Category Archives: REX-Regional Express

Rex Airlines drops service to another five destinations, blames QANTAS

Rex Airlines (REX-Regional Express) today confirmed the withdrawal of services from the following five regional centers:

  •   Bathurst
  •   Grafton
  •   Lismore
  •   Kangaroo Island
  •   Ballina

    Flights to these five destinations will cease on June 30, 2022 coinciding with the end of the Federal Government’s Regional Airline Network Support (RANS) program, except for the Ballina route, which will terminate on July 2.

     

    Two other NSW regional routes are pending further review.

    Rex’s Deputy Chairman, the Hon John Sharp AM, said, “Rex has faithfully serviced most of these routes for 20 years and some of them for more than 30 years by Rex’s predecessor Kendell and Hazelton. So it is with a really heavy heart that we have to announce the cessation of services in an effort to improve Rex’s financial performance. Qantas’ well-publicised predatory actions on Rex’s regional routes have meant that Rex no longer has the ability to cross subsidise these marginal routes”.

     

    “It is unfortunate that these regional communities are the collateral damage of Qantas’ bullying and heartless behaviour. This behaviour is all the more unconscionable after receiving over $2 billion in Federal bailouts over the past 2 years.”

    Rex’s remaining regional network will be closely monitored and further adjustments could be announced in the coming months.

    Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and 6 Boeing 737-800 NG aircraft to 62 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

Rex Airlines Route Map:

Rex Airlines aircraft photo gallery:

REX adds another Boeing 737-800, drops the Albury – Melbourne route after 39 years

REX has announced it had signed a Letter of Intent (LOI) with a lessor for the lease of one Boeing 737-800NG. The aircraft is expected to be available for service after its major check.

In other news, Rex has announced the airline will withdraw from the Albury-Melbourne route later this month.

“This route is the casualty of Qantas’ illegal predatory behavior to drive out competition in a war of attrition, knowing that its competitors do not have the balance sheet to lose money indefinitely,” Rex’s Deputy Chairman, the Hon John Sharp AM, said.

“Pre-COVID, 22,000 passengers a year flew between Albury and Melbourne, hardly enough passengers for one carrier let alone two. Qantas then entered the route – one of nine Rex regional routes targeted by Qantas during the COVID pandemic – dumping an additional 31,000 seats annually into the market.”

“It is with a heavy heart that we have to exit this route, after servicing it faithfully for the last 39 years. Rex has no choice but to look after itself. Sadly for the community, we will soon see Qantas providing only a token service once it sees that it has achieved its objectives.”

The last REX flight between Albury and Melbourne will operate on May 29, 2022.

REX aircraft photo gallery:

REX and Delta announce a partnership

Rex today announced it had signed a Letter of Intent (LOI) with Delta Air Lines, the leading global airline. The LOI confirmed the parties’ intention to enter into a ‘definitive commercial agreement’.

The final agreement will see Rex and Delta providing reciprocal interline ticketing and baggage services to each other commencing during the third quarter in 2022.

Delta operates over 4,000 flights a day to more than 275 destinations on six continents and has served as many as 200 million customers annually. Delta’s world-class customer experience and operational reliability were recognized by J.D. Power, Fortune’s World’s Most Admired Companies, the Wall Street Journal, and Business Travel News, among many others.

“Delta will not only connect international travellers on Rex’s trunk domestic routes, but could also allow them easy access to Rex’s expansive network of over 60 routes throughout regional Australia,” the Hon John Sharp AM continued.

Rex’s passengers will be able to connect seamlessly on Delta’s daily, non-stop flights between Sydney and Los Angeles, a frequency which will increase to 10 flights a week beginning December 18, 2022, and from there to nearly 50 cities in the U.S.

“Rex will be a valued partner that will bring additional connectivity and geographic reach to both airlines,” said Delta’s Vice-President – Alliance Partner Development, Jeff Arinder. “We look forward to welcoming more customers to our flights from Sydney to the U.S. and providing a world-class customer experience in the air and on the ground.”

Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and 6 Boeing 737-800 NG aircraft to 62 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

REX is installing Wi-Fi on its Boeing 737-800 fleet

Rex today announced the progressive rollout of Wi-Fi on the airline’s fleet of Boeing 737-800NG aircraft. Intelsat’s 2Ku Wi-Fi systems have been installed on four of the fleet of six jets in the 737 fleet and the remaining will be similarly equipped in a few months.

The relaunch of flights from Melbourne to Sydney and Canberra next week will be followed by Melbourne-Adelaide on November 26 and both Melbourne-Gold Coast and Sydney-Gold Coast on December 17.

Business class travelers will enjoy complimentary internet Wi-Fi throughout their journey. Passengers in economy will also enjoy free internet Wi-Fi until the end of November after which they’ll be able to access the internet for a small fee.

Rex passengers will also have access to a new Inflight Entertainment (IFE) portal featuring inflight information, weather and a variety of free-of-charge TV shows and movies which will all be refreshed on a regular basis.

Wi-Fi is just the latest addition to enhance Rex’s customer experience with passengers already enjoying free checked baggage and on-board refreshments as part of a full service offering delivered with country-style hospitality.

Rex is the only airline in Australia that offers a COVID Refund policy for new bookings, which guarantees full refunds for any passenger affected by COVID-related cancellations, rescheduling, border closures and travel restrictions.

REX to reinstate Boeing 737-800 services connecting Sydney, Melbourne and Canberra

REX Airlines will reinstate its six Boeing 737-800s on the routes linking Sydney, Melbourne and Canberra on November 15.

The fleet has been grounded since July due to state closures.

REX reports a projected loss of $18 million, will “stand down” to stem losses

REX issued this guidance:

Further to the profit guidance provided by Rex on 9 June 2021, which forecast a profit before tax loss of $15m for the Financial Year (FY) 2021, Rex is now giving revised profit guidance based on up-to-date information.

The lockdowns that eventuated in New South Wales in June and the ensuing border closures have significantly impacted revenue. Furthermore, no measures were taken initially to mitigate the losses as the lockdown was perceived to be temporary and of short duration. Consequently, the losses for the month of June increased substantially and Rex now believes that the statutory losses for the full FY21 will be $18m.

Rex will be implementing temporary stand downs within the Company after consultation with the stakeholders. The number of such stand downs will be released at the end of the week after the consultations.

Rex will be releasing more details when it releases the audited financial reports on August 31, 2021, including its view on the outlook for aviation in Australia in the months ahead.

Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and six Boeing 737-800NG aircraft to 61 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

REX secures two additional Boeing 737-800s

"Our heart is in the country"

Rex today announced it had signed a Letter of Intent (LOI) with a lessor for the lease of two Boeing 737-800NGs.

The two aircraft are expected to arrive in late August, increasing the 737 fleet to eight, and are scheduled to enter service on Rex’s domestic network in September.

Rex’s Deputy Chairman, the Hon John Sharp AM, said, “It was only in November last year that we confirmed financing for Rex’s foray into the domestic market and within six months we have already obtained approval for the jet operations on our Air Operator’s Certificate (AOC), recruited and trained crews and engineers, procured six aircraft and started operations on five domestic routes, with the first services commencing on March 1, 2021.

Rex currently operates 737 services from Melbourne to Sydney, Gold Coast, Adelaide, and Canberra and from Sydney to Gold Coast. The two additional aircraft will provide Rex with the ability to launch new routes to other capital cities, large regional centres and popular leisure destinations.

The new routes will be announced shortly.

Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and six Boeing 737-800NG aircraft to 61 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

Top Copyright Photo: REX (Regional Express Airlines) Boeing 737-8FE WL VH-RQC (msn 33797) SYD (John Adlard). Image: 952654.

REX aircraft slide show:

Rex Airlines attacks QANTAS refund policy

Rex Airlines is heating up its battle with QANTAS Airways in Australia. The airline is attacking QANTAS Airways refund policy.

Rex Airlines made this announcement on social media:

Rex today publicized its COVID-19 Refund Policy.

