Low-cost carrier plans strategy

AMIDST frantic negotiations to keep Ansett in the air, a low-cost international carrier has entered the market with plans to operate on a number of routes between Asia and Australia.

Australian Airlines, Qantas new low-cost international carrier will focus on unprofitable routes, including flights out of Darwin, Cairns and Perth. While strategies to rescue Australia’s second airline are dominating the headlines, Australian Airlines is busy working out the details of its service.

Australian Airlines general manager Andrea Staines confirmed Perth is part of the discussions on routes and destinations for the new carrier.

“At this time we haven’t finalised our business case and no routes are ruled in or out … we are trying to finalise the best destination for a newly structured carrier,” Ms Staines said.

She said Perth was being looked at for a number of different destinations. It’s understood routes will include the less profitable destinations in Malaysia, South Korea, Japan, China and Vietnam.

It’s envisaged Qantas will make an announcement about Australian Airline’s routes following the board meeting in October.

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