Posts Tagged ‘Qantas’

[Airport Informer] Struggling Australian carrier Qantas on Tuesday said it was committed to slashing costs by Aus$2 billion (US$1.8 billion) but refused to confirm or deny a report that it will axe 5,000 jobs.

A Qanta Boeing 747 on final approach to Heathrow Airport. photo: Courtesy Wikipedia

he airline has been battling record fuel costs and fierce competition from subsidized rivals and in December said 1,000 jobs would go while warning it faced a half-year loss of up to Aus$300 million.

Its interim result is due on Thursday and the Sydney Daily Telegraph, citing a Qantas source, said the job losses would be much worse as the airline restructures its finances to convince the government it deserves a debt guarantee.

As well as sacking 5,000 staff, the newspaper said Qantas may sell some of its terminals, while The Australian reported it would accelerate the retirement of older planes and defer new orders.

The airline refused to go into details.

Read the full story at Business Insider Australia here….

Business insider
24th Feb, 2014

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It’s  never been cheaper to fly, says Qantas boss Alan Joyce.   

Qantas CEO Alan Joyce says flying is now within reach of more families than ever before. Picture: Craig Greenhill

Qantas CEO Alan Joyce says flying is now within reach of more families than ever before. Picture: Craig Greenhill

Just one week’s wage will get the average worker an airline ticket to London, the chief executive of the world’s oldest continually operated airline said.

He said the cost flying had dropped significantly in the past 70 years due to improved technology and the airline’s innovative use of new aircraft, such as the A380.

“(In 1935) it used to cost 122 weeks of a average person’s salary, in 1960… that airfare went down to 20 weeks of an average person’s salary, and with the A380 it’s one week of average person’s salary,” Mr Joyce said.

“The longevity of Qantas over 92 years is because we continue to (introduce) product innovation and product change.”

More Australians were taking advantage of the strong Australian dollar and travelling overseas, especially on low-cost airlines such as Jetstar, Mr Joyce said.

“When we set up Jetstar in 2004, again that was a new innovation because we could see that was the way the market was going.

“Ten per cent of Jetstar’s travellers have never flown before, so it’s a completely new market,” he said.

Mr Joyce was speaking at a business forum hosted by the Australia-Israel Chamber of Commerce in Sydney.

The Australian Bureau of Statistics on Tuesday reported a…..

Read the complete story at Adelaide Now…..

Kylie Williams-AAP
Adelaide Now – April 25, 2012

AFP, SYDNEY: Australian flag carrier Qantas is still considering Singapore as the base for a premium carrier in Asia, chief executive Alan Joyce said in a report published yesterday.

Qantas’ Asia plans sparked a fierce domestic backlash when unveiled last year

Qantas’ Asia plans sparked a fierce domestic backlash when unveiled last year

Qantas’ Asian plans — which it sees as key to its strategy of revitalizing its loss-making international business — were dealt a blow when talks with Malaysian Airlines over the premium joint-venture collapsed last month.

Talks with Singapore on the issue had also lapsed, but Joyce told the Australian newspaper that the airline was still looking at a range of options for a premium Asian airline, including the city state.

“This will take a bit longer than we originally thought, but we’re still keen to set up a premium airline in Asia and we’re still looking at a range of options available to us — and Singapore is one of them,” Joyce said.

He added that Qantas was still talking to the Singapore government on the idea.

“We work with them on a range of issues and one of them is keeping the door open to the possibility of a premium airline,” Joyce told the newspaper.

Qantas holds a 65 percent share of the domestic Australian market, but has struggled with an underperforming international business.

It is attempting to refocus on Asia, the world’s fast-growing aviation market, and last month announced a new Hong Kong-based budget airline, Jetstar Hong Kong, which it hopes will be in the air next year.

However, Joyce said that for long-term success, Qantas, which has a weak market share in Asia, needed to participate in the premium end of the regional market.

“Qantas could probably live with it for the next few years, but I’m committed to [the idea] that in the future we have to address it, and the way to address it is to be involved in a premium airline in Asia,” he said…..

Read the full story at The Taipei Times…..

Taipei Times
23rd April 2012

[Reuters] – Australia’s Qantas took its repaired A380 superjumbo back to the skies on Saturday, resuming a 3,900 mile (6,300 km) journey dramatically interrupted 18 months ago when one of its engines blew up over Indonesia.

Airport security surround the repaired Qantas A380 VH-OQA passenger jet during a media tour on the tarmac of Singapore's Changi Airport April 21, 2012: Credit: Reuters/Tim Chong

Airport security surround the repaired Qantas A380 VH-OQA passenger jet during a media tour on the tarmac of Singapore's Changi Airport April 21, 2012: Credit: Reuters/Tim Chong

After $140 million of repairs, the world’s largest jetliner took off for Sydney shortly before midnight, carrying Qantas Chief Executive Alan Joyce and members of the crew that safely landed the crippled Airbus in Singapore with 440 passengers on board.

