Category Archives: QANTAS Airways

QANTAS launches the Sydney – Bengaluru route

QANTAS Airways made this announcement:

Qantas on September 14 launched a new route from Sydney to Bengaluru, establishing the first direct connection between Australia and Southern India by any airline.

QF67 will cut nearly three hours off the current fastest travel time between the two cities and significantly boost connectivity between India and New South Wales in time for the upcoming school holidays.

Qantas has recently launched the first phase of its codeshare partnership with IndiGo, India’s largest domestic carrier. There are currently 11 destinations available for connection on IndiGo from Bengaluru, including Mumbai, Goa, Kolkata and Chennai. The codeshare will continue to roll out over coming months, broadening access for Qantas customers travelling throughout India.

To celebrate the route, Qantas has added Indian inspired menu items to its inflight menu on the new Bengaluru services, such as lamb chettinad in Business and paneer makhani, cumin seed pilaf, green peas and beans masala in Economy. Fares between Sydney and Bengaluru start from $1,320 return.

Qantas will fly an A330 aircraft from Sydney to Bengaluru’s Kempegowda International Airport four times per week on a Wednesday, Friday, Saturday and Sunday. Qantas flies Melbourne to Delhi on Monday, Tuesday, Thursday and Saturday.

QANTAS Airways aircraft photo gallery:

QANTAS Group posts third major loss from pandemic, strong recovery underway

QANTAS Group has issued this financial report:

  • Underlying Loss Before Tax: $(1.86) billion.
  • Statutory Loss Before Tax: $(1.19) billion.
  • Underlying EBITDA: $281 million following a $526 million EBITDA performance in 2H.
  • Positive statutory operating cash flow: $2.67 billion.
  • Recovery plan on track for completion, with $1 billion in savings in FY23.
  • Net debt declined to $3.94 billion, below target range.
  • Investment of more than $400 million in customer loyalty and experience; new lounges and new routes.
  • On-market share buy-back of up to $400 million announced.
  • Significant improvement in operational performance; key measures expected to be largely back to pre-COVID standards in September this year.
  • Significant improvement in Staff Travel benefits for employees.

The Qantas Group has posted its third consecutive Statutory Loss Before Tax of more than $1 billion, reflecting the Delta and Omicron impacts as well as upfront costs from restarting the airline as lockdowns finally ended.

For the full 2022 financial year, the Group experienced an Underlying Loss Before Tax of $(1.86) billion and a Statutory Loss Before Tax of $(1.19) billion. The difference between these two measures largely reflects the $686 million net gain on sale of surplus land, which helped reduce COVID-related debt.

While the first three quarters of the year were defined by border closures and waves of uncertainty caused by COVID variants, the fourth quarter saw the highest sustained levels of travel demand since the start of the pandemic. Overall, the Group’s flying levels for the year averaged at 33 per cent of pre-pandemic levels but finished at 68 per cent.

Group Domestic operations were profitable at the Underlying EBIT level in 4Q22, while Qantas Freight posted another record annual performance and Qantas Loyalty accelerated its earnings growth to double digits in the second half.

The reopening of borders saw a huge increase in forward travel demand, which when combined with the Group’s recovery plan, has resulted in a significant improvement to the balance sheet. Net debt has fallen from a high of more than $6.4 billion to $3.9 billion at the end of FY22, putting it below the optimal target range of $4.2 billion to $5.2 billion.

With the existential crisis posed by the pandemic now over, the Group is focused on responding to current operational challenges. Key customer measures for Qantas including contact centre wait times, cancellation rates and mishandled bag rates are trending back towards pre-COVID standards during August 2022.

There has been a significant improvement in on-time performance, which lifted from 52 per cent in July to 66 per cent for August (to date). This is expected to reach 75 per cent in September and around 80 per cent in October 2022, pending external factors such as extreme weather.

CEO COMMENTS

Qantas Group CEO Alan Joyce said: “This result takes the Statutory Loss Before Tax impact of COVID on the Qantas Group to nearly $7 billion and our total revenue losses to $25 billion. These figures are staggering and getting through to the other side has obviously been tough.

