Re: QANTAS's domestic sale(s)
EY has recently increased its shareholding and allegedly wants to move to 19.9 per cent.
For cultural reasons (I like pork!), I'd like to see SQ or NZ own VA.
Although a confirmed VA patron and one who avoids QF and JQ like the plague, I agree that VA's cash position is not good.
That said, these foreign airlines must see something in VA that I do not.
I also agree that the Australian domestic air market has way too much capacity. On a route such as ADL - MEL remarked on above, one can drive, travel on 'The Overland' daytime train, V/Line 'Daylink' coach via Bendigo (or with a change via Ballarat), overnight Firefly/ Greyhound bus if one has the time and inclination. Of course, air travel has a dominant share, but my point is that surface travel alternatives are easily available (though the train and bus are not fast, as the rail route is now somewhat indirect despite the way 'The Overland' hikes at 115kmh between stops and buses make two half hour refreshment stops at roadhouses - not haute cuisine) and so the route has a high degree of demand elasticity in terms of air travel.
JQ once flew ADL - AVV - ADL daily but could not make this relatively short route pay, so it withdrew.
Put simply, for leisure travellers who the airlines need to fill the seats at the back of the 'bus', if the air fare goes up too much some may either not travel or use a surface mode. That said, there's always TT....