Oh my Sainted Aunt!!!!
The Vietnamese Government is now "initiating changes in ownership" of Jetstar Pacific and Bruce B. is just standing there transfixed in the headlights of the oncoming truck - he does not seem to understand his predicament at all. For example, I'll bet that Qantas will pay lots and lots of cold hard cash to increase its stake from 27% to 30% - and all for an airline that has never made a profit and never will - while Qantas has a share of it anyway.
Just how thick do you have to be to get a management job at Qantas?
Here is a hint Brucey; if there is a transfer of Jetstar Pacific to the majority control of Vietnam Airlines, I would "anticipate difficulties", great big hairy, toxic, lethal and intractable difficulties. Do you really expect to get your aircraft back when all this finishes?
JETSTAR is supporting a shake-up in the ownership of its trouble-prone Vietnamese offshoot, Jetstar Pacific, in a deal that will result in it and the national flag carrier Vietnam Airlines carving up the Asian nation's travel market into low-cost and premium segments.
Under a tentative agreement still months from completion, the Vietnamese government will transfer a 70 per cent stake in Jetstar Pacific held by its investment arm to Vietnam Airlines. Jetstar's parent, Qantas, is expected to increase its holding from 27 per cent to 30 per cent.
Jetstar's chief executive, Bruce Buchanan, said the airline was supportive of a change in the ownership but he emphasised yesterday that ''there is a lot of water to go under the bridge with those discussions''.
''We have a lot of success in executing two-brand strategies … and we think that could be leveraged in Vietnam for a lot of benefit not only for the Vietnamese industry there, but also Vietnam Airlines,'' he said.
The Vietnamese government has initiated the ownership changes after several years of controversy for Jetstar Pacific. Last year two Jetstar-appointed executives at the Vietnamese airline were banned from leaving the country for more than six months while police investigated fuel-hedging losses.
The budget airline has not turned a profit since Qantas bought into it in 2007.
Mr Buchanan said he did not anticipate difficulties from Vietnam's dominant airline taking majority control of Jetstar Pacific, likening it to Japan Airline's stake in the yet-to-be launched Jetstar Japan.
''Irrespective of our partnership and how else we can create benefits for the other partners, we have to stay true to the ultimate brand promise,'' he said.
Although the Vietnamese shareholder selects Jetstar Pacific's chief executive, the Australian airline maintains an influence by appointing the chief financial officer and other executives. Qantas also has two seats on a six-member board.
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http://www.theage.com.au/business/je...1024-1mg8u.htm