“The past year has been challenging for everyone. We had to ramp down almost all flying once Delta hit and stay that way for several months before ramping back up through multiple Omicron waves as we all learned to live with COVID in the community.

“We always knew travel demand would recover strongly but the speed and scale of that recovery has been exceptional. Our teams have done an amazing job through the restart and our customers have been extremely patient as the whole industry has dealt with sick leave and labour shortages in the past few months.

“Safety remains number one, but our service isn’t at the level expected of the national carrier. There is a lot of work happening to bring us back to our best, including hiring more people, rolling out new technology and reducing domestic flying so we have more sick leave cover.

“We saw a big improvement in baggage handling and cancellations in August, which we expect will return to pre-COVID standards next month. On time performance also improved significantly and should be close to our usual high standard in September.

“We’re even more confident in the future than we were six months ago, so today we’re announcing more investment in our people and our customers, including a major boost to staff travel benefits, new routes and new lounges. We’re also announcing the first capital return for shareholders since they provided us $1.4 billion at the start of the pandemic to support our Recovery Plan.”

GROUP DOMESTIC

After several stop/start rebounds across FY22, domestic travel demand made a sustained recovery in the fourth quarter. Total domestic flying averaged 63 per cent of pre-COVID levels for the year and reached 103 per cent by 30 June.

This drove Group Domestic to positive Underlying EBIT for the fourth quarter, but long periods of low activity combined with restart costs resulted in a full year Underlying EBIT loss of ($1.1) billion.

Across Qantas and Jetstar, revenue intakes from leisure bookings in the fourth quarter were approximately 125 per cent of pre-COVID levels, with the Group’s dual brand strategy putting it in a unique position to meet demand from both the budget and premium parts of the market. The rebound in leisure saw the Group add more than 20 new domestic routes during the year.

Revenue intakes from business purpose travel in the fourth quarter were around 90 per cent of pre-COVID levels.

With a cost base significantly below its competitors, Jetstar’s commitment to low fares saw 47 per cent of its customers pay less than $100 for their domestic flight and 87 per cent paid less than $200 – a larger proportion than before the pandemic.

GROUP INTERNATIONAL AND FREIGHT

Heavy losses by the Group’s international passenger business were again significantly offset by a record performance of Qantas Freight, which benefited from high yields due to a continued shortage of cargo space globally but also from the ongoing shift to e-commerce domestically.

Overall, the Qantas International and Freight division recorded an Underlying EBIT loss of $(238) million and Underlying EBITDA profit of $448 million.

While the reopening of Australia’s border in November 2021 finally saw international passenger travel return, the rebound was initially slowed by the Omicron variant and the delayed opening of key markets such as New Zealand and Indonesia.

The Group’s international capacity averaged just 17 per cent of pre-COVID levels for the year but rose to 49 per cent by 30 June. The Group has now resumed flying to 19 ports and announced eight new destinations, including Rome, Seoul and Delhi.

Jetstar suffered significant financial losses in New Zealand, Singapore and Japan due to continued border restrictions plus restart costs as flying gradually returned.

Globally, airlines are constrained by aircraft and labour availability in returning to pre-COVID capacity levels despite high levels of demand. While this situation is temporary it is driving strong yields across the Group’s international flying, which are offsetting the significant rise in the cost of jet fuel.

QANTAS LOYALTY

Loyalty achieved a significant increase in revenue, up 36 per cent to $1.33 billion. Underlying EBIT rose by 7 per cent across the year and increased by double digits in the second half as consumer patterns changed out of lockdowns. The division has performed strongly throughout the pandemic by focusing on its value to members and, by extension, its program partners.

A decision to lower the number of points required for hotel and holiday redemptions in February 2022 helped drive a 40 per cent increase in bookings in 4Q22.

Acquiring a majority stake in online travel business TripADeal in May 2022 opened up new ways for members to earn and redeem points, and also offered a significant growth opportunity. TripADeal’s sales rose 70 per cent in the first month following the acquisition compared with the month prior and with the same period in 2019. Over 150 million points have already been redeemed and 120 million points earned by Frequent Flyers on TripADeal packages.

