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Qantas buys Alliance

Old 19th Aug 2022, 02:02
  #181 (permalink)  
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I can't see them just buying Bravo. The core FIFO op is a goldmine of solid, guaranteed revenues, a Fokker fleet of scale (with the path towards replacing them with E190s), plus buying a much larger range of contracts, fleet and bases that Network couldn't replicate on its own. It's not just about access to another cheap set of drivers for the RPT operation.

Might be interesting to see if Qantas try to allay the ACCC's concerns by offering cheap E190 leases or sales to Cobham/Rex and Airnorth to allow them to scale up and bid for more FIFO contracts. Only issue is that Rio have just gone through a major procurement of their air services, so there isn't immediate opportunity for those guys to pick up a big chunk of work from the top end of town.
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Old 19th Aug 2022, 02:38
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Originally Posted by ebt View Post
I can't see them just buying Bravo. The core FIFO op is a goldmine of solid, guaranteed revenues, a Fokker fleet of scale (with the path towards replacing them with E190s), plus buying a much larger range of contracts, fleet and bases that Network couldn't replicate on its own. It's not just about access to another cheap set of drivers for the RPT operation.

Might be interesting to see if Qantas try to allay the ACCC's concerns by offering cheap E190 leases or sales to Cobham/Rex and Airnorth to allow them to scale up and bid for more FIFO contracts. Only issue is that Rio have just gone through a major procurement of their air services, so there isn't immediate opportunity for those guys to pick up a big chunk of work from the top end of town.
I doubt that would cut the mustard. It is very hard to see how QF can restructure the deal to overcome the existing concerns. There is no way the government/ACCC want to wave through a deal that results in a single player have 75% of the market.
The market currently has Alliance's share price around $1.30 under Qantas' offer price which suggests the market has decided it won't happen. There is no way the market would walk away from such an obvious arbitrage if it thought there was any chance of it happening.
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Old 19th Aug 2022, 03:06
  #183 (permalink)  
 
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What is Bravo anyway? What assets do they have?
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Old 19th Aug 2022, 03:24
  #184 (permalink)  
 
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Originally Posted by grrowler View Post
What is Bravo anyway? What assets do they have?
Bravo is all the E190's innit?
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Old 19th Aug 2022, 03:30
  #185 (permalink)  
 
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I don’t think they own them? Or an AOC? Aren’t they just a bunch of pilot contracts featuring non-monetary incentives?
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Old 19th Aug 2022, 03:41
  #186 (permalink)  
 
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Even if the ACCC allows this the big miners won't. They will start their own airline if need be. They hate supplier monopolies whether be unions or businesses noone gets to have one.
So if QF do get this through just watch for a new charter business start up in BNE or PER and suddenly pick up a few lucrative contracts out of nowhere.
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Old 19th Aug 2022, 08:40
  #187 (permalink)  
 
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They hate supplier monopolies
Where is the monopoly?

There are the Qantas owned companies. There is VA and VARA. There is REX and the NJE FIFO/Freight unit.

Three companies, made up of different business units.
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Old 21st Aug 2022, 10:27
  #188 (permalink)  
 
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Has the AFAP or TWU made a submission to the ACCC regarding this hostile takeover?

I can see very little benefit to the overall pilot community if yet another pilot group is controlled by Qantas. Imagine getting sacked from a QF group company. Without Alliance as an independent company it would make finding future employment in Australia that much more difficult. It would make moving to other entities (including mainline) significantly more difficult as well.
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Old 21st Aug 2022, 12:38
  #189 (permalink)  
 
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Originally Posted by aussieflyboy View Post
Has the AFAP or TWU made a submission to the ACCC regarding this hostile takeover?
Qantas's proposed acquisition of Alliance is most assuredly not a 'hostile takeover'. The Scheme of Implementation Deed that would give effect to the acquisition was approved by the Alliance board.
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Old 21st Aug 2022, 13:45
  #190 (permalink)  
 
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Originally Posted by aussieflyboy View Post

I can see very little benefit to the overall pilot community if yet another pilot group is controlled by Qantas. Imagine getting sacked from a QF group company. Without Alliance as an independent company it would make finding future employment in Australia that much more difficult. It would make moving to other entities (including mainline) significantly more difficult as well.
So someone who gets sacked from one airline in the group (with good cause I’d take it), which denies them employment in the rest of the group. But then they’ll just waltz over to Alliance or VA or another carrier and expect them to hire them without that airline conducting the most basic reference check? Or will they tell their new employer the truth why they were terminated and expect them to not see it as an issue?



