Virgin Australia Financially Secure? [Now in Voluntary Administration]

[tomlee1986]

Yes and no

I do recall VA does have a stake in velocity - but I recall they are under a trust agreement with another company - that's why it is separate management

 

[jakeseven7]

Hi, Just thought I'd mention VA/Velocity won some 2020 Freddie Awards...

Winner's Circle - Freddie Awards

Middle East & Asia/Oceania
Airline
Program of the Year — Virgin Australia > Velocity
Best Elite Program — Virgin Australia > Velocity
Best Promotion — Virgin Australia > Velocity
Best Customer Service — Virgin Australia > Velocity
Best Redemption Ability — Virgin Australia > Velocity

These useless awards are a point of massive exasperation for AFF members -the yearly spamming of all Velocity members, begging us to vote for them in a competition no one cares about just so their marketing team could make some rubbish claims about Velocity their advertising.

Waste of time, money, effort.
Every single year.

I don’t even care enough to point out why winning a couple of this categories is ludicrous - and doesn’t matter anyway because the awards mean nought.

Freddie ‘awards’ are up there with Skytrax ‘awards’. Useless. Hope the administrators restructures their useless marketing strategy out the window while in administration too!

Might as well nominate VA for a Logie as well.

 

[HS-TQE]

Indigo Partners mulling whether to start applying for their own Australian AOC.

Paywall Article: NoCookies | The Australian

 

[hydrabyss]

I am sure Nicholas Moore has been appointed by the government for some reason. Unfortunately, I don't think they have been clear what his role is, more than being a go-between.

I found this in an article this morning.

The government's adviser on the Virgin collapse, former Macquarie Group CEO Nicholas Moore, has the tricky task of assessing all the bids and making recommendations that fit the national interest.

 

[jakeseven7]

I found this in an article this morning.

The government's adviser on the Virgin collapse, former Macquarie Group CEO Nicholas Moore, has the tricky task of assessing all the bids and making recommendations that fit the national interest.

Hardly tricky!
.
The old VA used to be an almost completely foreign owned and controlled business with some fairly ‘interesting’ foreign-government backed interests.

How on earth is anything going to be worse than that

VA2 can be completely foreign owned and controlled again - who really cares?

They have QF under control to make sure the national carrier remains in majority AU ownership. They don’t need VA2 to be as well.

 

[muppet]

I found this in an article this morning.

The government's adviser on the Virgin collapse, former Macquarie Group CEO Nicholas Moore, has the tricky task of assessing all the bids and making recommendations that fit the national interest.

Typical. Don’t want to actually contribute and help the company survive but willing to throw stones from the sidelines.

 

[hydrabyss]

Typical. Don’t want to actually contribute and help the company survive but willing to throw stones from the sidelines.

Yep its a free market and businesses can do what they want as long as it fits into Government ideals.

 

[OATEK]

Typical. Don’t want to actually contribute and help the company survive but willing to throw stones from the sidelines.

But they have contributed just like with so many other businesses in trouble at the moment (eg Job Keeper). What some want is for the Govt to make VA a special case, and I assume the advisor is there to see if such a move would be justified. I don't see how it would be personally, but I know others on here do.

 

[jakeseven7]

Typical. Don’t want to actually contribute and help the company survive but willing to throw stones from the sidelines.

They won’t, they don’t care, it’s just for show.

 

[p--and--t]

They won’t, they don’t care, it’s just for show.

They do care they need an insider to get advance notice to prepare for the inevitable Canberra marketing spin (either good news story or disclaimer).

 

[muppet]

But they have contributed just like with so many other businesses in trouble at the moment (eg Job Keeper). What some want is for the Govt to make VA a special case, and I assume the advisor is there to see if such a move would be justified. I don't see how it would be personally, but I know others on here do.

Yeah a special case....

Regional airlines - Direct cash bailout
Private hospitals - direct cash bailout
Aged care providers - direct cash bailout
Childcare providers - indirect bailout
Regional media - cash bailout

You're right, we better not make a special case .....

