That being the case an even bigger from the other supplier given Aus$1=Eur0.86

If QF international is really losing $450M per year, do you think adjusting the S/O pay rate will make much of a difference?

Current management look at revenue vs cost and think the only thing they can control is cost. After looking at aircraft costs and fuel costs the only thing they think they can do anything about is staff costs.

They forgot about revenue.

If you build a premium product, they will come.

Time they had a tour of the BMW and Mercedes Benz offices.

flew QF business class in Feb 2012 SYD SIN and it was fantastic. The most attentive Business class crew I have come across, and I can compare it to BA, Finnair and Delta.

I hope QF get through this crisis or whater it is described as, because I sure would be happy to fly on the one world network in QF business class!!!!

The trouble is Paolo is that QF seems to be committed to destroying its Inernational product. If only they would expand it, all would be well. But for the last XXX years (I dont really know)..the only thing that QF seems to do, is cancel routes and add managers to over see the routes that dont exsist.

To me, it still looks like Qantas is hellbent on morphing itself into Austral's largest Travel Agency!

Wasn't that JimmyBowtie's original vision?
History being fulfilled ?

The QF annual financial results to be released on Thu 23 August will show an underlying profit but a statutory loss for the year ended 30 June 2012.

The announcement regarding a deal with Qatar may be made on Thu 23 Aug. This assumes Qatar will join One World.

Regardless of how this story ends I think its an excellent example of why NEVER to buy Airline Stock.

787's....?
 

Given no profit, downsizing, lower business prospects, most assets leased.... who would lend them the money?

There is no lender in today's financial climate worth their salt that would provide the kind of finance required to Qantas, particularly at the current share price which reflects the VALUE of the company.

New aircraft.... forget it!!! :ugh:

Plenty. The same amount of money is still out there, looking for a home to be invested in, it's just that investors look for less risky opportunities at present.

QANTAS is that less risky proposition.

Nope. The "current" share price reflects what someone sold the last share at and the price at which someone else bought it. It does not represent the prices that you can buy all shares at nor does it reflect the value of the company. It represents what a seller was prepared to sell their share, or part of their share, of the company for to a matching buyer at that point in time. If you wanted to buy all of QANTAS you'd be looking at a fairly massive premium to the current share price.

I'll wager a lazy $50 on that.

Absolutely correct. However some people don't want to face the painful fact that airline shares are a crap investment. The risks outweigh the 'potential' profits.

In Australia, it would seem that out of the lot Alliance would be your best bet? Then again, the mining industry is close to tottering backwards.

ALLIANCE AVIATION SERVICES LIMITED price history chart

http://hfgapps.hubb.com/asxtools/ima...&TIMA2=0&s=AQZ

While I AM aware of this, I was talking about FINANCING not a share purchase.
I think you overlook the fact that Moody's downgraded the company to Baa3 from Baa2, one notch from junk status. P/E ratio is 42....not good when the sector is16.
The next review is in October so stay tuned for that one.

Without a return to profit of some kind, a further downgrade would clearly affect the company's ability to raise the kind of finance required to buy'lease aircraft, so it will be interesting to see their next earnings announcement later in the month.

That's what I'm saying. I don't want to get into a debate about this.

To repeat that, Qantas is in deep trouble.

Of Their Own Making
 

To repeat that, Qantas is in deep trouble.

With Q due to report a shocker later this week I note that Mr Joyce has finally swallowed the fact you don't get paid more for poor results.

He has reportedly refused the pay rise granted at the last AGM.

So , is this move designed to head off criticism prior what could be a worse result than expected? He would know what is about to be handed down.

Most likely an attempt to head off criticism OR Board couldn't tolerate complaints about lack of relativity of pay vs actual results, because he has shown no unwillingness to grab whatever he can.

Lets hope that someone remembers it is cheaper to dump dud management at any cost than persevere with a strategy that has no substance or chance of succeeding.

Will be interesting to see how the share price responds over the next few days and what is announced.

Hamilton Island back on the radar
 

My sources tell me that QF have definitely been quietly sourcing GSE specifically for use on Hamilton Island....to be con't

GSE? Ground services E_______?

$1.26. So glad I bought at $1. How high can we go?

Not for long!!
S&P cuts Qantas rating - ABC News (Australian Broadcasting Corporation)