Rex in Trading hold

[steelcraft]

Rex placed on a trading halt today on the ASX.
Interesting to see the reason why when they release the details

[Sunfish]

Oh Sh1t!!!!!

[burned_out]

This is surely to sure up Gov't funds, r.e. "corona caused it" reason; that has been LKH's main business model of late. Starts up or take over collapsed routes in regional area's and gets paid by tax payer's to operate them..

[machtuk]

Very clever, cunning!

[Section28- BE]

"Sharpie", shall be All-Over........... IT!!!! 'Apparently' /'So' one, 'maybe'- 'given' to understand- unlike the AN Gig.........?????? (There are- a lot of 340 models- on bookcases in CBR..???- so, 'we' are 'given' to understand????)

Narrrrr- Got nothing- good luck all.

Rgds- Go well.
S28-BE

[Des Dimona]

"4 weeks reserves" left according to some press reports..................

Either a pressure tactic for government assistance or are they indeed sailing close to the wind ??

[Alfie.floor]

I call BS on this, you should all know by now that at every time there’s something negative in the media Rex will come cap in hand for a handout. LKH is a very savvy investor and looks for opportunities like this,( helps if you have a dodgy ex politician on the board) if there is an airline that can withstand this corona thing it’s them.

[transition_alt]

Whilst some of you seem to not like the company, think of the bigger picture.

The employees.

Quite a lot of them have their entire life in Rex and if they were to collapse, their world would be tipped upside down.

Have a heart. Back all airlines through this crisis.

[Stationair8]

It is also the ground staff, refueller, airport coffee shop, the airport, hotel etc in all those towns that Rex service.

Not to mention it an essential air service to a lot of remote communities.

[burned_out]

LKH is a ruthless business man.
Like him or hate him, he bends his staff over barrels all the time, so why would you expect him to to be not doing this again to the Aussie govt !?
He is a Billionaire, owns for one, a medical supply company, I imagine will be extremely profitable right now too, so why give him tax payer money without owning the asset as a trade? We all know this is a scam by LKH so time for the govt to claw back some of that money.

[transition_alt]

Rex announced 45% cut in capacity with stand downs for many employees in the south eastern bases. Following a similar fashion on leave entitlements as the QF group

[Saintly]

Just hope the PER - CVQ route isn't stopped. I have elderly grandparents in CVQ. Having said that REX are in the same boat as other airlines and reducing flights is the only way to go at this point in time.

To all REX staff and staff at other airlines, I say this: Always stay strong and stay positive. We will get this through this together.

[Lookleft]

Even worse for REX

REX TO CEASE PASSENGER OPERATIONS ✈️

Regional Express (Rex) has announced that it will shut down its expansive Regular Public Transport (RPT) air services in all States, except in Queensland.
The airline says its operations will cease with effect from 6 April 2020 "unless the Federal and State Governments are willing to underwrite the losses."
Rex Deputy Chairman, the Hon John Sharp AM, said "we believe that with only 20% of our passenger numbers left we have reached that point and the Rex Group has decided that the quasi suspension of all services at this stage presents the best option to preserve its cash.”

“If an assistance package of sufficient magnitude and viability can be negotiated by the end of the week, Rex may be able to reconsider its plans to suspend services." he said.
The company said all passengers with bookings for after the 6th April 2020 must wait until after 27th March 2020 before writing in via Rex’s website to put their bookings on credit for a future flight. It said no refunds will be offered as is the standard practice of all airlines during this crisis.

Whats so special about QLD though, is it because of State government subsidies?

[Ex FSO GRIFFO]

"Unless the Federal and State Governments are willing to underwrite the losses"...........

Would 'Rex' be classified as a 'small' business, or a 'medium ' business, or a 'large' business ?

What is it that the 'Feds' said..??

Cheers

[regional_flyer]

Even worse for REX



Whats so special about QLD though, is it because of State government subsidies?

Bingo. Here's an updated statement:

Following an emergency Board meeting on Sunday 22 March 2020, Regional Express (Rex) has announced that it will shut down its expansive Regular Public Transport (RPT) air services in all States, except in Queensland where the services are underwritten by the Queensland Government. Operations will cease with effect from 6 April 2020 unless the Federal and State Governments are willing to underwrite the losses. In addition to RPT services in Queensland, other activities of the Rex Group not to be affected include Ambulance Victoria fixed-wing air ambulance services, charter contracts with mining companies, freight services and pilot training at its pilot academies in Victoria and New South Wales. Rex’s Deputy Chairman, the Hon John Sharp AM said, “Rex is supportive of the strong measures taken by the Federal and State Governments such as the shutting of State borders and imposing a lockdown within the States as well as discouraging all non-essential travel. These measures will definitely reduce the number of infections from COVID-19, prevent the health care system from being overwhelmed and save many lives.” “However, tragically for the airline industry, this means that we can expect the year-on-year reduction of passenger numbers to nosedive to around 80% from the 60% we are experiencing today. There is a tipping point in the airline business beyond which it will no longer be sustainable to operate reduced services.”

[wheels_down]

Well the guys in Cairns appear to have dodged a bullet.

[machtuk]

.......and this is news? Some very cunning tactics are being played out here, don't underestimate the Rex brilliance!

[Ladloy]

.......and this is news? Some very cunning tactics are being played out here, don't underestimate the Rex brilliance!

Why spend your money when you can bill the taxpayer?

[Grivation]

Smells more like gouging than brilliance to me.