During the year, agreements were renewed with all five major financial services partners as well as Woolworths. New partnerships were launched with Accor, Optus and Zip. Qantas Business Money was launched and will expand further in FY23.

Frequent Flyer members grew to 14.1 million during FY22, reflecting a total increase of around 1 million since the start of the pandemic.

FINANCIAL FRAMEWORK

Strong revenue intakes, plus the sale of surplus land, helped the Group to lower its net debt to $3.94 billion, taking it below the optimal target range of $4.2–$5.2 billion. Total liquidity at 30 June 2022 was $4.6 billion including $3.3 billion cash.

A further $270 million in cost benefits were realised in FY22, bringing the total achieved under the Group’s COVID recovery plan to $920 million since FY20. The annualised benefit of $1 billion is on track from FY23 onwards.

Qantas was one of only six airlines to retain an investment grade credit rating through the pandemic and, during the year, had its outlook upgraded to ‘stable’ by Moody’s.

The Board has approved an on-market share buyback of up to $400 million as the benefits of the recovery materialise. This is the first return to shareholders since 2019 and follows $1.4 billion of equity raised at the start of the pandemic.

INVESTING IN OUR CUSTOMERS

In addition to investment in operational performance, the Group is delivering the following improvements to customer experience:

  • Introduction of a new route – Auckland to New York – from June 2023, using the 787 Dreamliner. This will be timed to offer convenient connections to Qantas’ flights between Australia and New Zealand.
  • Major improvements to several lounges starting progressively from late this year:
    • Creation of a Business Lounge in Adelaide (in addition to the existing Qantas Club) and full renovation of the Chairmans Lounge.
    • Complete upgrade of Qantas’ Auckland lounge.
    • Port Hedland and Rockhampton lounges to be upgraded and expanded.
  • As recently announced:
    • A $50 voucher offered to all Frequent Flyers towards their next Qantas flight.
    • Extension of the increase in Classic Reward redemption seats by up to 50 per cent for a further 12 months.
    • Complimentary extension of Frequent Flyer status (Silver through to Platinum One) for a further 12 months.

These improvements represent an investment of more than $400 million.

INVESTING IN OUR EMPLOYEES

The Group is delivering a record amount of training with more than 1,500 people joining the organisation and around 1,000 internal appointments made since April 2022. A new flight training centre in Sydney is scheduled to open by the end of calendar 2023 and a new cabin crew training centre has been officially opened in Mascot today.

The Staff Travel scheme will be made more generous, with better access for family members and an expansion of the already significant fare discounts on standby travel.

The Group expects to spend approximately $50 million on pay increases for EBA-covered employees as agreements are finalised in FY23, taking the average non-executive salary at Qantas to more than $100,000. This is in addition to approximately $200 million being set aside for a $5,000 recovery boost payment and 1,000 share rights for more than 17,000 people.

FLEET

All Qantas and Jetstar aircraft based in Australia and New Zealand have returned to flying, with the exception of some Airbus A380s. Five A380s with updated interiors have now returned to service with the remaining five to follow by December 2023 once mid-life maintenance is completed.

In July, Jetstar took delivery of its first Airbus A321LR, which is 15 per cent more fuel efficient than its existing A320s. This is the first of almost 300 next-generation narrow-body aircraft arriving across the Group in the next 10 years, which will improve emissions, noise, customer experience and route economics.

Work associated with the entry into service for the Airbus A220 and A321XLR for Qantas Domestic, and the A350 for Qantas International, is underway.

Qantas International is due to receive its three remaining Boeing 787-900s by the end of FY23. Qantas Freight will receive two converted A330s in the second half of calendar 2023 and six A321F freighters from early calendar 2024 onwards to replace five 737-400Fs and help meet demand from a permanent increase in e-commerce from key customers, including Australia Post.

