Fiji Military Takes Control Of Air Pacific

[Hedo Rick]

It's time to say a fond fair well to Air Pacific people :ugh:

Fiji's military government says it is taking over control of the country's national carrier Air Pacific from Australian company Qantas.

The government of Commodore Frank Bainimarama issued a decree saying that all Fijian-registered carriers must now be owned and controlled by Fijian nationals.

Qantas owns 46.3 per cent of Air Pacific to Fiji's 51 per cent. However, according to a Fijian government release, Qantas since 1998 has exercised effective control over the carrier through super majority and veto rights.
Qantas, which has long sought to sell its stake in Air Pacific, said it would issue a statement later today.

The Fijian government said in a release that the move would bring it into step with international laws and practices.
SOURCE (http://www.nzherald.co.nz/world/news/article.cfm?c_id=2&objectid=10795065)

[1a sound asleep]

Another Qantas investment goes down the tubes.

[ohallen]

Lets hope that they have reconstructed the Political Risk part of their risk model before they went into all those new J Star investments.

[Akali Dal]

Bravo to the Commodore! It's high time the Fijian nationals take control of their fate. Just try to understand his position; the ozzie police commissioner try to conspire with his kiwi counterpart to nab the Commodore on flimsy ground. It's high time the Pacific Island nations see those scumbags bearing strange gifts for what they are.

[TBM-Legend]

Stealing is an offence. Cancel Air Pacific's landing rights here. Seize any joint assets that belong to QF or other Australian entities when they're on the ground here....:=

[tail wheel]

With only one possible buyer, the 46.3% won't be worth much!

Air Pacific has been a successful airline over many years. I suspect it will now join a long list of underperforming, or unprofitable, or failed Pacific island carriers?

[gobbledock]

Air Pacific has been a successful airline over many years. I suspect it will now join a long list of underperforming, or unprofitable, or failed Pacific
island carriers?
Agreed. This airline has weathered a number of storms and remained a survivor. Not any more. The military couldn't run a kids carnival let alone a successful airline. And in the current economic climate and it's challenges it will not take long for Air Pacific to be ransacked and turned upside down.

And the Australian taxpayer via the Australian government provides Fiji with how much funding again?

[Howard Hughes]

I don't think their plan is to buy it Taily!:eek:

[Luke SkyToddler]

FFS just send in the SAS ... and I don't mean for Qantas' benefit, the poor Fijian people deserve better than that Mugabe-wannabe running amok in their country

[tail wheel]

the poor Fijian people deserve better than that Mugabe-wannabe running amok in their country

Actually the Fijians in general like him. It is the Indian 37.6% of population that don't.

H2, that is what I was alluding to - the Qantas 46.3% equity may be worthless if it is nationalised! It would not surprise me if Qantas held a lien over FJ's aircraft?

[27/09]

Actually the Fijians in general like him. It is the Indian 37.6% of population that don't. Correct, he's done a few good things for the Fijian people.

[slamer.]

So who's wants to buy a Denarau time share ...... :rolleyes:

[Rotaiva]

A quiet rumor doing the rounds in Dubai at the moment is that Emirates are very interested in owning a large chunk of Air Pacific and even the airport infrastructure over there.

Now before everyone shoots it down, 2 things...

1) EK love destinations where the Indian population is large!
2) Would it give EK access to the Pacific market and a way around 5th freedom Rights which are sooo strong in that region of the market??

Sort of like connecting the dots around the globe...

[Hedo Rick]

Fiji relies on foreign investment in various parts of their economy and although Bananadrama is well liked and has made some positive steps, he has now shot himself in the foot for any future foreign investment in the country. Seriously why would you invest, when at a whim they can change the rules to suit themselves.

[Eastwest Loco]

Oh Gawd:ugh:

Now Air Pathetic shift to Fiji Time.

The Airline is great to fly with - a really decent experience and value for money. what happens now then? I can see reliability falling to bits and a huge impact on Fiji's inbound tourism.

Fiji is a lot like Greece. Without tourist dollars they are a 3rd world economy.

If FJ goes into unreliable mode Fiji will be wiped like a dirty bum and the traffic will redirect to DPS and HKT. It may be a bonanza for the LCC market, but don't expect Agent compliance. It won't be there.One wonders if the alleged powers tht be in Fiji really can see beyond their own egos and personal agendas.

Quel domage

Best all

EWL

[TBM-Legend]

1) EK love destinations where the Indian population is large!

Remember the Indians in Fiji are the problem not the solution. The current ruling guys would happily provide "one way" tickets to the Fiji Indians.

Re other airlines taking up any slack, you can bet your bottom dollar that the regime will block anything that "hurts" their own airline.

[Capt_SNAFU]

TBM if QF hurt them. I'm sure Fiji can hurt QF. Withdraw it as an alternate and the contingency fuel across the pacific just went up an immensely. Having said that seems a stupid move by Fiji for me.

