Qantas cutting Capacity
No word on exact routes to be dropped or cut but looks severe as per below
Qantas slashes profit forecast, cuts capacity
Qantas has just announced capacity cuts equivalent to grounding ten aircraft, with outgoing ceo Geoff Dixon saying the global financial crisis was continuing to affect passenger demand.
"We are in unpredictable times and the international business market, in particular, has slowed," he said.
The capacity cuts are in addition to reductions announced earlier this year, and will include halting all planned domestic market growth for both Qantas and Jetstar.
QF will also not take up the planned lease of two A330-200 aircraft and will change the flying patterns of existing aircraft "to free up the equivalent of six B747-400s, three B767-300s and one A320-200 aircraft between now and mid-2010".
Dixon said the carrier's actual flying in the next six months will be four percent below the equivalent period in 2008, and said that although no further job cuts were expected the carrier would "be seeking further efficiencies by implementing an accelerated leave program."
He said the slower demand meant Qantas was now expecting a pre-tax profit for 2008-09 of around $500 million.
Source: Travel Daily 25th November
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