REX to transition to ATRs, start domestic jet ops
A growing number of 2nd hand 737s, Q400s and E190s will hit the market as the post Covid boom abates
Regarding their profitability, given their loads and better pricing with their jets, I believe they are doing better than they are letting on at the moment
The $25m drawdown won't be for the past, I believe it is for further growth
..[/QUOTE]
Convertible notes are for opex not capex, the rest of the predictions are not worth responding to given their based on world most of us are not living in![/QUOTE]
$25mil won't even get 1 737 so duh...
Operating expenses is a fairly large bucket that can be distributed to many and various departments
So what in particular are you in disagreement with?
More 737s, this is beyond doubt
More triangle flights, they are continually adding more flights
Expansion to more cities, they have stated this from the beginning
More Q400s, NJE are looking as we type
NJE to REX routes, see BNE-CNS
REX mainline to become NJE, sure speculation, but makes a lot sense
E190s to bolster mainline, rumour but this would also make sense on thinner routes
Q400 replacing SAABs, they will need replacing at some point and without a 30-36 seated being manufactured, there would seem to be no other option, especially with NJE already having a fleet
Here's one out of left field
Could the $25mil be used in part to buy out the remaining 50% of NJE along with a share swap, thus hitting the fast forward of many of the above points?
The $25m drawdown won't be for the past, I believe it is for further growth
..[/QUOTE]
Convertible notes are for opex not capex, the rest of the predictions are not worth responding to given their based on world most of us are not living in![/QUOTE]
$25mil won't even get 1 737 so duh...
Operating expenses is a fairly large bucket that can be distributed to many and various departments
So what in particular are you in disagreement with?
More 737s, this is beyond doubt
More triangle flights, they are continually adding more flights
Expansion to more cities, they have stated this from the beginning
More Q400s, NJE are looking as we type
NJE to REX routes, see BNE-CNS
REX mainline to become NJE, sure speculation, but makes a lot sense
E190s to bolster mainline, rumour but this would also make sense on thinner routes
Q400 replacing SAABs, they will need replacing at some point and without a 30-36 seated being manufactured, there would seem to be no other option, especially with NJE already having a fleet
Here's one out of left field
Could the $25mil be used in part to buy out the remaining 50% of NJE along with a share swap, thus hitting the fast forward of many of the above points?
Capacity is at 90% pre Covid levels and likely to stay that way for some time owing to pilot shortages, P&W GTF issues and the demand for PCF stock (which is waning).
Meanwhile lease rates for the 737 are climbing with a 18 year old 737-800 going from a low of Q4 2021 of USD80k per month to USD150k per month currently, which coincidently is less than a Dash 8 Q400, your solution to the SF340s!
Rex has been profitable in the past with low cost ops using owned aircraft, now those owned aircraft are redundant and they are faced with massive increasing costs just to maintain their network, let alone grow it.
LOL, Rex booked a 45M increase in value as their share from the JV in the last results, if 25M allowed them to buy the remaining 50% questions would be asked. Given the PAG funding is exclusively for the domestic jet operation it’s a moot point, won’t happen.
Meanwhile lease rates for the 737 are climbing with a 18 year old 737-800 going from a low of Q4 2021 of USD80k per month to USD150k per month currently, which coincidently is less than a Dash 8 Q400, your solution to the SF340s!
Rex has been profitable in the past with low cost ops using owned aircraft, now those owned aircraft are redundant and they are faced with massive increasing costs just to maintain their network, let alone grow it.
Regarding their profitability, given their loads and better pricing with their jets, I believe they are doing better than they are letting on at the moment
The $25m drawdown won't be for the past, I believe it is for further growth
..
Here's one out of left field
Could the $25mil be used in part to buy out the remaining 50% of NJE along with a share swap, thus hitting the fast forward of many of the above points?
The $25m drawdown won't be for the past, I believe it is for further growth
..
Here's one out of left field
Could the $25mil be used in part to buy out the remaining 50% of NJE along with a share swap, thus hitting the fast forward of many of the above points?
Last edited by markis10; 22nd Dec 2023 at 20:20.
We'll get a bit of a line of sight on the numbers when the half-year results get posted in a couple of months, so stand by to standby.
A huge sample of one I know, but yesterday I took my first flight on Rex (MEL - BNE) as there were no seats for staff on Qantas and Virgin wanted $889 vs Rex's $329; and that was booking at 90 mins before ETD. We departed a bit over an hour late, but then everyone was to Brisbane.
The flight was about 2/3 full in economy (including 5 Qantas staff) but full in Business. I was surprised it wasn't chocker down the back given the fare differential.
The service onboard was as good as contemporary domestic economy ever is on any airline and we were thankful for the move from row 14 to the an exit row.
The flight was about 2/3 full in economy (including 5 Qantas staff) but full in Business. I was surprised it wasn't chocker down the back given the fare differential.
The service onboard was as good as contemporary domestic economy ever is on any airline and we were thankful for the move from row 14 to the an exit row.
Rex quietly announced tonight that regional temporary cancellations announced in September last year will no longer cease in March, now running through to October due to Covid!
https://www.rex.com.au/MediaAndPress...st.aspx?y=2024
https://www.rex.com.au/MediaAndPress...st.aspx?y=2024
Rex quietly announced tonight that regional temporary cancellations announced in September last year will no longer cease in March, now running through to October due to Covid!
https://www.rex.com.au/MediaAndPress...st.aspx?y=2024
https://www.rex.com.au/MediaAndPress...st.aspx?y=2024
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Quite apart from your pathetic attempts to **** stir you do realize that traditionally we are now in probably one of the quieter times of the year following the return of school etc etc……
Last week was still inside the holiday period and obviously would be busier.
