Merge with who? Any ideas of whats likely to happen?
Qantas likely to merge
Wednesday, August 27, 2008
Qantas should merge with another major carrier in the near future, according to outgoing Chief Executive, Geoff Dixon.
Speaking to ABC Radio on the weekend, Mr Dixon has supported a merger with another major airline saying that it would not be different to what existed now.
However, industry officials are already casting doubt on the plan, citing the Qantas Sales Act which stipulates that no foreign airline can own more than 25 per cent of the carrier, and no group of airlines can acquire more than 35 per cent, leaving total foreign ownership at a maximum 49 per cent.
Australia’s national carrier would also have to convince politicians that the merger would be the best move for the interests of the country, after earlier government efforts to join the flying kangaroo with Singapore Airlines failed.
Despite the difficulties, Mr Dixon remained insistent a merger would be on the cards.
"Qantas would always be Australian and would always have the great majority of its jobs and its business in Australia," Mr Dixon said.
"But there has to be a level of maturity when it comes to a discussion on this”
"Other airlines are starting to merge and we must be part of that.”
"It doesn't mean the kangaroo will go. It doesn't mean the brand will go. It will be probably very similar to what it is now. People have got to understand that this will happen."
Source = e-Travel Blackboard: D.M