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Sing Air ponders domestic route

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Old 4th Sep 2002, 01:06
  #41 (permalink)  
 
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Tried your advice and came up with:

7th Oct SYD-MEL = 17 flights
5th Nov SYD-MEL = 13flights (down 4)

Have not got time to check the rest.

Wirraway
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Old 4th Sep 2002, 02:12
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I find it interesting that the hot source for the media is in fact the Sydney Airport Corporation Spokesperson. Hello there must be some negotiations going on or maybe a court case around the traps. As for Ansett having a good name almost all of my friends in business lost heaps of points in the collapse and were less than impressed with the Star Alliance for not honouring anything. If it smells like a dead carcass it probably is! If Singapore want to lose a lot more money then they already have in this area let them go right ahead and set up. I found it interesting that they are talking competitive workplace agreements (i.e Virgin pay rates). I wonder if Ramboflyer will go back to his former airline for less money or will he take his own advice and stay on the dole.
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Old 4th Sep 2002, 03:56
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This forum never ceases to amuse me. I am forever deep in belly laughs thanks to the never ceasing anti-QF comments on this board.

Bring in SIA? Is that what the feeling is? Of course, yes, get them in faster. It will bring QF into line won't it?? Stop QF from rape and pillaging the australian aviation scene like so many of you accuse. How interesting.......I love the way we Australians knock the tall poppies. Over time I have come to believe that the majority of anti QF comments come from those who were unsuccessful in selection with QF. Tough - life goes on, and you look elsewhere for a job.

But to openly welcome SIA onto the scene only a fool would do. If you want to see rape and pillaging of the Australian aviation scene then just standby for SIAs arrival....

Hey, here's an idea - lets get SIA in to destroy QF so that all the profit can head back to Singapore. Yes - that will be better for Oz lets get even more of our money heading overseas! Of course. And we'll all feel better about ourselves because Qf will have got their 'just deserts'......

Fools.
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Old 4th Sep 2002, 04:31
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To right Rackin'it!!!

A Government protected monopoly is by far the better option!!

Back to the two airline policy I say, only make it one this time!!

These are the fools that let in competition against Telecom!

Far better to pay twice as much and have employees heading to the pub at 11am than risk that sinful competition!!

And think of all those poor slobs who might be forced off the dole if we got back to an efficient, competative industry!!

Goverment instrumentalities running the factories, industries and businnesses I say. Ban all foreign imports, ban all foreign investements. It's the only way!!

Just ask ANY North Korean!!

(Sighs as he looks at a portrait of Pauline Hansen)
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Old 4th Sep 2002, 04:57
  #45 (permalink)  
 
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Thumbs up SQ

The fact that SQ is advancing options for an Australian domestic operation comes as no surprise to me. In fact I dont think they have ever been totally out of the picture.
To take over Ansett as an on going operation simply did not make economic sence. Too much debt and unwanted baggage re awards and conditions with some of the groups such as airport workers. Much simpler and considerably cheaper to wait until the wind up of Ansett is fairly advanced then start with a clean slate.
SQ has access to modern aircraft at the right terms and could certainly fast track a start up date.
A survey on MSN today reflects about a 2:1 majority indicating support for the Ansett brandname. SQ would have others options as well.
As for demand any business traveller would tell you yes more choice is needed. DJ is doing well in the visiting friends and rele market but business travellers can't adjust to what is limited options on some routes with DJ
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Old 4th Sep 2002, 05:24
  #46 (permalink)  
 
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Wizofoz...nice post, made me chuckle. Nice retort to 'Rackin it's' sillyness.

Without competition, Qantas risked/risks becoming Australia's Aeroflot. Aeroflot was reknowned for surly flight attendants who never smiled, cr@p food and an ethic of 'If you don't like it - walk'.
Perhaps a degree of commonality between the two?

Fortunately Qantas don't let passengers bring pigs with them yet!
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Old 4th Sep 2002, 05:52
  #47 (permalink)  
 
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Claret. The reason is simple - and pointed out on this morning's TV news. Ansett is now much cheaper - SQ can pick and choose what they buy at bargain basement prices and that won't include staff liabilities and presumably, any staff.

To those that shout "Yipee - more jobs", think carefully. There is just so much water in the bucket and it's now to be spread around three carriers. The SQ backed "full service" operator will not generate any significant and new market, as Virgin did in the beginning when it very significantly cut fares. And I think reduced fares (and a fare war) would be the last thing on SQ and QF's corporate mind.