OUTLOOK[1]

The Group has entered FY23 with its balance sheet repair process effectively complete, strong levels of travel demand and a clear path to improving its COVID-related operational challenges. Based on current forecasts, key settings and assumptions for FY23 include[2]:

  • Recovery plan to be completed in FY23, delivering $1 billion in annual cost reduction. Parallel focus on offsetting CPI from FY19 to FY23 through additional cost and revenue initiatives.
  • Fuel cost for FY23 expected to be $5.0 billion, driven by a ~60 per cent increase in fuel prices compared to FY19.
  • RASK performance expected to fully recover increased fuel prices across the Group as well as temporary unit cost increase associated with addressing operational challenges.
  • Group Domestic capacity reduced by a further ~10 percentage points[3] in response to higher fuel costs and operational challenges. Some capacity may be restored once operational resilience improves.
    • 1H23 – 95 per cent of pre-COVID levels
    • 2H23 – 106 per cent of pre-COVID levels
  • Group International capacity to increase as more A380s and 787-900s enter service and overseas borders continue to reopen.
    • 1H23 – 65 per cent of pre-COVID levels
    • 2H23 – 84 per cent of pre-COVID levels
  • Qantas Loyalty Underlying EBIT to increase to $425-450 million for FY23.
  • Strong yields in Qantas Freight expected to moderate but remain above pre–COVID levels.
  • Underlying depreciation and amortisation for FY23 expected to be $1.8b.

[1] Please refer to slides 32 to 35 in the Qantas Group’s Investor Presentation for more detail and assumptions on FY23 Outlook.

[2] These outlook statements are predicated on the Group’s current assessment of the profile of key external factors that will impact the Group’s financial performance, including economic conditions, supply chain profile and public health settings.

[3] Compared with assumptions given in 24 June 2022 Market Update.

QANTAS to fly the Auckland – New York JFK route

Qantas will recommence flights to New York, with a new service from Australia to the Big Apple via Auckland from June 14, 2022*.

The launch of QF3 and QF4 will see the flying kangaroo return to New York three days a week initially, after a three-year COVID-induced hiatus. Flights will be operated by its Boeing 787 Dreamliners, with three new aircraft scheduled for delivery next year.

Sydney-Auckland-New York flights are on sale from today. Qantas currently operates six daily services to Auckland from Sydney, Brisbane, Melbourne which will increase to 11 daily services when the new flight to New York launches.

Qantas will fly two Points Planes in the first week, with all seats across every cabin available as a Classic Reward flight on QF3 and QF4 on 16 June. Points Plane connections will also be available for Frequent Flyers based in Brisbane and Melbourne to use Classic Rewards for their trans-Tasman flights.

LOUNGE UPGRADE PROGRAM

The airline will upgrade its lounge network, with a multi-million dollar investment to build new lounges in Adelaide, Auckland, Port Hedland and Rockhampton.

“We know how much our customers value being able to relax before their flight, whether they’re flying from a major regional port or an international hub,” said Mr Joyce.

“Our new Auckland International lounge will be a step change in comfort. It will offer a lot more space and, like all of our offshore lounges, feature the best of local design, food and wine.”

Qantas has Australia’s most extensive lounge network with 35 domestic lounges as well as 16 lounges at International airports across Australia and around the world, including a new First Lounge in Singapore and our flagship First Lounges in Sydney and Melbourne, which are firm favourites with our Frequent Flyers.

Qantas has now reopened almost all of its 51 domestic and international lounges, including its Los Angeles First Lounge earlier this month. The lounge at Honolulu is scheduled to reopen in coming months after a light refresh to furniture and amenities.

Auckland International Airport

Qantas will completely redesign and expand its existing lounge precinct at Auckland International Airport – plans for which were stalled by the pandemic – to provide a modern pre-flight oasis for customers travelling to-and-from Australia as well as on the new Auckland-New York service.

The existing two lounge space will be combined and redeveloped into a single Qantas International Lounge and include a footprint expansion into an adjacent space to increase total capacity by around 40 percent from 244 seats to 340 seats.

The detailed design process will begin shortly and building work will be staged to enable the lounge to operate during the redevelopment. The lounge will offer a number of features specifically tailored for long haul travel, based on positive feedback from other parts of its network.

Adelaide Domestic Airport

Qantas will build a new Business Lounge at Adelaide Domestic Airport with 190 seating capacity, as well as fully upgrade its current Chairmans Lounge and Qantas Club. The new Business Lounge will cater to Qantas’ growing business and premium leisure travellers. Total seating capacity across the three lounges will be 570.

