We could go under, Qantas tells MPs

Nick Falconer

QANTAS management is warning the airline could ''go under'' if the state-owned Etihad is allowed to buy enough of a share of Virgin Australia to allow it to start undercutting Qantas on its profitable domestic routes.

The chief executive of Qantas, Alan Joyce, and a small delegation has been in Canberra this week lobbying the government and the opposition over Etihad's push into Virgin, warning Qantas could not compete with a state-owned rival backed by a bottomless pit of funds from the airline's owner, the United Arab Emirates.

Sources familiar with discussions said Qantas argued that either the Foreign Investment Review Board should limit the scope of Etihad's purchase of Virgin or Qantas should be freed of the constraints of the Qantas Sale Act - which restricts foreign investment and Qantas's business options - to allow it to compete on a level playing field.
Advertisement: Story continues below

Otherwise, the airline warned, ''we could go under''.

Last week Etihad bought almost 5 per cent of Virgin Australia and is understood to be seeking 10 per cent. Qantas believes it is after a greater share.

Read more at Brisbanetimes.com.au
 

Topics:  alan joyce, etihad, qantas, virgin australia



Local Real Estate

Featured Real Estate
D.I.Y. OR INSTALLED HOME... $9500.00 From
Mobile Home Fully self contained granny flat or mod homes.  D.I.Y $9.5k or $12.5K ...
Great 2 Bedroom... $260 per week
Unit 2 1 1
Low set, flood free... $330 per week
House 3 1 1
Great Location - Don't... $365,000...
House 4 2 2

Featured Jobs

Clarence Valley jobs listed daily

Featured Jobs
Registered Nurse Mareeba Part Time
GIS ANALYST Ballina Full Time
DISABILITY WORKER Grafton Full Time
RANGER $109655.00
Ranger Grafton Ranger Grade 1/2 Ongoing Full-time Vacancy Ref: OEH 183-14 Total ...


Local Partners

LATEST DEALS AND OFFERS

View today's ePaper!

Read the digital edition
Learn More

Your Chance to Win!

Win a Family Beachside Escape...
Learn More

Cars For Sale

Find cars for sale online now.
Learn More

Subscription Sale

Subscribe now for $1 for 14 days.
Learn More

Local Profile

Stay Connected

Get the news as it happens, in your inbox

You can change the newsletters you are subscribed to when you edit your profile

Edit Profile


Special Offers

Latest deals and offers

Horoscopes

Cancer

Love and passion may fall short of your ideal and just now you may not be nurtured in the way you want. Ask for it. You'll come across with...

read more

Marketplace

Special Offers & Promotions

Compare & Save