I would envisage SQ starting an efficient operation, minimal and contract staff in order to minimise losses. This will force QF to rationalise, probably thu Australian's lower cost operation.

I would think industrial mayhem at QF may be a decided advantage to SQ!

But that's just my un biased opinion of a probable scenario.
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Old 4th Sep 2002, 06:09
  #48 (permalink)  
 
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Post HA

SQ gave QF and DJ 1 year to prove how good they are and they both ****ed it up , so now they will be caught with there pants down.
Australia is a big place with a small population, long sectors and its really worth the extra $$ to travel in comfort, especially if your company is paying for it.
In Europe its ok, short sectors and lots of people, Australians are a spoilt race and will pay for better service, so how the hell is SQ wasting there time they will be a mighty force long term against QF and DJ , if its still here may be the new competitior to National Jet.
To BAR, if i get a job back at least i wont have to pay for the Airbus Endorsement.
Good news for all and eventually they will have more Qantas pilots working there than An pilots in QF..
Watch all the smart QF f/os start applying for EK ,Dragon and other real jobs were a command is possible one day....

Oh and what good is the DJ service you get all the eye-candy but none of them to play with, or is that not on the list , ****them paying for water when the aircraft is built with fresh water tanks...

DJ is GA in JETS!


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Old 4th Sep 2002, 06:28
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Patricks' share price took a hit today....down .59c when I last looked.
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Old 4th Sep 2002, 07:02
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Me thinks Ramrod is sadly attempting to give ex AN drivers a bad name.Not too sure whether or not he actually worked there but someone with that sort of vitriol is gonna have a hard time getting back ( or for that matter getting anyware!).Would love to see how he'd go at the EK lovegames
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Old 4th Sep 2002, 08:15
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poor Rambo

Hasn't inflicted any abuse on the AN guys i have, always sypathized with them and am truly glad most of them will work again.
I'll be the poor permanent S/O in QF but thats fine by me and i dont think the new Ansett will recruit people with S/O time , i truly believe QF and the new AN will co-exist for a long time so if who cares which one you work for...
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Old 4th Sep 2002, 09:54
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Watching yet more money go out of Australia, tax free money at that due to their accounting proficiency, is most definitely NOT good for the country. Singapore Inc will get the gold mine while Oz gets the shaft!

Can any of you imagine trying to start up an airline in competition with SQ on THEIR TURF????

Pitiful!
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Old 4th Sep 2002, 09:59
  #53 (permalink)  
 
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ABC News Online

Posted: Wed, 4 Sep 2002 16:32 AEST

Singapore Airlines yet to approach Govt: Anderson

The Federal Transport Minister, John Anderson, says the Government has not received any approaches from Singapore Airlines about entering the Australian domestic market.

Singapore Airlines says it is keeping its options open on expanding its Australian operations, but is not confirming or denying a Channel Nine report that it is considering reviving Ansett.

Mr Anderson says new entrants in the domestic market could be accommodated, but he says any move will not see a revival of Ansett, because the carrier no longer exists.

"Should it be the case that Singapore wants to fly an Australian airline, we would certainly look at that on its merits and broadly speaking we welcome new entrants," he said.

"If they chose to use the old name, that would really be a matter for them, but it wouldn't be the old Ansett, although hopefully it might offer employment to some Ansett people who have not yet found jobs."
======================================

Wednesday September 4, 5:06 PM (Singapore)

Analysts play down SIA take-off in Australia
By Sophie Hares

SYDNEY, Sept 4 (Reuters) - Speculation Singapore Airlines Ltd could launch an assault on the Australian market resurfaced on Wednesday as the Asian carrier decides whether to snap up space at Sydney's domestic airport terminal.

Badly burnt by its recent Antipodean ventures, analysts say there's a slim chance SIA could make the expensive move into a domestic market dominated by Australia's biggest airline Qantas Airways Ltd .

SIA says it is keeping its options open, despite racking up heavy losses from an investment in Air New Zealand

and backing away from a plan last year to recapitalise failed Australian carrier Ansett.

"Our position hasn't changed from what we stated previously. We are keeping our options open on the Australian market. It's an important market to us," an SIA spokesman said.

Sydney Airports Corp Ltd (SACL), which has converted the former Ansett domestic terminal into a common user facility, is in talks with SIA over access to terminal gates after a recent inspection by an SIA team.

"We judged that their assessment and their evaluation of the potential for a third domestic carrier was very measured and very serious," said Peter Gibbs, a spokesman for SACL.