The sky isn’t falling in just yet mate but keep wishing for Rex to fail.
Now back to QF or VA for you. You most certainly have your own set of issues to deal with.
Last week was still inside the holiday period and obviously would be busier.
The sky isn’t falling in just yet mate but keep wishing for Rex to fail.
Now back to QF or VA for you. You most certainly have your own set of issues to deal with.
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Dont be ridiculous ACMS, Mick is waay too busy to look at seasonal variations. He reads ASX announcements and financial reports don't you know and gifts his wealth of knowledge to us plebs.
QUOTE=ACMS;11589182]Quite apart from your pathetic attempts to **** stir you do realize that traditionally we are now in probably one of the quieter times of the year following the return of school etc etc……
Last week was still inside the holiday period and obviously would be busier.
The sky isn’t falling in just yet mate but keep wishing for Rex to fail.
Now back to QF or VA for you. You most certainly have your own set of issues to deal with.[/QUOTE]
QUOTE=ACMS;11589182]Quite apart from your pathetic attempts to **** stir you do realize that traditionally we are now in probably one of the quieter times of the year following the return of school etc etc……
Last week was still inside the holiday period and obviously would be busier.
The sky isn’t falling in just yet mate but keep wishing for Rex to fail.
Now back to QF or VA for you. You most certainly have your own set of issues to deal with.[/QUOTE]
Oh, I've also been known to peruse the BITRE pax traffic statistics too, certainly enough to know that while the average change in domestic pax carried daily between January and February is around -3.3 percent, that trend is not seen on the SYD-MEL-BNE triangle.
To the surprise of no one who understands the corporate/leisure split on the triangle, daily pax carried actually lifts on those sectors by around 8-9 percent between January and February.
And that, of course, makes Rex's decision to prune flights off the triangle a little more curious.
As always, it might just be a passing thing. Just as the somewhat drastic decline in Rex's domestic pax numbers over the past couple of weeks may just be a passing thing also.
And, for the avoidance of any and all doubt, I do not and have not worked for either QF or VA, but thanks for thinking of me.
To the surprise of no one who understands the corporate/leisure split on the triangle, daily pax carried actually lifts on those sectors by around 8-9 percent between January and February.
And that, of course, makes Rex's decision to prune flights off the triangle a little more curious.
As always, it might just be a passing thing. Just as the somewhat drastic decline in Rex's domestic pax numbers over the past couple of weeks may just be a passing thing also.
And, for the avoidance of any and all doubt, I do not and have not worked for either QF or VA, but thanks for thinking of me.
Last edited by MickG0105; 3rd Feb 2024 at 10:23. Reason: Formatting
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Been able to take 737s since 1992 when the government gave the council money for the runway. There’s even a picture of one on the airports wiki page, and tiger visited on a few occasions in years gone by, infrastructure to handle RPT flights, different story.
Well something is up, everytime I walk in now Rex has canceled more than normal average 73 flights whilst where I’m at carrying 170+ everywhere so can’t really blame school going back.
Saying that, VA seem to be canning a lot also.
Saying that, VA seem to be canning a lot also.
The ship is very seaworthy, management have pulled the bungs out and are doing nothing to fix it. From what I hear is being rostered for pilots regularly they are actively bucketing water into the ship as well as setting fire to it. The shareholders should be asking hard questions of the management team as to what they plan to do, as 'let it happen', or even 'make it worse' is the present mode of operating.
So they can take 737s at Wagga now, thought they knocked back Bonza at Wagga
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I reckon, as I stated earlier, that they are transitioning their fleet from SAABs to Q400s under NJE, they just doubled their BNE-CNS frequency 
and aren't they using some NJE metal in WA
As I also stated earlier, mid to long term, staff and new jets won't be as much of an issue because, I believe, the post Covid ramp up world wide is overly ambitious
Airlines and annalists likely have not taken into account what was always going to happen after Covid
Countries collectively injecting multiple trillions into economies during Covid was always going to be inflationary in the recovery stage
Governments were always going to have to recoup the stimulus resulting in higher taxes
The aging population problem was certainly not helped by Covid with millions of people world wide taking early retirement creating the current labour shortage driving up wages for the rest and further adding to inflation
All resulting in a cost of living problem and much higher interest rates and rents taking disposable income levels to new lows
This is all having impacts on commercial aviation as you can see with falling load factors with the likes of REX and more cancelations with QF/JQ and VA
Airlines have over ordered new frames and they will be offloading older frames earlier, to REX's benefit
and aren't they using some NJE metal in WAAs I also stated earlier, mid to long term, staff and new jets won't be as much of an issue because, I believe, the post Covid ramp up world wide is overly ambitious
Airlines and annalists likely have not taken into account what was always going to happen after Covid
Countries collectively injecting multiple trillions into economies during Covid was always going to be inflationary in the recovery stage
Governments were always going to have to recoup the stimulus resulting in higher taxes
The aging population problem was certainly not helped by Covid with millions of people world wide taking early retirement creating the current labour shortage driving up wages for the rest and further adding to inflation
All resulting in a cost of living problem and much higher interest rates and rents taking disposable income levels to new lows
This is all having impacts on commercial aviation as you can see with falling load factors with the likes of REX and more cancelations with QF/JQ and VA
Airlines have over ordered new frames and they will be offloading older frames earlier, to REX's benefit