REX to transition to ATRs, start domestic jet ops

[Ladloy]

75m of the 150m drawn. 30m cash on hand.

[SHVC]

30m does not seem like a lot to expand 1 jet every 2-3 months.

[Ladloy]

Originally Posted by SHVC

30m does not seem like a lot to expand 1 jet every 2-3 months.

Their turboprop crew will be leaving in droves in the coming months as the EBA negotiations start getting dirty. Qantas and Jetstar will start taking from hold files and that will hurt them. They were short pre covid and they have expanded the network since then.

[Colonel_Klink]

It is certainly going to be an interesting time for Rex over the next little while, especially if there continues to be a focus on expanding the jet operation. Will management lose focus on the fundamental part of their business (that being the SAAB operation) in the pursuit of shiny jets?

It also begs the question as to what is in store for the Australian aviation industry? QF will continue dominating the top end of the domestic RPT market, JQ will have more 320s than it did pre COVID and has the NEOs arriving mid year, Virgin has at least 85 737s and is targeting 1/3rd market share, Rex is saying they want to get an extra aircraft every 1-2 months up to 30 aircraft and target servicing every capital city in 2022, Bonza has at least 8(?) 737 Max aircraft on the way and Alliance is getting 30 odd Ejets. This seems like madness and surely something will have to give?

[PoppaJo]

It also begs the question as to what is in store for the Australian aviation industry?

Remove Tiger, Jetstar picks up 3/4 of that, Virgin the remainder. That’s what a sustainable market is. Long term that is also what’s best for employees and this profession. I’m not saying block competition I’m saying that nobody has proven in earnings, that a 4th or 5th operation is sustainable.

Will be a struggle later down the track to even man the above 3 let alone 5, as we cycle out Pilot generations, to a generation that has no interest in the career whatsoever.

[MickG0105]

Rex's HY1-22 results out - $52.979 million loss before tax, bottom line $36.658 million loss. That was off of $116.482 million in revenue.

[Icarus2001]

to a generation that has no interest in the career whatsoever.

cough cough What are they interested in?

[KRUSTY 34]

Originally Posted by Icarus2001

cough cough What are they interested in?

Ultimately making money, one would assume/hope.

Which of course gives strength to PoppaJo’s post.

[Stationair8]

The next generation aren’t interested in any career unless it starts north of $100k, family friendly, flexible work hours( ie Tuesday, Wednesday and Thursday), quick promotion, bonuses, company they work for must have a social licence, pet friendly and work from home!

[Ladloy]

Originally Posted by Stationair8

The next generation aren’t interested in any career unless it starts north of $100k, family friendly, flexible work hours( ie Tuesday, Wednesday and Thursday), quick promotion, bonuses, company they work for must have a social licence, pet friendly and work from home!

or it could be the cost of training is out of reach for most. Why spend upwards of 100k to work in GA when you could do a trade and buy a house. Seeing the majority of pilots stacking shelves for two years doesn't help either.

[Wizofoz]

Originally Posted by Stationair8

The next generation aren’t interested in any career unless it starts north of $100k, family friendly, flexible work hours( ie Tuesday, Wednesday and Thursday), quick promotion, bonuses, company they work for must have a social licence, pet friendly and work from home!

As the father of two smart, well educated, hard working young adults, facing the absolute mess my generation has left them, this is a comment so stupid it borders on the offensive.

[Icarus2001]

facing the absolute mess my generation has left them,

The mess of stable government, democracy, Australia having over thirty years of growth, Medicare, low unemployment, pre covid cheap overseas travel, high rates of education, low disease, availability of good food with choice….
Yes what a mess.

[Ladloy]

Originally Posted by Icarus2001

The mess of stable government, democracy, Australia having over thirty years of growth, Medicare, low unemployment, pre covid cheap overseas travel, high rates of education, low disease, availability of good food with choice….
Yes what a mess.

Employment rate is a load of bollocks, 1 hour a month is considered employed. Underemployment is skyrocketing with a massive casualisation of the workforce. No affordable housing for anyone on median wage. Two decades of stagnant wages. Widening wealth inequality. Government debt tripling since 2013, government corruption worsening.

[MickG0105]

Originally Posted by Ladloy

Employment rate is a load of bollocks, 1 hour a month is considered employed.

It's an hour a week, not a month. And it's an internationally applied metric, it's not like someone made it up recently to make the figures look better.

[SHVC]

The Gov debt tripling is really unavoidable.

If Albo gets in, we will plunge further.

[Arnold E]

If Albo gets in, we will plunge further.
Hmmm, what makes you so sure of that, and pleeeeese dont say look at the past

[Wizofoz]

Originally Posted by Icarus2001

The mess of stable government, democracy, Australia having over thirty years of growth, Medicare, low unemployment, pre covid cheap overseas travel, high rates of education, low disease, availability of good food with choice….
Yes what a mess.

Housing prices that make ownership a pipedream, lowering real wages, rising cost of living- have a look at birth rates. The younger generation are having to choose not to be parents in order make enough for any xemblance of a descent life.

[Wizofoz]

Originally Posted by Ladloy

Employment rate is a load of bollocks, 1 hour a month is considered employed. Underemployment is skyrocketing with a massive casualisation of the workforce. No affordable housing for anyone on median wage. Two decades of stagnant wages. Widening wealth inequality. Government debt tripling since 2013, government corruption worsening.

The only part I'd disagree with you on is employment- there is plenty of work out there.
It's just that, as you say, even someone working their rollicks off still can't afford a house.

Recent report said that someone on the average wage is out of the market for 70% of housing in the nation- so obviously a far higher percentage in the capitols.

[Icarus2001]

The younger generation are having to choose not to be parents in order make enough for any xemblance of a descent life.

Yet every week I speak with twenty something cabin crew and terminal staff who are buying a house or getting pregnant, some even do both. Perhaps not subscribing to three streaming services, owning a $2000 mobile phone, visiting a nail spa every week and eating home delivery three times a week helps them make ends meet. Or is it the lack of smashed avocado...

I think you mean a decent life unlike a steep descent.

[PoppaJo]

Originally Posted by Ladloy

or it could be the cost of training is out of reach for most. Why spend upwards of 100k to work in GA when you could do a trade and buy a house. Seeing the majority of pilots stacking shelves for two years doesn't help either.

Its hard to convince a 20 something that you need to, spend north of 100k to get an Instructor rating, spend the next decade on 50-60k, then find some meaningful employment to try and save for a house, then use the golden seat years (10-20 year wait) to build up a retirement. Very challenging to find a partner who is willing to put up with all that and move north, west, south while we build hours for the turbine job. You can see why the application numbers for cadet schemes are off the charts. I have had young two stripers in the past sit next to me, still live in the same suburb they got raised in.