The terminal talks have sparked renewed media speculation of an imminent move into the Australian domestic market, with theories ranging from a reborn Ansett to a tie-up with Richard Branson's Virgin Blue [VA.UL] , which has 20 percent of the market. On Wednesday, shares in Qantas dropped six cents or 1.5 percent to A$4.09, while SIA closed unchanged at S$11.30.


ALLIANCES

Analysts have long deemed Australia's domestic market only big enough for two players, and say any new entrant would struggle for profits given the stranglehold Qantas exerts over 80 percent of the market.

But they say SIA wants to bridge the gap in the Star Alliance created by the failure of Ansett almost a year ago and wants to secure feeder traffic for its international routes.

Any move by OneWorld alliance member Qantas to take a stake in its Star Alliance rival Air New Zealand could also jeopardise Air NZ's Star Alliance membership and leave SIA with no alliance partner in the region.

"The market's fairly soft at the moment, which makes it a challenging market for any prospective new entrant, other than someone who has a defined network feeding into the system like SIA," said Ian Thomas, Centre for Asia Pacific Aviation analyst.

SIA would also likely demand government concessions to make it easier to compete effectively in Australia.

"I know they want to be in, the odds are high they'll go in," said an Asian airline analyst who declined to be named.

"The ability to compete effectively in Australia is what they want. If there's no viable option, they'll walk," he said.

However, speculation SIA might look to revive Ansett was swiftly played down, with SIA likely use its strong balance sheet to raise capital to buy new planes rather than used the failed airline's ageing aircraft.

SIA, whose attempt last year to break into the Australian market was rebuffed by the government, has not reopened official negotiations, said a spokesman for Transport Minister John Anderson in Canberra.

The Civil Aviation Safety Authority (CASA) also said it has held no discussions with SIA about obtaining the necessary paperwork to run an airline which would take a minimum of four months to complete. And Virgin Blue reiterated it has no plans to tie-up with SIA, which owns 49 percent of its sister airline Virgin Atlantic.

"There's nothing going on between us and them," said David Huttner, Virgin Blue's commercial head.

(Additional reporting by Belinda Goldsmith in Canberra and Peh Soo Hwee in Singapore)

($1=A$1.82)

Last edited by Wirraway; 4th Sep 2002 at 10:12.
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Old 4th Sep 2002, 11:55
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Thumbs up

Alliance Airlines will play a major part in any SQ/Star Alliance domestic operation. Their two class F100s operation will continue to expand and will 'fill' in the gaps, ie operate to smaller/leisure centres such as OOL, MCY, RKY, MKY,TVL,ASP etc.
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Old 4th Sep 2002, 14:07
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They still don't seem to be listening B and T!!!
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Old 4th Sep 2002, 14:07
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The only full time jobs will be those that need suits. And they will probably be "Armani" suits made in Orchard Rd.
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Old 4th Sep 2002, 18:27
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Thurs "Australian Financial Review" 5/9/02

Singapore talk puts Qantas stock into a spin
Sep 5
Jane Boyle

Shares in Qantas and Virgin Blue's half owner Patrick Corporation slipped yesterday amid speculation that Singapore Airlines could launch a third domestic carrier.

Qantas shares fell 6¢ to $4.09, sparking concerns for the retail component of its $800 million rights issue, which opens on September 9 and closes on the 27th.

The airline is seeking to raise $200 million at $4.20 a share, the same price as institutions paid in a heavily oversubscribed $600 million bookbuild, before which the stock was trading above $4.60. The retail issue is underwritten to $100 million.

Patrick shares dived 59¢ to $15.

A Singapore Airlines spokesman said the airline was keeping all options open.

"Yes, we are interested in the [Australian] market, obviously, but that interest doesn't equate to us doing anything immediately," he said.

The airline is monitoring other potential opportunities to establish a presence in the Australian market, including a partnership with Qantas if cornerstone shareholder British Airways sells out.

Patrick chief executive Chris Corrigan is understood to be interested in bringing in Singapore Airlines as a partner in Virgin Blue.

Industry observers believe Singapore Airlines could be dangling the prospect of a third carrier as a tactic to put pressure on the incumbents, particularly since Qantas is in talks to buy 25 per cent of Air New Zealand, which could result in Air NZ leaving the Star Alliance, of which Singapore Airlines is a member.

Airport operators said talks with Singapore about setting up a third domestic carrier were continuing, and the airline's board was receiving regular status reports. But many industry experts were sceptical, saying a start-up would take at least six months, potentially cost billions and would be a high risk strategy.


