JQ Bali turnaround 'unsafe'

[PPRuNeUser0198]

Set up their own jetbase, get real

And that is why no other LCC in this country has their own maintenance business; it's all outsourced. Jetstar would simply do the same for line maintenance in Darwin, which is all that is provided there from what I understand.

Every player has received investment from somewhere - be it Tiger or Jetstar. Be it through infrastructure acquisition or capital injection.

If JQ's experience with outsourced maintenance providers is far from ideal, why does it work with Virgin and Tiger? Or isn't it? Keep in mind, Newcastle is in-house. It's not all outsourced unlike the others.

LCC's have greater exposure to fuel price as you've expressed. Margins are much thinner and revenue is driven by volume and ancillary revenue. That said, with regards to fuel and hedging, whether Jetstar obtains pricing procured by Qantas for fuel, it's still down to the hedging/buying teams within all the airlines who ultimately can go the right or wrong way. From what I read last year, Virgin hedged poorly whereas Qantas hedged well...

Puff - totally agree with you on the erosion of conditions. The flip-side I guess is the opportunities to work in this industry, be it crew, operational or corporate, are greater then what they were in the 'old days' and for that, I am grateful.