Friday, December 9, 2016

Perth Australian Airport Will sign with Qantas for Building 787-9 Acceptance

Oh, the spider web that is spun is so complicated.  Where its time has come, and is necessary to review the story before writing an ending. Qantas once had a large 787 order book (50) and then it cancelled a boatload of its 787-9's. Next came the emergence of its subsidiary Jet Star who eventually dipped into a former Qantas order for eleven 787-8's holding 334 seats. Even though Qantas had held a huge 787-9 order for a time, it relinquished its order standing without giving up all its 787-9 options. 


Perth Airport Has A Vision and here it is Qantas
Image result for perth airport

That was about 2010, then the economic squeeze came. Allen Joyce, Qantas CEO, regrouped the Qantas financial and operational functions so it would make money. Qantas did a turn around fighting through the chicken and the egg paradox of which one will come first. They needed money to buy 787-9's, they needed 787-9's to make money.

Alan Joyce was perplexed thinking about all those lost 787-9 orders and seeing how far Jet Star took-off with its 787-8's delivered and still flying. The 787-9 is needed for its rejuvenation, was only six years ago. So goes the story line for Qantas. Money was made from changing the operational profile, even though it wanted to open long range markets where its competitors are now flying using its own new 787-9's, Qantas remained resolute. 

Alan Joyce stayed the course and watched his austerity program turn in more dollars. Debts were paid where efficiency was the source of the cash flows.

Watching others do well in your sphere of market was taking a toll on the company's composure. However, the dawn arose during 2015. Qantas was solidly in the black making a huge profit. Alan Joyce could once again look New Zealand Air and Singapore in the eye again smirking, "I bought some 787-9's, eight to be exact, and further more, fifteen are on option". Even though those numbers don't resemble the prior decade purchases and options, it represented much more. Qantas got it figured out how to make money with the hand that was dealt them.


"Qantas Chief Executive Alan Joyce said the decision had not been influenced by Boeing's announcement earlier this week of a design issue in the 787 and further delay to the aircraft's first flight. He said discussions with Boeing about the order had started some months ago.
Qantas said it had reached a mutual agreement with Chicago-based Boeing to defer the delivery of 15 Boeing 787-8 aircrafts by four years and cancel orders for 15 Boeing 787-9s (which are slightly larger) scheduled for delivery in 2014 and 2015.
Joyce said Qantas remained committed to the 787 as the right choice for the international expansion of Jetstar, its low-cost subsidiary, and as an eventual replacement for Qantas' Boeing 767 fleet."
The above news clip documents the Qantas story for its 787-9 after starting so strong with Boeing with its 787's." Today news says:
This brings this story to the final chapter of the Qantas emerging episode. They will soon receive a 787-9 for flying to London from Perth Australia. A route opening up new opportunities for its profit engine from its Long Range division. Like all fairy tales there are antagonist going against the protagonist up until the last page. Who could see this coming from Perth of all places? They needed an airport upgrade and they won't pay for it, even for the Qantas' 787-9's sake. How unpatriotic is that? First delivery is around the corner from the long and winding story of receiving Australia's first 787-9 started so long ago.

Perth the spoiler talked with Qantas and struck a deal for its airport upgrades in order to land the Qantas 787-9. This opens up a link to the whole East Asia region for Qantas, as it will immediately make an impact going from Australia to London England. Other routes will begin to fall in place like a cascade from a house of cards falling into place, and after coming from its austere Qantas plan for making money needed for paying for the 787-9. One could say Australia has been made whole with the world of travel and Perth was the lynch pin for the Qantas emergence after coming from so long ago.