MERGED: Alan's still not happy......
1000 Jobs to go at a minimum.
Group to launch an immediate review to identify structural changes with no options to be excluded from the review.
Just imagine how much money could be saved if they cut JQ loose! $60m for a start!
Group to launch an immediate review to identify structural changes with no options to be excluded from the review.
Just imagine how much money could be saved if they cut JQ loose! $60m for a start!
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Buy Qantas shares now!
Have we not seen this political play from Alan before? Grounding anyone? Or perhaps Groundhog Day? Watch the weasels in Canberra closely. He pulled this crap on the incompetent left, now he is trying it on with the smug right.
No one in Canberra wants to own an airline, but the political imperative will prevail.
Have we not seen this political play from Alan before? Grounding anyone? Or perhaps Groundhog Day? Watch the weasels in Canberra closely. He pulled this crap on the incompetent left, now he is trying it on with the smug right.
No one in Canberra wants to own an airline, but the political imperative will prevail.
Last edited by Iron Bar; 4th Dec 2013 at 23:25.
Why does Jetstar have to be expanding all the time? Serious question.
Why don't they just keep it regional so that it serves it's purpose of competing with VA and Tiger and concentrate on making QF great again. That sixty mil would have gone a long way to making QF more attractive to pax. It appears to be good money after bad again and again.
Why don't they just keep it regional so that it serves it's purpose of competing with VA and Tiger and concentrate on making QF great again. That sixty mil would have gone a long way to making QF more attractive to pax. It appears to be good money after bad again and again.
More of the same.
Qantas to cut 1000 jobs
Qantas was in trouble when Bow Tie reigned. Qantas was approaching a precipice when Dixon got his claws on the piggy bank and the least said about the Abominable Irishman (BGA) the better....
Qantas to cut 1000 jobs
Qantas was in trouble when Bow Tie reigned. Qantas was approaching a precipice when Dixon got his claws on the piggy bank and the least said about the Abominable Irishman (BGA) the better....
Why does Jetstar have to be expanding all the time? Serious question.
Why don't they just keep it regional so that it serves it's purpose of competing with VA and Tiger and concentrate on making QF great again. That sixty mil would have gone a long way to making QF more attractive to pax. It appears to be good money after bad again and again.
Why don't they just keep it regional so that it serves it's purpose of competing with VA and Tiger and concentrate on making QF great again. That sixty mil would have gone a long way to making QF more attractive to pax. It appears to be good money after bad again and again.
because I am just having a laugh, but we all know its 
as far your comment goes...
Well it certainly has been a nicely orchestrated campaign. This financial performance was known back in early November when all departments in engineering at least were briefed on austerity measures.
Then we had the ramblings about VA's capital raising.
Then we had the fairgo4qantas website up and running.
Then we had the new government publicly acknowledging that they had some forewarning of a big loss, canvassing options out there to gauge public reaction.
I'm interested to see what the end game will be, if this line in the sand purposely putting overcapacity on routes to protect a figure is so detrimental to the bottom line, why do they persist? If 3% yield decrease = $300 million loss, then reduce capacity.. I don't get it.
If profit maximizing 65% line in the sand is so profit maximizing, why is Qantas bleeding ? Never let a crisis go to waste, lots of capital to go slashing and burning. I wonder who is going to cop it this time around.
Then we had the ramblings about VA's capital raising.
Then we had the fairgo4qantas website up and running.
Then we had the new government publicly acknowledging that they had some forewarning of a big loss, canvassing options out there to gauge public reaction.
I'm interested to see what the end game will be, if this line in the sand purposely putting overcapacity on routes to protect a figure is so detrimental to the bottom line, why do they persist? If 3% yield decrease = $300 million loss, then reduce capacity.. I don't get it.
If profit maximizing 65% line in the sand is so profit maximizing, why is Qantas bleeding ? Never let a crisis go to waste, lots of capital to go slashing and burning. I wonder who is going to cop it this time around.
I just saw this on a news website readers comment. Quite apt.
NCM's chairman and CEO resign after disastrous decisions.
. QAN Chairman and CEO destroy a company and are glued to their seats.
Read more: Markets Live: Qantas shocks with profit warning
. QAN Chairman and CEO destroy a company and are glued to their seats.
Read more: Markets Live: Qantas shocks with profit warning
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It is comforting to know that Qantas cant afford any new aircraft due to the dire situation faced in the current aviation market.
Jetstar, however is such an amazing business that it can justify having a number of brand new aircraft sitting on tarmacs around the planet just waiting to make a killing.
Just wait a short while until Jetstar Hong Kong is up and running. Cathay must be very nervous.
