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REX to transition to ATRs, start domestic jet ops

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REX to transition to ATRs, start domestic jet ops

Old 22nd Jul 2021, 01:39
  #1381 (permalink)  
 
Join Date: Jun 2020
Location: Sydney
Posts: 39
It's a great shame. REX is a great airline with some of the best in the business working for them. As I understand it the 737 is a separate company to the SAAB operation so even if the wrap up the 737 gig the rest will remain, lets hope so. In spite of all the hate out there, lots of great people work there & I for one wish em well!
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Old 22nd Jul 2021, 01:41
  #1382 (permalink)  
 
Join Date: Jul 2008
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There was also the premise that all the domestic carriers made about Covid being done and dusted by March 2021. That hasn't worked out for any of them.
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Old 22nd Jul 2021, 02:08
  #1383 (permalink)  
 
Join Date: Oct 2016
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Originally Posted by Busbitch View Post
It's a great shame. REX is a great airline with some of the best in the business working for them. As I understand it the 737 is a separate company to the SAAB operation so even if the wrap up the 737 gig the rest will remain, lets hope so. In spite of all the hate out there, lots of great people work there & I for one wish em well!
Beware the sleeping Tiger. If it does turn to shit, then as we know in aviation, anything is possible and expect the unexpected.
VA still have that AOC on ice. It depends on Rex owners, share holders, PAG if they want to sell the 737 operation to Bain.
Buy the operation save the crews, save the jobs and knocks out the opposition. Long shot yes, though something must give.
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Old 22nd Jul 2021, 02:28
  #1384 (permalink)  
 
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Tiger has never made any money and itís not about to start making money now either. Jetstar will hold its ground regardless.

Just be done with Tiger. Jetstar has this market covered and is a formidable competitor to anyone in that space.

Virgin needs to just worry about two things and thatís Virgin and Virgin only, and Virgin making positive earnings. No distractions.
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Old 22nd Jul 2021, 04:56
  #1385 (permalink)  
 
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Originally Posted by Turnleft080 View Post
Beware the sleeping Tiger. If it does turn to shit, then as we know in aviation, anything is possible and expect the unexpected.
VA still have that AOC on ice. It depends on Rex owners, share holders, PAG if they want to sell the 737 operation to Bain.
Buy the operation save the crews, save the jobs and knocks out the opposition. Long shot yes, though something must give.
Bain is very disciplined about how they manage their VA investment. They have resisted being rushed into making decisions about lounges, catering etc. They are not likely to deviate now and be distracted into saving ZL's jet operation. It suits them for ZL to leave the market which will allow fares to stabilise (upwards) once the domestic borders reopen.
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Old 22nd Jul 2021, 05:28
  #1386 (permalink)  
 
Join Date: May 2016
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Originally Posted by 1A_Please View Post
Bain is very disciplined about how they manage their VA investment. They have resisted being rushed into making decisions about lounges, catering etc. They are not likely to deviate now and be distracted into saving ZL's jet operation. It suits them for ZL to leave the market which will allow fares to stabilise (upwards) once the domestic borders reopen.
Spot on, for all of Sharpie's carry on about Qantas, unsurprisingly he failed to grasp that he really wasn't competing with QF. If Rex were going to take market share, it was more likely going to come from VA. And VA seemed to be making all the right responses to anything that Rex threw up. Meanwhile, having raised AJ's ire, QF started squeezing Rex on its bread-and-butter regional routes.

There's no shortage of literature on the downsides of trying to fight wars on two fronts.

It was a bit like watching the Wagga Raiders Juniors going up against the Storm and the Roosters.
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Old 22nd Jul 2021, 06:10
  #1387 (permalink)  
 
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Geez Busbitch - should you really be on here saying "nice" things and showing some compassion? Best be careful
not following the lead of MickG, SHVC, bounceboeing and Paragraph 337 and the others with their incredibly repetitive and quite frankly
totally boring negativity. We get the idea you guys - you hate Rex and Sharp and you are all airline business experts. Give it a break.

Thats just my opinion and I'm entitled to it. Or do you want me to log on every day and say the same thing over and over and over
like you guys with nothing better to do
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Old 22nd Jul 2021, 06:53
  #1388 (permalink)  
 
Join Date: May 2016
Location: Sunshine Coast
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Originally Posted by rodney rude View Post
Geez Busbitch - should you really be on here saying "nice" things and showing some compassion? Best be careful
not following the lead of MickG, SHVC, bounceboeing and Paragraph 337 and the others with their incredibly repetitive and quite frankly
totally boring negativity. We get the idea you guys - you hate Rex and Sharp and you are all airline business experts. Give it a break.

Thats just my opinion and I'm entitled to it. Or do you want me to log on every day and say the same thing over and over and over
like you guys with nothing better to do
Geez, didn't realise there was some sort of quota on posts. I've made 11 since the end of May and half of those were entirely unrelated to Rex and its management rather they addressed interpreting the ACCC report on competition in the sector, the structure of power-by-the-hour leases, and an extended exchange on whether manufacturer documentation is freely available. As to saying the same thing over and over and over, each of my other posts about Rex addressed a different topic, once each time - finances, exec share plan, most recent flights by the fleet, and competition.

For the record, I hate neither Rex or John Sharp. I think that Sharp is a loud-mouth whinger and that Rex's management have seriously misjudged this expansion program (that's just my opinion and I'm entitled to it) but I don't hate either.

