redundancies
Grounded aircraft
route withdrawls
latent capacity
All good things that will reduce cost, improve unit revenue and yield. Exactly what they need to do. VA needs to right-size the business and focus on profitable markets - not just compete with Qantas. Just because Qantas operates into a market, it does not mean it is lucrative. It may be marginally profitable at best. VA is generating cash. They can borrow on the market if need be. I wouldn't compare VA and Ansett. Market and business dynamics are very different. Qantas certainly does not want VA to fail. Each has its share of the profit pool in the domestic market. It is harmonious. Whislt JB spent money to lift VA to QF 'standards' - PS is now driving large-scale cost reductions, a focus on profitability, and wants to return VA culturally to be more aligned to its 'roots'. If they can keep generating operating cash - they'll get through this a leaner and more effective business.