QANTAS, it gets better.

[AerialPerspective]

Originally Posted by lucille

While all the “fat cutting” happened CEOs and senior management met their KPIs and were handsomely rewarded with 7 figure bonuses.
The airline lurched and bumbled along mainly through its own momentum. Then along came Covid, a once in a lifetime crisis / opportunity for management to exploit. And exploit it to the full, they did.

And then when the cracks first began to occur, the CEO living in some Bollinger soaked alternate universe blamed passengers for not being match fit. Truly away with the fairies.

Maybe this should the cure some of the outlandish god-worshipping about the Late James Strong - you can't go on a Qantas forum without someone singing his praises - fact is, the cost-cutting, the obscene salaries and fat bonuses, share vesting and retrenchment of expertise all started under the clown with the bow-tie. Dixon was next, but at least he had some notion of the history of the place, he allegedly threatened to walk out when his boss wouldn't shut up with the changing the name from Qantas to Australian Airlines nonsense. It's been steadily down hill from there.

The only upside is that at least the other guy didn't get the CEO job because as we saw with the competition, there probably wouldn't be a Qantas now.

[Stretch06]

Originally Posted by blubak

Would like to see the conditions attached to receiving the bonus,there will be many.

maybe CEO pay rise and bonus should be linked to average workforce pay rise. That might make management think a bit harder when it comes to fighting against the small increases that the front line staff ask for

[Deano969]

Originally Posted by Ladloy

I'd love to know what Deano thinks is an acceptable equivalent profit from little ol' underdog Rex

Anything over break even would be a bonus, however, need to wait 10 months for their results unless they issue an update
My bet is that they hit profit way sooner than they predicted, which was Q1 23 as QF/JQ have given them a huge leg up

QF/JQ had REX in their crosshairs and threw everything at them
No one can argue that QF/JQ have failed
REX has survived the initial onslaught (unlike many before) and so long as they continue with steady growth and adding more 738s regularly, they are a big chance of becoming the independent 3rd carrier Australia desperately needs

Note that even before REX announced they would enter the jet market I predicted this here and on AA.net
It was always on the cards given their expansive regional network, the possible collapse of VA just brought the commencement forward
Since VA survived with the Bain takeover, REX have adapted very well
QF/JQ, through their poof efforts have seen plenty of customers try REX and many are now showing loyalty where they can given the limited number of services REX has
This pent up demand to fly REX over QF/JQ will see them continue to fill seats as they expand

[Traffic_Is_Er_Was]

many are now showing loyalty where they can given the limited number of services REX has

So they are not increasing the pax base, just flying the same ones around?
Their loyalty will be only cost based. One day REX will run out of $10 tickets to sell at $9. Then we'll see where the punters go.

[43Inches]

You best speak to some pax, its not just cost, some folk are actually liking the Rex product as friendly and courteous as well as priced well, and timed well for country connections. Hearing a lot of negativity towards QF group lately, not just in the news but friends and family travelling with them, and very little related to cost, mostly all about treatment and product, delays, especially with baggage at destination. VA and Rex will be picking up a lot of disaffected passengers.

[Deano969]

Originally Posted by Traffic_Is_Er_Was

So they are not increasing the pax base, just flying the same ones around?
Their loyalty will be only cost based. One day REX will run out of $10 tickets to sell at $9. Then we'll see where the punters go.

If you are saying that they are only flying around the same that they were prior to their jet ops, those numbers simply don't equate as REX has been growing passenger numbers significantly this year
If you are saying that passengers are re-booking then yes, I agree
Regarding their pricing, please find examples of $10 tickets for me.....
Finally REX have added plenty of new daily's on the triangle since MFM arrived, all with good load factors, so they must still have new blood filling these seats

At absolute worst, REX is at lease as good as QF/JQ and from all reports doing better from a customers point of view, aside from the 1 cent in the dollar FFPs and frequencies I can't see any other reason punters would choose QF/JQ

So I'll pose 2 questions to all
If you were a passenger who would you choose to fly?
From a passengers perspective, are there any negatives regarding flying with REX jet?