That said, if you don't like seeing "There's never been a better time to expand into the domestic market" trotted out, then best look away - that's unlikely to be forgotten any time soon.
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Old 22nd Jul 2021, 08:46
  #1389 (permalink)  
 
Join Date: Oct 2013
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Originally Posted by rodney rude View Post
Thats just my opinion and I'm entitled to it. Or do you want me to log on every day and say the same thing over and over and over like you guys with nothing better to do
You donít like other peoples posts? Then donít read them. Simple. You are probably the same sook that criticises peopleís grammar. Itís a blog, get it? People post comments. Some of those comments might not align with your own personal beliefs. Tough titties.

And for the record, I have no issue with REX as an entity nor the pilot group. Itís the capitalist grubs like the majority of CEOís and Board Directors, along with political vermin that I dislike.

Last edited by Paragraph377; 22nd Jul 2021 at 12:04.
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Old 22nd Jul 2021, 10:10
  #1390 (permalink)  
 
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What they said.
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Old 22nd Jul 2021, 10:39
  #1391 (permalink)  
 
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Originally Posted by Turnleft080 View Post
VA still have that AOC on ice. It depends on Rex owners, share holders, PAG if they want to sell the 737 operation to Bain.
Buy the operation save the crews, save the jobs and knocks out the opposition.
Iíve seen a few posters postulate such an outcome but I find the notion a bit bizarre. Part of the reason Virgin went bust was because they went out buying up multiple other operators rather than concentrating on their own core business which was profitable.
Why would they want to recreate past mistakes?

Additionally, they already have a LCC AOC
and access to many 737ís and crew, what benefit would there be in buying a dud business off Rex?
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Old 22nd Jul 2021, 10:53
  #1392 (permalink)  
 
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Can the leasing companies say offer these Jets to Virgin? A use it or lose it sort of clause for Rex.

3/6 of these VA would want back are only 11 years old.
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Old 22nd Jul 2021, 12:05
  #1393 (permalink)  
 
Join Date: Sep 2019
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^^

I'm guessing that even VA/Bain does not want most if not all those older jets back. A few of them were the most unreliable of the fleet when they were with VA.
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Old 22nd Jul 2021, 21:15
  #1394 (permalink)  
 
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BZG/VUV/VUU are only 2010 builds.

The other three I wouldnít touch.
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Old 22nd Jul 2021, 21:38
  #1395 (permalink)  
 
Join Date: Feb 2012
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By the looks of it Rex might not touch them again either.
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Old 22nd Jul 2021, 23:29
  #1396 (permalink)  
 
Join Date: Feb 2004
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Why would VA bother with those old machines? Strong rumours of Max 8 and 787 orders forthcoming. Max for short-haul international and 787 to restart US and Japan ops. Theyíre working on the timing, in conjunction with federal government, as it is contingent on border openings.

Theyíve been busy certifying all sim instructors in the Max sim (full DTR) so that when the announcement is made, the training program can be rolled out expeditiously.
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Old 22nd Jul 2021, 23:58
  #1397 (permalink)  
 
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Originally Posted by turbantime View Post
Why would VA bother with those old machines? Strong rumours of Max 8 and 787 orders forthcoming. Max for short-haul international and 787 to restart US and Japan ops. Theyíre working on the timing, in conjunction with federal government, as it is contingent on border openings.

Theyíve been busy certifying all sim instructors in the Max sim (full DTR) so that when the announcement is made, the training program can be rolled out expeditiously.
I'd be surprised if VA were ordering MAX8s given they only cancelled their order for them last December. They obviously are preparing for their MAX10s which are due in about 2 years but it is hard to see what MAX8s offer them given they now have a fairly young fleet of 73Ws and there is little point having capacity in excess of demand given current uncertainties.

Rumours of a 787 order would appear to be exactly that. Bain are very disciplined in how they realise their investment in VA and long-haul international flying would seem to be a fair way into the future for them. I wouldn't expect to see any 787s for VA before 2025 at the earliest.
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Old 23rd Jul 2021, 00:11
  #1398 (permalink)  
 
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Originally Posted by SHVC View Post
By the looks of it Rex might not touch them again either.
Quite.

These lockdowns provide JS and the Singaporeans an excuse to exit the jet market before anymore of the $150m is thrown into the gurgler. It also allows them to blame the fed/state government rather than their own commercial vandalism.
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Old 23rd Jul 2021, 04:24
  #1399 (permalink)  
 
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VA still have that AOC on ice. It depends on Rex owners, share holders, PAG if they want to sell the 737 operation to Bain.
Buy the operation save the crews, save the jobs and knocks out the opposition. Long shot yes, though something must give.
Which opposition would it knock out?

There is no operation to sell, all grounded and before that burning cash every week.

I have a great business to sell you though…
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Old 23rd Jul 2021, 07:16
  #1400 (permalink)  
 
Join Date: May 2016
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Originally Posted by PoppaJo View Post
Can the leasing companies say offer these Jets to Virgin?
Only if Rex were to default on their lease in such a fashion that repossession was triggered. Unremedied non-payment of rent is the typical 'termination event' that would lead to repossession.

Originally Posted by PoppaJo View Post
A use it or lose it sort of clause for Rex.
The leasing companies really couldn't give a tinker's cuss as to whether the lessee is using the aircraft or not so long as rent is being paid as it falls due and asset value is being maintained. Non-use wouldn't be an event of default in of itself; non-use and failure to properly maintain the aircraft per the manufacture's calendar-based schedules and/or preservation guidance most certainly would be.
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