The Ansett specific arrangements were called SEESA (Special Employee Entitlements Scheme for Ansett) and provided the following:

Wages
Accrued annual leave
Long service leave
Pay in lieu of notice
Up to eight weeks redundancy payments

The government was never going to be out of pocket as they made millions from the passenger ticket levy that was set up to pay for the arrangements.

Not only did they get their money back from the ticket levy but they also got refunded by the administrators, so overall it was win-win for the government.

This sort of situation is where commercial lawyers earn their pay. If there is someone out there who can keep bond holders, creditors, staff, shareholders and customers happy, they deserve the big bucks. As for bond holders you would need to see the bond deed, same with other creditors. They will have clauses about default and things called negative pledges. same with aircraft leasing agreements, in fact all agreements will have to be looked at by savvy lawyers. They will be looking for a plan to modify those agreements that keeps all creditors and bond holders on side, that will play to the banks and new investors and that makes a restructured business viable and valuable enough to be worth the heartache of putting all that together. That is horribly difficult, as just one hold out can sink the deal.

I’ve watched it happen and dabbled on the edges of this, but it is way above my pay grade. Let’s hope that someone can put this together without Qantas, CASA, Creditors etc sticking a crowbar between the wheel spokes.

Certainly not. Sick leave is non preserved, as mentioned above, if you resign you do not get to take that with you but the rest will either be paid by a version of VAH as part of the DOCA or if they liquidate and cannot pay then the FEG applies.

https://www.ag.gov.au/industrial-rel...s/default.aspx

You may be able to claim:

• your unpaid wages—up to 13 weeks
• your unpaid annual leave and long service leave
• payment in lieu of notice—up to five weeks
• redundancy pay—up to four weeks per full year of service.

Maybe useful/or Not.......... 'Caveat'- Information Only.

ASIC link here: https://asic.gov.au/regulatory-resou...for-creditors/

& here: https://asic.gov.au/regulatory-resou...for-employees/

Rgds
S28- BE

With FEG you are only covered up to $2491 per week for your entitlements.

As a Platinum member of Velocity I have been somewhat loyal to Virgin over the years however, for me, it's simple. No lounge and no reasonable frequency, means it will be hard for me to justify staying with Virgin. Even now I find myself looking at the opposition for necessary flights.

https://www.smh.com.au/business/comp...UK0zvbel6wJ5-U

Two of Australia’s largest companies, Wesfarmers and Macquarie Group, are said to be contenders in the bidding process to recapitalise Virgin Australia which on Monday was placed into the hands of administrators.

They join a number of private equity companies and offshore groups that are lining up to receive an information memorandum as Virgin administrator Deloitte’s Vaughan Strawbridge officially begins the process of finding the highest bidder.

The interest from Macquarie comes as no surprise given its extensive experience in managing complex financing and its history of amassing infrastructure assets (and its previous bid for Qantas).

https://static.ffx.io/images/$zoom_0...9c0f33bb32d5a1
Let the bidding begin: Virgin chief executive Paul Scurrah and Deliotte administrator Vaughan StrawbridgeCREDIT:LOUISE KENNERLEY

Wesfarmers is a conglomerate with a history of owning discretionary consumer goods businesses and has displayed a strong interest in loyalty programs around which it has acquired detailed knowledge courtesy of its retail businesses. (In a curious twist of fate Wesfarmers’ former chief executive Richard Goyder is now the chairman of Qantas).
In addition, a note in early April from UBS to its clients on potential acquisition for the cashed-up Wesfarmers, the investment bank nominated Qantas as a possible target. Wesfarmers has raised more than $2 billion over the past couple of months by selling some of its shareholding in Coles, placing it in a prime position to entertain opportunistic acquisitions.

From the private equity sector, BGH Capital appears to be the frontrunner but Bain Capital and Oaktree have also been mentioned. And of course Virgin Australia co-founder Richard Branson is busy in the background trying to ensure he has some part to play in the airline's recapitalisation. He needs to protect his brand and the $15 million a year the airline pays to use it.

https://cf-images.ap-southeast-2.pro...atch/image.jpg

Chief Executive Officer Paul Scurrah and Administrator Vaughan Strawbridge discuss the Group’s announcement.
Interest from these players alone demonstrates how small and interconnected is the Australian market. Macquarie partnered with private equity group TPG to mount an ultimately unsuccessful $11 billion offer to privatise Qantas back in 2006. Ben Gray was managing director at the time and has since founded BGH alongside Robin Bishop, the former head of Macquarie Capital. Bishop missed out on the top job at Macquarie after the retirement of Nicholas Moore.

Moore was on Tuesday appointed by the federal government as it emissary to engage with the administrator on the sale of Virgin. (It is not clear what role Moore will play. Perhaps to ensure Virgin is not sold to unsuitable interests or to a player that wants to break it up and sell it for scrap.)

Budget airline group Arizona-based Indigo Partners is another speculated to have registered interest but is considered a very outside chance. And contrary to some recent speculation there are no Chinese airlines on the list.

RELATED ARTICLE Neither Deloitte nor Virgin would comment on which parties had registered an interest. However, Strawbridge said Deloitte was entertaining interest from more than 10 parties - although according to insiders this number has swollen closer to 20 as new expressions of interest came through on Monday night. Although a portion will be tyre kickers, the level of confidence displayed by Strawbridge about finding a suitable bid was unusually high for day one of corporate administration.

During Tuesday morning’s media briefing Strawbridge referred to the elevated level of competitive tension, the scope and scale of the expressions of interest and the "sophistication" of interested parties. It won’t be a protracted process, according to Strawbridge, who plans to have an information memorandum distributed to potential buyers next week.

Virgin, which has $5 billion in debt of which about $2 billion is junk bonds, was looking for a $1.4 billion loan from the federal government which could have been convertible into equity. Using back of the envelope calculations, if bondholders take a haircut (actually a full shave) and shareholders' equity was completely torched, the proceeds of any acquisition money could be applied to debt.

Assuming a $1.4 billion offer, the airline would have a workable balance sheet at the end of the process. The future plans would also involve a rethink of capital expenditure including the acquisition of new aircraft and the abandonment of non-profitable routes and international operations.

If so Virgin could be pared back to a profitable domestic duopoly. And its chief executive Paul Scurrah’s prediction on Monday could prove correct. "It's a tough day for our airline but certainly not the end. We are not collapsing."

I’ve been expecting AJ to offer all Velocity members reciprocal membership with QFF at the same level for 24months. Borghetti didn’t have an issue doing this a decade ago!

https://www.ag.gov.au/industrial-rel...eg_provide.pdf

$2451 per week cap as of August 2019 ($127K)

also does not cover late super contributions

I'd have two words for him... **** off you ******* piece of **** and take your ******* crap ethics with you!

Dick Smith quoted in The Australian Business Section as not being interested in Virgin Australia.

I wonder if he will have the spherical objects to leave QF?

what does that mean? Why would he leave QF? What has Wesfarmers got to do with him now?

Love it! And I like the mention of ‘Richard Branson working in the background’. Sounds about right, hiding in the shadows, covertly and spinelssly trying to hatch a plan to keep his name attached so he can keep collecting his royalties. The parasite couldn’t give a f#ck about the people who have been burned, he just wants to maintain his wealth. Jackoff.

The new V Australia will effectively write his name out of it

So I guess they'll just end up calling it VELOCITY

Just make sure it’s Aussie owned with such livery otherwise ol Dick will be down our throats (and rightly so)
https://cimg8.ibsrv.net/gimg/pprune....ed3626f32.jpeg

...yes, noted, Poppa, 'cause no-one wants Dick down their throats again