I reckon Dixon must have read the post by skylarker telling us theres no probs with fuel.
Wednesday May 28, 04:52 PM
Qantas cuts jobs, services due to fuel costs
Qantas says hundreds of jobs will go because of rising fuel prices.
The airline says fuel costs are likely to rise by more than $2 billion over the next year to about 35 per cent of the company's total expenditure.
Qantas chief Geoff Dixon says the exact number of jobs to go has not yet been decided.
"We'd hope to be in the low hundreds," he said.
"We certainly don't expect thousands or anything.
"We're going to try and mitigate it against against job losses by accelerated leave program and some other ideas we have."
Qantas says it is failing to bridge the widening cost gap, despite fuel surcharges, fare increases, a fuel hedging strategy and a recruitment freeze.
It will also make cuts to flight routes and ground aircraft due to to the spiralling fuel costs.
It has now decided to cut capacity on its routes by 5 per cent, the equivalent of grounding six aircraft.
It will retire, ground and cancel the delivery of aircraft to achieve that.
Qantas will abandon the Gold Coast to Sydney and Uluru (Ayers Rock) to Melbourne routes and Jetstar will exit a number of routes and reduce services on others.
Changes to international routes will be finalised within the week.
Ratings agency Standard and Poor's says it has affirmed the credit rating of Qantas, but has revised the outlook to negative.
It says the change reflects the pressure on the airline's cash flow due to high fuel prices and the likelihood costs will remain high for an extended period.
qantart,we all know that GD would use the changing of the tide to come out with more doom and gloom but the cost of fuel is bad enough when you fill up the kombi but I reckon Dixon must be having a stroke looking at how much a 747 takes.
What else is going to be fun to watch is the new flying croisant and if they can't fill them up then watch out.