Company Watch - Qantas.Dec 18, 2006 Qantas Bid Sparks Competition Concerns. The AUD AUD In currencies, this is the abbreviation for the Australian Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. $11.1 billion (USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. $$8.7 billion) buyout of Qantas Airways might run into turbulence after Australia's Treasurer raised concern about Macquarie Bank Macquarie Bank Limited is an Australian merchant bank and financial services group, providing a broad range of products and services to investors, corporations and government. Its global headquarters is in Sydney, and it is listed on the Australian Stock Exchange (ASX). having a stake in the airline and in airport interests. Australia's competition regulator A competition regulator is a government agency, typically a statutory authority, sometimes called an economic regulator, which regulates and enforces competition laws, and may sometimes also enforce consumer protection laws. said on Friday it had started a review of the offer for Qantas from a group led by Macquarie and private equity firm Texas Pacific Group. Dec 15, 2006 Qantas CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Geoff Dixon Geoff Dixon (born in Wagga Wagga, New South Wales, Australia) is an Australian corporate executive and current CEO and Managing Director of Qantas. Qantas Geoff Dixon was appointed Chief Executive Officer and Managing Director of Qantas in March 2001. , who will retain his position along with other members of the management team, yesterday did his part to mollify mol·li·fy tr.v. mol·li·fied, mol·li·fy·ing, mol·li·fies 1. To calm in temper or feeling; soothe. See Synonyms at pacify. 2. To lessen in intensity; temper. 3. public concern over the transition facing Australia's national airline. He said in a statement that the entirety of the Long-Term Incentive Scheme prepared for him by APA (All Points Addressable) Refers to an array (bitmapped screen, matrix, etc.) in which all bits or cells can be individually manipulated. APA - Application Portability Architecture , which will be performance and time-based and could be worth as much as A$60 million if Qantas achieves a 25% annual return for five years, will be donated to a charitable trust The arrangement by which real or Personal Property given by one person is held by another to be used for the benefit of a class of persons or the general public. "for the benefit of the community, particularly in the areas of medical research and indigenous health and education." Dec 15, 2006 Qantas's board agreed to a sweetened sweet·en v. sweet·ened, sweet·en·ing, sweet·ens v.tr. 1. To make sweet or sweeter by adding sugar, honey, saccharin, or another sweet substance. 2. To make more pleasant or agreeable. AUD$5.60 a share offer for Australia's flag carrier on Thursday. The offer is expected to go to shareholders in late January. Qantas shares traded at AUD$5.30 on Friday, 5 percent below the offer price, indicating investors did not expect a higher bid to emerge. Dec 15, 2006 There is turbulence ahead for Qantas, with News Corp.'s influential The Australian calling on the government to open up access to all Qantas routes in the wake of the airline's Wednesday acceptance of an A$11.1 billion ($8.74 billion) takeover bid Noun 1. takeover bid - an offer to buy shares in order to take over the company two-tier bid - a takeover bid where the acquirer offers to pay more for the shares needed to gain control than for the remaining shares from the Airline Partners Australia Airline Partners Australia (APA) is a consortium that made a AU$5.45 per share takeover offer for Australian airline Qantas in December 2006. The takeover offer received the endorsement of the Qantas board in the absence of a better offer, however the proposed takeover failed to consortium. In an editorial, the newspaper said the government should "completely deregulate deregulate To reduce or eliminate control. One of the major forces in the financial markets in the 1970s and 1980s was the federal government's decision to deregulate interest rates. access to Australian skies and force Qantas to compete to service air travelers and tourism operators against all comers all who come, or offer, to take part in a matter, especially in a contest or controversy. - Bp. Stillingfleet. See also: Comer on all routes." Other headlines cautioned that the carrier will have fewer friends in government, and ministers are warning Qantas not to cut jobs, particularly with a federal election late next year. Dec 15, 2006 Former Cathay Pacific Cathay Pacific Airways Limited (HKSE: 0293 ) is an airline based in Hong Kong, operating scheduled passenger and cargo services to over 104 destinations worldwide. It is the flag carrier of Hong Kong with its main base at the Hong Kong International Airport. [1]. Airways CEO David Turnbull For other persons named David Turnbull, see David Turnbull (disambiguation). David Turnbull (born March 17, 1942 in Newcastle upon Tyne, England) is a politician in Ontario, Canada. , executive director of APA member Allco Finance Group Allco Financial Group (ASX: AFG and others) is a financial services business based in Sydney, Australia. Major services provided by Allco are asset management, fund management and debt funding. Allco has over AUD$4.3billion in assets, and has financed over AUD$60billion. , told Bloomberg News in Sydney