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Old 21st Aug 2022, 13:47
  #191 (permalink)  
 
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There are the Qantas owned companies. There is VA and VARA. There is REX and the NJE FIFO/Freight unit.
What percentage of the market will be owned by QF though and what sort of market power will they have? Sure it’s technically not a monopoly but I reckon none of the big miners will be a fan. They want maximum competition in their supply chain.
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Old 1st Sep 2022, 12:28
  #192 (permalink)  
 
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Townsville Mayor knows what’s best for the aviation industry

Sorry, the link is behind a paywall and I’m not going to take out a subscription to a two-bit regional rag, but apparently Townsville’s bogan Mayor, Jenny Hill, aka ‘The Mullet’, reckons such a deal will be devastating to the regions. It’s not the first time she has poked the Roo in the eye. She has either a big set or nuts or she is brain damaged. Love Qantas or hate them, if you piss them off enough, you will feel the brunt of them. My money is on her being a complete moron.

https://www.townsvillebulletin.com.a...30a-1662031385
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Old 1st Sep 2022, 23:01
  #193 (permalink)  
 
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Originally Posted by Paragraph377 View Post
Sorry, the link is behind a paywall and I’m not going to take out a subscription to a two-bit regional rag, but apparently Townsville’s bogan Mayor, Jenny Hill, aka ‘The Mullet’, reckons such a deal will be devastating to the regions. It’s not the first time she has poked the Roo in the eye. She has either a big set or nuts or she is brain damaged. Love Qantas or hate them, if you piss them off enough, you will feel the brunt of them. My money is on her being a complete moron.

https://www.townsvillebulletin.com.a...30a-1662031385
The only Pilot group wanting this takeover to happen are the alliance Pilots. The improvements to staff travel makes people blind to the reality.
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Old 2nd Sep 2022, 00:18
  #194 (permalink)  
 
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Staff travel isn't as great as outsiders think it is. If the airline paid us an extra $x I'd happily give it up.

What x is depends on your staff travel experience. Ruin a few family holidays and x becomes pretty low.

Ask the NJS crew what their welcome to Qxxxxx experience was like..
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Old 2nd Sep 2022, 01:51
  #195 (permalink)  
 
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Originally Posted by aussieflyboy View Post
The only Pilot group wanting this takeover to happen are the alliance Pilots. The improvements to staff travel makes people blind to the reality.
Not at all correct!
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Old 2nd Sep 2022, 03:14
  #196 (permalink)  
 
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I always ask my friends and colleagues how many times a year they avail themselves of staff travel, the answer is always a very low number.
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Old 2nd Sep 2022, 04:16
  #197 (permalink)  
 
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Originally Posted by aussieflyboy View Post
The only Pilot group wanting this takeover to happen are the alliance Pilots. The improvements to staff travel makes people blind to the reality.

you couldn't be more incorrect. I know a lot of crew there and none of them want anything to do with Qantas
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Old 3rd Sep 2022, 02:38
  #198 (permalink)  
 
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Originally Posted by aussieflyboy View Post
The only Pilot group wanting this takeover to happen are the alliance Pilots. The improvements to staff travel makes people blind to the reality.
NO thanks ! I can see the reality, thats why I am here for lifestyle and stability not glamour.

Give me the old Fokker's long term stable resources contracts, over white Caps, rainbow propaganda, frustrating staff travel and wage freezes.
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Old 28th Sep 2022, 01:19
  #199 (permalink)  
 
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The TWU has penned a submission to the ACCC expressing its grave concerns on the acquisition. Does anyone know if the AFAP has done the same?
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Old 28th Sep 2022, 07:38
  #200 (permalink)  
 
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Originally Posted by aussieflyboy View Post
The TWU has penned a submission to the ACCC expressing its grave concerns on the acquisition. Does anyone know if the AFAP has done the same?
Out of interest - what grave concerns did the TWU express?

I can’t see the QF acquisition of Alliance changing the aviation dynamic much in this country.

Alliance’s terms and conditions are nothing to cry home about and essentially QF would just use Alliance to play off other work groups just as they are doing with Network / NJS / Qlink etc. Whilst that sort of IR strategy is deplorable, QF acquiring QQ is hardly going to change it all that much.

I see Rex have written a submission to the ACCC in support of the QF acquisition.

And from a Virgin pilots perspective, maybe this outcome wouldn’t be too bad as it may force VA to look at accelerating options to bring back in house some of the outsourced flying (which from recent announcements looks to be increasing over the next 12 months anyway).
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