Originally Posted by
Lead Balloon
Well it's gong to be an interesting creditor's meeting. The government is going to subsidise the councils for money lost to REX so I guess that removes them from the creditor's equation. They are also going to take control of the fleet to stop any fire sale if it goes through
Albanese is obviously impressed with the outcome because it does two things; it shows that the Labor party is "looking after country people" by using tax payers money to subsidise country airline operations and hopefully win a few country votes. Also in his mind it proves that government interference in the market shows that there are some things that the government does better than business which is a hobby horse of his.
The fact that they have burnt hundreds of millions of tax payer's dollars subsidising a foreign commercial operation who took unreasonable amount of risk with taxpayer's money during Covid and failed seems lost on him.
They are now stacking the deck for the creditors meeting which hopefully gets waived through with even more tax payers dollars. The government is going to give Air T favorable terms with tax payers money and subsidise local councils also with tax payers money. That now sets it up for other creditors to get their begging tins out with the threat of a no vote