that there is no reason for the government to change policy. The fundamental change will come if, as expected by most observers, the new owners start to break up the airline and move jobs offshore. APA said it supports core Qantas strategies, including maintenance of an extensive domestic and international network and the use of both the Qantas and Jetstar brands. But the latter also is a catalyst for significant industrial strife, as Qantas staff believe the company will move significantly more business to the low-cost Jetstar operation, a prospect that will gain even more momentum with the huge debt level accompanying APA's bid. The Qantas board late Wednesday accepted a revised proposal from APA to acquire 100% of the airline for A$5.60 cash per share. Dec 15, 2006 An issue for Qantas is whether politicians will be less willing to continue protecting Qantas from competition on the lucrative route between Australia and the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. once it is taken over by the new owners. Prime Minister John Howard For other persons of the same name, see John Howard (disambiguation). John Winston Howard (born 26 July 1939) is an Australian politician and the 25th Prime Minister of Australia. reiterated his view on Friday that the Australian government has given Qantas less protection than the Singapore government gives to Singapore Airlines  This article or section is written like an .Please help [ rewrite this article] from a neutral point of view. Mark blatant advertising for , using . , the airline that has been pressing for rights to fly from Australia to the United States. The Australian Competition and Consumer Commission For the other Australian organisation with the same acronym, see . The Australian Competition and Consumer Commission (ACCC) is an independent authority of the government of Australia. invited interested parties to give submissions by January 29. Macquarie has restricted its economic and voting stake in the consortium to less than 15 percent to try to ensure it avoids any conflict of interest with its stakes in airports, including Sydney Airport Sydney Airport may refer to:
Dec 15, 2006 Following its rejection of the initial takeover bid early yesterday, the Qantas board last night unanimously accepted a revised and higher offer from Airline Partners Australia, the consortium led by Australia's Macquarie Bank and Texas Pacific Group of the US. In a filing with the Australian Securities Exchange The Australian Securities Exchange (ASX) is the primary stock exchange in Australia. The ASX began as separate state-based exchanges established as early as 1861. Today trading is all-electronic and the exchange is a public company, listed on the exchange itself. , Qantas Chairman Margaret Jackson said APA's A$5.60-per-share cash offer "allows Qantas shareholders to realize significant value for their shares that has not been fully recognized in the public market." Dec 14, 2006 Qantas Accepts USD$8.7 Billion Takeover Offer. Australia's Qantas Airways agreed to a sweetened AUD$11.1 billion (USD$8.7 billion) buyout offer led by Macquarie Bank and private equity firm Texas Pacific Group after the bidders dropped a break fee, sources said on Thursday. The sale of the national icon, dubbed the flying kangaroo, has stirred national sentiment and reached the highest levels of Australian politics, prompting the bidding group to stress that the airline would remain majority Australian owned. However, Prime Minister John Howard signaled the government was unlikely to interfere in any change of hands of the airline, founded 86 years ago in outback Queensland as an air taxi service. The offer of AUD$5.60 a share, 10 percent above Qantas's last trade on Wednesday, was unanimously endorsed by the Qantas board after the bidders dropped a demand for a break fee and simplified other conditions. The board rejected an offer of AUD$5.50 on Wednesday. Dec 14, 2006 Qantas Chief Executive Geoff Dixon refused to bow to a union call for the new owners to guarantee existing jobs and entitlements of Qantas workers. But he did say the new owners do not plan to speed up the airline's drive to cut a further AUD$1.5 billion (USD$1.17 billion) in costs over the next two years. The bid values Qantas at a 61 percent premium to its average share price in the six months to November and at 15.9 times forecast earnings for 2007, compared with regional rivals Singapore Airlines trading at 12.9 and Cathay Pacific Airways at 17.8. The bidding team has been carefully shaped to ensure it meets ownership caps on Australia's flag carrier, which require the airline to remain majority Australian-owned, with no individual shareholder owning more than 25 percent. Dec 14, 2006 Qantas shares, publicly traded since 1995, stayed below the offer price all day, suggesting investors were not going to hold out for a better bid. The shares closed up 3.7 percent at AUD$5.28 after touching a record high AUD$5.37. The offer price is 29 percent higher than Qantas's share price before the airline said on November 22 that it had been approached with a buyout offer. Looking to reassure politicians and unions, the bid team Airline Partners Australia said it had no plans to break up Qantas, send its maintenance operations offshore, or cut regional Australian routes. Dec 14, 2006 Qantas will be 27 percent owned by Allco Equity Partners, with Texas Pacific