VA closes Brisbane Tiger base

[Inlander]

Tigerair to close Brisbane base, but Queensland will keep 'crucial' route

Tigerair will close its Brisbane base as the the global outbreak of coronavirus wreaks millions of dollars worth of havoc on Queensland's tourism industry.

www.brisbanetimes.com.au

 

[docjames]

Was probably going to happen anyway but accelerated the timing with COVID-19.

The right moves are being made - get immediately to single fleet, right-size the business but it’ll be Isak or swim for the remaining routes that are left.

Sad for those based in Brisbane - and with general capacity cuts one wonders how many (if any) will be offered relocation to the Melbourne base and/or prospects of employment elsewhere in the industry in the current environment.

 

[ozfflyer]

Was probably going to happen anyway but accelerated the timing with COVID-19.

The right moves are being made - get immediately to single fleet, right-size the business but it’ll be Isak or swim for the remaining routes that are left.

Sad for those based in Brisbane - and with general capacity cuts one wonders how many (if any) will be offered relocation to the Melbourne base and/or prospects of employment elsewhere in the industry in the current environment.

but don't VARA have A320s ? On another forum it was mentioned that to return the A320s to owners early would cost VA $2.9m. If that's right, surely A320s would be better doing something for VARA perhaps ?

Corona is killing international travel right now, but wonder how much domestic travel is being effected ?

 

[docjames]

Perhaps the cost of keeping them is > $2.9m at this stage.....

 

[ozfflyer]

Perhaps the cost of keeping them is > $2.9m at this stage.....

guess we don't know how long the leases have to run & with economy looking sluggish for a long time .... years

 

[Bagpuss]

but don't VARA have A320s ? On another forum it was mentioned that to return the A320s to owners early would cost VA $2.9m. If that's right, surely A320s would be better doing something for VARA perhaps ?

If you keep them an fly unprofitable routes then you are lossing more money.
If you keep them and park them, you pay parking fees to airports etc.
Sometimes its cheaper to just take the hit.

 

[ozfflyer]

If you keep them an fly unprofitable routes then you are lossing more money.
If you keep them and park them, you pay parking fees to airports etc.
Sometimes its cheaper to just take the hit.

ok but what about somewhere in between ?

Say if doing a route daily & not making money cut it back to 4/week or if doing 4/week & not working, cut it back to 2/week.

Last thing VA wants, is to lose a business customer who'll pay top dollar, to QF/JQ.

Or do some flights at odd times like red eyes to Per, or somewhere not competing directly with VA.

Remember when Ansett fell over, Qantas did many flights at 11.59pm, 1am, 2am (obviously not to or from Syd) but were many BNE/MEL or other ports with no silly curfew.

 

[Bagpuss]

ok but what about somewhere in between ?

Say if doing a route daily & not making money cut it back to 4/week or if doing 4/week & not working, cut it back to 2/week.

Last thing VA wants, is to lose a business customer who'll pay top dollar, to QF/JQ.

I believe the cost saving also include the redundancies of crews including pilots.
Like anything debatable until the cows come home.
It's most liekly purely to excelerate the withdrawl of the A320. Once they are single fleet if operations still aren't good I expect it will shutter. If they want to grow again at least it will be with B737's ... in theory.