Australian Government looking to ease ownership rules for Qantas and V Australia - Share wrap

Qantas' shares gained 0.8% on Tuesday, with Virgin Blue's shares down 1.8%, ahead of the release of the Australian Government's Aviation White Paper today (16-Dec-2009). As part of the Aviation White Paper, the Australian Government stated it would relax some ownership restrictions on Qantas Airways, removing a 25% restriction on individual foreign investors in Qantas and eliminating a 35% cap for total foreign airline holdings, while maintaining a 49% cap on foreign ownership). The decision will "increase Qantas' ability to compete for capital and to take opportunities to form strategic partnerships in an increasingly globalised industry," according to Transport Minister, Anthony Albanese.