Open

Coming up

Don't miss

Replay


LATEST SHOWS

IN THE PAPERS

France concerned about anti-Semitism

Read more

WEB NEWS

Online movement demands peace in Gaza

Read more

BUSINESS DAILY

Apple aims to satisfy China's hunger for smartphones

Read more

DEBATE

MH17: Punishing Putin? (part two)

Read more

DEBATE

MH17: Punishing Putin?

Read more

MEDIAWATCH

Competing narratives in Malaysia Airlines disaster coverage

Read more

AFRICA NEWS

Kenya : Police arrest 8 over Mombasa rampage

Read more

FOCUS

Overfishing and the global appetite for bluefin tuna: can Tokyo turn the tide?

Read more

MEDIAWATCH

Too many graphic images from Gaza ?

Read more

  • Video: Fear, death and mourning in Gaza’s Khan Younis

    Read more

  • Kerry arrives in Israel to push for Gaza ceasefire

    Read more

  • Defying UK, France to proceed with warships sale to Russia

    Read more

  • Netherlands to honour MH17 victims in national day of mourning

    Read more

  • US courts issue conflicting reports on Obamacare

    Read more

  • Video: Lebanon fears fallout from regional turmoil

    Read more

  • Widodo wins Indonesian presidential election

    Read more

  • Flight MH17 shot down ‘by mistake', US intelligence indicates

    Read more

  • US, European airlines suspend flights to Tel Aviv

    Read more

  • Australian veteran Rogers claims 16th stage of Tour de France

    Read more

  • France gives go-ahead to pro-Palestinian Paris rally

    Read more

  • French Jews mourn French-Israeli soldier killed in Gaza

    Read more

  • PSG punished by UEFA for abuse of disabled Chelsea fans

    Read more

  • Colombia's Rodriguez signs '€80m' contract with Real Madrid

    Read more

  • Children killed in minibus crash in eastern France

    Read more

Business

Qantas slashes yearly profit forecast by up to 80 percent

Latest update : 2009-04-14

Australian airline Qantas downgraded its yearly profit forecast by as much as 80 percent and said it would slash up to 1,750 jobs. The airline also said it had put off multi-billion dollar orders for 16 aircraft.

AFP - Australian airline Qantas downgraded its annual profit forecast by up to 80 percent Tuesday and said it would slash as many as 1,750 jobs and defer multi-billion dollar orders for 16 aircraft.
   
"We have no choice but to lower our profit forecast and make major changes to ensure Qantas can weather the current commercial environment," chief executive Alan Joyce said, lowering profit forecasts from 500 million dollars (350 million US) to 100-200 million.
   
Qantas said it was responding to a "rapid and significant deterioration of trading conditions in the past few weeks" and warned the new profit guideline could be downgraded further if conditions continued to decline.
   
"The profit forecast range is subject to no further changes in market conditions, fuel prices and volatility in hedge accounting results," it said.
   
The airline also said it would reduce capital expenditure by at least 800 million dollars in 2009-10, defer orders for four Airbus A380s and twelve Boeing 737-800s and reduce capacity by a further five percent.
   
Qantas had ordered 20 A380s for its long-haul fleet.
   
In addition, it will ground the equivalent of 10 aircraft and make them available for sale, the carrier said.
   
Qantas said it would cut 500 management jobs and may have to slash a further 1,250 full-time equivalent positions to protect the airline's long-term viability.
   
The latest jobs cuts come after Qantas slashed 1,500 positions in July last year and 90 senior management jobs last month.
   
Deputy Prime Minister Julia Gillard said the government would do what it could to help Qantas workers who lost their jobs.
   
"Clearly this is very unwelcome news and it's going to be very distressing for those Qantas workers who are shortly to be told that they have been made redundant," she told reporters.
 

Date created : 2009-04-14

COMMENT(S)