Rex is doing this because it believes that the best way to rebuild confidence in flying again is to provide Australians with complete peace of mind against any COVID-related disruption by providing a full cash refund speedily.

The guarantee even extends to promotional tickets that are normally subject to ‘use-it-or-lose-it’ conditions. Qantas on the other hand is using underhanded tactics to avoid refunding passengers.

The airline is also lowering its air fares on the major routes like Sydney – Melbourne.

REX to take on QANTAS with low fares and a larger Boeing 737-800 fleet

REX (Regional Express Airlines) Boeing 737-8FE WL VH-RQC (msn 33797) SYD (John Adlard). Image: 952671.

REX issued this guidance:

Rex wishes to update the market on the trading conditions of its operations in this Financial Year (FY).

On the regional market front, the overall demand is back to 60% of pre-COVID levels but the recovery is uneven across the States. In Queensland for example, demand has exceeded preCOVID levels with our capacity back to 100% of what it was. Western Australia is also recovering very strongly and is approaching pre-COVID levels.

Rex is cautiously expanding its regional network in an effort to stimulate demand. We are keeping our capacity growth about 5% ahead of demand growth. Rex’s regional capacity is therefore 35% of what it was pre-COVID.

Rex has embarked on an aggressive expansion on new regional routes. Rex started operations in Coffs Harbour and Port Macquarie on March 28, 2021. These two large regional cities were monopolized by Qantas. Combined the two centers had about 40% of the number of passengers in Rex’s entire regional network.

Rex will also soon be announcing entry into other Qantas monopoly ports.

With the cessation of JobKeeper and the huge reduction in government assistance from April onwards, Rex’s regional operations appear to be slightly loss-making at the current demand levels. Rex is hopeful that demand will increase in the months ahead to return the regional operations to profitability.

Rex has also successfully launched five domestic routes since March and plans to launch more as it hopes to augment its jet fleet from the six Boeing 737-800NGs currently to 10 by the end of the year.

Rex’s entry into the domestic market has been predictably met by typical Qantas predatory behavior of capacity dumping.

Rex is determined to stand its ground and has introduced neverseen-before full service fares of $39 between Sydney and Melbourne.

Rex’s cash position has improved exponentially. Without counting the cash injection of $50 million from the convertible note issued to PAG (out of a maximum of $150 million), Rex’s unencumbered cash reserves increased by 1,000% compared to March 2020 due to the very strong advanced bookings on its five new domestic and two new regional routes. Rex expects this to improve further as more routes are introduced.

Rex believes that it will finish the FY 2021 with a breakeven situation. Rex is one of the rare airlines in the world able to achieve this incredible outcome during the pandemic whilst at the same time funding the expansion of the business into the domestic airline market.

Rex is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and six Boeing 737-800NG aircraft to 61 destinations throughout all states in Australia.

In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

REX Route Map:

Top Copyright Photo: REX (Regional Express Airlines) Boeing 737-8FE WL VH-RQC (msn 33797) SYD (John Adlard). Image: 952671.

REX aircraft slide show:

REX adds its sixth Boeing 737-800

REX has made this announcement:

REX has taken delivery of another Boeing 737-800NG, the sixth to join the airline’s growing fleet of jet aircraft.

The 737, with the registration VH-RYU, touched down in Sydney after emerging from the lessor’s paint facility adorned in the distinctive REX livery.

It will soon enter service on the airline’s domestic network which now spans Melbourne, Sydney, Adelaide, Gold Coast and Canberra.

REX expects to take delivery of two more aircraft in July and hopes to grow its fleet of Boeing 737- 800 NG by the end of the year.

REX is Australia’s largest independent regional and domestic airline operating a fleet of 60 Saab 340 and six Boeing 737-800 NG aircraft to 62 destinations throughout all states in Australia. In addition to the airline Rex, the Rex Group comprises wholly owned subsidiaries Pel-Air Aviation (air freight, aeromedical and charter operator) and the two pilot academies, Australian Airline Pilot Academy in Wagga Wagga and Ballarat.

REX Route Map:

REX aircraft slide show: