Virgin Australia flights to Doha

[henrus]

But I disagree that if Australians are unwilling to fly via Doha the shares becomes instantly worthless.

My point was QR only bought into VA for the rights. QR didn’t seem interested prior to these rights and at the moment not a single one is in use (all the VA/QR suspended). Sure they got more from buying in than just slots (a quarter stake in a small profitable airline) but end of the day their purchase of 25% of VA was conditional on the approval to use them via a wet lease.

 

[justinbrett]

My point was QR only bought into VA for the rights.

I'm pretty sure it was more than that. There was definitely a "stick it to QF" element, and to shore up a domestic partner in Australia. I believe there was also the exclusivity factor - get rid of EY, cut SQ off at the knees (for VA pax going to Europe) - funnel all that traffic through DOH. If you read the initial ACCC application it was quite extreme (what we all commented on at the time) which had to be wound back to get the deal over the line.

I've heard from reliable sources the VA prime flights are operating at load factors considerably less than the QR flights (I assume due to lack of oneworld pax / BA codeshares etc) and given the choice I think QR would much prefer to ditch the wet lease and launch its own flights.

 

[jase05]

given the choice I think QR would much prefer to ditch the wet lease and launch its own flights.

Of course they would but we all know that was never going to happen with the Qantas influence

 

[HS-TQE]

Australia and Qatar aren't exactly close buddies, so if the QR/VA wet lease flights do fail when the agreement is up, I would not be surprised if Australia says to Qatar, you couldn't make those flights with Virgin work, so the question is, what can you (Qatar the country) offer to us on the "trade table" n return for more bilateral rights on your national carrier's metal?

 

[justinbrett]

Of course they would but we all know that was never going to happen with the Qantas influence

Not that I agree (other factors - DOH incident, politics etc), but that was years ago - will be a different situation when the next application goes in.

 

[MooTime]

Australia and Qatar aren't exactly close buddies, so if the QR/VA wet lease flights do fail when the agreement is up, I would not be surprised if Australia says to Qatar, you couldn't make those flights with Virgin work, so the question is, what can you (Qatar the country) offer to us on the "trade table" n return for more bilateral rights on your national carrier's metal?

A big fat brown paper bag (or suitcase) with certain financials elements inside.... Certainly worked once upon a time.

 

[justinbrett]

Of course they would but we all know that was never going to happen with the Qantas influence

Not that I agree, but that was years ago - will be a different situation when the next application goes in

Australia and Qatar aren't exactly close buddies, so if the QR/VA wet lease flights do fail when the agreement is up, I would not be surprised if Australia says to Qatar, you couldn't make those flights with Virgin work, so the question is, what can you (Qatar the country) offer to us on the "trade table" n return for more bilateral rights on your national carrier's metal?

We're definitely team UAE vs team Qatar, but still, quite friendly relations.

We have a bit in common, both major natural gas exporters.