PPRuNe Forums - View Single Post - Qantas to Decline as Jetstar Soars
View Single Post
Old 29th Aug 2008, 05:18
  #76 (permalink)  
genex
 
Join Date: Dec 2007
Location: Australia
Posts: 161
Likes: 0
Received 0 Likes on 0 Posts
Does anyone know the size of the direct subsidy that QF receives from JQ (via QF Corporate) to have it's yields and high cost base protected? One can only speculate on what QF would be worth with its yields in tatters (i.e. without JQ) but it couldn't be much. I would have thought, as somewhat of an amateur at this.....that if QF make say at best 8% of sales as a margin, then if yields fell 9%, they'd be below the Plimsoll line.

Anyway, if anyone knows how much JQ subsidises mainline, love to hear. Might win some bets.
genex is offline