REX airlines have asked for more financial support from Clarence Valley Council. (AAP/Emma Brasier)
REX airlines have asked for more financial support from Clarence Valley Council. (AAP/Emma Brasier)

REX asks Council for more financial help

FOLLOWING council's decision to waive head tax charges, Rex Airlines have asked for more financial help.

Councillors will decide next week whether to give Rex Airlines more financial support after the regional carrier wrote to Clarence Valley Counicil general manager Ashley Lindsay in April, requesting a $8,908.90 credit note.

The letter, from Rex's general manager corporate services Irwin Tan, highlights the predicament the airline is in due to coronavirus and asks for "one time support" as a "sign of solidarity".

"As you are aware, this pandemic has resulted in our passenger numbers crashing by over 95% within 2 weeks," Mr Tan said

"Rex, as is the case of all airlines in the world, is now fighting for its survival and doing all it could to wait out the crisis."

"This will go a long way towards helping Rex to survive this crisis."

Rex have assured council they will pay the full amount owing from February and March head tax charges, $17,817, within seven days of councils response and apply the credit note only to invoices in 2021.

The request follows Council's decision at their March meeting to remove all head tax charges for six months from April to September with an option to extend that to a year if required.

The council staff recommendation is "that Council provide REX Airlines with a 50 per cent credit on the head tax charges incurred at the Grafton Regional Airport for the months of February and March 2020 for an amount of $8,908.90 as further support for the airline during the COVID-19 crisis."

Councillors will make a decision at next Tuesday's council meeting.



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