The redevelopment of the lounge precinct at Adelaide Airport will begin in the second half of 2023. South Australia’s culinary reputation and natural environment is expected to play a key role in the design inspiration.

Rockhampton Airport

Qantas will build a new lounge at Rockhampton Airport as part of its ongoing commitment to invest in regional Australia and as part of the overall airport redevelopment. It will be double the capacity of the existing one, with seating for up to 60 guests, and is expected to open in November this year.

Port Hedland Airport

Qantas will redevelop its Port Hedland lounge as part of the broader terminal upgrade. The new lounge footprint will be significantly larger, providing more space to quadruple the lounge capacity to 120 guests to cater for the growing FIFO market. Work will be completed by late 2023.

New Cabin Crew Training Centre

Qantas has also opened a Cabin Crew training facility, “The Longreach Centre”, at its Sydney headquarters with the capacity to train up to 200 crew members a day. It comes as the airline embarks on a recruitment drive for new team members across its regional, domestic and international airlines, with more than 1,600 new cabin crew team members expected to join the national carrier over the next 10 months.

The Longreach Centre features First, Business and Economy aircraft cabins and galleys where new recruits and existing crew undergo service training from cooking in the onboard kitchens to wine and sommelier training.

*Flights subject to regulatory approval

QANTAS Airways aircraft photo gallery:

QANTAS is reaching out to its customers to formally apologize for recent operational challenges

QANTAS Airways made this announcement:

  • Direct apology is being sent to millions of Frequent Flyers
  • Operational performance improving, with plan in place to bring Qantas ‘back to its best’
  • Frequent Flyers offered $50 towards a return flight from Australia or New Zealand
  • 12 month extension of status for Silver Frequent Flyers and above
  • Up to 50 per cent increase to Classic Reward seat availability extended; first release of additional seats from midday Monday

Qantas is reaching out to millions of its customers to formally apologise for recent operational challenges and thank them for their patience as the national carrier works to get back to its best after COVID.

The airline is rolling out a range of initiatives to improve mishandled bags and on time performance as it also deals with high levels of sick leave (due to flu, COVID and isolation requirements) as well as an industry-wide labour shortage.

Qantas has hired 1,500 new people since April with more to come, adjusted flight schedules and invested $15 million in new technology at key airports to help smooth the travel experience.

Speaking directly to Frequent Flyers via an email and video message being sent on Monday, Qantas Group CEO Alan Joyce acknowledged while it was great to see people back on-board after so long on the ground, the return to flying hasn’t all gone smoothly.

“Over the past few months, too many of you have had flights delayed, flights cancelled and bags misplaced. There are good reasons why, but when it comes to what you expect from Qantas, it’s not good enough.

“On behalf of the national carrier, I want to apologise and assure you that we’re working hard to get back to our best.

“We’re already seeing a sustained improvement in baggage handling and on-time performance, and while factors out of our control like weather can have an impact on our schedule, we expect things to keep improving each week.

“As well as saying sorry, we also want to say thank you. We’re investing in a range of initiatives including status extensions for Frequent Flyers Silver and above, thousands of Qantas Points and lounge passes. All our Frequent Flyers in Australia and New Zealand will be offered $50 towards a return Qantas flight, which equates to many millions in discounts,” added Mr Joyce.

Qantas will also extend its commitment of up to 50 per cent more Classic Reward seat availability through to 30 June 2023 with the first tranche of additional seats released from 12pm Monday across international and domestic flights. Reward seats are booked using Qantas Points.

Qantas first announced its commitment to increasing Classic Reward seats in October last year. Since then, Frequent Flyers have redeemed more than 80 billion Qantas Points, with one in every 11 passengers carried by Qantas flying a reward seat.

Summary of bonus benefits

Status extension:

12 months status extension across tiered members Silver and above to continue to enjoy the benefits associated with their tier for another year.

Flight discount offer:

$50 off flight promo code for Australian and New Zealand-based Qantas Frequent Flyer members to redeem towards a return Qantas flight.

Classic Reward availability extension:

Extension of previously announced commitment of up to 50 per cent more reward seat availability on Qantas International, trans-Tasman and popular domestic routes until 30 June 2023 being released progressively from 12 noon Monday.

Qantas Lounge invitations:

Additional invitation for members to use themselves, or offer to a Frequent Flyer friend, colleague or family member, to enjoy a pre-flight visit with them to a Qantas Lounge. For Gold members, an invitation to visit a Qantas Domestic Business Lounge, or for Silver members, an invitation to visit the Qantas Club or an international Business Lounge.

Qantas Points:

A gift of Qantas Points for Platinum and Platinum One members.

An email will be sent to Qantas Frequent Flyers from Monday with details on the offers along with a video message from Qantas Group CEO Alan Joyce with a direct apology to customers for the airline’s recent performance issues.

QANTAS Airways to fly to Tonga

QANTAS Airways has made this announcement:

Qantas is expanding its South Pacific presence with the addition of Tonga to its network, offering a new tropical destination for Australian travellers to explore.

Following the recent reopening of Tonga’s borders, Qantas will fly weekly between Sydney and Nuku’alofa’s Fua’amotu Airport. The four and a half hour flights will be the only direct services between Australia and Tonga.

Qantas has been operating services since December 2020, supported by the Australian Government’s Pacific Flights Program. These flights have maintained critical passenger and freight links while international borders were closed. From today, passengers can book a flight directly on qantas.com with services operating every Thursday to Tonga.

The inclusion of Tonga to the international network follows the recent commitment of weekly services to Samoa as Qantas grows its presence in the South Pacific Islands off the back of strong holiday travel demand.

Qantas will initially operate one flight a week with a A330 aircraft between Tonga and Sydney alongside the Samoa service.

QANTAS Airways aircraft photo gallery:

QANTAS Freight to add six Airbus A321 freighters

Qantas Freight will increase its domestic fleet with six Airbus A321 aircraft to meet growing e-commerce demand from its customers.

Since the onset of COVID-19, the national carrier’s freight division has seen a step change in cargo volumes driven partly by a structural shift to online shopping.

The six Airbus A321 freighters, which are expected to progressively arrive between early calendar year 2024 and mid-2026, will replace the long-term fleet of five Boeing 737 freighters that are approaching the end of their economic life.

Each A321 freighter can carry 23 tonnes of cargo, nine tonnes more than the older 737s, and are around 30 per cent more fuel efficient per tonne of freight carried.

The aircraft will be sourced on the open market and converted from carrying passengers to cargo, subject to commercial negotiations. Their model designation is A321P2F, which stands for ‘Passenger to Freighter’. This conversion work will include removing seats and the installation of a cargo handling system.

Qantas currently has three A321P2Fs and replacing the remaining 737 freighters with these newer aircraft will simplify Freight’s fleet, bringing extra efficiency in training and maintenance.

Customers are expected to benefit from increased reliability, network flexibility and a net increase in Qantas’ freight carrying capacity.

Qantas is also converting two widebody A330s to freighters, one of which will be used on the domestic network and will continue to supplement its fleet with wet-leased aircraft.

Qantas Freight had a record performance in the first half of FY22 due to increased demand for e-commerce, higher international yields driven by supply chain disruption, and reduced capacity on passenger flights. Further detail about Qantas Freight’s performance will be provided at the Group’s full year results on 25 August 2022.

Comments from Qantas Group CEO Alan Joyce:

“Qantas Freight plays a vital role in Australia’s supply chain and this investment will grow our operations so they can support increased demand for next-day delivery,” Mr Joyce said.

“Qantas Freight has been one of the standout performers for the Group during the pandemic as Australians rapidly shifted to online shopping. While some of that shift is temporary, demand remains well-above pre-pandemic levels even with the lifting of almost all COVID-related restrictions.

“This is one of the largest ever investments in our domestic freight fleet, that will enable Qantas Freight to capture more of that demand and will provide the opportunity to help Freight further grow revenue and earnings.

“The first three A321P2F have been a fantastic addition to our fleet and operating a single-type of narrow body aircraft in the future will enable us to generate further operational efficiencies and significantly reduce emissions per tonne of freight flown.”