[zanthrus]

LKH use your own millions you ripped off from Rex staff and passengers over the years you grub!

[Ladloy]

LKH use your own millions you ripped off from Rex staff and passengers over the years you grub!
They're also asking people to work for free!

[Horatio Leafblower]

They're also asking people to work for free!/

Ladloy don't you realise how much you owe The Chairman for his investment in you?!?

[mostlytossas]

can only comment on SA but on about all routes they fly there is alternatives. Usually bus. So stuff them. They are not an essential service so why should the taxpayer subsidize them?

[zanzibar]

can only comment on SA but on about all routes they fly there is alternatives. Usually bus. So stuff them. They are not an essential service so why should the taxpayer subsidize them?

If the four square metres per person applies to a bus then I doubt 8 or 10 passengers on one would make it worthwhile for an operator.

[Ex FSO GRIFFO]

And how many pax , each of '4 sq m area' would fit into a SAAB..??

No Cheers Here.....

[Arnold E]

Yeah Tossa, lets stuff the pilots, engineers,baggies and office wallers, stuff em all hey Tossa?

[Ex FSO GRIFFO]

I see in 'Aviation News' that REX is now asking for a subsidy to carry 'Virus Tests'.....otherwise they won't be able to..??

Personally.... How many Virus tests do you rekkon would fit into a Chartered C-210 to carry xx 'Eskys' full of them...???

Good ask I rekkon.

Cheeerrrsss

[normanton]

Rex are just throwing a tantrum. Operations normal. Ask the foreign owners for a bailout before asking for the government. Wankers.

[Max Tow]

Rex are just throwing a tantrum. Operations normal. Ask the foreign owners for a bailout before asking for the government. Wankers.
ASX statement this evening:

"It would appear the Federal Government is intending to make certain announcements over the weekend.

In the light of that, Rex will only be making a public announcement of its plans after studying the Federal Government plans over the weekend. In the absence of any announcement by the Federal Government, Rex will issue a media release after Federal Government’s announcement concerning its plans for shutdown.

This announcement is authorised by Lim Kim Hai, Executive Chairman, Regional Express Holdings Limited."

LKH obviously didn't proof read the last sentence of the second para, but I guess it's meant to be a threat.

[BalusKaptan]

Why not support the Company with government funds, this helps keep as many people as possible employed, a stated aim of ScoMo. However, no free handouts. Whatever amount is provided must give the government (Taxpayer) a shareholding in the company in proportion to the total paid-up capital of the Company. Once the Wuhan virus crisis is over those government/taxpayer shares can be sold on the market.
This action would do as LKH asks, support the Company but would ensure the people providing the money share in the outcome, not just LKH.

[normanton]

Yes I agree. Any support = shares in the company for the government.

[Ladloy]

Why not support the Company with government funds, this helps keep as many people as possible employed, a stated aim of ScoMo. However, no free handouts. Whatever amount is provided must give the government (Taxpayer) a shareholding in the company in proportion to the total paid-up capital of the Company. Once the Wuhan virus crisis is over those government/taxpayer shares can be sold on the market.
This action would do as LKH asks, support the Company but would ensure the people providing the money share in the outcome, not just LKH.
Assist employees first, pay their wages and allow Rex to 'hibernate' as scomo as put it. That's how you put the Aussies in front of the Singaporeans.

[Ex FSO GRIFFO]

"There Ya Go".......
McCormack announcing this morning from 'Wagga, the Home Of Rex' - as he called it, an injection of $198Million into 'Regional Aviation'....for all of the right reasons.
To keep the industry going with all of the ongoing benefits - my words there.

GOOD news for the REX crews and ground staff!!

I have no doubt the interview / announcement will be repeated on all channels. particularly in NSW......

Cheers

[Section28- BE]

McCormack Press Release link: https://minister.infrastructure.gov.au/mccormack/media-release/additional-new-support-critical-regional-aviation-services-through-covid-19

Rgds
S28- BE

[Paragraph377]

I have no issue with financial assistance to any organisation during a crisis such as this as long as it is transparent, there are accountabilities and there are valid reasons. The 2008 GFC was a joke as every second company put up its hand for a taxpayer bailout, often they didn’t need it or the issues were cUsed prior to the GFC. If the reasons are genuine then the companies should provide a statement of corporate intent that provides details on how they will spend the taxpayer money (in detail) and also provide detail of how there will be no executive bonuses or additional payments to executives or shareholders and executives will also take a 50% reduction in remuneration for a minimum 12 to 24 months. Otherwise all we, the Australian taxpayer are doing is ensuring that executive grubs keep receiving their outrageous payments. They can take a hit to the pocket like the rest of us.

[machtuk]

I knew that cunning Rex would get their way, threats work well in our corrupt country!

[Arnold E]

I for one am glad that Lim Kim has whinged loud enough to get support for the people that work at REX, good going by him

[mikewil]

I for one am glad that Lim Kim has whinged loud enough to get support for the people that work at REX, good going by him

I wonder if him and the other maggots on the board have opted to take a pay cut to support their employees.

[Ladloy]

I wonder if him and the other maggots on the board have opted to take a pay cut to support their employees.
You know the answer

[Section28- BE]

"Sharpie" is all-over this gig........;);):cool:

Ex ABC link here: https://www.abc.net.au/news/2020-04-29/covid-19-funding-support-allows-rex-to-increase-service/12196374

Rgds
S28- BE