PPRuNe Forums - View Single Post - So now the other boot finally drops - SQ shows its hand.
Old 14th Mar 2002, 15:37
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Ex_One
 
Join Date: May 2001
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An Ansett stuff up? An Air NZ stuff up? An SQ conspiracy?. .. .Consider the following, from deep within!. .. .SQ tried for QF and lost to BA.......strike one!. .. .SQ tried for AN and lost to NZ.......Strike two!!. .. .SQ got 3rd prize, Air NZ.............Strike three!!!. .. .And they were out of there......shortly after the ink dried on the NZ deal.. .. .There was no way the NZ govt were going to give in.. .. .And SQ were severely pissed off!. .. .What everyone seems to have missed is that Sir Ritchie Rich turned up in OZ only weeks after. .the AN/NZ/SQ deal was finalised, posing a major threat to SQ's investment in both NZ and AN. .via NZ. This the jolly entrepreneur holding an even equity in Virgin Atlantic with SQ. Is this. .normaly what happens with viable business partners? Do you simply walk up to the good DR and. .pull the rug out from under him in one deal and expect the other to continue unabaited?. .. .The upper hand in recent events seems to be not when to pump captial into a venture, but to. .refuse to pump it in when it is required. Surely if SQ wanted to protect it's interest in NZ/AN. .it would have done something, not dangled a carrot in front of a worn out nag till it dropped. .then only to walk off and pocket the carrot. This sole action in VB appearing and NZ/AN being. .abandoned by not only SQ but stubborn local politics and Singapore govt money pulled off the cocky. .leans directly to manipulation. Of course they will claim that Sept 11 in NY scared off any. .investment, but the economic fallout created by that event was an act of god that fell into the. .laps of those who couldn't believe their luck. And it signalled to all under duress that then. .was the time to jump. Goodbye Ansett.. .. .Clearly part A of the program has been completed. That is the destruction of Ansett. Remember. .what Sir Richard replied with when asked what he would do if he owned Ansett?. .. ."Shut it down and start again". .. .Almost as if he knew what was going to happen. The legendary tearing up of the cheque signaled. .for all to see that he was in control and Ansett's last chance went to the circular file with. .that piece of paper. Who can blame him, Patrick's just paid him more for half of his airline,. .a tribute to Sir Richards ability to swing a deal? Or is it a loan?......a sweetheart deal to. .secure terminal space and generate captial at the same time? No doubt Patricks are only interested. .in assets that sit on the ground. Terminals and maintenance, utilities that Sir Richard has no. .eyes for. Don't worry, each unit of Ansett's assets will be broken off into lovely little money. .makers for those who take them up, leaving VB to concentrate on the flying. A business plan that. .is bullet proof and will be very hard to stop. But those units won't be there to serve only. .VB.....oh no.....there will be other players coming who can benefit from massive cost savings too.. .A cartel of carriers out for a kangaroo cull!. .. .The industry is being shaken up like never before, fashioned for the modern business plan, the. .21st century. Low cost and mass distribution.. .. .Part B is going to be just as fascinating. What hints has Sir Richard given away this time?. .. ."I plan to set up another discount airline using smaller planes flying to ports who are disadvantaged. .by not having access to Virgin". .. .Well......if this doesn't spell "REGIONAL" we should all review our intelligence. Just how is he. .going to do it. Start from scratch? Very likely. Don't forget the AN regionals are still infected. .with the same reactive (not proactive) Ansett managers that oversaw their demise as well. And they. .will not budge , they continue to recruit politicaly aligned colleagues with no ability at the . .expense of experienced regional staff being marched out the door with some of the most pathetic. .redundancy packages ever seen in this country. Not the Ansett package......because......they are. .separate companies, nothing to do with Ansett. Say so the Ansett people who manage them.. .. .And surely Sir Richards "REGIONAL" announcement was intended to ring clear in the ears of potential. .bidders for the regional remnants to "STEER CLEAR" of or go the way of FLEW. That is be stuffed around . .like what you ain't never been stuffed around before. Once again some very powerful manipulation.. .He is the only option any of them have to feed, without a feeder in the bush you're gone. He holds. .all the aces such is the power of Sir Richard, all through not providing an open door. Of course. .he can open the door.......but......only if he feels like it.. .. .He will get the deal he wants if he chooses to buy into the regionals, or shut them down and start. .again......sound familiar?. .. .And what of the boutique carrier. Not Sir Richards idea this one. Enter the good doctor. Low cost. .terminal space......low cost maintenance.....full on service......nice new planes......sounds like. .someone knows how to make a buck in this business huh? Just a question of when.....timing...... .what period would be best to introduce this new silver to the dining table? Like Proffessor Julius. .Sumner Miller used to say......"If I told you all the answers......you wouldn't have anything to. .occupy your mind!". .. .And what of Part C.....the Rat.....what of the national monument......the protected species.. .It is obviously viewed as a parasite in some quarters. And what is the best way to deal with a. .parasite that insists on having it's way.......holding on for it's fill.......sucking away like. .there's no tomorrow.. .. .You let it bloat itself till it drops off under it's own weight.. .. .You let it buy a pet cocky.....you let it resurect AA.....you let it spread to every nook and cranny. .in the land, You give it the best time of it's life. You raise it's expectations. You let it get. .big and fat......then you go hunting. They already have industrial trouble. They already have. .way too much capacity out there to be able to efficiently cope with another one (or two) carriers. .wanting a slice. They have to face the reality of being more like their competitors, such an alien. .landscape for an old mindset. They are already flying into trouble, and the game has hardly begun.. .Can they trim their costs in time......without mass disruption......lower themselves down that far.. .Let's face it ...... QF have to question their current position.....they've basically done very little. .to get themselves where they are. It's more the other side being shut down by a third party.. .. .The Rat has big problems coming..........BOOM!.........BUST!. .. .My conclusion.......not a conspiracy.......not an innocent gaggle of going wrongs.. .. .It's all too obvious to be a conspiracy.. .. .Ansett and Air NZ were always going to get it wrong......no innocence in that collapse.. .. .Folks this is a power stuggle.....with power plays......and some very big power players.. .. .Only the strong are going to survive.. .. .Loco you're on the right track......they've spent some money on what appears to be no gain,. .but they do know what they are doing......believe me.
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