Further information

Current domestic freight fleet Future domestic freight fleet
3 x A321F 

3 x B737-300F*

1 x B737-400F

9 x A321F 

1 x A330F**

 

* One B737-300F was retired in July 2022 after first entering service 36 years ago.

** Two A330s are currently undergoing conversion. One will be used on the domestic network, and the other will join Qantas’ international freight network.

Qantas Freight also operates a Boeing 767 and wet leases two Boeing 747s from Atlas to connect Australia with key international freight hubs.

Atlas Air extends its partnership with QANTAS Freight

Atlas Air, Inc., a subsidiary of Atlas Air Worldwide Holdings, Inc. has announced an agreement to extend its long-standing partnership with Qantas Freight, the leading air freight carrier in Australia. The successful partnership between Atlas Air and Qantas Freight began in 2004.

Under the extended agreement with Qantas Freight, Atlas Air will provide long-haul, widebody main deck capacity with two Boeing 747-400Fs operating its existing network linking Australia, Asia and the U.S. An additional 747-400F has also been extended to service the one-way U.S.-Australia-Hong Kong routing, boosting capacity to meet customer demand.

Both Atlas Air and Qantas are committed to meeting the industry-wide 2050 sustainability targets set forth by the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).

Atlas Air aircraft photo gallery:

QANTAS Airways launches its new nonstop route to Rome

QANTAS Airways has made this announcement:

QANTAS launched another new route from Australia to Rome on June 25 with direct seasonal flights from Perth to Rome taking off in time for the European summer as Australians reignite their passion for globetrotting after two years of travel restrictions.

Above Copyright Photo: The inaugural flight arrives in Rome.

Qantas will also launch two new international routes, from Perth to Johannesburg from  November 1 and Perth to Jakarta from November 30 this year.

Qantas’ new nonstop flight from Australia to Italy is the only direct flight between Australia and continental Europe offered by any airline.

“Our flights from Perth to London are heavily booked, we’ve fast-tracked the return of our A380 fleet which will free up our 787s to operate new routes including Melbourne to Dallas, and we’re deploying A330’s to other new destinations including India and South Korea later this year.

“Qantas began services from Sydney to Rome in 1948 as part of our seven-stop Kangaroo Route to London, and from the early 1990s we flew our Queen-of-the-skies Boeing 747 twice a week until 2003 when direct services were suspended during the SARS pandemic.

Qantas will operate three flights a week from Sydney to Rome (via Perth) as the only non-stop flight between Australia and Continental Europe. Qantas passengers are also able to take advantage of a “circle fare” allowing them to fly into Rome and return to Australia from London on the one Qantas ticket.

To celebrate the launch of the new Rome route, Qantas has introduced a number of new Italian-inspired menu items and Negroni cocktails across its lounges and inflight.

It has also added a special one-off collection of iconic Italian films to its Inflight Entertainment offering across all international flights featuring classics such as Scent Of A Woman, Rome, Open City and Life is Beautiful for additional Italian travel inspiration.

Qantas will operate the thrice weekly flights from Rome to Sydney (via Perth) until  October 6 with a 236-seat Boeing 787-9 Dreamliner in three classes: 42 fully lie-flat Business, 28 Premium Economy and 166 Economy seats.

All photos by Marco Finelli.

Marco Finelli reporting from Italy.

QANTAS and Airbus joint investment to kickstart Australian biofuels industry

The Qantas Group and Airbus will invest up to US$200 million to accelerate the establishment of a sustainable aviation fuel (SAF) industry in Australia in a landmark agreement.

The Australian Sustainable Aviation Fuel Partnership was signed in Doha today by Qantas Group CEO Alan Joyce and Airbus CEO Guillaume Faury ahead of the IATA AGM.

Due to the lack of a local commercial-scale SAF industry, Australia is currently exporting millions of tonnes of feedstock every year, such as canola and animal tallow to be made into SAF in other countries.

The Qantas Group, which has committed to using 10 per cent SAF in its overall fuel mix by 2030, is sourcing SAF overseas, including 15 percent of its fuel use out of London currently and 20 million litres each year for flights from Los Angeles and San Francisco to Australia from 2025.

