qantas - swim or sink, page-24

" It has been there huge losses on their Asian business that has caused the losses. "

Not entirely. They have had huge losses in earnings domestically, that I have not seen mentioned, due to the cutbacks in the mining industry, and subsequent drop in FIFO activity. The Kalgoorlie-Perth sector is just one example. For many years, nearly all flights were chockers, at a rack rate of $500 one way for locals, the car parks were always chockers, and now one has parking available where one likes, due to local retrenchments, and flights are NOT full. Also, Virgin bought out regional Skywest, who used to keep parity with Qantas high fares, and who is now competing between Kalgoorlie-Perth. Many locals have/are switching to Virgin as payback for those ridiculous high fares over the years....$500 for 500 km's (direct by air)...$1/km for economy. That rate would have equated to $3,000 for a one way flight, economy, Perth to Sydney.
So Qantas lost a literal Cash Cow there. How many other similar regional "licences to print money" did they lose?

GZ