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Australia lower house hurdle unlikely to aid ailing Qantas

A bill to repeal foreign ownership restrictions on Australian carrier Qantas passed the lower house of parliament Thursday, but it faces defeat in the Senate with the Labor opposition fearing jobs will go offshore. Qantas has been lobbying for government help after a Aus$235 million (US$210 million) loss in the six months to December 31 and a decision to slash 5,000 jobs, but its plea for a debt guarantee or Aus$3 billion unsecured loan have been turned down.

Australian government rejected loss-making Qantas request for $2.7 billion unsecured loan

CANBERRA, Australia - Australia's government rejected a request from Qantas Airways for a $2.7 billion unsecured loan to help the national carrier return to profitability, deciding instead to abolish foreign ownership restrictions, the prime minister said Wednesday. In the wake of Monday's decision to allow greater foreign ownership of Qantas, Prime Minister Tony Abbott said his ministers had acted on expert advice from accounting firm PricewaterhouseCoopers to decide that Qantas did not need the line of credit.

Australia says no blank cheques for Qantas

The Australian government insisted Tuesday there would be "no blank cheques" to bail out national carrier Qantas which admitted a plan to repeal legislation restricting foreign ownership was destined to fail. The cabinet of conservative Prime Minister Tony Abbott on Monday evening said it would move to change a section of the Qantas Sales Act which limits foreign ownership to 49 percent to free up capital for the airline.

Australian government plans to relax foreign ownership rules on Qantas after record loss

CANBERRA, Australia - The Australian government decided on Monday to relax foreign ownership restrictions on Qantas Airways after the national carrier posted a record half-year loss. Prime Minister Tony Abbott said his Cabinet ministers had agreed to repeal legislation that prevents foreign airlines from holding more than 35 per cent of the airline and any single foreign investor from holding more than a 25 per cent stake. The Qantas Sale Act, which became law in 1992 as the state-owned airline was about to be privatized, also mandates 51 per cent Australian ownership.

Qantas planes clip wings in Los Angeles

Two Qantas planes collided while being towed out of a hanger in Los Angeles, the struggling carrier said Saturday, with the damage substantial enough to cause the cancellation of flights. The incident occurred on Thursday evening US time, the same day the airline announced it would slash 5,000 jobs after posting a Aus$235 million (US$210 million) loss in the six months to December 31.

Qantas planes clip wings in Los Angeles

Two Qantas planes collided while being towed out of a hanger in Los Angeles, the struggling carrier said Saturday, with the damage substantial enough to cause the cancellation of flights. The incident occurred on Thursday evening US time, the same day the airline announced it would slash 5,000 jobs after posting a Aus$235 million (US$210 million) loss in the six months to December 31.

Virgin Australia hits out at Qantas after big first-half loss

Australian carrier Virgin urged the government not to bail out rival Qantas Friday after slumping to a first-half loss of Aus$83.7 million (US$75 million), blaming intense competition and economic uncertainties. The results follow Qantas on Thursday announcing a Aus$235 million loss over the same six month period to December 31. In response, Qantas will axe 5,000 jobs and defer aircraft deliveries.

In nosedive, Qantas CEO Joyce may find path to safety

By Jane Wardell SYDNEY (Reuters) - Whether through error or circumstance, Qantas Airways Ltd's <QAN.AX> spectacular fall from grace is giving chief executive Alan Joyce his best chance of steering the airline toward long-term salvation. Joyce has called on the Australian government to help the national flag carrier in its hour of need. If Canberra is convinced Qantas is in peril, it may have little option but to abandon decades of resistance and provide state aid.

Asian shares broadly up, Qantas hit by huge net loss

Asian markets mostly rose on Thursday in cagey trade following a positive close on Wall Street and before the congressional testimony of US Federal Reserve head Janet Yellen later in the day. Australia's main index was hit by a slump in Qantas shares after the national carrier said it would slash 5,000 jobs under restructuring plans as it announced a half-year net loss of more than US$200 million.

Struggling Australian carrier Qantas to axe 5,000 jobs

Struggling Australian carrier Qantas Thursday said it will axe 5,000 jobs, defer aircraft deliveries and freeze growth at Asian offshoot Jetstar in a major shake-up after deep first-half losses, warning of more pain to come. The airline, battling record fuel costs and fierce competition from subsidised rivals, posted an interim net loss of Aus$235 million (US$210 million) in the six months to December 31 as it faces some of its toughest conditions ever.
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