Originally Posted by
Arnold E
Why does anybody think they will fail, they are run by some pretty switched on people, and like Mr Sharp said they have not made a loss since 2003, how many other airlines in Oz can say that...........crickets
Not quite what he said and potentially misleading:
Rex’s Deputy Chairman, John Sharp, said, “Rex has the biggest regional network in Australia and we are the only carrier in Australia that has been able to successfully navigate the turmoil and shocks over the last two decades with uninterrupted operational profits since 2003.” Operational Profit doesn't include interest charges or taxes. In addition Rex is in a pretty empty operating environment with some state subsidies, and now it's going from the country league to the AFL!
My guess is they would try to somehow have some spilt between the two so that if it fails it doesn't drag the regional side down with it, otherwise it's a hefty gamble.