Rex deputy chairman John Sharp has revealed lockdowns and border closures have shut down 80 per cent of the airline’s business.
In an interview with US news channel CNBC, Sharp also became the first major Australian airline chief to publicly call for the government to provide more assistance.
“If we don’t do something for airlines, there won’t be too many left at the end of this,” Sharp said.
It’s hit us really hard,” said Sharp on Tuesday. “It’s devastating to see the impact. It’s really knocked out the vast majority of our business.
“We’ll lose revenue and we’ll have people we’ll have to pay people who we can’t generate income from. We’re back to where we were at the beginning of the COVID pandemic.
“Unless government are prepared to assist business, a lot of business will close. If this NSW lockdown continues for any length of time, it’s been suggested it could be for up to six weeks, government assistance will be needed.
It’s like a gym franchise had decided to branch out and open a dozen more venues in Sydney with the latest and greatest equipment 18 months ago saying “it’s never been a better time to expand in the fitness industry”... and then now come out crying rivers about how much their business is hurting from COVID and lockdowns....
How is that any different to a successful regional airline who has made consistent profits using proven methods and equipment throwing the dice on a massive gamble and losing but now howling unfair because they’re not getting government assistance?
I feel for the poor Saab crews who have been thrown under the bus for the sake of ego driven fantasies.
If Rex had sailed the ship steady and kept to their core business I have no doubt they’d be in a much better position than now and probably more profitable still than most other airlines in Australia.
But with all this fancy new and expensive to maintain gym equipment they’re bleeding like no tomorrow and can’t see a way out?