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Wirraway
19th Sep 2004, 10:13
AAP

Rex being squeezed out of Sydney: Breust
September 19, 2004 - 2:39PM

Regional airline Rex is being squeezed out of Sydney airport because the facility favours growing domestic carrier Virgin Blue, Rex managing director Geoff Breust says.

Mr Breust said Sydney Airports Corporation Limited had indicated it did not want to renew Rex's lease, which expires on November 30 this year.

The regional airline, which ferries more than half a million travellers throughout NSW and Canberra each year, could be forced to consider moving to Bankstown airport.

But Mr Breust said the airline company did not want to move, and it was not a viable option.

"We'd be far better off closing the airline down than going to Bankstown," he told reporters at Sydney airport.

Rex officials are due to meet with Sydney Airport representatives to discuss the situation. However, Mr Breust said Rex sought clarification from Sydney Airport on its future arrangements since February this year with no success.

He believed the airport, whose biggest shareholder is currently Macquarie Bank, was gradually shifting its favour to larger, more influential players.

"Sydney Airport's owned by Macquarie Bank," he said. "It's yet another bank that's really trying to screw the bush.

"And we've seen what the banks have done regionally in Australia over the last 10 to 15 years.

"They'll see this as just another major corporation trying to look after the big end of town and trying to go where the dollars, etcetera, might be, rather than understanding really what this activity is all about."

He said regional air services into Sydney airport were "just as important as international services or the other domestic services".

"There should be appropriate levels of access to all parties," he said.

When Federal Transport Minister John Anderson announced the sale of Sydney airport two years ago, he assured the public regional services would not be disadvantaged by it, Mr Breust said.

He said he had raised the matter with Mr Anderson's office but it was considered a commercial rather than a government issue.

Nevertheless, he remained optimistic of a satisfactory outcome.

"I still hope that we can achieve it," he said.

© 2004 AAP

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LateNightOps
19th Sep 2004, 15:44
If true, this is another example of why full privatisation of essential services is a bad idea.

Make a quick buck now, but pay for it down the track. Very sad indeed.

LNO

Like This - Do That
20th Sep 2004, 02:24
This looks like another example of the airports' apparent exemption from the Trade Practices Act's restraint of trade provisions.

You'd have thought that the lessons of CIA's takeover of Canberra would have been obvious to the politicians and to Max Moore-Wilton too. One week there's a busy GA presence, the next it's a ghost town. Our MHRs and Senators, Nationals included, couldn't give a rat's about regional transport & GA...

Can you imagine another industry so blatantly abusing monopoly power?

bonvol
20th Sep 2004, 02:32
John Speaks! Promises Promises.

John Anderson media: REX Airlines


A131/2004
20th September 2004


I am aware of media reports suggesting that REX Airlines will be
squeezed out of Sydney Airport when its current lease over terminal
facilities expires on 30 November 2004.


A re-elected Coalition Government will not permit this to occur.


We have a long standing policy of guaranteeing regional airline access
to Sydney Airport which includes not only quarantined slots through the
Sydney Airport Demand Management Act but also access to adequate
terminal and apron facilities. This policy is non-negotiable and will be
enforced if necessary.


Media contacts:
Paul Chamberlin 02 62777680
Clare Siddins (travelling with Mr Anderson) 0427 200 674

TurbineDreamer
20th Sep 2004, 03:07
I would think that REX would have the support of Virgin Blue as well, isn't REX a regional feeder to Virgin Blue. I am pretty sure they have an agreement.

hoss
20th Sep 2004, 03:34
Another interpretation may be: REX will go back to DOM4 over near Rwy25 so sure they'll still fly into SYD and the pax will love the streamlined service.

"If re-elected......will not permit this to occur", yeah right:rolleyes: they've got the chance NOW, proove it.

As for the long standing policy.......regional access to SYD thing. Ok, he's right there QantasLink account for a lot of the movements at SYD;) they're a Regional Airline.

hoss:)

air-hag
20th Sep 2004, 03:59
Huh???

Rex squeezing someone's breust????

What?????


:confused:

Ultralights
20th Sep 2004, 08:53
Its just another step inthe Govts big plan!

No one wanted Badgerys creek!

step 1. ok then, we will expand bankstown ( i remember a few yrs back the work being done to extend the runway and upgrade it (runway centre) to take aircraft up to 737 size.

step 2 Privatise YSSY

step 3 Raise fees at YSBK to levels Most GA cant cope with! (been to YSBK lately? its a ghost town now)

step 4, Move commuter and regional airlines to YSBK (no curfew) allowing more slots and space at YSSY

Step 5! Sit back and laugh at the residence whinging about bankstown!

step 6, bow to popular pressure and build Badgerys creek!



this has been in the making for a very long time! and will take a long time to complete, it wont happen over night, but it will happen! Step 3 and 4 are in progress now. is it from Jan 1 that rent fees at YSSY go up %150 and landing fees from $7 something per tonne, to $160??

I dont think REX will worry too much, the govt will make sure they have a nice transition to YSBK ($$$)