Ann: Investor Briefing- Half Year Results FY22, page-2

If REX had not received $28 million in Federal Government grants and further assistance from the NSW government, its financial position would have deteriorated further.

In one year it's managed to rid itself of about 40 per cent of its retained earnings that were built up over many years. Quite the achievement!

Starting intercapital 'major route' flights with a fleet of Boeing 737-800 aircraft has been a major mistake. Large losses.

The overall passenger load factor dropped about seven per cent to a very poor 53.4 per cent, not enough to make NPAT given on these 'trunk routes' many economy class passengers travel one way for fares such as $70 SYD to Melbourne. Yet it's cut frequencies on many routes. What does that say about the true level of demand?

Like QAN although for differing reasons, REX has a bleak future unless it goes back to its smaller aircraft 'rural' roots and discontinues the large jet operations. That would require individuals including Mr John Sharp to eat humble pie, which is never easy to do if egos take over.

The charter operations are worthwhile though.

REX as with nearly all airlines will be hard hit if oil prices continue at their 'Ukraine' levels. Thanks Mr Pariah Putin.

One would expect this company (as with woke QAN) to have its hand continually out to government for further 'assistance'.

I won't be investing in REX, QAN or across the Tasman AIZ. But please DYOR as you may have a different opinion.