Qantas: Here We Go Again
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Qantas: Here We Go Again
CEO Alan Joyce Cashed-up Qantas in mood for a merger
Source: Bloomberg
QANTAS chief Alan Joyce yesterday flagged the possibility the airline may soon be on the prowl for a merger.
He told a lunch in Sydney the airline's strong balance sheet would put it in a position to be the lead partner in any takeover.
His remarks flag a marked shift in position since plans to create one of the world's biggest carriers by merging with British Airways collapsed two years ago over the British carrier's debts.
Since then Qantas has developed loose alliances including a code share deal with Middle-East carrier Etihad, and Jetstar's partnership with Malaysian-based Air Asia where both negotiate discounts by lodging joint orders for aircraft, fuel and spare parts.
Yesterday, in his first speech since the volcanic ash crisis grounded planes and stopped flights to Europe, Mr Joyce acknowledged the crisis had hurt the finances of several European airlines.
Asked how the industry might look in the future, he replied: "Consolidation has to occur, there are too many players.
"Qantas is in a position where it can participate in that when it occurs," Mr Joyce said, emphasising that in any tie-up, Qantas would keep its name and remain distinctly Australian.
"That point is not negotiable and it's so important," he told the audience.
"I think that Qantas could use its balance sheet strength and financial strength to take the lead once there are regulatory changes."
Addressing the Australia-Israel Chamber of Commerce Association, Mr Joyce said Qantas would resume flights to Europe last night.
At a press conference afterwards, he said the final costs of the shutdown had yet to be counted but would not affect the airline's profit forecast.
Source: Bloomberg
QANTAS chief Alan Joyce yesterday flagged the possibility the airline may soon be on the prowl for a merger.
He told a lunch in Sydney the airline's strong balance sheet would put it in a position to be the lead partner in any takeover.
His remarks flag a marked shift in position since plans to create one of the world's biggest carriers by merging with British Airways collapsed two years ago over the British carrier's debts.
Since then Qantas has developed loose alliances including a code share deal with Middle-East carrier Etihad, and Jetstar's partnership with Malaysian-based Air Asia where both negotiate discounts by lodging joint orders for aircraft, fuel and spare parts.
Yesterday, in his first speech since the volcanic ash crisis grounded planes and stopped flights to Europe, Mr Joyce acknowledged the crisis had hurt the finances of several European airlines.
Asked how the industry might look in the future, he replied: "Consolidation has to occur, there are too many players.
"Qantas is in a position where it can participate in that when it occurs," Mr Joyce said, emphasising that in any tie-up, Qantas would keep its name and remain distinctly Australian.
"That point is not negotiable and it's so important," he told the audience.
"I think that Qantas could use its balance sheet strength and financial strength to take the lead once there are regulatory changes."
Addressing the Australia-Israel Chamber of Commerce Association, Mr Joyce said Qantas would resume flights to Europe last night.
At a press conference afterwards, he said the final costs of the shutdown had yet to be counted but would not affect the airline's profit forecast.
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i think that the plan is to have Qantas as a Domestic and A380 Long Haul Carrier and "partner airline" doing the rest. I have been worried for some time about what would happen if the 787 didnt arrive for those of us still on the 747
Oh my sainted aunt!
If QF is cashed up, how about either retiring debt, investing in its fleet or staff, or giving it back to the poor forsaken shareholders who own it?
The last thing QF needs is a merger! There is nothing a merger can do to add value, unless QF can find some airline that is even worse managed than itself and can buy it for a song and polish it up to Qantas's own low standards and sell it!
For God's sake, look at what BHP did with Magma Copper! Watch the share price fall today.
If QF is cashed up, how about either retiring debt, investing in its fleet or staff, or giving it back to the poor forsaken shareholders who own it?
The last thing QF needs is a merger! There is nothing a merger can do to add value, unless QF can find some airline that is even worse managed than itself and can buy it for a song and polish it up to Qantas's own low standards and sell it!
For God's sake, look at what BHP did with Magma Copper! Watch the share price fall today.
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AJ said
"I think that Qantas could use its balance sheet strength and financial strength to take the lead once there are regulatory changes."
regulatory changes yeah.... dream on...............not in our life time.
regulatory changes yeah.... dream on...............not in our life time.
regulatory changes yeah.... dream on...............not in our life time.
