Godfrey: AA domestic airline in drag
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Godfrey: AA domestic airline in drag
PERTH, Dec 11 Asia Pulse - Qantas Ltd's new discount international airline was a "domestic airline in drag" as it was only a matter of time before it flew domestically, Virgin Blue chief executive Brett Godfrey said today.
"It is meant to be an international airline but...it is a domestic airline in drag," he said.
"I think that is what it will end up being because it is pretty clear to me that that will only be the start."
Mr Godfrey's comments follow Qantas' announcement today that operations for its discount carrier Australian Airlines would start in the third quarter of 2002.
Its initial services would be non stop return from Cairns to Osaka, Nagoya, Singapore, Taipei, Hong Kong and Fukuoka.
"I'm not fearful of them because we have made our intentions clear we are going to regional Pacific as well, so we will be competitors no doubt on some routes," Mr Godfrey said.
"My big concern is bringing it under the auspices of being an international airline.
"As I said, I would be surprised if we didn't seeing it flying domestically and I'm sure (Qantas chief executive) Geoff (Dixon) would love to do that."
Meanwhile, Mr Godfrey said the Virgin Blue board would decide next Tuesday if it would go ahead with possible alliances with a number of international carriers.
"Clearly we are in negotiation stages, to suggest it is a done deal is not true," he said.
"But we are in active discussions with people that want to do something with us, so it is up to us to decide whether we will change our model to incorporate interaligning.
"We have got a board meeting...on Tuesday and we will decide then if we are going to do it."
In regards to Virgin Blue's financial performance, Mr Godfrey said he expected the company to improve upon its A$8 million (US$4.1 million) first half profit in the second half.
"I would be disappointed if we weren't double the eight for the second half," he said, adding that Virgin Blue's full year earnings could even exceed A$24 million (US$12.31 million).
"It is all good news, we are going well."
But he warned that if the Fox Lew proposal to buy Ansett succeeded it would be "a good time for the travelling public, a less good time for the airlines".
"But I can't complain about that because I have been a strong advocate of three airlines.
"I think there has got to be three airlines in this country to keep things honest."
Mr Godfrey said Virgin Blue had also spoken to the Western Australian government about operating regionally, but he said a decision would not be made in the short term.
"As long as we get support from the Perth public on Melbourne and Adelaide then we will be prepared to look at flying the aeroplane internally in Western Australia."
ASIA PULSE
"It is meant to be an international airline but...it is a domestic airline in drag," he said.
"I think that is what it will end up being because it is pretty clear to me that that will only be the start."
Mr Godfrey's comments follow Qantas' announcement today that operations for its discount carrier Australian Airlines would start in the third quarter of 2002.
Its initial services would be non stop return from Cairns to Osaka, Nagoya, Singapore, Taipei, Hong Kong and Fukuoka.
"I'm not fearful of them because we have made our intentions clear we are going to regional Pacific as well, so we will be competitors no doubt on some routes," Mr Godfrey said.
"My big concern is bringing it under the auspices of being an international airline.
"As I said, I would be surprised if we didn't seeing it flying domestically and I'm sure (Qantas chief executive) Geoff (Dixon) would love to do that."
Meanwhile, Mr Godfrey said the Virgin Blue board would decide next Tuesday if it would go ahead with possible alliances with a number of international carriers.
"Clearly we are in negotiation stages, to suggest it is a done deal is not true," he said.
"But we are in active discussions with people that want to do something with us, so it is up to us to decide whether we will change our model to incorporate interaligning.
"We have got a board meeting...on Tuesday and we will decide then if we are going to do it."
In regards to Virgin Blue's financial performance, Mr Godfrey said he expected the company to improve upon its A$8 million (US$4.1 million) first half profit in the second half.
"I would be disappointed if we weren't double the eight for the second half," he said, adding that Virgin Blue's full year earnings could even exceed A$24 million (US$12.31 million).
