Qantas buys Alliance
The word 'opportunist' comes to mind,along with a few others which would probably not be appropriate on here.
If it goes through, it’ll be the end of Fokker’s at Network.
They’ll focus on 320/321.
As for NJS, if they thought they had little cards to play in their EBA negotiations before, they have close to none now.
They’ll focus on 320/321.
As for NJS, if they thought they had little cards to play in their EBA negotiations before, they have close to none now.
I have considerable respect for the timing and prescience demonstrated by Alliance's management. I'm guessing they think something is about to happen either in the economy or the aviation industry such that Alliance has chosen this moment as the best time to take the money and run. Remember their previous incarnation, Flight West Airlines, with some of the same names in management? Flight West chose to go into voluntary liquidation shortly before the Ansett collapse and was reincarnated/did a Phoenix as Alliance the following year. I wonder how it will play out this time around?
The initial rumour mill at Alliance was it could be up to 30 E190’s.
“We’ve opened up several new passenger routes using up to 18 of Alliance’s E190s, so bringing all 33 of these aircraft, plus their crews, into the Qantas Group would really expand what we could achieve.
“We plan to extend our program of guaranteed lower fares for residents in those few communities where Alliance operates its own passenger services, as well as access to our Frequent Flyer program,” added Mr Joyce.
Maybe it wasn’t far off the mark . . . . . .
“We’ve opened up several new passenger routes using up to 18 of Alliance’s E190s, so bringing all 33 of these aircraft, plus their crews, into the Qantas Group would really expand what we could achieve.
“We plan to extend our program of guaranteed lower fares for residents in those few communities where Alliance operates its own passenger services, as well as access to our Frequent Flyer program,” added Mr Joyce.
Maybe it wasn’t far off the mark . . . . . .
Couple that with the absolute debacle that was the A320/737 at TT and the stuff up with being kicked off the DPS route after repeatedly being warned it wasn't allowable to substitute another carrier, whether you owned them or not.
I think it would be hard to justify any objection after VA themselves gobbled up a FIFO carrier.
I look forward to QF showing VA how to make an E190 operate profitably.
Welcome to the whipsaw, a common tactic US legacy airlines used for over 20 years to keep their regional partners cheap. It was literally this tactic that had regional pilots living on government assistance because they were paid so little.
The good news is, the whipsaw works both ways. If one of Qantas' subsidiaries can land a better contract, the others will rise too. But if one takes a concessionary contract, the rest come down. Good luck to all involved, you deserve a win.
The good news is, the whipsaw works both ways. If one of Qantas' subsidiaries can land a better contract, the others will rise too. But if one takes a concessionary contract, the rest come down. Good luck to all involved, you deserve a win.
Welcome to the whipsaw, a common tactic US legacy airlines used for over 20 years to keep their regional partners cheap. It was literally this tactic that had regional pilots living on government assistance because they were paid so little.
A strategy which resulted in the bankruptcy of most regional airlines, new laws passed for minimum experience levels for RPT and a subsequent pilot shortage, with airlines forced to import foreign labour and put passengers on buses. But don’t worry I’m sure those in management who arranged all that still got their bonus.
A strategy which resulted in the bankruptcy of most regional airlines, new laws passed for minimum experience levels for RPT and a subsequent pilot shortage, with airlines forced to import foreign labour and put passengers on buses. But don’t worry I’m sure those in management who arranged all that still got their bonus.
For perspective, the US is slated to hire in the order of 10,000 pilots every year for the next little while (how long who knows). Aussies won't make the slightest dent in the shortage here, but a loss of even 10% of the Aussie workforce would certainly liven up the domestic scene.
A strategy which resulted in the bankruptcy of most regional airlines, new laws passed for minimum experience levels for RPT and a subsequent pilot shortage, with airlines forced to import foreign labour and put passengers on buses. But don’t worry I’m sure those in management who arranged all that still got their bonus.
Wasn’t it Pinnacle, when they were independently owned, that won a bid for delta flying (?) right after the pilots got a new contract and then filed for chapter 11 so they could revert to the old contract wages so they could continue the flying? Disgusting
It is inconceivable (to me) how a competition regulator could possibly approve this acquisition.
