Companies

Aug 21, 2012

Qantas distracts before the big questions on Thursday

Qantas is preceding Thursday's announcement of a much-flagged "real money" statutory loss for the financial year with textbook media manipulation diversionary stories.

Ben Sandilands — Editor of Plane Talking

Ben Sandilands

Editor of Plane Talking

Qantas appears to be preceding Thursday’s announcement of a much-flagged “real money” statutory loss for the financial year to June 30 with textbook media manipulation diversionary stories. Since Monday this has included:

  • Lingerie model Miranda Kerr becomes the face of a yet-to-be-reannounced relaunching of the Qantas Club loyalty program (tick: young male executives)
  • The refurbishing of 16 aged 767s that were supposed to be retired by delayed Dreamliners by 2010, which will turn up from late next year but go to Jetstar instead (tick: adult executives tempted by Virgin’s new jets with leather seats)
  • Free wi-fi in major domestic terminals (tick: nerds and unaccompanied minors)
  • CEO Alan Joyce opts out of bonuses, dropping his pay from $5 million to an estimated $2.3 million (tick: angry shareholders)
  • Qantas pilots are stood down for arguing about takeoff calculations at Dallas Fort Worth as a thunderstorm approached (spot the story that undermines costly legacy pilots before new route cuts to Qantas long haul are announced at the financial results conference).

Thursday will not be pretty for Qantas. It’s losing money, its share price has been trashed, it’s in the middle of a fare war with resurgent Virgin Australia and Tiger attacking the quality and price ends of the spectrum, and Jetstar may no longer be working as intended to curb the competition.

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4 comments

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4 thoughts on “Qantas distracts before the big questions on Thursday

  1. Mike Smith

    “The tick is clocking” ? Indeed. And not long before it becomes a cross with the public.

  2. Tom Jones

    Alan Joyce may have won some brownie points with loud mouths last year when he treated the customers with contempt but it gave those same customers motive to look around. Qantas cannot recover under his leadership. He is the one that should go not the pilots and engineers.

  3. izatso?

    even this. they need it to not succeed. look at the fake management. Joyce will never work again, bar sinecure, a la Costello.

  4. Bill Williams

    Time is Alan Joyce’s enemy because the longer he stays in the job, the more decisions actually made on his watch can be evaluated against real outcomes. He can’t dodge the fact of today’s loss……. especially when the $200 million he spent on his narcissistic grandstanding while grounding the fleet would come in fairly handy now.

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