df02a206a39ff4

 

[Quickstatus]

it didn't blame the big fella. Maybe thats coming.....

 

[pauly7]

Must be good if there is not a preemptive whine directed at Qantas and Virgin

 

[Virgin Bart]

So, who knows the details?

 

[Scarlett]

Speculation:
they finally have to address the elephant in the hangar and that’s that the Saab fleet has to be replaced and they don’t have a ready made like-for-like platform. Plus, they probably don’t have the capital to purchase 30 replacement ATR72s.

So, Rex will be drawing down its regional feeder focus and continuing to develop its jet trunk route capabilities, whilst at the same time ‘undertaking studies’ into how they will support regional Australia in the future… because they can’t be seen to be completely abandoning regional Australia whilst their name is Rex…

Oh and maybe finally realising that they should have merged with VA a long time ago, so maybe a merger announcement too.

 

[anyonebutqantas]

Speculation:
they finally have to address the elephant in the hangar and that’s that the Saab fleet has to be replaced and they don’t have a ready made like-for-like platform. Plus, they probably don’t have the capital to purchase 30 replacement ATR72s.

So, Rex will be drawing down its regional feeder focus and continuing to develop its jet trunk route capabilities, whilst at the same time ‘undertaking studies’ into how they will support regional Australia in the future… because they can’t be seen to be completely abandoning regional Australia whilst their name is Rex…

Oh and maybe finally realising that they should have merged with VA a long time ago, so maybe a merger announcement too.

ZL has been more profitable than VA over the last decade so that's not a wise suggestion.

 

[Ade]

Announcement of new frequent flyer program ...

 

[Captain Halliday]

Okay, I’ll play.

Joining Star Alliance.

 

[HS-TQE]

Rehashing ZL's lease of two 737s from Singapore Airlines, followed by the announcement of a few more 737 leases from Singapore Airlines.

Followed by speculation of "Will Singapore TAEK OVAH REX !?!?!?!!?1111!!?!?"

 

[dajop]

Ok if we’re playing the game an announcement to do with ATR at the Paris airshow this week.

 

[Quickstatus]

Alan Joyce is joining the Board?

 

[papeto]

While were playing - they are going to fly non- stop from Wagga Wagga to New York.

 

[Quickstatus]

A new PJ and lie flat seats WGA-SYD

 

[jase05]

Their Saab fleet is causing them all sorts of problems so wonder if that has something to do with it

 

[SYD]

Their Saab fleet is causing them all sorts of problems so wonder if that has something to do with it

There’s some B717s going cheap…

 

[Bagpuss]

I suspect the key part of the announcement will be in regards to a much poorer profit guidance than previously given.

Reason for this, scroll to page two :

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02677318-2A1455478?access_token=83ff96335c2d45a094df02a206a39ff4

"In accordance with ASX Listing Rule 17.1, Regional Express Holdings Limited (Rex, ASX: REX) requests the
securities of the company to be placed in an immediate trading halt pending a material announcement in
relation to the company’s revised profit guidance."

 

[eastwest101]

I suspect the key part of the announcement will be in regards to a much poorer profit guidance than previously given.

Reason for this, scroll to page two :

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02677318-2A1455478?access_token=83ff96335c2d45a094df02a206a39ff4

"In accordance with ASX Listing Rule 17.1, Regional Express Holdings Limited (Rex, ASX: REX) requests the
securities of the company to be placed in an immediate trading halt pending a material announcement in
relation to the company’s revised profit guidance."

I think thats the most likely, a lack of profit guidance re: regional Saab 340 flying lack of spares, lack of crew and losing money, probably a rehash of B737 Jet Ops expanding, but avoiding the questions over profitability. Probably some sort of finance package from the parent co in Singapore.......

 

[jase05]

I think thats the most likely, a lack of profit guidance re: regional Saab 340 flying lack of spares, lack of crew and losing money, probably a rehash of B737 Jet Ops expanding, but avoiding the questions over profitability. Probably some sort of finance package from the parent co in Singapore.......

Rex now forecasting a $35m loss this financial year

 

[SYD]

Rex now forecasting a $35m loss this financial year

and they didn’t blame QF.

 

[jase05]

and they didn’t blame QF.

Oh, I think they had a thinly veiled swipe at QF

Rex also said appetite for domestic business travel had been down in recent months, as companies were instead footing the bill for exorbitant international air fares

“Business travel in the months of May and June have significantly reduced due largely to corporate travel budgets being exhausted following exponential increases of international fares,” Rex said.