"It is all good news, we are going well."
But he warned that if the Fox Lew proposal to buy Ansett succeeded it would be "a good time for the travelling public, a less good time for the airlines".
"But I can't complain about that because I have been a strong advocate of three airlines.
"I think there has got to be three airlines in this country to keep things honest."
Mr Godfrey said Virgin Blue had also spoken to the Western Australian government about operating regionally, but he said a decision would not be made in the short term.
"As long as we get support from the Perth public on Melbourne and Adelaide then we will be prepared to look at flying the aeroplane internally in Western Australia."
ASIA PULSE
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"It is all good news, we are going well."
Now where have I heard those comments made just before an airline has folded?
If AN gets up, DJ will be screaming for an alliance or massive cash injection.
Otherwise, it's Goodnight Dick, RIP.
QF wins again.
Now where have I heard those comments made just before an airline has folded?
If AN gets up, DJ will be screaming for an alliance or massive cash injection.
Otherwise, it's Goodnight Dick, RIP.
QF wins again.
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Now I hope I have got this straight Mr Godfery, you want to operate internationally, but you dont want international airlines to operate domestically.... Hmmmm. Sounds fair.
Now that you have lost the "under-dog tag", and are rapidly gaining the "pommy whinger tag", you might have a tough task selling that to the aussie public.
Now that you have lost the "under-dog tag", and are rapidly gaining the "pommy whinger tag", you might have a tough task selling that to the aussie public.
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strobes_on,
I agree. If Godfrey doesn't have a PhD in talking himself and his company up, who does? He's really into self promotion and keeping DJ in the news, but in Sir Dicky, he has had a good teacher. A bit like the guy who ran Compass - they were doing really well right up to the minute they folded.
I agree. If Godfrey doesn't have a PhD in talking himself and his company up, who does? He's really into self promotion and keeping DJ in the news, but in Sir Dicky, he has had a good teacher. A bit like the guy who ran Compass - they were doing really well right up to the minute they folded.
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But I beg to differ.
Was it not Gerry McGowan who spoke so proudly in the media of Impulse's profitability right up to the week where it collapsed?
I recall similarly Mr McGowan being rather upbeat about Impulse going public much the same as Mr Branson and his sidekick Godfrey have been lately.
What Mr Godfrey is saying is if Australian Airlines start going domestic then VB is screwed - but Godfrey wants to have his cake and eat it!!
Another argument for VB/AN to team up and fight Qantas/AA.
Was it not Gerry McGowan who spoke so proudly in the media of Impulse's profitability right up to the week where it collapsed?
I recall similarly Mr McGowan being rather upbeat about Impulse going public much the same as Mr Branson and his sidekick Godfrey have been lately.
What Mr Godfrey is saying is if Australian Airlines start going domestic then VB is screwed - but Godfrey wants to have his cake and eat it!!
Another argument for VB/AN to team up and fight Qantas/AA.
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Listen to you lot! You should have a long hard look at yourselves before you go calling anybody else a whinger!
NOWHERE in the above article does Godfrey criticise the notion that AA might fly domestically... he just makes the observation that Dixon would love to do it.
Dixon himself said he would like to spread AA's low-cost structure throughout the QF Domestic network last night (Tues) on the 7:30 report, although he regarded that as "A dream" which he flet would never come to fruition.
All you QF types and self-appointed experts might just have to wait a little longer. (how did you guys pass the comprehension test when you got into QF? Sheesh!)
NOWHERE in the above article does Godfrey criticise the notion that AA might fly domestically... he just makes the observation that Dixon would love to do it.
Dixon himself said he would like to spread AA's low-cost structure throughout the QF Domestic network last night (Tues) on the 7:30 report, although he regarded that as "A dream" which he flet would never come to fruition.
All you QF types and self-appointed experts might just have to wait a little longer. (how did you guys pass the comprehension test when you got into QF? Sheesh!)