“She’s running a little late… 18 months,” Joyce earlier told reporters under the left wing of the big jet, which was sprayed by shrapnel as the engine blew apart shortly after take-off from Singapore in November 2010.

The return to service of the flagship European jetliner ends a harrowing episode for the airline, plane maker Airbus (EAD.PA) and engine supplier Rolls-Royce (RR.L).

Investigators have blamed the incident on a potential manufacturing flaw at Britain’s Rolls-Royce, which endured blunt criticism from Joyce following the Trent 900 engine explosion.

Qantas and Airbus said the aircraft is safe and nearly as good as new after going through what they described as the biggest repair job on a single aircraft in aviation history.

The only visible scars are two patches of metal under the left wing where it was pierced by debris, some of which shot out at an angle that narrowly missed the top of the fuselage….

Read the full Reuters story…..

By Harry Suhartono
SINGAPORE | Sat Apr 21

SYDNEY: Australia’s Qantas on Friday launched the nation’s first commercial flight using a mixture of refined cooking oil, saying it would not survive if it relied solely on traditional jet fuel.

Qantas makes first commercial biofuel flight

Qantas makes first commercial biofuel flight

The Airbus A330 left Sydney for Adelaide using a 50-50 blend derived from recycled cooking oil and regular jet fuel in what the airline hopes will be the first step towards a sustainable aviation fuel industry in Australia.

“We need to get ready for a future that is not based on traditional jet fuel or frankly we don’t have a future,” Qantas chief executive Alan Joyce said.

“And it’s not just the price of oil that’s the issue — it’s also the price of carbon.

“From July, Qantas will be the only airline in the world to face liabilities in three jurisdictions, so our sense of urgency is justified.”

Europe already imposes a controversial carbon tax on airlines, while New Zealand has a carbon tax that applies to flights within that country by Qantas’ budget carrier Jetstar.

Australia’s tax on carbon emissions comes into force on July 1.

Qantas said the biofuel, which has been certified for use in commercial aviation, has a “life cycle” carbon footprint about 60 percent smaller than that of conventional jet fuel.

Jet fuel is the largest operational expense for the Australian carrier, which in February announced it would slash at least 500 jobs and cut costs after an 83 percent slump in first-half net profits.

In March it hiked its fuel surcharge for the second time in two months, saying its fuel costs were expected to rise by Aus$300 million (US$312 million) in the six months to June 30 to Aus$2.25 billion.

The Australian government said it would help Qantas fund a study into the sustainable production and commercialisation of aviation biofuels.

Read the full story here at The Economic Times….

The Economic Times, The Times of India
13 Apr, 2012

The head of Australia’s biggest airline Qantas has backed the federal government’s push to build a second major airport in Sydney.

Sydney Airport isn't big enough. Photo: Peter Braig

Sydney Airport isn't big enough. Photo: Peter Braig

Qantas’s chief executive, Alan Joyce, has backed calls from the federal government for urgent action to be taken on a second airport for Sydney, declaring that “we just need to get on and do it”.

With the federal and state governments split over the need for another airport in the Sydney basin, Mr Joyce said Qantas believed that both the city and the country needed another airport to cope with an expected surge in demand for flights to Australia’s tourism gateway.

“Sydney is a very important hub…and in the longer term there is absolutely a need for it,” he told reporters at Sydney Airport today.

“Anybody (who) does any projections would know that we have to have a second Sydney airport for the economic development of Sydney, New South Wales and Australia…and we are big supporters of that happening.”

However, Mr Joyce would not be drawn on where in the Sydney basin a second airport should be sited.

Sydney Airport has repeatedly insisted that it has the ability to cope with increased demand for flights until at least 2050 through the use of bigger aircraft and efforts to make its facilities more efficient.

The airport has been attempting to garner support for a makeover planned for the next eight years that would remove the split between the domestic and international terminals.

Mr Joyce said Qantas was “fully supportive” of recent moves by Anthony Albanese, the federal Transport Minister, to kickstart planning for another airport.

“We have been talking about it for a long time. I think we just need to get on and do it,” he said.

The federal Tourism Minister, Martin Ferguson, also emphasised the need for decisive action to ensure a second airport is built, highlighting the length of time it would take because of the need for a detailed planning process, environmental considerations and community consultation.

Read the full story from the Sydney Morning Herald (Business Day section)…..

Matt O’Sullivan
April 13, 2012 – 12:11PM

Virgin Atlantic is not expecting a huge increase in travel demand as a result of the London Olympics, with the airlines chief commercial officer Julie Southern saying demand will be “net neutral”.

Julie Southern saying demand will be “net neutral”.

Julie Southern saying demand will be “net neutral” : Peter Russell Photography

According to the airline the  European recession will keep the Brits at home and therefore the airline  predicts a moderate six percent increase in passenger growth on the  Australia-UK route compared to its ten percent increase the previous year, the  Brisbane Times reported.

Ms Southern said despite the games  bringing in an increased number of visitors to London the event will lead to a  decrease in the number of Brits travelling abroad.

“It is not a curse but it is not a bonanza either,” Ms Southern said.

Ms Southern added that the carrier  has not yet seen an influx of Australian keen to travel to London for the  games.

Additionally as a result of intense  competition from Middle Eastern and Chinese Airlines plus the rising price of  fuel Airlines including Qantas are struggling on the Europe route.

”It is tougher flying  internationally, which is what we are seeing with BA and Qantas,” Ms Southern  said.

Read the full story at Travel Blackboard….

Travel Blackboard
Wednesday, 11 April 2012

Australian airline Qantas is to operate the country’s first commercial flight on biofuels on April 13, 2012. The flight will run from Sydney to Adelaide and an Airbus A330 will be used, powered by biofuels made from used cooking oil (50 per cent) and conventional jet fuel (50 per cent).

Qantas says that it wants to get involved in aviation biofuels because with rising fuel prices affecting the industry, it says that it is important to develop the sustainable aviation jet fuel sector.

Biofuel derived from used cooking oil, split 50:50 with conventional jet fuel

Biofuel derived from used cooking oil, split 50:50 with conventional jet fuel

A study conducted by the CSIRO says that the airline industry could benefit from aviation biofuels by creating 12,000 new jobs and cutting greenhouse gases by 17 per cent in the sector. However, in order for this to happen, it says that ‘significant obstacles much be overcome’, as per a report on Biofuels International.

John Valastro, Head of Environment, Qantas said with the biofuel flight the airline hopes to raise awareness about aviation bio jet fuel in Australia. “We know that sustainable aviation fuel can be used in commercial aviation just like conventional jet fuel,” he said. “But until it is produced at a commercial scale, at a competitive price, the industry will not be able to realise its true benefits. No single player can make this happen: it needs support from government, private sector investment, access to infrastructure and market demand

Valastro added that over recent months the airline has been discussing plans with the government and partners in the industry about establishing a sustainable aviation fuel industry in Australia.

Link to the full and original story at ‘’ here…… correspondant
Thursday, March 29, 2012,

(Reuters) – Fiji’s military government on Wednesday said it would take control of national carrier Air Pacific from Australia’s Qantas Airways using a decree that states “substantial ownership and effective control” of all Fijian airlines should be local.

While Qantas is a significant minority shareholder in Air Pacific, it exercises control through supermajority and veto rights, the government said in a statement.

“With this law, the government has now corrected the activities of prior Fijian governments, which allowed foreign citizens to control Fiji’s national airlines,” the statement said.

Fiji’s Air Pacific has canceled its orders for eight Boeing 787 Dreamliners

A Qantas spokeswoman in Sydney denied the airline had veto power over Air Pacific’s operational decisions nor did it have effective control.

“Qantas will assess the implications of the decision to change the airline ownership laws in Fiji and determine what impact this has on our minority shareholding in the airline,” the spokeswoman said.

Air Pacific handles about 70 percent of the visitor traffic to Fiji, the government said. The airline faces rising competition from Qantas and its budget unit JetStar, which also flies to Fiji.

SYDNEY | Wed Mar 28, 2012
Reporting by Narayanan Somasundaram; Editing by Matt Driskill

Original Reuters article here….

Qantas of Australia and China Eastern Airlines are to launch Hong Kong's first budget airline

(From the Financial Times)  Qantas of Australia and China Eastern Airlines are to launch Hong Kong’s first budget airline in a landmark deal for foreign participation in the Chinese aviation industry.

Jetstar Hong Kong will be a $198m joint venture in which Qantas and China Eastern hold equal stakes. It plans to start flying next year.

It will be the first time that major Chinese and foreign airlines have together established a passenger airline, with previous partnerships limited to cargo joint ventures or codeshare agreements.

In establishing a budget carrier, Qantas and China Eastern are targeting an under-served segment of the Chinese market. Although air travel has risen in China, the country has little in the way of discount options.

Hong Kong Express, partially owned by China’s Hainan Airlines, has said it wants to convert itself into a budget carrier. Oasis Hong Kong offered low-fare long-haul flights before it stopped flying in 2008 after incurring big losses……

See the full story here

© The Financial Times Limited 2012