Qantas boss to outline big international shake-up

[Owen H]

Two quotes:

“The combination of our two domestic flying brands, Qantas and Jetstar, together with Jetstar International, Qantas Frequent Flyer and Qantas Freight, has enabled us to withstand a number of major events affecting our performance. On a combined basis, these businesses are profitable and are returning in excess of their cost of capital.

“In FY11, Qantas International is forecast to generate a loss before interest and tax of approximately $200 million, on invested capital of over $5 billion, with a weaker result expected next year"

Could someone please explain to me why all of the first named parts of the business are profitable on a COMBINED basis, and yet International is singled out?

International could have been combined in that first list, as, combined, they are all profitable!

So that begs the question - which of those first named areas - Q domestic, J domestic, J international, Freight and FF, are NOT profitable, and WHY is it that only Q International is being singled out? Could it actually be that one of the hallowed parts of the company, which is supposed to be the model of efficiency, is actually not making money?