Why is the Indian population a problem in Fiji?

[ranmar850]

Bravo to the Commodore! It's high time the Fijian nationals take control of their fate. Just try to understand his position; the ozzie police commissioner try to conspire with his kiwi counterpart to nab the Commodore on flimsy ground. It's high time the Pacific Island nations see those scumbags bearing strange gifts for what they are

Rather odd, coming from an Indian, when it is your race that banarama sees as the "problem" in Fiji. Rooting for the opposition, or just don't like overseas Indians?

[tail wheel]

Why is the Indian population a problem in Fiji?

If it weren't for the high Indian exodus/migration rate, the Fijian Indians would now probably be in the majority and own the country. It is the reason for the many coups over the years.

Wonder what Qntas have their FJ investment capitalised at? Another write back, along with their Vietnam investment, on this years Balance Sheet?

[Trojan1981]

TBM-Legend said


Stealing is an offence. Cancel Air Pacific's landing rights here. Seize any joint assets that belong to QF or other Australian entities when they're on the ground here....


I agree. If they are owned by the Fijian military they are no more civilian aircraft than the RAAFs leased BBJs. Ban them, then they'll be largely f@&ked. If they ban Australian carriers they'll be killing their tourism industry and shooting themselves in the foot. Next step, sanctions on imports/exports and travel restrictions on all members of the Fijian military govt and their families, Air Pac employees included.

[Wunwing]

Trojan. Read Capt SNAFUs post and I agree with him.Any fight with Australia over this and all Australian airlines suffer. They will be uncompetatitive across the Pacific withou Nadi as an alternate and the Fijian Govt knows it.
Wunwing

[73to91]

At the time of the 1st coup, it was either the GG or PM at the time said somthing like:

Oil and Water do not mix but I need both to run my car just like I need both Fijians and Indians to run my country.

They knew the importance of Indians running businesses whilst the Fijians were the 'face of the country'.

Like when you guys stopped over at the Mocambo Hotel, plenty of Fijians at front office, in the bar and restaurant whilst the Indians were the back office staff. Even recall going to the Airport Club and it was the same thing.

Anyway, see QF 3 diverted to NAN last night on way to HNL.
Crack forces Hawaii-bound Qantas flight to divert | Fiji landing (http://www.smh.com.au/travel/travel-news/crack-forces-qantas-flight-to-divert-20120329-1vzy9.html) good thing NAN is available !

[Ratu Udre Udre]

Tail Wheel,

How wrong can you be. Bainimarama is trying to unite Fiji...he is getting rid of racist bias that has plagued the country with leaders such as Qarase and even Chaudry.

Bainimarama believes that if you are a citizen of Fiji then you are Fijian....not Fiji Indian or Native Fijian.

Have Australia or New Zealand ever been concerned with the racist policies introduced by the Qarase government??? Are you aware of any of this?

The Indians are in support of Bainimarama, so are most of the Fijians. Crime is at an all time low, foreign relationships with countries other than Australia and NZ are far better then they have ever been.

Perhaps it may be a good idea to read into the history of Fiji before stating who the locals support.

Also, ponder on the thought about QF having shares in Air Pacific then allowing Jetstar to undercut FJ. The dealings of QF were far to sinister for amateurs like us to even fathom.

My two cents....Vinaka.

[mcgrath50]

vAlso, ponder on the thought about QF having shares in Air Pacific then allowing Jetstar to undercut FJ. The dealings of QF were far to sinister for amateurs like us to even fathom.


Or Qantas owning Jetstar and allowing Jetstar to undercut Qantas! :ouch:

[Frank Arouet]

The Indians own Fiji. That's racist!

Where is Steve when you need him: From Wiki.

Rabuka, by now a colonel (http://en.wikipedia.org/wiki/Colonel), emerged suddenly from obscurity on 14 May 1987 when he staged the first of two military coups (http://en.wikipedia.org/wiki/Fiji_coups_of_1987) to reassert ethnic Fijian (http://en.wikipedia.org/wiki/Fijian_people) supremacy, following the 1987 election (http://en.wikipedia.org/wiki/Fiji_election_of_1987), which had brought an Indo-Fijian (http://en.wikipedia.org/wiki/Indo-Fijian) (ethnic Indian)-dominated government to power. Deposing the elected government, he handed power over to the Governor-General (http://en.wikipedia.org/wiki/List_of_Governors-General_of_Fiji), Ratu Sir Penaia Ganilau (http://en.wikipedia.org/wiki/Penaia_Ganilau), a high chief (http://en.wikipedia.org/wiki/Ratu) whom he expected to implement ethnic Fijian (http://en.wikipedia.org/wiki/Fijian_people) interests. When, however, Ganilau attempted to reinstate the abrogated constitution, Rabuka carried out a second coup on 28 September that year. At first he pledged his allegiance to the Queen (http://en.wikipedia.org/wiki/Elizabeth_II_of_the_United_Kingdom), but later proclaimed a republic, abolishing the 113-year link to the British Monarchy (http://en.wikipedia.org/wiki/Monarchy_of_the_United_Kingdom). He handed over power on December 5 to an interim administration, headed by Ganilau as President (http://en.wikipedia.org/wiki/List_of_Presidents_of_Fiji) and Ratu Sir Kamisese Mara (http://en.wikipedia.org/wiki/Kamisese_Mara) as Prime Minister, but remained Commander of the Army (http://en.wikipedia.org/wiki/Military_of_Fiji) and Minister of Home Affairs, the National Youth Service, and the Auxiliary Army Service. Ganilau and Mara did not feel strong enough to dismiss Rabuka, but the public support they enjoyed as high chiefs was such that he did not feel strong enough to depose them. An uneasy truce existed between Ganilau and Mara on the one hand and Rabuka on the other.

