Please try another search
SYDNEY (Reuters) - Qantas Airways Ltd will cut domestic capacity by 10 more percentage points, to 60% of pre-pandemic levels, in the March quarter after the state of Western Australia indefinitely delayed opening its border, the carrier said on Friday.
The opening planned for Feb. 5, was cancelled late on Thursday, with authorities in Western Australia citing health risks from a surge in the Omicron variant of coronavirus in eastern states.
In a statement, Qantas said, "The group retains the flexibility to adjust flying levels depending on demand and clarity on border re-opening in the weeks and months ahead."
Last week, the airline had pared about a third of planned domestic and international capacity in the March quarter, to better match demand amid rising COVID-19 infections.
Preparing for a surge in demand, it had recently recalled about 11,000 staff who had been idled without pay during the pandemic.
The move increased fixed costs and the recent capacity cuts will squeeze revenue and reduce margins.
Qantas, which ends its financial year in June, said it would give more details on the impact of the changes in half-year results late next month.
Rival Virgin Australia said it would review its flight schedule to Western Australia to keep in line with the state's arrangements to re-open its borders.
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
I feel that this comment is:
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.