Dixon is just manufacturing a gloom and doom story to smash the LAMES.
If there was such gloom and doom, why didn't yesterdays announcement coincide with a profit downgrade. Under the ASX continuous disclosure rules they must keep the market informed of any profit downgrades.
Put simply, there is no forecast hit to profits.
They're not actually sitting planes on the ground. They are just keeping a few spares in the system to minimise delays due to the LAMES action. It will cut their fuel cost by a couple of %, better enable them to manage the disruptions due to the LAMES and create a gloom and doom story to scare everyone. PERFECT!!!!!!!!!!
When has GD deferred executive pay reviews to? From July till August?? My bet is that if they are sucessful in keeping the LAMES and other unions to 3% then they will instantly restore those services and gives themselves a huge pay rise for a job well done.(paradoxically, its probably justified if the unions whimp out of this fight!!)
Its a great tactic that 95% of the public and some QF staff will swallow. I guess it all hinges on whether 50% of LAMES swallow it. I hope not!!