Qantas tie up with Malaysian Airlines from 1st April
I don't get why Cathay is overlooked?
Honestly, why would Cathay discuss anything with QF when the world's biggest market is on their doorstep.
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MAS just posted a full year LOSS of $835,000,000 USD. Yes, you read that correct. Eight hundred and thirty five million dollars US. What an absolute joke. I can not believe anyone in their right mind would partner them when their own Chairman says "the airline is in crisis".
TID EDIT
TID EDIT
Last edited by Tidbinbilla; 2nd Mar 2012 at 23:05. Reason: We requested all to stay on topic
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Noticed in the Singapore Straits Times today that the government here can see no advantage in allowing QF to set up a base in Singapore, competition to suffering SQ and the up coming Scoot. Looks like that they had no choice but to go Malaysia........
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I can not believe anyone in their right mind would partner them when their own
Chairman says "the airline is in crisis".
Chairman says "the airline is in crisis".
lol, well done Joyce (Australian for d!ckhead) love ya work That's why you get paid the big dollars?
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From Today's Straits Times:
Anyway, Qantas has one sham structure in Singapore through Jetstar Asia. Why should they be given another AOC for yet another sham structure?
Anyway, Qantas has one sham structure in Singapore through Jetstar Asia. Why should they be given another AOC for yet another sham structure?
Plan for Qantas premium carrier still up in the air
Little progress on proposed start-up to be launched in Singapore or KL
Published on Mar 3, 2012
By Karamjit Kaur, Aviation Correspondent
SIX months after Qantas said it intended to launch a new premium carrier in either Singapore or Kuala Lumpur, plans appear to have stalled.
Some industry watchers now say it is unlikely they will ever take off.
The Australian flag carrier had said at the time that the new carrier would boost its ailing international business. It would have its own name and brand but leverage on Qantas' strengths in areas such as aviation safety, customer experience, finance and marketing.
The start-up would operate within the region, and Qantas said then that it was looking to house the new entity possibly in Singapore or KL.
However, sources say, Qantas has not been able to convince the authorities here to give it the go-ahead.
Qantas had gone as far as to engage Ogilvy & Mather for the branding and marketing of the prospective new entity but recently pulled the plug on the project, The Straits Times learnt.
Neither the airline nor Ogilvy & Mather would comment when contacted.
A spokesman for the Civil Aviation Authority of Singapore (CAAS) said there has been 'informal dialogue' with Qantas to discuss Singapore's regulatory framework and general considerations in assessing any proposal to set up a Singapore-based carrier.
She did not divulge more but said that in assessing any application for a licence to start an airline in Singapore, the Transport Ministry and the CAAS will consider the operator's ability to provide safe public air transport 'as well as the extent to which it will bring value to Singapore's air hub'.
Industry watchers said that while Singapore maintains an open air policy, it does not necessarily mean that the more airlines there are, the better.
If a newcomer ends up just taking away existing market share from incumbents without growing the pie, Singapore does not gain.
Mr Shukor Yusof, an aviation analyst at Standard & Poor's Equity Research said: 'What's in it for Singapore to have Qantas based out of Changi? For one thing, the premium airline would compete directly with Singapore Airlines, which has already been experiencing weaker profits in its recent quarters.'
The opportunities are in the low-cost travel segment and not the premium market Qantas is eyeing, he said.
As for launching the start-up in Kuala Lumpur, Qantas does not seem to be interested. Mr Mohamed Yunus Charlie Charrington, director of the air transport division at Malaysia's Department of Civil Aviation, told The Straits Times recently that the Australian carrier has not been in touch with his office.
He said: 'We have not had any discussions with Qantas on this issue. Not even a phone call.'
Getting the green light from the Singapore authorities is not the only challenge for Qantas. The carrier, which is losing more than A$200 million (S$270 million) a year in its international operations, needs to review its business, industry watchers said. One option is to move part of its operations to Asia, where costs are about 20 per cent lower.
Being in the heart of the fastest-growing air travel market in the world will also help Qantas boost its business and bottom line, they said.
But unions back home are stopping the airline from doing this. They worry that an Asian-centred restructuring will result in jobs leaving Australia.
