Qantas delays A380 deliveries in cost-cutting drive
Contributors are not employed, compensated or governed by TD, opinions and statements are from the contributor directly
Qantas is to delay the delivery of its A380s as part of a new group cost-cutting strategy to reduce expenditure by a further £253m.
The airline’s first two A380s were due to be delivered early next year but will now enter the fleet between 2016-17. The group’s final six A380s will be delivered from 2018-19. If the plan is successful, Qantas said its capital expenditure in 2012-13 will now total £1.2bn, down from £1.4bn.
Qantas has also announced plans to increase capacity on domestic routes. This will include extra peak time services one key routes connecting Sydney, Melbourne and Brisbane, the reintroduction of Boeing 747 services on the Sydney-Perth route and more Airbus A330 services on the Melbourne-Perth route. Jetstar and QantasLink will also add more domestic flights.
“We are focused on making changes that will increase productivity and competitiveness in a range of areas, including modernising and consolidating our catering operations, streamlining heavy maintenance and introducing new engineering processes. Further updates on these initiatives will be provided in the coming weeks,” said Qantas’ CEO, Alan Joyce.
The money saving initiatives come after the airline announced a £317m cost-cutting drive in February.