QFinsider,
No longer is there a large yield premium in aviation
it would appear that the premium airline is better suited to return it's cost of capital
These two comments look contradictory to me, can you explain why they aren't?
When one looks at the path DJ have embarked on, it is the exact opposite to the direction Qantas continue to take.
DJ have no choice, they aren't competitive at the low end, and their share price isn't exactly rewarding them for it.
however the poor performanc eof J* is clear cause for concern
Surely the poor performance of QF international is more of a cause for concern given that it has far more capital invested and has continually disappointed.
The conundrum is that Clifford nearly killed Rio Tinto before parachuting out 18 months earlier
I think it was the GFC that nearly killed Rio, If Clifford knew this was coming he must be pretty smart.
Given the incredible profit result Cathay is likely to deliver, it would appear that the premium airline is better suited to return it's cost of capital
If Cathay are the role model then wouldn't that mean introducing B scales for pilots? Also why just focus on Cathay, looking at the biggest LCCs globally, Southwest, RyanAir, Easyjet, AirAsia they appear to be doing somewhat better than their premium peers.