Their unhappiness led to a bitter industrial dispute which culminated in a decision by Qantas to ground its entire fleet last October. The 46-hour shutdown affected nearly 100,000 passengers around the world, including in Singapore.
The Australian Parliament is now considering a Bill put forward by independent Senator Nick Xenophon to tie Qantas to Australia.
The airline's chief, Mr Alan Joyce, has warned that if the Bill - which aims to force Qantas to keep its headquarters and the majority of its maintenance, flight operations and training in Australia - is passed, it will pose a 'major threat' to the airline's business and to jobs.
Even as it continues to battle the opposition, Qantas insists it has not dropped plans for a premium Asian start-up.
A spokesman told The Straits Times that the airline is not able to provide more details at this time because it is still in talks with potential partners.
[email protected]
Little progress on proposed start-up to be launched in Singapore or KL
Published on Mar 3, 2012
By Karamjit Kaur, Aviation Correspondent
SIX months after Qantas said it intended to launch a new premium carrier in either Singapore or Kuala Lumpur, plans appear to have stalled.
Some industry watchers now say it is unlikely they will ever take off.
The Australian flag carrier had said at the time that the new carrier would boost its ailing international business. It would have its own name and brand but leverage on Qantas' strengths in areas such as aviation safety, customer experience, finance and marketing.
The start-up would operate within the region, and Qantas said then that it was looking to house the new entity possibly in Singapore or KL.
However, sources say, Qantas has not been able to convince the authorities here to give it the go-ahead.
Qantas had gone as far as to engage Ogilvy & Mather for the branding and marketing of the prospective new entity but recently pulled the plug on the project, The Straits Times learnt.
Neither the airline nor Ogilvy & Mather would comment when contacted.
A spokesman for the Civil Aviation Authority of Singapore (CAAS) said there has been 'informal dialogue' with Qantas to discuss Singapore's regulatory framework and general considerations in assessing any proposal to set up a Singapore-based carrier.
She did not divulge more but said that in assessing any application for a licence to start an airline in Singapore, the Transport Ministry and the CAAS will consider the operator's ability to provide safe public air transport 'as well as the extent to which it will bring value to Singapore's air hub'.
Industry watchers said that while Singapore maintains an open air policy, it does not necessarily mean that the more airlines there are, the better.
If a newcomer ends up just taking away existing market share from incumbents without growing the pie, Singapore does not gain.
Mr Shukor Yusof, an aviation analyst at Standard & Poor's Equity Research said: 'What's in it for Singapore to have Qantas based out of Changi? For one thing, the premium airline would compete directly with Singapore Airlines, which has already been experiencing weaker profits in its recent quarters.'
The opportunities are in the low-cost travel segment and not the premium market Qantas is eyeing, he said.
As for launching the start-up in Kuala Lumpur, Qantas does not seem to be interested. Mr Mohamed Yunus Charlie Charrington, director of the air transport division at Malaysia's Department of Civil Aviation, told The Straits Times recently that the Australian carrier has not been in touch with his office.
He said: 'We have not had any discussions with Qantas on this issue. Not even a phone call.'
Getting the green light from the Singapore authorities is not the only challenge for Qantas. The carrier, which is losing more than A$200 million (S$270 million) a year in its international operations, needs to review its business, industry watchers said. One option is to move part of its operations to Asia, where costs are about 20 per cent lower.
Being in the heart of the fastest-growing air travel market in the world will also help Qantas boost its business and bottom line, they said.
But unions back home are stopping the airline from doing this. They worry that an Asian-centred restructuring will result in jobs leaving Australia.
Their unhappiness led to a bitter industrial dispute which culminated in a decision by Qantas to ground its entire fleet last October. The 46-hour shutdown affected nearly 100,000 passengers around the world, including in Singapore.
The Australian Parliament is now considering a Bill put forward by independent Senator Nick Xenophon to tie Qantas to Australia.
The airline's chief, Mr Alan Joyce, has warned that if the Bill - which aims to force Qantas to keep its headquarters and the majority of its maintenance, flight operations and training in Australia - is passed, it will pose a 'major threat' to the airline's business and to jobs.
Even as it continues to battle the opposition, Qantas insists it has not dropped plans for a premium Asian start-up.
