gobbledock
23rd Aug 2012, 01:01
Tme for thread number 3 considering the share price keeps dropping?
QANTAS Airways, reporting its first annual loss in nearly two decades, has cancelled orders for 35 of Boeing's more fuel-efficient 787-9 aircraft in a bid to save $US8.5 billion.
Australia's flag carrier is fighting to hold on to its coveted investment-grade credit rating as a robust performance from its domestic flights operation is offset by heavy losses at its international division. Based deep in the southern hemisphere, Qantas is an end-of-line carrier that's more exposed to soaring jet fuel costs.
The long-delayed arrival of Boeing's 787 class of aircraft has lumbered it with fuel-guzzling 747s longer than it expected.
Qantas said today that it had retained options and purchase rights for 50 of the 787-9 aircraft. There has been no changes for the group's plans for the 787-8 version, 15 of which will be delivered as planned from the second half of next year.
..."However, firm commitments for 35 787-9s will be cancelled. The restructure means a two-year delay in the group's first 787-9 delivery," the company said in a statement.
The changes will result in a reduction in capital expenditure that would equal $US8.5 billion at list prices, Qantas said.
The Sydney-based company booked a net loss for the year to June 30 of $245 million, compared to a $250 million profit a year earlier.
Underlying pre-tax profit of $95 million was at the top end of company guidance of $50 million to $100 million and beat the $65.9 million average of seven analysts' forecasts compiled by Dow Jones Newswires.
Qantas had indicated to investors in June that it would report its first
statutory loss since privatisation in 1995, sending its shares to an historical low below $1.
The group's embattled international operations have been
under siege as new carriers flying to Australia in recent years from the Middle East and China have been ramping up capacity.
It has also been under attack on the domestic front from a rebranded and restructured Virgin Australia under former Qantas executive John Borghetti.
Earlier this week Mr Joyce revealed that the board had accepted his decision to forgo any short-term and long-term incentive payments that would have been awarded for the 2012 financial year because of the airline’s poor share price and profit performance.
http://resources3.news.com.au/images/2011/07/20/1226098/524015-110721-alan-joyce-qantas.jpg
QANTAS Airways, reporting its first annual loss in nearly two decades, has cancelled orders for 35 of Boeing's more fuel-efficient 787-9 aircraft in a bid to save $US8.5 billion.
Australia's flag carrier is fighting to hold on to its coveted investment-grade credit rating as a robust performance from its domestic flights operation is offset by heavy losses at its international division. Based deep in the southern hemisphere, Qantas is an end-of-line carrier that's more exposed to soaring jet fuel costs.
The long-delayed arrival of Boeing's 787 class of aircraft has lumbered it with fuel-guzzling 747s longer than it expected.
Qantas said today that it had retained options and purchase rights for 50 of the 787-9 aircraft. There has been no changes for the group's plans for the 787-8 version, 15 of which will be delivered as planned from the second half of next year.
..."However, firm commitments for 35 787-9s will be cancelled. The restructure means a two-year delay in the group's first 787-9 delivery," the company said in a statement.
The changes will result in a reduction in capital expenditure that would equal $US8.5 billion at list prices, Qantas said.
The Sydney-based company booked a net loss for the year to June 30 of $245 million, compared to a $250 million profit a year earlier.
Underlying pre-tax profit of $95 million was at the top end of company guidance of $50 million to $100 million and beat the $65.9 million average of seven analysts' forecasts compiled by Dow Jones Newswires.
Qantas had indicated to investors in June that it would report its first
statutory loss since privatisation in 1995, sending its shares to an historical low below $1.
The group's embattled international operations have been
under siege as new carriers flying to Australia in recent years from the Middle East and China have been ramping up capacity.
It has also been under attack on the domestic front from a rebranded and restructured Virgin Australia under former Qantas executive John Borghetti.
Earlier this week Mr Joyce revealed that the board had accepted his decision to forgo any short-term and long-term incentive payments that would have been awarded for the 2012 financial year because of the airline’s poor share price and profit performance.
http://resources3.news.com.au/images/2011/07/20/1226098/524015-110721-alan-joyce-qantas.jpg