Jetstar, however is such an amazing business that it can justify having a number of brand new aircraft sitting on tarmacs around the planet just waiting to make a killing.
Just wait a short while until Jetstar Hong Kong is up and running. Cathay must be very nervous.
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Classic set up. Prime the public and govt of the day knowing full well there will be a market update showing a shocking financial update. Once again another Christmas "thank you" to 1000 staff and not one exec falling on their swords.
Disgraceful.
Disgraceful.
GEKKO You're not as smart as I thought you were, Buddy boy, Listen hard -- don't count on Graham and Dodd to make you a fortune, everybody in the market knows the theory, ever wonder why fund managers can't beat the S&P 500? 'Cause they're sheep -- and the sheep get slaughtered. I been in the business since '69. Most of these high paid MBAs from Harvard never make it. You need a system, discipline, good people, no deal junkies, no toreadores, the deal flow burns most people out by 35. Give me PSHs -- poor, smart and hungry. And no feelings. You don't win 'em all, you don't love 'em all, you keep on fighting, and if you need a friend, get a dog, it's trench warfare out there sport... (eyeing the surroundings) and in here too. I got twenty other brokers out there, analyzing Charts. I don't need another one. Talk to you sometime...
Just wait a short while until Jetstar Hong Kong is up and running. Cathay must be very nervous.
Check the slot availability for HK in Summer 2014. They're dead in the water.
And so is anyone else looking for slots for that matter.
Chek Lap Kok is screwed with the noise issue.
He also defended his own position when asked about the significant fall in Qantas's share price since he began as chief executive five years ago.
"The board have been very supportive on this. The board understands the dynamics in the marketplace," Mr Joyce said.
"Qantas has an amazing management team."
Read more: Qantas to cut 1000 jobs
"The board have been very supportive on this. The board understands the dynamics in the marketplace," Mr Joyce said.
"Qantas has an amazing management team."
Read more: Qantas to cut 1000 jobs
So the board have been supportive of the share price fall? WTF?
Goodbye Alan and Leigh. A farewell party will be held at the following pub. Should be plenty of room for all their friends.
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The The, lets pull back the curtain, this is blackmail, extortion, what ever you would like to call it. We don't get what we want from Tony Abbott, simple, we hold a gun to our own head. This strategy is sanctioned from the very top.
It is exactly the same play at TBTF from the banks - Too Big To Fail. It is about milking the taxpayer in perpetuity...
You have to change your mindset. This video may help explain how it works: Manual for New Tax Farmers. There is a link to the book and audiobook on that page.
It is exactly the same play at TBTF from the banks - Too Big To Fail. It is about milking the taxpayer in perpetuity...
You have to change your mindset. This video may help explain how it works: Manual for New Tax Farmers. There is a link to the book and audiobook on that page.
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What I can't believe - $250-300 million loss but that is for the current 6 months. As everyone in aviation knows in this hemisphere, all the money is made in the first half of financial year. So what does this mean for the full year? Up to $700 million loss before tax? Ouch.
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Qantas to cut 1000 jobs
"Qantas has an amazing management team." Hahahahahahahahahahahahahahahahahahahahahahahahahahahahahaha hahahahahahahahahahahahahahahahahahahahahahahahahahahahahaha hahahahahahahahahaha I could go on. You're a funny man Alan, a funny deluded man.
Qantas will axe at least 1000 jobs over the next year and warned that it will slump to a loss of up to $300 million in the first half, blaming a market deterioration in trading conditions and weaker return on fares.
In a dramatic response to its rapidly deteriorating financial position, the airline will consider the possibility of partial sales of businesses including Jetstar Australia and its frequent flyer loyalty program.
It said "all options are on the table" as part of a wide-ranging structural review. The airline would not name the most likely options but possible courses of action include sell-downs of its investments in Asia. They include Jetstar Asia in Singapore and Jetstar Japan.
Qantas shares slumped 16 per cent to $1.02 - just shy of an all-time low of 96 cents reached last year following the earnings warning. It will be the first time the airline has recorded a loss in the first half since it was privatised in the 1990s.
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After pleading over the last two weeks for financial assistance from the federal government, Qantas said in a profit warning on Thursday that the ''challenges we now face are immense''.
The airline will step up cost savings over the next three years, stripping out $2 billion.
The cutting of at least 1000 jobs over the next year will include 300 roles that Qantas announced last month would be axed following the closure of its heavy maintenance base at Avalon, near Geelong.
Qantas said it now expects to report an underlying loss before tax of between $250 million and $300 million for the six months to December 31. The first half is typically the airline's strongest.
