Another dimension to this discussion is that Virgin Pink or Blue now has 30% of the market and says it wants 50%. QF says its natural share should be 65-70% and after that it gets nasty.
The nasty time of course comes from August on when Virgin starts to get its 10 new 737-800s and QF' Geoff Dixon will start to see "red". Skywest will hope that the squadrons of Virgin Pink 737s fly Eastward to Fiji and NZ but I wouldn't bank on it.
The fact remains however that two 737-800 will be over-nighting in Perth.
Don't for one second think West Australia's will be loyal to Skyeast. It didn't help East-West owned by Ric Stowe and it doesn't help Qantas in its competition with Garuda/Thai/MH or SQ. It counts for absolutely nothing. And it didn't help Ansett in its battle with Virgin Blue.
You can dispatch that dream along with MU2's "there will be no price war" and Neville Chamberlains' "Peace in out time" forecasts to the scrap heap.
Far too many passengers will swap airlines for $20 on a $1000 fare, and I have senn even less!
GT