Costello begins to set Qantas buy out rules
Reports form Canberra say that Federal Treasurer Peter Costello told MPs during a weekly Coalition party meeting that the Government would not agree to the proposed buy out of Qantas without securing what he described as enforceable commitments from the new owners, this believed to confirm the Government’s position regarding foreign ownership of Qantas and that Government will insist on before approving any deal.
Mr Costello raised Qantas as NSW Liberal MP Bruce Baird used yesterday’s meeting to outline his concerns about the proposed buy-out by a Macquarie Bank-led consortium, which includes private equity interests from the United States.
Mr Baird, Parliament’s strongest supporters of Qantas and opposed to a significant foreign stake in the airline is concerned the deal could increase pressure on the airline to send more jobs offshore, saying that the national airline should not be run out of Dallas.
Mr Costello raised the Qantas transaction during his routine address to the party room yesterday, also commenting to MPs that the market was “awash” with private equity.
Ownership caps restrict the total level of foreign investment in Qantas to 49% and a significant proportion of foreign investment would trigger assessment by the Foreign Investment Review Board with Mr Costello having the power to block the transaction on national-interest grounds.
Mr Costello imposed tough conditions when he gave the green light to Air New Zealand’s takeover of 50% of Ansett, which covered a jobs and service commitment to regional aviation routes, but within the industry it is acknowledged that the blocking of the Singapore Airlines bid to purchase Ansett effectively sealed the fate of the airline.
Report by The Mole
John Alwyn-Jones
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
Qatar Airways offers flexible payment options for European travellers
Airlines suspend Madagascar services following unrest and army revolt
Phocuswright reveals the world's largest travel markets in volume in 2025
Digital Travel Reporter of the Mirror totally seduced by HotelPlanner AI Travel Agent
Strike action set to cause travel chaos at Brussels airports