While the collapse of former partner Ansett has hurt Singapore Airlines , the airline's spokesman said yesterday its load factors out of Australia were "pretty full".

And Virgin Blue, which does not have sufficient maintenance capacity to cope with a fleet expansion, will bring in two senior maintenance specialists from Boeing to work on a solution.
===========================================

Thurs "Sydney Morning Herald" 5/9/02

Singapore Air not an airhead
September 5 2002
Edited by Mark Todd

Of course not. So why would they want to start another airline in Australia?

The words of Sir Humphrey Appleby spring to mind when it comes to Singapore Air entering the domestic aviation market: such a move would certainly be a"courageous" decision.

The talk of Singapore Air starting up down under was rife again yesterday. But tellers of the tale have overlooked a few little details, such as the lack of substance to the speculation.

For a start, Singapore Air hasn't approached a single key supplier, such as unions or fuel companies, about an Australian service. It has had some very preliminary talks with Sydney and Melbourne airports, but that's about it.

The Civil Aviation Safety Authority has no applications before it for an air operators' certificate, and it takes 12 months anyway to issue one of those things. If Singapore Air is to decide at this month's board meeting that it will go ahead with a new domestic carrier, it will do so from a distinct state of unreadiness.

At best, you'd say Singapore Air is doing a rough back-of-the-envelope job on the alternatives to taking a stake in Qantas.

The real concern is that if Singapore Air did establish a domestic service it would tend to suggest they're not completely rational. And no one wants to compete against madmen, hence the 6c fall in Qantas yesterday to $4.09.

It would need at least $2 billion and a minimum 20 aircraft to make the idea fly. Merrill Lynch has noted before that the story only works if the start-up can win 30 per cent of the corporate market in double time. But Qantas has 100 per cent of that market locked up in two and three year deals.

And there's really no incentive for Singapore Air, especially as it already has an interlining deal with Qantas. It allows Singapore customers to buy seats on Qantas planes at the same price as can passengers of Qantas's Oneworld alliance partners British Airways and Cathay Pacific.

If all that weren't enough, Qantas is sitting on about $800 million in new equity and is more than ready for a price war.

Good luck, Singapore Air.

===========================================

Last edited by Wirraway; 4th Sep 2002 at 18:55.
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Old 4th Sep 2002, 20:42
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Bentandtwisted,

You are right on the target!! Both the name and connections are very relevant.
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Old 4th Sep 2002, 22:10
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All these so called " journalists" and " industry observers" wouldn't by chance have a sh*tload of Qf shares now would they? Or am I just being the cynical b*stard !!!
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Old 4th Sep 2002, 23:37
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AAP

Virgin slams Ansett hype
September 05, 2002

UNCONFIRMED reports of a Singapore Airlines-led revival of Ansett are irresponsible and give false hope to former staff, Virgin Blue has argued.

Less than two weeks from the anniversary of Ansett's collapse, reports have circulated that a proposal to revive the airline will be put to Singapore's board on September 11.

Singapore Airlines has refused to confirm or deny the report, but said it was keeping its options open and stressed Australia remained an important market.

Virgin Australia chief executive officer Brett Godfrey told Channel 7 today he did not believe Singapore Airlines would choose Ansett as a vehicle with which to enter the Australian domestic market.

"I think it is irresponsible and its probably unconscionable for people to be suggesting that there will be 24 jets flying in Singapore colours in the short term," Mr Godfrey said

"I just don't believe it and I think it's probably about time that we see Singapore come out with a statement to support it or otherwise."

Mr Godfrey said Ansett's great brand reputation had suffered before its collapse and a new domestic player would need a fresh start.

"Ansett had, once upon a time, a wonderful brand reputation but it didn't at the end," he said.

"It had a couple of serious maintenance concerns and ... the reputation wasn't quite what it was five or even 10 years ago.

"I'm not a brand expert but I would have thought if somebody was going to come in, whether it was Singapore Airlines or anybody else, they would try something fresher or newer."

Mr Godfrey said he believed there was room for a third domestic airline.

"But I think some of the comments bandied around about a revised Tesna-type bid is just irresponsible and really just gives false hope to those people who lost their jobs nearly 12 months ago.

Mr Godfrey said he had held no discussions with Singapore Airlines over a possible deal with Virgin Blue.

"I've had no discussions with Singapore Airlines along those lines at all."
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