Qantas’ Asian expansion to cost AUD500 million
Qantas estimates its investment in Asia will directly cost the company more than AUD500 million (Sydney Morning Herald, 17-Aug-2011). CEO Alan Joyce said the airline was still assessing the ''transformation costs'' for its international operations, but Qantas has put early estimates at between AUD350 million and AUD450 million. The figure excludes the AUD64 million investment in Jetstar Japan and the investment in the Asian premium carrier. The greater focus on Asia, though, is expected to reduce operating costs, Mr Joyce maintains.