Originally Posted by
plainmaker
In fact there is a separation. Different legal entities, different ABN's. There is no obligation of a Principal to guarantee a subsidiary's debt, unless a Deed of Guarantee has been executed by the Principal.
I have not researched the corporate make-up of the organisation........
I've now looked at the Forms 389 and CF06 for Rex Airlines Pty Ltd ACN 642 400 048 and, as expected, that business is bound to both its immediate parent, Regional Express Pty Ltd, and the ultimate holding entity, Regional Express Holdings Limited, by deeds of cross guarantee. Thus there's no effective separation between the jet ops and the rest of the business.