eject
FF programs are a great way to bleed revenue out of a business.
Punters earn miles by flying or by buying products from providers who buy points from the supplier to be a partner in a popular program...in this case QF.
QF FF then has to buy seats off QF for redemptions. The price differential is the margin made by the FF program.
So is QF decides to bleed money out of the airline into the FF program it just has to make that margin bigger. And if they wish to favour one part of the airline over another they can price differentially and basically give away seats to the FF program.
It would be interesting to see the numbers.
Certainly AJ would have you believe that the FF program would survive in its current form with a totally degraded QF International.
As to setting up a full service airline in Singapore with A320's...delusional.