PPRuNe Forums - View Single Post - Rex Expanding Into Jets
View Single Post
Old 12th May 2020, 00:17
  #14 (permalink)  
Join Date: Oct 1998
Location: Melbourne, Victoria, Australia
Posts: 23
Originally Posted by krismiler View Post
Virgin MK2 will almost certainly pull out of marginal and loss making routes, some of which which REX may be able to turn a profit on with a smaller aircraft and lower cost base. Regional jets might be a better starting point as they could replace the SAAB on longer sectors, and a lot of travel to and from regional airports is non discretionary. Trying to fill an airliner with highly price conscious bogans and make money while competing with two larger established operators doesn't always work, just ask Impulse and Tiger Airways.

Kendall Airlines had its fair share of problems when transitioning to RJs and CASA would certainly be keeping a careful eye on them.
Krismiler, there is no such thing as a ‘regional’ jet.

Ansett managements push to introduce the CRJ at Kendell was a sorry example of this misconception. That they attempted it with such a top heavy management structure meant that they were doomed from the beginning. The issues there were nothing to do with anything that is part of CASA‘s role and everything to do with a lack of understanding of the operation AN took over.

A jet is a jet, and it will always have different operating economics to a turboprop. If you really think “Regional jets might be a better starting point” on routes like MEL-BNE and SYD-PER then I’m not sure you understand the economics of airlines.
flyonthewall is offline