Originally Posted by
Ladloy
The Rex chairman has been quoted saying "I'd rather cut my arm off then pay pilots more".
That was at a time when all the domestic airlines were in major expansion. As a result, REX lost 60% of their pilots in 2007/08. REX were cancelling flights left right and center but were able to whether the storm due to its (at the time) commendable low debt/equity ratio. Although the thousands of stranded passengers may not have seen that as a positive.
It was however getting to the point where rational pragmatism (survival) may have started to have an influence. Then came along the GFC which ultimately saved the day!