Virgin 3.1
That would be impossible to achieve with their mid-market strategy product offering. VA will saddle up the most profitable 30 percent of the market that they can achieve and ride that horse all the way to a public share offer.
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Virgin got rid of thousands, they are getting a couple of hundred back with fair work giving every indication they would be OK with them going back to award if they don't give the company what it wants.
And if I was going to back a company to be bailed out by the Feds, it wouldn't be Virgin.
Virgin are aiming for 60% of the domestic market and now is the time to attack Qantas with 100 international airframes sitting on the ground.I don’t know what the leasing arrangements would be on these aircraft?But Virgin are leasing aircraft on an hourly flying rate.
Virgin are aiming for 60% of the domestic market and now is the time to attack
Err...do you have a source for that?
Err...do you have a source for that?
Really? OK, QANTAS are just clearing the decks of the staff so they can replace them with cheaper contract staff when the international borders open. Never waste a crisis.
Virgin got rid of thousands, they are getting a couple of hundred back with fair work giving every indication they would be OK with them going back to award if they don't give the company what it wants.
And if I was going to back a company to be bailed out by the Feds, it wouldn't be Virgin.
Virgin got rid of thousands, they are getting a couple of hundred back with fair work giving every indication they would be OK with them going back to award if they don't give the company what it wants.
And if I was going to back a company to be bailed out by the Feds, it wouldn't be Virgin.
They are not in pain, they will be fine. As someone else noted, VA got rid of half their workforce and are now re-employing about 200.
Qantas paid cash for the entire 787-9 fleet as I understand it. The A380s would be on leases but I suspect that after nearly 13 years, the oldest ones would likely be unencumbered. Ditto most of the 737s and A330s.
One of the things that killed VA was its hideously expensive (due to poor negotiation) lease costs compared to QF, so I doubt that the effect of having the aircraft on the ground is debilitating - I suspect most of QF's fleet are hourly lease. Those that were on finance leases are otherwise likely now owned outright.
One of the things that killed VA was its hideously expensive (due to poor negotiation) lease costs compared to QF, so I doubt that the effect of having the aircraft on the ground is debilitating - I suspect most of QF's fleet are hourly lease. Those that were on finance leases are otherwise likely now owned outright.
Qantas paid cash for the entire 787-9 fleet as I understand it. The A380s would be on leases but I suspect that after nearly 13 years, the oldest ones would likely be unencumbered. Ditto most of the 737s and A330s.
One of the things that killed VA was its hideously expensive (due to poor negotiation) lease costs compared to QF, so I doubt that the effect of having the aircraft on the ground is debilitating - I suspect most of QF's fleet are hourly lease. Those that were on finance leases are otherwise likely now owned outright.
One of the things that killed VA was its hideously expensive (due to poor negotiation) lease costs compared to QF, so I doubt that the effect of having the aircraft on the ground is debilitating - I suspect most of QF's fleet are hourly lease. Those that were on finance leases are otherwise likely now owned outright.
https://www.flightglobal.com/strateg...137514.article
some debt due to mature very soon.
AJ was smart to secure the loan facility against the new 787s before the arse fell out of their value…
Over 5 billion in debt as of last year.
QF announcement today Vs VA announcement today. Despite what you and others think QF are not in a great place. Offering VR on international CC same day VA offering employment. You tell me me what you think?!
All this talk of QF being in a worse position than Rex or Virgin is all garbage. If the doomsdayers predictions come true what role do you think the Government will play to ensure that Australia's most iconic brand and strategic asset will survive? You are kidding yourself if you think politics wouldn't play a part.
Two decades of crying wolf and it’s hard to know what the truth really is.
I will happily eat umble pie if I’m wrong but my money is on a miraculously surprising recovery with a modest profit before 2021 is out.
Amaaazing it will be. There is no denying the debt. It is significant. Fact is the (owned) A380s have a book value now of less than $40M each (value of spare parts). The fleet has been written down across the board meaning:
Back to Virgin, they have a different situation but their lease costs and operating costs have been massively reduced. Their load factors are the best out of everyone at the moment due capacity controls. They are doing fine and crew should be optimistic in my opinion.
- Future depreciation expenses will be reduced due to the reduced book value of the asset.
- Future net income and profit margin will increase.
- Future return on assets and return on equity will both increase because of higher future profitability and lower asset and equity base.
- If the decision is made to retire certain aircraft, the write off is less significant.
Back to Virgin, they have a different situation but their lease costs and operating costs have been massively reduced. Their load factors are the best out of everyone at the moment due capacity controls. They are doing fine and crew should be optimistic in my opinion.
Amaaazing it will be. There is no denying the debt. It is significant. Fact is the (owned) A380s have a book value now of less than $40M each (value of spare parts). The fleet has been written down across the board meaning:
Back to Virgin, they have a different situation but their lease costs and operating costs have been massively reduced. Their load factors are the best out of everyone at the moment due capacity controls. They are doing fine and crew should be optimistic in my opinion.
- Future depreciation expenses will be reduced due to the reduced book value of the asset.
- Future net income and profit margin will increase.
- Future return on assets and return on equity will both increase because of higher future profitability and lower asset and equity base.
- If the decision is made to retire certain aircraft, the write off is less significant.
Back to Virgin, they have a different situation but their lease costs and operating costs have been massively reduced. Their load factors are the best out of everyone at the moment due capacity controls. They are doing fine and crew should be optimistic in my opinion.
Amaaazing it will be. There is no denying the debt. It is significant. Fact is the (owned) A380s have a book value now of less than $40M each (value of spare parts). The fleet has been written down across the board meaning:
Back to Virgin, they have a different situation but their lease costs and operating costs have been massively reduced. Their load factors are the best out of everyone at the moment due capacity controls. They are doing fine and crew should be optimistic in my opinion.
- Future depreciation expenses will be reduced due to the reduced book value of the asset.
- Future net income and profit margin will increase.
- Future return on assets and return on equity will both increase because of higher future profitability and lower asset and equity base.
- If the decision is made to retire certain aircraft, the write off is less significant.
Back to Virgin, they have a different situation but their lease costs and operating costs have been massively reduced. Their load factors are the best out of everyone at the moment due capacity controls. They are doing fine and crew should be optimistic in my opinion.
The A380s were already hugely written down during the industrial issues back when AJ shut the company down and froze pays mark 1 a few years back, that was definitely a manufactured loss. I would be interested to see how much more they had to wiggle with this full year release. The fact that debt has been increased quite significantly in two years is the issue, I doubt either last years or this loss were manufactured, the accounting pointers are different. I remember the point being made when they used the A380 depreciation to help fight unions, that it may hinder its use for actual tax purposes later.