i have been following everyone's comments, but rarely contribute...

i have been following everyone's comments, but rarely contribute anything. I guess it is about time.

i think Alan Joyce has $500m cash to return to shareholders, but then the fully franked only qualified around $130m, so he decided to use the rest for buy-back for 4 reasons :
- cement a strong foundation for increasing sustainable dividend yield by reducing amount of existing shares floating, so that future dividend yield will not be lower than FY18.
- Increase SP from reducing issued shares, or at least support the SP not to be lower from current SP. This is in line with his objectives, as Mr Joyce has a lot of QAN shares, from his LT bonus.
- It is a signal to shareholders that the Board and senior management are confident with the future of the business.
- It is an opportunity for prepayment, in case a major opportunity appears in the future. I am talking about in-organic growth.

QAN is the largest airline in Australia and plays a major role in Australia's transportation industry. Fundamental wise, it is unquestionable, especially with the current balance sheet.

I see the coming pilot institutes as a growth area for QAN. However, it is ashamed that qantas sold it's catering company where costs might increase from there.