Sustainable fuels cut greenhouse gas emissions by around 80 per cent compared to traditional kerosene and are the most significant tool airlines currently have to reduce their impact on the environment – particularly given they can be used in today’s engines with no modifications.

The Qantas and Airbus partnership will provide funding for locally developed and produced SAF and feedstock initiatives. Projects will have to be commercially viable and meet a strict set of criteria around environmental sustainability.

Airbus and Qantas agreed to work together on the sustainability initiative part of the airline’s recently announced orders. These include the A350-1000 to operate ‘Project Sunrise’ non-stop flights from Australia to New York and London and the selection of the A220 and A321XLR under the carrier’s ‘Project Winton’ domestic fleet renewal, as well as lower emission aircraft for its subsidiary Jetstar.

The new fleet will offer a significant reduction in fuel consumption and carbon emissions of up to 25% from day one and are all already certified for operation using 50% SAF.

The partnership is initially for five years with options to extend the duration. Qantas’ financial contribution to the Australian Sustainable Aviation Fuel Partnership includes AU$50 million previously committed to research and development of SAF in Australia.

Pratt and Whitney, whose GTF engines were recently selected by Qantas for their new A220 and A320neo family aircraft, is also contributing to the venture. The company supports greater use of cleaner, alternative fuels including SAF, while continually advancing the efficiency of aircraft propulsion technology.

Qantas has started a process of talking to its major corporate customers about their interest in accessing SAF offsets for their organisation’s flying. This input is shaping the design of a programme that could also be extended to individuals in an expansion of the existing offsetting programme Qantas already has in place. This new program is expected to launch later this calendar year.

Qantas Group CEO Alan Joyce said the investment would accelerate the development of SAF in Australia, creating value for shareholders, while creating jobs and reducing the nation’s dependence on imported fuels.

“The use of SAF is increasing globally as governments and industry work together to find ways to decarbonise the aviation sector. Without swift action, Australia is at risk of being left behind,” Mr Joyce said. “With this investment, Qantas and Airbus are putting our money where our mouth is and betting on the innovation and ingenuity of Australian industry.”

“Aviation is an irreplaceable industry, especially for a country the size of Australia, and one that’s located so far away from so much of the world. Future generations are relying on us to get this right so they too can benefit from air travel.”

“This investment will help kickstart a local biofuels industry in Australia and hopefully encourage additional investment from governments and other businesses and build more momentum for the industry as a whole.”

“It makes a lot of sense for us to put equity into an industry that we will be the biggest customer of. We’re calling on other companies and producers to come forward with their biofuel projects. In many cases, this funding will be the difference between some of these projects getting off the ground.”

“The aviation industry also needs the right policy settings in place to ensure the cost of SAF comes down over time so that the cost of air travel doesn’t rise. We’ve had some encouraging discussions with the incoming Australian Government given their strong focus on emissions reduction and look forward to that progressing.”

Airbus CEO Guillaume Faury said: “Ensuring a sustainable future for our industry has become the priority for Airbus and we are taking up this challenge with partners across the world and from across all sectors.”

“The increased use of sustainable aviation fuels will be a key driver to achieve net zero emissions by 2050. But we can’t do this without viable industrial systems to produce and commercialise these energy sources at affordable rates and near to key hubs around the world. This is especially true for a country like Australia, which is geographically distant and highly reliant on aviation to remain connected both domestically and internationally.”

“The agreement we are signing with Qantas today reflects the new level of partnership between our two companies and our firmly shared commitment to act as catalysts of change to ensure a bright future for our industry.”

QANTAS to increase flight frequency on the Broken Hill – Sydney route

Qantas has announced it will increase flight frequency on the Broken Hill – Sydney route following strong support from locals and visitors.

QantasLink initially launched in April with two services a week on a Monday and Friday but from June 21, 2022, will operate a third-weekly service on Tuesdays with its 50 seat Q300 aircraft.

The airline has also announced it will ramp up to five weekly return services from November 1, 2022.

Above: Broken Hill Airport.

Qantas will also add flights around key tourism events in the region, like the Mundi Mundi Bash, Broken Heel Festival and September school holidays.

Since the start of the pandemic, the Qantas Group has commenced over 50 new domestic routes including to many regional destinations.