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Royal Brunei Airlines In Chaos

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Royal Brunei Airlines In Chaos

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Old 1st May 2008, 12:49
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A good few years in the company now. Low profile kinda guy. I would have stayed longer term. Erroded salaries and benefits etc.. 777 that I will never fly (not that important). Virtually no information re the 'future.' I still planned to stay.

Had a drink with someone last month who assurred me that my job was NOT safe. Call me slow, but guys I now smell coffee. I had two interviews recently and will leave.

Too risky, can't live like this.

a red
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Old 2nd May 2008, 00:22
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No offence taken,smokehaze. It must be a very worrying time at the moment for all expats, and some junior locals in RBA. Even those who purport never to condescend to look at Pprune must be rattled, although the writing was on the wall when RBA first got it’s delusions of grandeur with the arrival of the 757s. It amazes me that it has taken so long, near 20 years for the penny to drop in Brunei.

They are quite capable of terminating people at 3 months notice for any reason they see fit, as 3 F/Os and one junior Captain found out a few years ago, and one senior Captain more recently. The quoted excuses just didn’t tie up.

At least there are jobs out there to go to, if required, when the dust settles. Good luck.
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Old 5th May 2008, 09:13
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Terminating Pilots

The grape vine says that RBA have been told by their lawyer to settle out of Court with the recently terminated senior Captain.

Not sure where it all stands right now, but from what a few of his mates say he sure won't give up till they cough up.

Admire his guts for sticking with it, esp as its being heard in Brunei.
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Old 13th May 2008, 08:50
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Is it just me or have most of the flyingtoothpick's posts been deleted from the thread?

Also, what is the most definitive news on RBA's fleet? Are the 767s going? 777s coming? 787s?
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Old 14th May 2008, 08:10
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The 777 is a goner, the 767 is shaky and the 787 is being looked at.

Now, where was that light switch?
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Old 15th May 2008, 09:13
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The lease on the airbus is nearly finished, so where is the money going to come from to renew leases.
The B777 is stored, without registration, there is no money to complete checks, the bank won't pay - RBA won't pay so stalemate
As for the rumour about the B787, keep dreaming, I've heard so many rumours about this aircraft and that aircraft, and never once has any of them come true. When it parks at BSB, on the apron in RBA colours, has been flown by RBA crews, then I will believe it.
Air Asia, Cebu and a few other smaller cost effective airlines, whose board of directors are willing to invest will slowly strangle RBA. Its a shame, it was such a wonderful airline to fly for, I am just very very very glad I took a leap of faith and changed my heading when I had the chance.... good luck to those of you left holding the fort
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Old 15th May 2008, 16:47
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when the airbus were delivered, i heard they were leased for seven years
don't know how long they have been around, but i imagine you are right, they need renewing - maybe not right now, but in the next couple of years

767: ?

777: not even a glimmer of hope

787: didn't they already sign a contract with the leasing co and RR?

RBA will be here this time next year, probably even in 10 years
they never seem to disappear, and i doubt that will change, at least until brunei has no money left
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Old 15th May 2008, 18:35
  #308 (permalink)  
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...at least until brunei has no money left.
The government washed its hands of RBA in 2001. At the mass meeting back then, the new Chairman advised the assembled staff there would be no further investment in the company and it must sink or swim on its own. Since then the capital assets have been steadily consumed in a series of unsuccessful "survival" plans. It now runs on borrowed money, but remains unprofitable. It is therefore not impossible that RBA could face shutdown. The owner has certainly stood firmly by the warning given when the free money was cut off.

The most likely scenario for survival is as a small regional carrier, with two or three of the smaller narrow bodies - just like the last time the airline made a profit back in the early eighties. The difference is, there were no LCCs around at that time...
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Old 16th May 2008, 03:17
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Unhappy

Interesting to read the problems of RBA over the past two years or three years. Seems to me that a good few of the RBA managers jumped ship and moved to Air Astana, where recently the previous good profits have turned to losses and belt-tightening measures are being hastily enforced. In Kazakhstan also the attitudes of the government officials are similar to those of Brunei (too many expat pilots for instance) so it seems there is a great deal of commonality here. The question I have is did the old management take the problems from here to Air Astana or did they get out while they could? Seems odd that the problems have followed them to Air Astana, where recently the President wrote a very downbeat email to all staff about cost cutting and financial losses (also posted on company intranet). If RBA is to be downsized in order to survive maybe Air Astana is heading the same way. It just seems that (with a two year time lag) the story is going the same way!
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Old 16th May 2008, 07:12
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As Blacksheep knows, I thought RBA was a goner 6 years ago when I jumped. Still have friends there who cling on.
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Old 16th May 2008, 11:08
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It is a goner Bus. With the never ending search for cost reductions, the tax-free "Expat" take-home - including the annual gratuity payment - is just GBP37,700 these days for management level engineers. Less than the after-tax take-home of a UK based LAE. Locals earn much less than that of course, so the salary element of the airline's costs are way below those of most low cost carriers. Fuel prices are a big crippler; the Brunei Shell monopoly on aviation (and other) fuel supplies allows them to get away with charging around 11% over the international market rate for fuel, and RBA is stuck with picking up around 40% of its fuel at Brunei International. So, the management have been offsetting high fuel costs by cutting staff costs. In effect, the company's cost cutting measures result in the staff subsidising Brunei Shell Petroleum Company...

