Over the subsequent 5 to seven years, Rex plans to extend its Boeing 737 fleet to 30 planes, to place one new aircraft into service each two to a few months.
At the Singapore Airshow, Rex chairman Lim Kim Hai revealed the corporate’s improvement plans, which roughly doubled the corporate’s beforehand acknowledged fleet enlargement ambitions.
A very good purpose for the medium time period, Lim added. I feel there’s lots to be mentioned for the advantages of scale.
After saying in May 2020 that it was making ready to compete with Qantas and Virgin for home routes between capital cities, Rex started working its first 737s in March 2021.
Late final 12 months, the corporate mentioned it will enhance its fleet of six 737s to 14 to assist the expansion of its home operations.
Following months of journey restrictions, the Australian Omicron surge, and employees shortages, Lim described the 2021 and 2022 operational local weather as “not easy.”
When planes are solely half-full, “no airline makes money,” he added.
According to Rex chairman, bookings are choosing up and indicating a comeback, so the worst could also be behind the airline.
It’s solely within the final six or seven days that he’s seen a change. Significant sufficient to make me consider we’ve hit our lowest ebb.
According to Lim, demand has elevated, however to not the purpose the place all flights are worthwhile.
After the bleed, “You just have to pray that you’ll be there to see it through,” he added.
After saying earlier this month that it will develop its footprint at Sydney Airport with a model new Boeing 737 flight simulator and plane hangar, Rex is now taking the subsequent step in quickly increasing its home operations.
For companies creating at the very least 30 new jobs in NSW by June 2024, the NSW authorities’s $250 million Jobs Plus Initiative supplies tax reduction, simplified planning approvals, and refunds on constructing infrastructure.
In December, delegates on the CAPA Australia Pacific Aviation Summit in Sydney heard Rex deputy chairman John Sharp say that the corporate had not but reached its full potential.
It is the corporate’s plan for subsequent 12 months to go to each main Australian metropolis, in addition to a number of of the nation’s extra populous smaller centres, notably alongside the east coast.
With hundreds of aeroplanes out there at low prices, lessors are “willing to accept any price,” he mentioned, making Rex’s quick improvement potential.
Thanks to the pandemic, Rex was additionally capable of rent employees just lately laid off by bigger rivals Qantas and Virgin.
After finishing the so-called “Golden Triangle” of Sydney-(*30*)-Brisbane in December, Rex started flying between Brisbane and Sydney.
Adelaide, (*30*), Sydney, the Gold Coast, and Canberra at the moment are a part of Rex’s increasing home route community.