[hoggsnortrupert]

Its about BLOODY time, QF have been a hindrance to FJ for sometime:

The NZ & Australian Govts need to get their heads outa their respective Arse's, and look at what the people of Fiji want? Isnt this what we call democracy?
or is it democracy when you have a vote every three years with pocketing thieves that have a rigged system:

I know of no other country, that has had COUPs the way Fiji has had them:

Uncle Frank Told the old cronnies he was coming to get them if they didnt change their ways, he dated this COUP, then put it on hold till the next day because the Fijian Rugby team had a game on:

Uncle Frank could only do better than the present CEO of Air Pacific Mr DP, or DF (however you say it) and hopefully this will rattle the cages of Pacific Sun, and get rid of the ROT, at the top there as well, in the main Herr Heinkel and SV:

Uncle Frank well done, & if ever you need a place to hole up in, it would be an honor to provide you such, and with the beers to go!:D:D:D:D

Uncle Frank, Put uncle Don in charge::ok::ok:

[Trojan1981]

Trojan. Read Capt SNAFUs post and I agree with him.Any fight with Australia over this and all Australian airlines suffer. They will be uncompetatitive across the Pacific withou Nadi as an alternate and the Fijian Govt knows it.
Wunwing
Last edited by Wunwing; 29th Mar 2012 at 16:32.



Fair enough wunwing. Do you think this sort of behavior should be tolerated though? I they want to buy QF out forcibly, then fair enough, but a simple take-over that forces QF to write off the investment should be punished as a crime.

[tail wheel]

Would it give EK access to the Pacific market and a way around 5th freedom Rights which are sooo strong in that region of the market??

Is it? I don't understand these things but I would have thought that if FJ wish to operate Australia to the USA on the trans Pacific, it can not be direct but must be via Fiji, which would be a big passenger disincentive?

Ratu Udre Udre. Bulla! I bow to your superior current knowledge. It has been many years since I last visited Fiji, although over two decades ago I was a regular visitor attending ASPA meetings etc. I must get back there soon and visit Don C (of Sunflower and CAA) before we both expire and fall off our perch! :ok:

Put uncle Don in charge

Don C?? :confused: I would think he would be more nterested in peaceful semi retirement, a few coldies on a hot day and watching a game of footie, rather than back into airline management?

[propelled]

It will probably just mean a reduction in board members appointed by QF?




ABC Radio Australia News:Stories:Fiji to seize control of Air Pacific from Qantas (http://www.radioaustralianews.net.au/stories/201203/3465979.htm?desktop)

Dominique Schwartz, wires
Last Updated: 20 hours 57 minutes ago

Fiji's military government says Qantas will no longer have effective control over Fiji's national airline Air Pacific due to a decree which came into force on Wednesday.

Australian airline Qantas holds a minority 46 per cent stake in Air Pacific, one of two international airlines which are majority-owned by Fijians.

Fiji's interim-government, which took power in a 2006 coup, denied the move amounted to nationalisation, saying it corrected an anomaly that gave Qantas control of the carrier while having only a minority stake.

But Fiji's aviation minister Aiyaz Sayed-Khaiyum says super-majority and veto rights give Qantas effective control over Air Pacific's financial management, senior appointments and new air routes.

As well, he says, Qantas subsidiary Jetstar competes directly against Air Pacific.

Mr Sayed-Khaiyum says that under the new decree, Fijian-registered airlines must be substantially owned and effectively controlled by a Fijian citizen, corporation or government.

"With this law, the government has now corrected the activities of prior Fijian governments, which allowed foreign citizens to control Fiji's national airlines," a copy of the decree on the government's website said.

Qantas said it was assessing the implications of the decision and expected the likely outcome of the decree to be a reduction in its board appointments.

It appoints four members to the nine-member board of Air Pacific.

"Qantas does not have veto power over Air Pacific's operational decisions, nor do we have effective control over the airline," a Qantas spokesperson said.

"We are a minority shareholder."