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Rex service reductions from 3 Apr

dajop

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Rex have posted their service reductions from April 3 on their website: Regional Express :: Home

Whilst their WA and QLD (except CNS-Bamaga) are still under review (presumably due to the arrangements with state governments), the MEL, ADL & SYD services have been reviewed. Summary of changes:

Suspended services (in addition to SYD-BNK, ADL-KGC):
ex-ADL: Port Augusta
ex-SYD: Armidale, Newcastle

Most of the network sees 30-50% reductions in their weekly service, except following major reductions :
Adelaide-Whyalla (28->12)
Melbourne -Burnie (27->7)
Sydney-Wagga (31->13)

Unchanged or almost unchanged weekly service:
Melbourne-King Island (7)
Melbourne-Mildura (20->17)
Melbourne - Wagga (15->12)
Sydney - Cooma (6)
Sydney - Narrandera (19)
Cairns - Bamaga (8->6)
 

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They have further declared that all RPT flights with exception of QLD will be suspended. From The Age;

Regional Express (Rex) has announced that it will shut down air services in all states from April 6, except Queensland, where services are underwritten by the state government.

...

Services that will continue include Ambulance Victoria’s fixed-wing ambulance services, charter contracts with mining companies, freight services and pilot training in Victoria and NSW.
Feels like the nuclear button and begging for cash. Not sure if their financial position is quite as bad as indicated?
 

Scarlett

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If their gambit, no, demand is probably a better description, is to be believed they're going to lose $10 million a month. Noting that they only seem to make an annual profit of about $1 million, it's pretty easy to see why they're toast.

Whether governments and councils submit to their demand will be interesting to see.

Personally, I'd rather see the Federal Govt buy them for $1 and install an administrator to determine which routes will survive. In 6 months time the airline could potentially be sold as a going concern. (or in an alternate future, merged to become the regional arm of VA when their assets are also nationalised...)
 

stoney

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It would appear that REX is at the point of failure as alluded to by the company itself in seeking substantial help from state and federal governments. Is it time to allow Rex to disappear? The more profitable routes that they service would soon see a new player in the game. I see this as a solution rather than seeing another taxpayer bailout of a largely overseas owned company. I depend upon air travel as do a significant part of the Port Lincoln population but I do not believe we will be left high and dry as it is a captive market for a smart operator.
 

fifo

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Does anyone know much about the Rex current stance on refunds? i've been told im in the 'que' as they cancelled my kangaroo is flights, but since they are terminating that route in future. Just said all refunds are on hold at the moment. ... probably so they don't collapse I assume?
 

Mattg

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Does anyone know much about the Rex current stance on refunds? i've been told im in the 'que' as they cancelled my kangaroo is flights, but since they are terminating that route in future. Just said all refunds are on hold at the moment. ... probably so they don't collapse I assume?
I am quite sure that you are legally entitled to a refund, but trying to get it out of Rex could be another matter. They probably can't afford to pay it out.

I believe their official policy is to provide a travel credit, but I'm not sure how that applies to a route that has been axed.

Perhaps you could try a credit card chargeback if you don't hear anything further from Rex?
 

fifo

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That is not a bad idea, thanks!
i dont get how if im entitled to a refund, it can be 'held' legally.
 

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