A spokesman told The Straits Times that the airline is not able to provide more details at this time because it is still in talks with potential partners.
[email protected]
The airline's chief, Mr Alan Joyce, has warned that if the Bill - which aims to force Qantas to keep its headquarters and the majority of its maintenance, flight operations and training in Australia - is passed, it will pose a 'major threat' to the airline's business and to jobs.
Is it not possible to convert that "Threat", of being "forced to be Australian", into a gazillion Opportunities?
I'm sure even a 1st year MBA would be able to come up with a few
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no advantage in allowing QF to set up a base in Singapore,
Noticed in the Singapore Straits Times today that the government here can see no advantage in allowing QF to set up a base in Singapore, competition to suffering SQ and the up coming Scoot. Looks like that they had no choice but to go Malaysia........ 3rd Mar 2012 10:14
Singapore Changi’s decision to close budget terminal could backfire as need for third runway grows | CAPA
Singapore Changi’s decision to close budget terminal could backfire as need for third runway grows
Singapore Changi Airport has taken the unusual decision to demolish its relatively new low-cost carrier terminal and build a larger hybrid terminal in its place. The closure of Changi’s Budget Terminal in Sep-2012 will result in the airport’s total handling capability shrinking by 10% during what could prove to be a challenging four-year period before the new hybrid Terminal 4 opens. Singapore also faces a pressing need to decide on the opening of Changi’s third runway, which is now only available to military aircraft, if it wants to stay ahead of the growth curve. Growing LCC operations have seen aircraft movements grow higher than passenger numbers.
A third runway and even a fifth terminal will eventually be needed for Singapore to maintain its status as a leading hub. Singapore and Changi have always made the investments to ensure there is plenty of space for growth and first class facilities for passengers. But the highly profitable airport has come under scrutiny over the last year: first for its unusual decision to start charging a tax for transit passengers and now for its decision to close its Budget Terminal only six years after it opened.
Changi currently has capacity to handle 73 million passengers p/a. With the Budget Terminal closing, this will drop on 25-Sep-2012 by 7 million passengers p/a to 66 million (although last year the Budget Terminal operated at 66% of capacity, handling 4.6 million). The replacement Terminal 4 will be designed to handle 16 million passengers p/a, boosting total capacity to 82 million passengers by 2017.
The new terminal is also expected to accommodate widebody aircraft, something the current Budget Terminal cannot support and had become an issue because new Singapore Airlines low-cost long-haul carrier Scoot is interested in an LCC terminal option but will launch operations in the next few months from T2. More details on T4 will be released in the coming months and construction is expected to start next year.
Singapore Changi’s decision to close budget terminal could backfire as need for third runway grows
Singapore Changi Airport has taken the unusual decision to demolish its relatively new low-cost carrier terminal and build a larger hybrid terminal in its place. The closure of Changi’s Budget Terminal in Sep-2012 will result in the airport’s total handling capability shrinking by 10% during what could prove to be a challenging four-year period before the new hybrid Terminal 4 opens. Singapore also faces a pressing need to decide on the opening of Changi’s third runway, which is now only available to military aircraft, if it wants to stay ahead of the growth curve. Growing LCC operations have seen aircraft movements grow higher than passenger numbers.
A third runway and even a fifth terminal will eventually be needed for Singapore to maintain its status as a leading hub. Singapore and Changi have always made the investments to ensure there is plenty of space for growth and first class facilities for passengers. But the highly profitable airport has come under scrutiny over the last year: first for its unusual decision to start charging a tax for transit passengers and now for its decision to close its Budget Terminal only six years after it opened.
Changi currently has capacity to handle 73 million passengers p/a. With the Budget Terminal closing, this will drop on 25-Sep-2012 by 7 million passengers p/a to 66 million (although last year the Budget Terminal operated at 66% of capacity, handling 4.6 million). The replacement Terminal 4 will be designed to handle 16 million passengers p/a, boosting total capacity to 82 million passengers by 2017.
...it will have more “passenger amenities,”...
