Qantas Raising Cash

[ozziedave]

Read in the AFR today that one of the ways that Qantas can raise cash now their credit rating is SNAFU, that they could sell a very large number of points @ about 1.5c per point to raise $500 mil. Sounds like a better option than selling the QFF scheme.

What do you think the chances are of that happening?

 

[moa999]

Welcome to AFF

But
Do QF's current problems really need another thread.

Always plenty of options.
Indeed this one is one that a few US airlines have used before where banks of bought points in lieu of loans.
But they still need to be confident that the points will be of value to their customers.

 

[samh004]

More Woolworths promotions

 

[NM]

Selling points for a cash injection is like a government printing money - it eventually devalues the points/money already in circulation.

 

[casanovawa]

Lots of points/miles chasing award seats Probably fewer if AA rationalises its network) with USDM coming into OW and then QF starts selling points...

Not that airlines really cares, but no good for customers if you have lots of points but can never find any seats on the cabins/routes you want...

But it could work out for QF i suppose in the short term...

 

[Anna]

I think they'd be better to start spraying DSC and bonus points offers round like confetti.

Oh, wait.......

 

[SeatBackForward]

Why stop at selling FF points, why not make them trade-able on an open marketplace called QFx?

 

[medhead]

33 billion points! Or 4167 per QFF member.

 

[smit0847]

Selling points for a cash injection is like a government printing money - it eventually devalues the points/money already in circulation.

This........

 

[DaveB]

33 billion points! Or 4167 per QFF member.

Wondered why I always had trouble using my .006% of total points for QFi flights.
I am wondering at what stage they bring in effective points expiry, say bona fide flights and not just the weekly woolies points top up.

 

[ketsuzei]

my .006% of total points

Well *that's* impressive.

 

[opusman]

I wish they'd seriously consider reducing their pricing. $12K return MEL/LHR is just not competitive these days. $1100 return MEL/ADL in J is a joke.
I'd happily pay $600 MEL/ADL return in J but as it is I just use points.

 

[medhead]

Wondered why I always had trouble using my .006% of total points for QFi flights.
I am wondering at what stage they bring in effective points expiry, say bona fide flights and not just the weekly woolies points top up.

That's was the number of points that $500mil buys at $0.015 per points as in the OP. Your points may be lower than 0.006%

 

[burrco]

Perhaps Qantas should pay any management bonuses in points.

 

[samh004]

Selling points for a cash injection is like a government printing money - it eventually devalues the points/money already in circulation.

Yes, unless recent share price drops have made a lot spend the points they have, then this would just be printing money to fill the void left by the recently spent money

Wondered why I always had trouble using my .006% of total points for QFi flights.
I am wondering at what stage they bring in effective points expiry, say bona fide flights and not just the weekly woolies points top up.

My maths is terrible, but you have 198 million points?

 

[castie]

Yes, unless recent share price drops have made a lot spend the points they have, then this would just be printing money to fill the void left by the recently spent money



My maths is terrible, but you have 198 million points?

Thats 6%, he said 0.006% so should be 198k?

 

[samh004]

Thats 6%, he said 0.006% so should be 198k?

33 billion * 0.006 =
one hundred ninety-eight million

 

[castie]

33 billion * 0.006 =
one hundred ninety-eight million

6% is 0.06 so 0.006% is 0.00006

0.006 is 0.6%

 

[samh004]

6% is 0.06 so 0.006% is 0.00006

0.006 is 0.6%

I hate maths

 

[castie]

If it is 6% then the only explanation is a airplane has come to life and been claiming its airmiles.