VA/Rex/Tiger August announcements???
I remember a time where SQ was considered the answer to a domestic airlines problems. At the end of the day unless SQ have an absolute guarantee of a return they will not commit.
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Don’t forget SQ are largely responsible for a lot of the mess today so of course they should take full control, its partly their mess. Tiger was under SQ control for the first 5 years run out of its Singapore office.
Singapore injected the most cash and kept the bonds alive. EY and SQ had heavy involvement in the tinkering behind closed doors. Tiger becoming a Virgin problem was part of that process. You want cash..well your getting Tiger also.
EY and SQ also encouraged the capacity wars earlier this decade, and financed it.
The next issue is financing the large Boeing payment due in less than 12 months.
Singapore injected the most cash and kept the bonds alive. EY and SQ had heavy involvement in the tinkering behind closed doors. Tiger becoming a Virgin problem was part of that process. You want cash..well your getting Tiger also.
EY and SQ also encouraged the capacity wars earlier this decade, and financed it.
The next issue is financing the large Boeing payment due in less than 12 months.
Agreed. Off loading it for a Dollar would be cheaper than paying out lease costs and redundancies.
Farewell MM
And as always, the results come out and the dreams and rumours are dead. Nothing ever happens.
i live in hope that the new bloke has his **** in a pile and he leads us to the promised land, as opposed to the last bloke who lead us to the steps of the bankruptcy court.
I’ve always said give the new guy a go like you
would any new employee finding their way. What I’ve observed is that the new guy is the exact opposite to the old guy. I recall when GH was here, a lot of the cost cutting seemed to be slanted toward meals/accom and things that involved operational staff. Then there was the never business class issue. Wasn’t the end of the world for me personally.
I bet if you did a graph of sick leave vs months you could actually see it heading skyward in 2015. In the end it just turns into a massive false economy.
Fast forward to today and whilst its no holiday at least its heading in the right direction. Get people on side and they’ll bend over backwards for you. More bees with honey than vinegar as goes the saying.
Thats just my take on it. Obviously I’m not in the 750 group but am in the group that does a yearly medical and sim sessions with few to no options if it closes.
You seem to forget the utter debacle of Tiger which they owned outright and then quietly offloaded so as to save face. I wish people would stop painting SQ as this great, brilliant and genius outfit... they have some damn incompetent people working for them as I learned during a cutover many years ago where they sent people who had no idea what they were doing and the handling airline had to set everything up and practically train the staff as well... they are profitable because they sit at the cross-roads of the world in a trading hub and have been able to capitalise on it for decades as well as capture a lot of Australia Europe traffic by fudging their location and operating through services along with the majority of their staff being employed at what is by any objective definition a Police State. They are not much chop really when it all comes down to it. They will not take over VA/TT because if they do they know now there will be no one else to palm it off to like they did with TT in order to save face once they make a hash of it again like they did with TT.
I can see where the rumours of the Ejets returning are coming from. When you're paying $45 mil per year in leasing costs to have them parked, and at the same time wet leasing Alliance to fly your regional routes, it makes more sense to bring them back and have VARA operate them. It's a no brainer in airline management 101.
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I can see where the rumours of the Ejets returning are coming from. When you're paying $45 mil per year in leasing costs to have them parked, and at the same time wet leasing Alliance to fly your regional routes, it makes more sense to bring them back and have VARA operate them. It's a no brainer in airline management 101.
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I can see where the rumours of the Ejets returning are coming from. When you're paying $45 mil per year in leasing costs to have them parked, and at the same time wet leasing Alliance to fly your regional routes, it makes more sense to bring them back and have VARA operate them. It's a no brainer in airline management 101.
Then there are the start-up costs, there goes another $12-$15m VA don’t have.
What surprises me is that VA have persisted in asking what they are for these aircraft rather than offer incentives to get them let out. Better to incur $10m in incentive costs and save $35m than the current scenario.
Definitely not the smartest guys in the room
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They did try to sub lease some of them and actually got one painted up in Jetgo colours. That didn't even make it through the delivery flight before they went down. While the original reason to mothball the fleet didn't seem to have much thought behind it GH was well know to want to cut back on expensive crew. As for letting these out now talking to one of the leasing companies looking at the aircraft they are not in good condition now. It means the $45 Million in leasing costs is going to be nothing compared to the lease return cost. That is going to be well above that number.
Knowing that there simply aren't a spare 750 people in the head offices it does mean there is more to the redundancies then just the office. I hope thy keep going but there now needs to be some pretty drastic action and it looks like it is coming. Not too many things that can be done without causing financial or regulatory issues. As for the cash position it is good to see KN back in there. He is a good operator so hopefully he can keep it all looking good.
Knowing that there simply aren't a spare 750 people in the head offices it does mean there is more to the redundancies then just the office. I hope thy keep going but there now needs to be some pretty drastic action and it looks like it is coming. Not too many things that can be done without causing financial or regulatory issues. As for the cash position it is good to see KN back in there. He is a good operator so hopefully he can keep it all looking good.