PPRuNe Forums - View Single Post - How does Qantas 'de-transform'?
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Old 17th Jan 2018, 22:19
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Rated De
 
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QF has an atrocious fleet but has spent the money that could have solved most (if not all) of its’ issues on JQ. JQ sells tickets far, far cheaper than QF, it’s a legitimate question to ask (among many others). So where are the answers? Phrases like ‘commercial, in confidence’ have been handed out like confetti. People asking genuine questions are not stupid, but the answers are frankly insulting.
Correct.

No one is disputing JQs existence. There is a market segment for it.
However under nearly every metric, its performance is less than its parent, allowing for management allocation of cost away from JQ. This is permitted, but was never intended to 'distort' in a way to support an industrial narrative.

The JQ 'segment' is NEVER going to be De aggregated. Qantas management would never do that, I leave it to the reader to ask why not? Qantas is 'split' into two segments (both domestic and international) JQ is not and this ensures that no accurate assessment can be made. Qantas was split in 2012, you know when the Qantas international, today transformed, was then terminal.
Given the management discretion allowed with how costs are allocated between those segments means that distortion of 'performance' is easily 'manufactured'.
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