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Qantas to Purchase and Grow WA Charter Operator

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Qantas to Purchase and Grow WA Charter Operator

Old 13th Dec 2010, 01:51
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Qantas to Purchase and Grow WA Charter Operator

news now official...

Qantas to Purchase and Grow WA Charter OperatorSydney, 13 December 2010

Qantas will move into the Western Australian fly-in-fly-out (FIFO) resources air charter market, with agreement reached for the airline to purchase local operator Network Aviation.

Qantas Chief Executive Officer, Mr Alan Joyce, said the acquisition would provide a strong growth opportunity, new revenue stream and further diversification for the Qantas Group.

"The Qantas Group has a very strong presence in Western Australia, operating passenger services across metropolitan and regional centres and connecting the state to its broader domestic and international networks," Mr Joyce said.

"Mining company demand for FIFO air services to transport employees to and from remote sites within the state, however, cannot be met solely by Regular Passenger Transport (RPT) services.

"This is an important market, and a growth market, and Qantas will now become a key player in meeting the needs of the resources sector. This will significantly enhance the scope of what Qantas can offer the mining sector, bringing new competition to the marketplace.

"We have reached agreement with the owners of Network Aviation to purchase the business. It presents strong growth opportunities and we will immediately look at significantly growing its fleet and its operations."

Network Aviation operates a fleet of two 100-seat Fokker 100 aircraft and six 30-seat Embraer Brasilia EMB-120ER aircraft.

Subject to finalisation of the acquisition, Network Aviation will become a wholly-owned subsidiary of the Qantas Group.

Network Aviation will retain its current management, employees and operating structure, with the business to be aligned with Qantas' operations in terms of safety, regulatory, people, financial and commercial governance oversight, standards and processes.

"This is very much a strategic acquisition and an exciting growth opportunity for Qantas," Mr Joyce said.


Issued by Qantas Corporate Communication (5055)
Email: [email protected]
topend3 is offline  
Old 13th Dec 2010, 02:43
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The writing is on the wall...

Skippers and Skywest are in more trouble than they can poke a stick at. The little operator that nobody paid attention to is now backed by the might of QF. (read they will crush anyone that gets in their way).

I suspect the NAA cost base would rival Alliances as well. If you thought J* conditions were bad go fly mining charter!

Great move by QF and co.

Last edited by Mr. Hat; 13th Dec 2010 at 06:57.
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Old 13th Dec 2010, 03:06
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maybe this is where they may have to stick the Jetstar cadets for a year or two
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Old 13th Dec 2010, 03:35
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Skippers and Skywest are in more trouble than they can poke a stick at
Specially if the latest Skippers EBA gets voted down, my source tells me that the next step might be industrial action. It may be real quiet over at WAs truly regional airline until something is agreed upon if that happens.
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Old 13th Dec 2010, 04:15
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Geee, I sure hope that the Network guys and gals have passed the BS P&S crap to be able to fly an aircraft safely from A to B. Come to think of it, the Impulse guys didn't do that either. Did someone say minimum requirements?

What a load of bollocks
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Old 13th Dec 2010, 05:28
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Smart move by QF, another seperate pilot group on board. What's next for NAA? I bet C-Jets in the future to compete within/against the 'group' like Easterns & National Jet to name a few.
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Old 13th Dec 2010, 06:05
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Divide and Conquer!

I have heard rumours that Qantaslink is looking at putting a few Q400s over there.
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Old 13th Dec 2010, 06:55
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Wild prediction

The new hanger fits an A320 does it not? 320's will be the next type.

Good training ground for cadets or foreign pilots (cavok 24/7).
Maintenance/spares/industrial back up/Jetstar
Multiple reasons why it'll be 320.

Maybe the Q400, who knows. Doesn't seem like anyone has piped up about the Geraldton route yet.

Either way the WA previous "heavy weights" let NAA in and the rest is history. A pretty sweet revenge for a certain GM. I'd have to say that this would have to be the biggest news in the FIFO sector in 10 years.

QF staff travel for the Network guys? Hmmm interesting times for Skippers I must say. Dare say NAA might be looking for a driver or three.