Australia's largest airline said it expected yields – or return on fares – across the group to be 3.5 per cent lower in the first half compared with the same period last year.
The profit warning was triggered by a significant deterioration in yields and passenger loads on planes across its international and domestic networks in November.
Qantas chief executive Alan Joyce said the circumstances demanded urgent action.
''The challenges we now face are immense – but we will overcome them and we will continue to build a stronger and better Qantas for Australia,'' he said in a statement.
Renewing his attack on his arch rival, Mr Joyce also said there had been ''unprecedented distortion of the Australian domestic market with Virgin Australia's strategy to seek major ownership and massive financial backing from government-owned airlines''.
''We cannot and we will not stand still in these extraordinary circumstances.''
Qantas has been aggressively lobbying the government to provide financial assistance which could include a debt guarantee or the purchase of a small stake.
Mr Joyce said the structural review was running separately to its ongoing talks with the government. He informed the Treasurer Joe Hockey and Transport Minister Warren Truss of the structural review and profit warning shortly after it informed the market this morning.
He also defended his own position when asked about the significant fall in Qantas's share price since he began as chief executive five years ago.
"The board have been very supportive on this. The board understands the dynamics in the marketplace," Mr Joyce said.
"Qantas has an amazing management team."my bold
In a dramatic response to its rapidly deteriorating financial position, the airline will consider the possibility of partial sales of businesses including Jetstar Australia and its frequent flyer loyalty program.
It said "all options are on the table" as part of a wide-ranging structural review. The airline would not name the most likely options but possible courses of action include sell-downs of its investments in Asia. They include Jetstar Asia in Singapore and Jetstar Japan.
Qantas shares slumped 16 per cent to $1.02 - just shy of an all-time low of 96 cents reached last year following the earnings warning. It will be the first time the airline has recorded a loss in the first half since it was privatised in the 1990s.
Advertisement
After pleading over the last two weeks for financial assistance from the federal government, Qantas said in a profit warning on Thursday that the ''challenges we now face are immense''.
The airline will step up cost savings over the next three years, stripping out $2 billion.
The cutting of at least 1000 jobs over the next year will include 300 roles that Qantas announced last month would be axed following the closure of its heavy maintenance base at Avalon, near Geelong.
Qantas said it now expects to report an underlying loss before tax of between $250 million and $300 million for the six months to December 31. The first half is typically the airline's strongest.
Australia's largest airline said it expected yields – or return on fares – across the group to be 3.5 per cent lower in the first half compared with the same period last year.
The profit warning was triggered by a significant deterioration in yields and passenger loads on planes across its international and domestic networks in November.
Qantas chief executive Alan Joyce said the circumstances demanded urgent action.
''The challenges we now face are immense – but we will overcome them and we will continue to build a stronger and better Qantas for Australia,'' he said in a statement.
Renewing his attack on his arch rival, Mr Joyce also said there had been ''unprecedented distortion of the Australian domestic market with Virgin Australia's strategy to seek major ownership and massive financial backing from government-owned airlines''.
''We cannot and we will not stand still in these extraordinary circumstances.''
Qantas has been aggressively lobbying the government to provide financial assistance which could include a debt guarantee or the purchase of a small stake.
Mr Joyce said the structural review was running separately to its ongoing talks with the government. He informed the Treasurer Joe Hockey and Transport Minister Warren Truss of the structural review and profit warning shortly after it informed the market this morning.
He also defended his own position when asked about the significant fall in Qantas's share price since he began as chief executive five years ago.
"The board have been very supportive on this. The board understands the dynamics in the marketplace," Mr Joyce said.
"Qantas has an amazing management team."my bold
I think some folks confuse "profit" with cash. A company can have big write-downs for example leading to losses while being cash-flow positive. Qantas "losses" must be looked at in terms of other inputs and cash retention etc. 1000 unfortunate staff redundancies is less than 3% of total staffing....
In more ancient times, Qantas - Australia's Overseas Airline, was euphemistically known as, Qantas - Australia's Overstaffed Airline!
It is not apoplectic.
I agree the CEO/Board are not on top of their game however you look at it...they pay little attention to their overseas markets in my opinion. Try ringing QF sales in the USA on the east coast [NYC is a port eg] in the evening [call back tomorrow is not customer service]
In more ancient times, Qantas - Australia's Overseas Airline, was euphemistically known as, Qantas - Australia's Overstaffed Airline!
It is not apoplectic.
I agree the CEO/Board are not on top of their game however you look at it...they pay little attention to their overseas markets in my opinion. Try ringing QF sales in the USA on the east coast [NYC is a port eg] in the evening [call back tomorrow is not customer service]