Group owning 25 percent, Allco Finance Group 8 percent, Macquarie with less than 15 percent, Canadian investment firm Onex 12.5 percent and other foreign investors combined with 11.5 percent. Voting stakes are slightly different. Qantas management will hold 1 percent, with Dixon, 66, staying on as chief executive for at least the next three years. All the key members of Airline Partners have been involved with the airline industry. Dec 14, 2006 The new Qantas offer, worth a reported A$11.1 billion ($8.74 billion), replaced APA's early A$5.50 offer that included a A$100 million break fee that Qantas would owe the consortium if the deal was scuttled by shareholders or regulators. The new deal reportedly eliminates that fee and also includes a A$0.05 dividend per share. The A$5.60 price is 33% higher than the closing price on Nov. 6, the day before "the first speculation about the offer," Qantas said, adding that the transaction will be implemented by way of an off-market takeover bid and will be subject to 90% minimum acceptance. The carrier said it will de-list from the ASX ASX See: Australian Stock Exchange if the bid is successful and retain its current management team. Jackson also said APA "expressed its support for core Qantas strategies" including its two-brand operation (Qantas and Jetstar). Dec 14, 2006 The Qantas board's decision followed several days of public concern about the deal, which prompted Australian politicians to say that while the offer did not breach any laws or trigger reviews, any collusion involved in forging the arrangement would prompt a review. Additional market disquiet was based on the belief that the bidders were planning to sell bonds backed by the carrier's fleet of 217 aircraft to raise half the required funds. Interestingly, Allco Finance counts former British Airways and Cathay Pacific CEO Rod Eddington and former CX executive David Turnbull as board members. Dec 14, 2006 The Qantas deal still faces significant hurdles, including government and regulatory approval and the consent of smaller investors who may be reluctant to part with their shares in a national icon. Jackson insisted that Qantas will remain majority Australia-owned and Australia-based, saying, APA comprises Australia's Allco Equity Partners (34%), Macquarie (less than 15%) and Allco Finance Group (11%), along with foreign investors TPG TPG Texas Pacific Group TPG Tapping TPG Transports Publics Genevois (Geneva, Switzerland public transportation) TPG Test Pattern Generator TPG TNT Post Group TPG Trésorier Payeur Général , Onex Group of Canada and other foreign funds that will hold no more than a combined 40%, with no one group holding more than 15%, to comply with Australian competition laws that cap total foreign investment in the airline at 49%. Dec 14, 2006 Currently only United Airlines and Qantas operate the routes, with the latter holding a dominant position among premium travelers. Air New Zealand Parameter not given Error... ''Template needs its first parameter as beg[in], mid[dle], or end. Parameter not given Error... , Continental Airlines and Northwest Airlines have withdrawn from the routes over the past 15 years. Virgin Blue said it is "expediting" its plan to offer transpacific trans·pa·cif·ic adj. 1. Situated on or coming from the other side of the Pacific Ocean. 2. Spanning or crossing the Pacific Ocean. service following yesterday's release of a profit forecast indicating that it expects to post A$158 million ($124.1 million) in net earnings in the fiscal year ending June 30, 2007, a 39.8% increase over the A$113 million earned in the previous 12-month period. It altered its fiscal year following Toll Holdings' purchase of a majority stake. Dec 14, 2006 Currently only United Airlines and Qantas operate the routes, with the latter holding a dominant position among premium travelers. Air New Zealand, Continental Airlines and Northwest Airlines have withdrawn from the routes over the past 15 years. Virgin Blue said it is "expediting" its plan to offer transpacific service following yesterday's release of a profit forecast indicating that it expects to post A$158 million ($124.1 million) in net earnings in the fiscal year ending June 30, 2007, a 39.8% increase over the A$113 million earned in the previous 12-month period. It altered its fiscal year following Toll Holdings' purchase of a majority stake. Dec 14, 2006 Qantas introduced online check-in for same-day-return domestic flights. Qantas Freight launched a four-times-weekly Melbourne-Auckland overnight service aboard a 767-300F. Dec 13, 2006 Qantas Rejects USD$8.6 Billion Bid. Australia's Qantas Airways rejected a AUD$10.9 billion (USD$8.6 billion) buyout offer from a group led by Macquarie Bank and private equity firm Texas Pacific. Dec 13, 2006 Qantas Takeover Offer May Happen Wednesday. Australia's Qantas Airways is expected to announce a takeover offer of around AUD$10.9 billion (USD$8.56 billion) from a consortium led by Macquarie Bank this week, possibly as early as Wednesday, sources said. Dec 12, 2006 Editor: Aram Gesar, eMail: edit@AirGuideOnline.com For more global news, reviews, features and analysis, please go to: http://www.airguideonline.com/onlinenews.htm To Subscribe to our Newsletters: http://www.airguideonline.com/order_formsubs.htm#news To Advertise: advert@AirGuideOnline.com Dec 11, 2006 |
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