Ancient rivalries are nice my friends, but they have no relevance to what's going on at present.
Over the past six months, Pprune has proved beyond a shadow of doubt just how little pilots know or understand about the commercial world, or even the industry in which they work.
Ansett Mark II is not operating to make a profit, and never was. It was started initially to retain value in the airline for sale. It was then kept in operation as it was a condition of sale that an operating airline be delivered - intended to be on Feb 1, and allowed to be extended by the administrators (for reasons unknown to me) for a further 30 days. If operations ceased prior to this time, the purchasers would have the right to walk. The business call made by the administrators was simple - could they raise more money by liquidating the airline immediately, or by a selling and then deducting the losses of continuing operations? They chose the latter, in a move describe to me by an insider as "the gutsiest decision I've ever seen by an administrator". But please drop your conspiracy and skullduggery theories. The decisions made by the two Marks have been pure business. This is because they are legally liable for any committments made in administration which can't be met. Their houses are on the line, and there is no room for sentiment. That is why they make such big $$$. Please don't underestimate the risk.
The interesting thing now is what happens if the sale is not finalised by Thursday. The administrators have indicated their intention to cease operations and stem the flow of red ink. Again, this is a pure business decision because at this time they are saying they cannot guarantee the best outcome for creditors if they continue operations, even if the sale does subsequently settle. Remember it is not you, or me, or Tesna, or Lang, or anyone else who matters here. It is only the creditors, and we are all wasting our time getting bitter and angry about anything else.
HOWEVER, CEASING OPERATIONS DOES NOT NECESSARILY MEAN TESNA WILL NOT PURCHASE THE AIRLINE. All it means is the administrators will not be deliver an operating airline as they are no longer bound to do so. Tesna will then have to decide whether the let the tens of millions they have already spent disappear into nothing.
Anyone with an understanding of the separation of legal entities (ie the "corporate veil") will tell you losses incurred by the administrator have nothing to do with the purchaser. Media reports of Ansett Mark II looking sick, losing money etc are missing the point...all this has nothing to do with Tesna, and quite frankly they wouldn't care. In their eyes, the public have a very short memory and a swish relaunch followed by an intense and targetted marketing campaign will do the trick. A damaged brand is not ideal, but they figure it is easier than trying to build a new one. Remember, they are starting small and building up, and once they mature in 18 months they intend to carry around half of what they did previously.
As for the training of the A320 pilots, if the administrators are paying for that one I will run naked around the MCG on Grand Final day with a model of a Kendell CRJ strapped to my old fella!!! (Just kidding folks, I know stranger things have happened so I better cover my butt). Tesna would certainly be paying for the training of their own pilots for their own purposes - the administrators would have a hell of a time explaining such an expense to the creditors.
Time will tell what happens, but as I've posted previously, my belief is Tesna have done the deal of the century. A full service airline with terminals, slots, lounges and therefore access to high yield traffic, and yet with labour costs and work practices closer to that of a budget carrier.
Labour costs (both wages and work practices) are the key to any airline. All other costs are pretty much standard, and labour is the only variable. I know pilots, other employees and unions will argue otherwise, but in reality it is the difference between red and black ink. If you have lower labour costs than your direct competitor you will be profitable. If not, all you will see is red ink.
If Tesna has the working capital to last 18 months, look out! QF will feel the heat like never before, and they know it. This is what's behind their clever an opportunistic wage freeze. That may be only the tip of the iceberg. If Tesna endures, QF will have to cut costs further, and I would expect industrial strife on a scale never before seen in this country (OK, maybe the Eureka Stockade!).
But only if Tesna can last 18 months!