Meanwhile, an ineffective management, bedevilled by internal bickering and conflict, remain unable to get bums on seats with fares at a profitable level.
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Old 26th May 2008, 12:52
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RBA Pulls Out of Sydney

http://www.theage.com.au/news/news/a...182967822.html

I hope this tag works.

Perhaps the mid-night schedule had something to do with it.
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Old 27th May 2008, 13:16
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bye bye syd

old news but nevertheless....

perhaps because they were only allowed a max of 3x flights a week
which means it would be almost impossible to compete with the likes of SQ, MH, QF etc

they have now gone daily akl, bne and per
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Old 2nd Jun 2008, 15:27
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Snoop

"Interesting to read the problems of RBA over the past two years or three years. Seems to me that a good few of the RBA managers jumped ship and moved to Air Astana, where recently the previous good profits have turned to losses and belt-tightening measures are being hastily enforced. In Kazakhstan also the attitudes of the government officials are similar to those of Brunei (too many expat pilots for instance) so it seems there is a great deal of commonality here. The question I have is did the old management take the problems from here to Air Astana or did they get out while they could? Seems odd that the problems have followed them to Air Astana, where recently the President wrote a very downbeat email to all staff about cost cutting and financial losses (also posted on company intranet). If RBA is to be downsized in order to survive maybe Air Astana is heading the same way. It just seems that (with a two year time lag) the story is going the same way!" Quote Harrier 46, 16th May.

Take it from me Paul.
You do not know what the 'Ell (iott) you are talking about. I know that when I was with RBA it was impossible to get rid of incompetent t***ers. Not so at Air Astana as I am sure you are aware
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Old 2nd Jun 2008, 16:20
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Well said Raster Scanning, couldn't have put it better myself.

Harrier46 please keep out of subjects you know nothing about, you are way off the mark. You have no knowledge about the misfortunes of RBA and you certainly have no idea about the financial situation in Air Astana. As for keeping a control of costs, what sensible operator isn't doing that with oil at $130 a barrel?
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Old 7th Jun 2008, 11:24
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bond: not 007

The company is up the creek with the 777 bond!
First bonded pilot to leave, made the company realise that their bond contract was an ill worded document, that had so many holes in it, that they could not progress with it!
Realising the predicament they did not pay the gratuity owing, or the last months pay!
By doing this they have admitted that the bond is worthless!
Where to from here?
Will they come clean and announce that the 777 is not coming, or will they continue with this involuntary detainment?
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Old 11th Jun 2008, 13:00
  #317 (permalink)  
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The Brunei Press have firm information that the B777s are cancelled, so is that accurate enough? In talking with a reporter a few minutes ago who called me for a bit of background, they certainly know pretty much everything about the sorry saga anyhow, so I'm afraid I couldn't help him.

The question is, will they print what they know or will they be gagged as usual?
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Old 16th Jun 2008, 01:22
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Brunei Press & 777

The death of the 777 deal is hardly news, and with so many fingers in the pie they would not get the green light to go into print.

Of more interest to the local population would be the recent report in The Times about the 3 Billion still owed by Prince Jefri, and his jump across the channel to avoid the long arm of the law, as a contempt of court ruling has been made.
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Old 17th Jun 2008, 06:24
  #319 (permalink)  
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Ah! The "Princess" account raises its ugly head again.

So, why pick on the troops?
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Old 17th Jun 2008, 16:50
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Ridiculous AKL schedule.

It never ceases to amaze me the supposed commercially viable route structure that RBA plays at. The latest AKL "heavy" crew flights but with negligible passengers is another example of a mindless lack of direction for an already bleeding airline. What is this CEO thinking? Perhaps he should sit it out for the day in the wonderful RBA terminal awaiting his departure for LHR after flying all night from AKL and come to understand why Kiwis are staying in bed. They can always catch a flight with a real airline the next day.
Perhaps he could also sit in the jumpseat over and back again and realise what a truly wonderful 2 sectors with min rest it is for the tech crew.No wonder he stays at the Empire!
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