[Mr_App]

Originally Posted by Deano969

From a passengers perspective, are there any negatives regarding flying with REX jet?

They only fly 7 routes. Well from my hometown, its 3.

[Icarus2001]

Originally Posted by Deano969 View Post
From a passengers perspective, are there any negatives regarding flying with REX jet?

Lack of timely recovery due to lack of aircraft.

Lack of frequency.

Poor connections.

[Deano969]

So you would both prefer a larger REX.......

[MickG0105]

Originally Posted by 43Inches

... VA and Rex will be picking up a lot of disaffected passengers.

There's no doubt that Rex are picking up some pax but it is not being reflected in any meaningful way in their scheduling. They added their seventh jet to much hoopla and they're now back to pretty much the same fairly thin schedule that they were running back in late August. They operated a grand total of 19 flights on their "domestic" network today and everything was done, dusted and finished for the day by 1500.

[Mr_App]

Originally Posted by Deano969

So you would both prefer a larger REX.......

Define large.

[SHVC]

Must not be to busy or that pent up demand is just rumor, since Saturday there has been one parked up in Sydney. More pax more demand would mean more flights right?! I’m not seeing that.

[Deano969]

Originally Posted by MickG0105

There's no doubt that Rex are picking up some pax but it is not being reflected in any meaningful way in their scheduling. They added their seventh jet to much hoopla and they're now back to pretty much the same fairly thin schedule that they were running back in late August. They operated a grand total of 19 flights on their "domestic" network today and everything was done, dusted and finished for the day by 1500.

How's that work?
MLM added 6 extra daily movements
SYD - BNE was 2 now 3
SYD - MEL was 3 now 5
SYD - OOL unchanged 1
MEL - BNE unchanged 2
MEL - OOL unchanged 1
MEL - CBR unchanged 1
MEL - ADL unchanged 2

Now 30 movements per day with a bit of down time on weekends
As they don't have a fleet of like 70 one would assume there is a bit of give in their schedule too pull one out as a back up, good for them....
I'm sure they are tempted to put on another 2-4 daily sectors, but that could backfire if one went tech or weather delayed

That said, as predicted, looks like ADL - PER is next with NJE 190s between FIFO ops and more 738s on the way

[Deano969]

Originally Posted by Mr_App

Define large.

20-30

[Mr_App]

Originally Posted by Deano969

20-30

Isn't Virgin adding 30 MAX's in the next 3 years?

30 to Virgin and Rex seems to a little excessive for the market does it not?

[Deano969]

Last few years there was hidden natural growth, the exit of Tiger and 15 odd frames and I believe VA are bringing some max as replacements
So no, 23 more is far from excessive

[wombat watcher]

Wasn’t Rex spelt Compass Mk1, Compass Mk 2, Southern Cross Airlines, Tiger, in the not so distant history.
Another possible spelling is Bonza in the future.

[morno]

I’ve done quite a lot of travel on QF lately, and I’m not sure how you get the impression that people are going across to Rex in droves. Nearly every flight I’ve been on lately has been chock to the eyeballs. Maybe they’re only going to Rex because they can’t get a ticket on QF.

[SOPS]

Son in Law was due to fly on Jstar very shortly, from MEL to PER. As he walked in the airport door, Jstar cancelled the flight and has advised him they can’t help him to rebook…he is on his own. However, I am sure Alan is due for another bonus.

[Deano969]

Originally Posted by morno

I’ve done quite a lot of travel on QF lately, and I’m not sure how you get the impression that people are going across to Rex in droves. Nearly every flight I’ve been on lately has been chock to the eyeballs. Maybe they’re only going to Rex because they can’t get a ticket on QF.

I don't doubt this for a second
But it's what happens when they fly on REX that matters and from what I am hearing, plenty have tried REX and have liked what they tasted
REX just needs more jets in the air
QF be warned, the days of the duopoly are coming to a conclusion