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Godfrey & Branson are masters at the art of getting free publicity. Launch Per services normally with balloons and water cannons and you get no coverage. But make some contentious or provocative statements and hey presto the media are sucked in and Virgin get their name in all the papers and on TV. But look at all the DJ statements (including whinges, proposals etc) and very few come to fruition . Theyr'e not aimed to, but they
are designed to get free publicity.
Perhaps their next advert should be "I'm a little whinger now !" taht would get free publicity too.
Geoff Dixon at QF is smart operator setting up 15 all Y class 737-800 plus reconfigure around 25 existing a/c to all Y class.
Then in a year or two when TN is established in market place at all capital cities , QF re-brands the Y class QF a/c as Australian and goes for the jugular. So what if TN ends up flying domestic as well as international ? make a buck where you can, and QF will do that.
are designed to get free publicity.
Perhaps their next advert should be "I'm a little whinger now !" taht would get free publicity too.
Geoff Dixon at QF is smart operator setting up 15 all Y class 737-800 plus reconfigure around 25 existing a/c to all Y class.
Then in a year or two when TN is established in market place at all capital cities , QF re-brands the Y class QF a/c as Australian and goes for the jugular. So what if TN ends up flying domestic as well as international ? make a buck where you can, and QF will do that.
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Kuldalai
I think you may have hit the nail right on the head.
Take it one step further – What if QF decide that the only domestic brand they will use is TN. The QF brand reserved only for international services.
What better way to achieve a lower cost structure. Back to where we were 12 years ago. TN v AN. (Virgin will either fade or be part of AN)
Watch out QF staff – you are about to be ‘operated’ on.
I think you may have hit the nail right on the head.
Take it one step further – What if QF decide that the only domestic brand they will use is TN. The QF brand reserved only for international services.
What better way to achieve a lower cost structure. Back to where we were 12 years ago. TN v AN. (Virgin will either fade or be part of AN)
Watch out QF staff – you are about to be ‘operated’ on.
Evertonian
So, wht did they bother to merge in the first place?? (rhetorical question, don't answer!) If they do return to QF INTL & "the airline formerly known as TN both, then will QF get a refund for their purchase? Perhaps, QF may have to pay the debt that the Federal Govt. wiped for them? Maybe Fox/Lew are about to relaunch East West to coincide with AN3?
Good one Bratt! Makes observations that no one is really interested in & get your shiny head in the papers again!
[ 13 December 2001: Message edited by: Buster Hyman ]
Good one Bratt! Makes observations that no one is really interested in & get your shiny head in the papers again!
[ 13 December 2001: Message edited by: Buster Hyman ]
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Just in case you missed Wonderworld's hint, the IATA airline designator 'TN' (which used to belong to the former Australian Government domestic carrier TAA/Australian Airlines) now belongs to Air Tahiti Nui.
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Achilles, I'm curious,are you QF management and if so, would you have a date and time when my pay and conditions will begin to erode?
Just so I can be ready with my applications to Hazo's, Impulse, National Jet etc.
You know, just so I can time my resignation from the White Rat before everyone else decides to leave, when the the money is just not enough anymore.
Thanking you in advance for your kind words of advice and encouragement,
Box.
Just so I can be ready with my applications to Hazo's, Impulse, National Jet etc.
You know, just so I can time my resignation from the White Rat before everyone else decides to leave, when the the money is just not enough anymore.
Thanking you in advance for your kind words of advice and encouragement,
Box.
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Sprucegoose, no problem with DJ getting free publicity, all smart companies do it. My point was simply to say don't be fooled by statements outrageous or provocative from DJ
(or take them too seriously either) as they are largely designed to attract media attention to DJ name. However when one plays this game with the media one needs to be careful that you don't meet yourself coming home backwards !
(or take them too seriously either) as they are largely designed to attract media attention to DJ name. However when one plays this game with the media one needs to be careful that you don't meet yourself coming home backwards !