Alliance not only provides aircraft and crews to Qantas's main competitor, it also provides competition to Qantas and Virgin on FIFO and other charter contracts, such as transporting football teams around.
Qantas, at one swoop, would have driven up costs for Virgin, mining companies and anyone else that wants to hire an aircraft bigger than a Navajo.
Did the Morrison Government really provide all that taxpayer money to Qantas during the pandemic so that Mr. Joyce could spend it all on getting rid of his competition?
Never mind the ACCC there should be an outcry from the taxpayers!
Alliance not only provides aircraft and crews to Qantas's main competitor, it also provides competition to Qantas and Virgin on FIFO and other charter contracts, such as transporting football teams around.
Qantas, at one swoop, would have driven up costs for Virgin, mining companies and anyone else that wants to hire an aircraft bigger than a Navajo.
Did the Morrison Government really provide all that taxpayer money to Qantas during the pandemic so that Mr. Joyce could spend it all on getting rid of his competition?
Never mind the ACCC there should be an outcry from the taxpayers!
Last edited by Mr Approach; 6th May 2022 at 02:30. Reason: spelling
It is inconceivable (to me) how a competition regulator could possibly approve this acquisition.
Alliance not only provides aircraft and crews to Qantas's main competitor, it also provides competition to Qantas and Virgin on FIFO and other charter contracts, such as transporting football teams around.
Qantas, at one swoop, would have driven up costs for Virgin, mining companies and anyone else that wants to hire an aircraft bigger than a Navajo.
Did the Morrison Government really provide all that taxpayer money to Qantas during the pandemic so that Mr. Joyce could spend it all on getting rid of his competition?
Never mind the ACCC there should be an outcry from the taxpayers!
Alliance not only provides aircraft and crews to Qantas's main competitor, it also provides competition to Qantas and Virgin on FIFO and other charter contracts, such as transporting football teams around.
Qantas, at one swoop, would have driven up costs for Virgin, mining companies and anyone else that wants to hire an aircraft bigger than a Navajo.
Did the Morrison Government really provide all that taxpayer money to Qantas during the pandemic so that Mr. Joyce could spend it all on getting rid of his competition?
Never mind the ACCC there should be an outcry from the taxpayers!
In a year or so once the takeover is completed, the landscape will look very interesting, but there are alternatives to QQ out there. Cobham has been scaling up the Q400s and E-Jets in WA and is up for sale, Airnorth has added frames and must surely be looking for some sweet, sweet charter revenue. Australian Corporate Jet now has an ERJ-145 and could add more pretty cheaply, so that could take up some of the more ad hoc work.
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Not bad for an airline that received a billion odd dollars in Gov support during covid and here we are 4 months after borders open able to spend a billion on another airline acquisition. Just proves what folks have said on here for years what a master manipulator AJ and his team really are. More like an Irish Shiester !
It is inconceivable (to me) how a competition regulator could possibly approve this acquisition.
Alliance not only provides aircraft and crews to Qantas's main competitor, it also provides competition to Qantas and Virgin on FIFO and other charter contracts, such as transporting football teams around.
Qantas, at one swoop, would have driven up costs for Virgin, mining companies and anyone else that wants to hire an aircraft bigger than a Navajo.
Did the Morrison Government really provide all that taxpayer money to Qantas during the pandemic so that Mr. Joyce could spend it all on getting rid of his competition?
Never mind the ACCC there should be an outcry from the taxpayers!
Alliance not only provides aircraft and crews to Qantas's main competitor, it also provides competition to Qantas and Virgin on FIFO and other charter contracts, such as transporting football teams around.
Qantas, at one swoop, would have driven up costs for Virgin, mining companies and anyone else that wants to hire an aircraft bigger than a Navajo.
Did the Morrison Government really provide all that taxpayer money to Qantas during the pandemic so that Mr. Joyce could spend it all on getting rid of his competition?
Never mind the ACCC there should be an outcry from the taxpayers!
