Australian flag carrier Qantas Airways yesterday hit back at claims it was fleecing customers by imposing a surcharge on ticket prices to offset rising fuel costs. \nThe airline lifted its fuel surcharge for the second time on Friday, saying record crude oil prices meant the move was unavoidable. \nBut AMN Amro analyst Anthony Srom said the move was "money for jam" and largely unnecessary because Qantas was fully hedged for increases in its fuel bill. \nSrom estimated in the Sydney Morning Herald newspaper that Qantas would make up to A$240 million (US$175.2 million) in annual revenue from its A$12 surcharge on domestic tickets and A$290 million from its A$29 international surcharge. \nQantas chief financial officer Peter Gregg denied the airline was ripping off customers, releasing a statement that labelled Srom's comments "malicious and stupid." \nGregg said it was true that Qantas was heavily hedged against rising oil prices but it was still exposed to changes in the cost of jet fuel. \n"Fuel represents around 20 percent of our operating expenditure. No amount of fuel hedging could cover the recent price increases," he said \nGregg said that Qantas's fuel bill for the 2004-to-2005 fiscal year was A$560 million more than the previous year and only about A$360 million of that would be recovered through hedging and ticket surcharges.
Just a few years ago, the millennial generation — generally defined as those born from the early 1980s through the mid-1990s — was synonymous with youthful rebellion. However, now, as the millennials ease into early middle age, they are finding their path out of their parents’ basement to be a lot harder than it was for earlier generations. The fundamental problem is that millennials are not building wealth. The wealth of the median US household headed by someone 35 or younger has actually shrunk in inflation-adjusted terms since the mid-2000s, even as the wealth of older Americans has continued to grow. An
‘LITTLE CHOICE’: The airline said it expected only about 8,000 of its 29,000 employees to be working by next month, but hoped to have 21,000 in the next two years Qantas Airways Ltd plans to cut at least 6,000 jobs and keep 15,000 more workers on extended furloughs as Australia’s largest airline tries to survive the coronavirus pandemic. Qantas yesterday announced a plan to reduce costs by billions of dollars and raise fresh capital. The plan includes grounding 100 planes for a year or more and immediately retiring its six remaining Boeing Co 747 planes. Chief executive Alan Joyce said the airline has to become smaller as it braces for several years of much lower revenues. He said the furloughed workers faced a long interruption to their airline careers. “The actions that we’re taking
Apple Inc’s decision to stop using Intel Corp processors in its Mac computers and switching to its own chips might benefit Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) and boost Taiwan’s high-tech exports, Australia and New Zealand Banking Group (ANZ) said in a note on Tuesday. The US tech giant announced the “Apple silicon” initiative at its annual Worldwide Developers’ Conference, which started on Monday. The company said the first Mac powered by its own chips would debut by the end of this year and all product lines might shift to the new architecture in the next two years. TSMC is likely to
EXPERIMENTAL DRUG: While news about a COVID-19 vaccine is more eye-catching, developing a treatment would be more viable, the Senhwa boss said Senhwa Biosciences Inc (生華科) aims to raise NT$1.5 billion (US$50.57 million) by issuing 15 million new common shares in the third quarter of this year to fund the research of new drugs, including the experimental drug Silmitasertib for the treatment of COVID-19, the company said on Monday. That would be the firm’s largest fundraising effort after it raised more than NT$1.4 billion from an initial public offering on the Taipei Exchange (TPEX) in April 2017, chief financial officer Sarah Chang (張小萍) told the Taipei Times by telephone. The price of the new shares would depend on the firm’s average share price