Originally Posted by
CamelSquadron
Joyce and his strategies have been vindicated.
I thought you were being sarcastic until I checked some of your previous contributions. Have a think about these points but don't bother replying.
1. The annual fuel cost for domestic and international QF was 4.5 billion last year. The price of a barrel of oil has dropped nearly 40% this calendar year. A huge saving that has nothing to do with joyce.
2. Getting rid of staff, aeroplanes, routes and other assets is typical of incompetent short term managers who don't care about medium and long term viability. It's simply an easy way of helping the bottom line look good in time to get a bonus while screwing the company long term.
3. The financial trickery of the huge write down the international fleet last fin year basically put future depreciation into last year thereby reducing future depreciation substancially, about 200m a year.
In other words the bottom line looks better by 200m a year but it is not through an improved business, it's through accounting tricks. It actually reduces the cash available to QF.
The profit that QF will show this year is because of luck, accounting tricks and slash and burn.