View Full Version : Skywest Airlines Cuts Loss-Making Routes in W. Australia

11th Mar 2003, 05:53

Tuesday March 11, 2:23 PM
Skywest Airlines Cuts Loss-Making Routes in W. Australia

PERTH, March 11 Asia Pulse - Former Ansett subsidiary Skywest Airlines has cut its West Australian route network and aircraft fleet in a bid to improve profitability.

The regional carrier reported a $A975,000 ($US598,747) loss for the six months to December 31, 2002 after experiencing a slower than expected return of passengers following the Ansett collapse.

Skywest said today it will withdraw from services to Karratha and Laverton, both heavy loss-making routes, while its fleet of five Fokker 50 aircraft will be reduced to four.

It said it will reduce staffing levels to reflect its smaller route network.

It also flagged negotiations with staff for pay cuts and productivity improvements and an application to the West Australian Government for a seven per cent fare increase.

Chief executive Scott Henderson said the changes were necessary to ensure the airline's long-term profitability and to place it on a stable financial footing in a difficult operating environment.

He said that despite the difficult environment, there were indications of better trading conditions ahead, with passenger revenues for January and February the best since the new ownership of Skywest.

"Along with our recently announced affiliation with Qantas, the figures from these past two months indicate confidence in regional air travel in WA is returning," he said.

Skywest announced last month that from April 15, Qantas frequent flyer members could earn points and redeem award flights on its network.

Mr Henderson also said Skywest would seek a fresh capital raising from investors after it had settled terms for the long-term financing of its aircraft fleet.


11th Mar 2003, 15:16
Good stuff, the staff appear most upbeat about the restructure. With this out the way the future looks pretty good for duck!

11th Mar 2003, 21:48
The staff are upbeat about pay cuts and longer hours??

12th Mar 2003, 06:48
An announcement was due today on the possibility of opening up some of the routes to other players, has any one heard anything ?

Wait and see eh!

12th Mar 2003, 14:08
Some people always see the glass half full others half empty.

12th Mar 2003, 22:51
To the pesimist the glass is half empty, to the optimist the glass is half full, to the engineer the glass needs redesigning and to the pilot....well he'll just order another ha ha ha ha ha:D :D :D

13th Mar 2003, 03:44
$975000 Loss, remember the $900000 grant from the government in December ( stated on web page )????

AN FO fossil
14th Mar 2003, 08:42
Just a quick word from an ex-J31 Skywest Captain now driving taxi's in NSW.

You folks are soooo lucky to have a flying job. I would give up all other ambitions just to get back into Skywest on the bottom rung. Don't be short sighted. Value what you have because you don't know what hardship feels like unless you've been through it. Take it from me, it is like a different existence.

I'll sign off as I have to ride my bicycle to work at 6am and need some sleep.

PS. Give Hans a frown for me. Great guy but too serious.