Qantas & Jetstar Expand (Again) Due Domestic Demand; More Aircraft

jakeseven7

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More Embraers on the way for QFLink, more A320s for Jetstar Australia and new Qantas routes to be announced soon.... what could they possibly be?!

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QANTAS AND JETSTAR EXPAND TO MEET DOMESTIC DEMAND, ADD MORE AIRCRAFT​


Qantas is expanding its three-year contract with Alliance Airlines, which provides QantasLink with capacity using Alliance’s Embraer E190 regional jet aircraft.

The expanded agreement lifts the options under this deal from 14 aircraft to 18. Of this, five are already in operation with another three to enter service by October.

The E190s will be painted in QantasLink livery and are part of Qantas growing its domestic capacity to at least 107 percent of pre-COVID levels.


Low-cost subsidiary Jetstar’s Australian domestic network is set to grow to 120 percent of its pre-COVID schedule in FY22 says Qantas.

To help meet demand, three more 180-seat A320 aircraft will be temporarily redeployed from Jetstar Asia in Singapore while international travel in the region faces a slower recovery.

 

justinbrett

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Good news. When you look at the US market most regional flights are on regional jets (I guess that's where the name comes from...)

I wonder if QF would be so bold in sending some over to NZ to relaunch QFNZ domestic? I guess they've got a "I can't believe it's not an alliance" alliance with NZ at the moment so maybe not.
 

dajop

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i pity VA trying to make inroads against this, I guess they just need to carve off their share. And Rex has no hope.

I do wonder at some point whether questions will be raised about Australia’s two largest domestic carriers being owned by the same company though.
 

justinbrett

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i pity VA trying to make inroads against this, I guess they just need to carve off their share. And Rex has no hope.

I do wonder at some point whether questions will be raised about Australia’s two largest domestic carriers being owned by the same company though.
Mark my words, VA and Rex will merge at some point in the future.

As the song goes "That it's all just a little bit of history repeating".
 

jakeseven7

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i pity VA trying to make inroads against this, I guess they just need to carve off their share. And Rex has no hope.

I do wonder at some point whether questions will be raised about Australia’s two largest domestic carriers being owned by the same company though.

VA2 just need to focus on obliterating Rexys jet foray as Rex are trying to gut them right now.

Then VA2 can settle back into a cosy duopoly again with QF (allbeit with QF and JQ much bigger than before)
 

jakeseven7

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Good news. When you look at the US market most regional flights are on regional jets (I guess that's where the name comes from...)

I wonder if QF would be so bold in sending some over to NZ to relaunch QFNZ domestic? I guess they've got a "I can't believe it's not an alliance" alliance with NZ at the moment so maybe not.

NZ’s turboprop fleet would carve up even a small jet operation from QF, they fly on a whiff of an oily rag. JQ is there to remind NZ they can’t go crazy....that is enough for the QF group I’m sure!
 

dk4

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i pity VA trying to make inroads against this, I guess they just need to carve off their share. And Rex has no hope.

I do wonder at some point whether questions will be raised about Australia’s two largest domestic carriers being owned by the same company though.
It is an absolute crock! In any other industry pollies and business would be howling out for competition! And to strike down the incumbent player, carving them into smaller pieces.

But this move makes sense for Qantas - there is no way QAN would be allowed to encroach much further than their current investment in Alliance, so by tying in a fair proportion of Alliance's profitability to operating QF services, it helps ensures Alliance won't try and expand, and bight the hand that is feeding them! Hence even less competion in Australian skies... :(
 
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jakeseven7

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It is an absolute crock! In any other industry pollies and business would be howling out for competition! And to strike down the incumbent player, carving them into smaller pieces.

But this move makes sense for Qantas - there is no way QAN would be allowed to encroach much further than their current investment in Alliance, so by tying in a fair proportion of Alliance's profitability to operating QF services, it helps ensures Alliance won't try and expand, and bight the hand that is feeding them! Hence even less competion in Australian skies... :(

All the more reason that VA2 and Rexy need to jump into bed together ASAP
 

HS-TQE

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Mark my words, VA and Rex will merge at some point in the future.

As the song goes "That it's all just a little bit of history repeating".

Depends on what's cheaper for the PE companies behind the control of REX (PAG) and Virgin (Bain).

If Bain finds it cheaper to 'obliberate' REX then pick up the mortgage of their regional fleet and/or pick up the REX slots for their own use at a liquidation sale, they won't hesitate to do so.

It's also unlikely that Bain will want to pick up the old leased 737 fleet (which includes 2 of the most unreliable planes) that they disposed of.

Saying that, PAG won't hesistate to pull the plug on REX (either through liquidation or an unlikely sell-off) if they don't find that REX's jet operations makes 'a return on investment' as per the thinking of all PE companies.
 

jakeseven7

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Qantas Bets Big On Domestic: Ups Embraer E190 Fleet​


From zero to hero in about six months, the Embraer E190 is fast finding favor at Australian airline Qantas. On Thursday, Qantas announced it was expanding a deal with local wet-lease airline provider Alliance Airlines that lets Qantas fly Alliance’s Embraer E190 regional jet aircraft.


 

docjames

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I think there’s globally a surplus of E190s (?every type of aircraft) and it’s suitable to the work QF require so its cheap, suitable and available.

When VA ran them, they weren’t cheap (even if they are suitable and available).
 

jakeseven7

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I think there’s globally a surplus of E190s (?every type of aircraft) and it’s suitable to the work QF require so its cheap, suitable and available.

When VA ran them, they weren’t cheap (even if they are suitable and available).

VA1 had major issues with maintenance and subsequent reliability - well documented and the inability to extract the premium they needed to charge competing against a more efficient QFLink made them unviable commercially.

I would think QF/Alliance have done their homework on this new fleet sub type after watching the VA1 issues.
 

RichardMEL

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The E170/190 series jungle jets are far superior to the CRJ's to fly on as a pax imo and I always tried to book on ERJ's (maybe not the 135's!) on UA or AA when they were on routes I wanted. Specially in J for solo pax but even in Y or as a pair just more comfortable, better window placement and performance I think have much better comfort so I am happy to see QF add more capacity and allow them to open up interesting routes like ADL-OOL and supplement some of the 717 flying also. I think it's a good move personally.

It does make one wonder why VA1 was unable to make them work as they are a great workhorse. Perhaps the wet lease arrangement is the better way to go - let Alliance do what they do best and run them and QF market. Akin to the US majors and their regionals who fly the RJ's.
 
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