 

[jakeseven7]

Yeah a special case....

Regional airlines - Direct cash bailout
Private hospitals - direct cash bailout
Aged care providers - direct cash bailout
Childcare providers - indirect bailout
Regional media - cash bailout

You're right, we better not make a special case .....

They have given a direct cash bailout out to the airline industry through not collecting fees. Or would you prefer they make VA and QF et al pay them, then refund them and call it a cash bailout to suit?

 

[muppet]

They have given a direct cash bailout out to the airline industry through not collecting fees. Or would you prefer they makr VA and QF et al pay them, then refund them and call it a cash bailout to suit?

True, they gave QF and VA a very minor handout - hardly qualifies as a "bailout" at the amounts. Less than $100m between the two companies from memory with most going to QF of course.

Waiving fees for future flights that government rules ensure are empty anyway seems a bit meaningless.

 

[Melburnian1]

Yeah a special case....

Regional airlines - Direct cash bailout
Private hospitals - direct cash bailout
Aged care providers - direct cash bailout
Childcare providers - indirect bailout
Regional media - cash bailout

You're right, we better not make a special case .....

But AFAIK none of these companies were in the extreme financial trouble that VA is, and the amounts were far smaller.

That said, I'd prefer none of them received anything, as all it does is push up government debt further. Obviously govt has to assist individuals, so JobSeeker/JobKeeper are justifiable.

VA won't - and shouldn't - survive. I can't see there being a buyer. As some observer said in media this week re 'suitors', 'talk is cheap.'

Post automatically merged: May 2, 2020

True, they gave QF and VA a very minor handout - hardly qualifies as a "bailout" at the amounts. Less than $100m between the two companies from memory with most going to QF of course.

Waiving fees for future flights that government rules ensure are empty anyway seems a bit meaningless.

No it wasn't: it was $715m IIRC. A lot!

 

[OATEK]

Typical. Don’t want to actually contribute and help the company survive but willing to throw stones from the sidelines.

True, they gave QF and VA a very minor handout - hardly qualifies as a "bailout" at the amounts. Less than $100m between the two companies from memory with most going to QF of course.

Waiving fees for future flights that government rules ensure are empty anyway seems a bit meaningless.

Well VA have had a whole lot more help than I have during this crisis. As a self funded retiree, with zero interest rates effectively and the @rse fallen out of the stock market, receiving $0 handouts and losing $7k+ in cancelled travel, watching while VA gets $,000Ms, my care factor is quite low.

 

[Quickstatus]

Is the age pension a direct cash bailout?

 

[OATEK]

Is the age pension a direct cash bailout?

I don't know because I don't qualify (yet).

 

[Melburnian1]

As has been stated in the media, governments know that for a variety of reasons, more are opposed to a VA bailout than supportive.

Have a look at other social media to confirm. AFF is not a sufficiently large segment of the population.

 

[muppet]

Well VA have had a whole lot more help than I have during this crisis. As a self funded retiree, with zero interest rates effectively and the @rse fallen out of the stock market, receiving $0 handouts and losing $7k+ in cancelled travel, watching while VA gets $,000Ms, my care factor is quite low.

Genuinely sorry to hear that OATEK.

I personally don't think i'm entitled to the same level of government support as people struggling, despite having significant (for me) investment losses as well. I'm more of a government assistance to those of greatest need type of guy.

Just a side note: super system tax concessions cost $40b a year... (of which i too benefit) .. but "self-funded retirees" rarely acknowledge the tax they don't pay which is funded by workers.

 

[hydrabyss]

True, they gave QF and VA a very minor handout - hardly qualifies as a "bailout" at the amounts. Less than $100m between the two companies from memory with most going to QF of course.

Waiving fees for future flights that government rules ensure are empty anyway seems a bit meaningless.

I did hear Virgin did not get much and well below what Rex was getting and no where near what the Deputy PM kept repeating they where giving the airline sector.