The extraordinary events at the weekend surrounding the Airline
Partners Australia (APA) bid for Qantas is a reminder of the destabilising effects
of takeovers and ownership changes. The failure of the bidders to gain enough
acceptances to extend the bid another two weeks has crystallised staff/union
opposition to the bid (on top of the obvious shareholder concerns) and weakened
the position of the Qantas Board, led by Chairman, Margaret Jackson, and executives,
including CEO, Geoff Dixon. The turmoil at Qantas inevitably plays into the
hands of its competitors, including Virgin Blue and planned entrant, Tiger Airways
in the domestic market, and a swag of offshore rivals.
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