T4 will be built without aerobridges but Changi says it will have more “passenger amenities,” including a wider selection of retail, food and beverage options than the Budget Terminal it replaces. While this will appeal to passengers, Changi will benefit from increased non-aeronautical revenue, which often comprises the largest source of revenue for airports.The new terminal is also expected to accommodate widebody aircraft, something the current Budget Terminal cannot support and had become an issue because new Singapore Airlines low-cost long-haul carrier Scoot is interested in an LCC terminal option but will launch operations in the next few months from T2. More details on T4 will be released in the coming months and construction is expected to start next year.
.
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Qantas and Malaysia Airlines have decided to end talks
Qantas and Malaysia Airlines have decided to end talks on a partnership as the parties were unable to reach mutually agreeable commercial terms.
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The cupboard is bare the emperor has no clothes Will the board sack the goose?
Will the board sack the goose?
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A little bit more
Qantas has conceded that talks with Malaysia Airlines about setting up an ultra-premium airline in Asia have broken down because the two airlines have been unable to agree on the commercial terms.
Qantas shares were down 4.5 cents, or 2.6 per cent, in early trading to $1.68, while the broader market was up 0.4 per cent.
In a brief statement today revealing the failure to cement a deal, the chief executive, Alan Joyce, said Asia remained a priority for Qantas and it "continued to explore opportunities in the region, including joint ventures and alliances".
"The transformation of Qantas's international business remains vital," he said.
But he again emphasised that any investment in Asia would be on the basis that Qantas will allocate "minimal capital to such ventures".
The statement today does not give any detail on why the talks have broken down, other than to say the parties airlines were "unable to reach mutually agreeable commercial terms".
But their failure is not a surprise as Mr Joyce emphasised as recently as last month that his plans for a premium airline were "hugely complex", and the hurdles high.
Malaysia Airlines also warned last week that it was "in crisis" following the release of a fourth consecutive quarterly loss.
The plans to set up an ultra-premium carrier were part of a four-pillar strategy aimed at turning around Qantas's international operations.
Read more: Qantas's Asian plans stall after talks fail
Qantas shares were down 4.5 cents, or 2.6 per cent, in early trading to $1.68, while the broader market was up 0.4 per cent.
In a brief statement today revealing the failure to cement a deal, the chief executive, Alan Joyce, said Asia remained a priority for Qantas and it "continued to explore opportunities in the region, including joint ventures and alliances".
"The transformation of Qantas's international business remains vital," he said.
But he again emphasised that any investment in Asia would be on the basis that Qantas will allocate "minimal capital to such ventures".
The statement today does not give any detail on why the talks have broken down, other than to say the parties airlines were "unable to reach mutually agreeable commercial terms".
But their failure is not a surprise as Mr Joyce emphasised as recently as last month that his plans for a premium airline were "hugely complex", and the hurdles high.
Malaysia Airlines also warned last week that it was "in crisis" following the release of a fourth consecutive quarterly loss.
The plans to set up an ultra-premium carrier were part of a four-pillar strategy aimed at turning around Qantas's international operations.
Read more: Qantas's Asian plans stall after talks fail
In a brief statement today revealing the failure to cement a deal, the chief executive, Alan Joyce, said Asia remained a priority for Qantas and it "continued to explore opportunities in the region, including joint ventures and alliances".
"The transformation of Qantas's international business remains vital," he said.
But he again emphasised that any investment in Asia would be on the basis that Qantas will allocate "minimal capital to such ventures".
Read more: Qantas's Asian plans stall after talks fail
But he said the airline would only allocate minimal capital to such ventures - the so called "capital lite" model - because of economic uncertainty and the Qantas focus on disciplined financial management.
So management has spent thousands of hours and millions of dollars on a pipedream that Blind Freddy could have told them was never going to get anywhere and to add insult to injury they announce they are still keen to pursue this strategy with someone else but only on a capital-light basis.
In other words they are looking for a premium Asian airline who is happy to share their profits and not expect any investment in return....tell 'em they're dreaming!!!
The only upside in all of this is that whilst management was wasting their time on this, they couldn't think up any more daft plans that would further $cr*w up the company.
In other words they are looking for a premium Asian airline who is happy to share their profits and not expect any investment in return....tell 'em they're dreaming!!!The only upside in all of this is that whilst management was wasting their time on this, they couldn't think up any more daft plans that would further $cr*w up the company.
Last edited by 1A_Please; 8th Mar 2012 at 23:22.