I don't see Tiger canning their oz operation...
They do sell the cheapest airfares in Australia and this is catching on quite quickly despite the negative publicity they seem to attract. I recall Jetstar copping the same flak when they first started. The truth is that their load factors are quite high so this must be a positive, im sure the beancounters set the airfares just high enough to ensure +ve yield. They did state from the very beginning that they dont expect to make profit for for a few years, but have stated that the Australian operation is ahead of where it was supposed to be. This could be a lie but have to look at the facts and that is they have survived 2 years and are growing. They started 2 years ago downunder with 3 aircraft and 1 base. Now its 7 aircraft (+ 1 to come in Jan and rumors of 30 by the next 5 years) and 2 bases (3rd coming soon?), adding Brisbane to the network, and opening up routes to destinations originating not from MEL/ADL (SYD-OOL, BNE-ROK) so they continued to grow despite the GFC or whatever its called.
I remember 2 years ago we were giving them a lifespan of 6 months...