The government has flagged the removal of the 25% limit on foreign individual shareholdings, and the 35% limit on total foreign airlines’ shareholdings.
I would consider that to be a significant regulatory change that would certainly affect Qantas's ability to participate in a merger.
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Why don't they merge with V-Australia?
The new brand could be called....QANTAS Australia.
...Better still....QANTAS (couldn't be f
ked) Australia.
The new brand could be called....QANTAS Australia.
...Better still....QANTAS (couldn't be f
ked) Australia.
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skybed - be very clear that the regulatory changes sought are well underway and actively sought.
never underestimate the power to influence pollies and their downstream flunkies!
AT
never underestimate the power to influence pollies and their downstream flunkies!
AT
Qantas Breaches Salary Cap
AXP reports that Qantas is under investigation by the Shareholders Regulatory Society for breach of the executive salary cap. Under the approved code of conduct no senior executive can be paid more than five times the salary of the lowest paid employee.
It appears the SRS has sent in the auditors to check out commonly quoted insiders comments that Qantas has been breaching the salary cap for years. Other airlines, who have been abiding by the required code of decency, have been disadvantaged in competitition with the red rat. Early reports indicate that there have been more than one set of books. Some books indicated salary; other set of books show performance bonuses even if there was no performance that year; and a third set detailed above salary payments including costs for cars, entertainment (ooh la lah!), and any other bill that a senior executive should have been paying. Apparently it has been going on for some time.
One insider told us it is very common for the folding to exchange hands in airline sick bags. This is because they are in ready supply, paid for by the company, and most people see them as part and parcel of just what is around when Qantas senior executives are in the room.
Personally, I don't believe a word of it but some tell me that the facts are the facts. A announcement is expected shortly from the SRS.
It appears the SRS has sent in the auditors to check out commonly quoted insiders comments that Qantas has been breaching the salary cap for years. Other airlines, who have been abiding by the required code of decency, have been disadvantaged in competitition with the red rat. Early reports indicate that there have been more than one set of books. Some books indicated salary; other set of books show performance bonuses even if there was no performance that year; and a third set detailed above salary payments including costs for cars, entertainment (ooh la lah!), and any other bill that a senior executive should have been paying. Apparently it has been going on for some time.
One insider told us it is very common for the folding to exchange hands in airline sick bags. This is because they are in ready supply, paid for by the company, and most people see them as part and parcel of just what is around when Qantas senior executives are in the room.
Personally, I don't believe a word of it but some tell me that the facts are the facts. A announcement is expected shortly from the SRS.
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Now I know why there is never a sick bag to be found on board an aircraft!!!
I also think there is a 4th set of books somewhere with a big orange star on them. But thats ok everyone else is doing it. Plus there is no way senior management or board members would ever be aware of it (unless they had a calculator).
I also think there is a 4th set of books somewhere with a big orange star on them. But thats ok everyone else is doing it. Plus there is no way senior management or board members would ever be aware of it (unless they had a calculator).
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Please not with BA. With their attitude of "be reasonable do it my way" and the Australian way of "stick it up your a#%e" it would never work, nor would the Asian Carriers, who would soon identify us as racist, one eyed, and difficult to work with (as do their govts.) As the other postings quite rightly identify, how about putting it into services, aircraft, and keeping the engineering depts here on the jet base instead of some cheap (psst, wanna buy a cheap spanner) country, which has been a utter failure.
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Now I know why there is never a sick bag to be found on board an aircraft!!!
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Oh my sainted aunt!
If QF is cashed up, how about either retiring debt, investing in its fleet or staff, or giving it back to the poor forsaken shareholders who own it?
The last thing QF needs is a merger! There is nothing a merger can do to add value, unless QF can find some airline that is even worse managed than itself and can buy it for a song and polish it up to Qantas's own low standards and sell it!
For God's sake, look at what BHP did with Magma Copper! Watch the share price fall today.
Only SMART competent management would do this.
If QF is cashed up, how about either retiring debt, investing in its fleet or staff, or giving it back to the poor forsaken shareholders who own it?
The last thing QF needs is a merger! There is nothing a merger can do to add value, unless QF can find some airline that is even worse managed than itself and can buy it for a song and polish it up to Qantas's own low standards and sell it!
For God's sake, look at what BHP did with Magma Copper! Watch the share price fall today.
Only SMART competent management would do this.