When is the RIO contract up again? Cost base cost base cost base....Good luck!

Lets see if GT will manage to avoid writing this one up!
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Old 13th Dec 2010, 07:04
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Latest QF Group Pilots Agreement

http://www.fwa.gov.au/documents/agre...N084663945.pdf

The rates of pay are blanked out. Anyone know what they are?
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Old 13th Dec 2010, 07:55
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Interesting stuff, both the Strategic A320s and the Skywest A320 are maintained out of the Network hangar.

Could be more strategic than you think...
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Old 13th Dec 2010, 08:57
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Interesting times ahead. Wonder what will happen to the B717 operation which is under contract to Cobham until 2012. If these aircraft were transferred to Network would the Tech and Cabin Crew likely to as well.
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Old 13th Dec 2010, 09:10
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If these aircraft were transferred to Network...
Right there is the opening line from their management next year when they renegotiate their EBA until the end of the B717 leases in 2017.

"If you don't take a pay cut we will lose the contract"
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Old 13th Dec 2010, 10:02
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QF Flightboy & Icarus

Not that I do this any-more, but:

I reckon this move is the smartest thing I've (in my limited experience) seen a Commercial/National RPT Operator do since about 01/02 (well maybe 98/9 or there about's)- they now have (yes) another more or less "Greenfield" site and the ability to offer/leverage/value-add (hate those MBA terms) their 'Commercial' contract clients a 'Cradle to Destination' solution- check a bag from SA/the Pilbra, to where ever in the World you may imagine..........., and with the cost base to back it up- well done and best wishes to Lindsay and the Network family.

The stinking old Fokker at circa 10tns less MTOW than the 71 (the Circa- I'll leave to those that know...), in an ANC/Landing Charge sense - will lift 107 Y Class vrs 117Y for the Boeing (and I'm not disparaging of it, at all)- push him out over an hr and the fuel will come back to/or under 1.8tn/hr and it'll punch beyond 6.5nm/min, or better pending what you're doing and who's driving............

Well done all- reckon you will have some fun over the next couple of years, and I'll be looking forward to watching the action and your endeavours....

Best Rgds
28- BE
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Old 13th Dec 2010, 10:19
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Wonder what will happen to the B717 operation
Mining charter - contract one day, unemployment office next.

Sort of like russian roulette with your career and mortgage.
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Old 13th Dec 2010, 10:35
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G'Day Hat

Pends where the advantage line is (in my opinion)- and I reckon the big QF might have found where the action is/was for the last 10yrs/or better, (I think they've seen it, but not understood it for a long time) and I don't think there's too far to go wrong (as they obviously know) in what they're prosecuting here.

Not that I'm saying it's blue sky dreaming for all employed in the operation, on-site/or related. The brass is in the whole.............

Do agree though- See you on the other thread
28- BE
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Old 13th Dec 2010, 11:19
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IF you are sitting as a passenger. On the other side of the bullet proof door are pitiful conditions Cactus. Perth ain't cheap either!..and some of the property has gone backwards.
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Old 13th Dec 2010, 11:37
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Spot on Cactus.

I'm keen to see if the pollies in the Senate can join the dots on people up the front making maccas wages and quality of applicants. Suspect not.

Anyway good move QF. Think they've pulled VB's (zero investment in mining) pants down on this one.
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Old 13th Dec 2010, 11:45
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Expect B717's to disappear from WA skies with Cobham now a competitor
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Old 13th Dec 2010, 12:48
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Doubt the B717 will disappear from WA skies untill replaced by a new type eg-C series as QF own the Aircraft. Only leased and Managed by Cobham.
May replace the Fokker at Network tho. Guess time will tell.
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Old 13th Dec 2010, 12:59
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717's

as QF own the Aircraft. Only leased and Managed by Cobham.
Think you may find the suckers are 'Leased' by QF actually- via/courtesy of Uncle Gerry's original arrangement that got transferred over a Steak and a Beer..... way back when- but I could be wrong. May have been the 'Great Escape' of 2001............... but maybe not.....
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