Rex Airways will lease two new 737-800 NG jets from Boeing, with the plane anticipated to reach in June and July.
Rex Airways mentioned it had signed a letter of understanding for the jets, which might increase the service’s home fleet of 737-800 NG jets to 9.
Rex deputy chairman John Sharp instructed The New Every day the expanded fleet would permit the airline to function extra flights, together with probably new companies.
“The principle sport will probably be rising frequency as a result of we do not have adequate frequency on the routes that we at the moment function. The demand for seats may be very excessive,” Mr Sharp mentioned.
The place will the 737s fly?
Mr. Sharp instructed TND the airline had been eyeing an growth “additional up the Queensland coast”.
“Now we have a really giant regional community in Queensland, practically 30 routes… We have got a really vital presence within the area so it makes loads of sense so as to add some jet companies to that community.”
He mentioned the arrival of low-cost competitor Bonza and its operations out of its house base on the Sunshine Coast was not factoring into Rex’s decision-making course of.
“Rex’s home jet companies have been performing very strongly and have been worthwhile prior to now 4 months,” he mentioned.
“The touring public has been crying out for our dependable and inexpensive companies within the gentle of the shameless value gouging by Qantas, and these new additions will assist to alleviate the state of affairs.
“Qantas has constrained provide to push costs up… that is purely designed to present them a sugar hit of income within the quick time period.
“That is actually opened the door for Rex, as a result of we function with considerably decrease ticket costs and we function on time.”
Along with its fleet of 737s, Rex operates 61 Saab 340s.
The service flies to 58 locations throughout each main Australian territory.
Worthwhile returns
Rex’s dedication to increase comes after 4 consecutive worthwhile months, since operations resumed in February 2022.
In December, the airline’s Boeing 737 operations made a revenue of $four million, an enchancment from $2.eight million in November and $1.9 million in October.
Aussie shoppers will undoubtedly profit from Rex’s growth into new markets.
Competitors between airways was “probably the most necessary elements figuring out how a lot a client pays to fly”, the Australian Competitors and Shopper Fee famous in its December report.
The report famous that costs, on common, lower when the variety of airways will increase on a route.
The ACCC mentioned such a pattern had been noticed following Rex’s growth to routes that competed with Virgin Australia, Jetstar and Qantas from March 2021.
The 737-800
The Boeing 737 NG collection is a well-liked variation of the ‘authentic’ 737 collection.
NG, standing for ‘subsequent era’, is available in 4 completely different fashions: -600, -700, -800 and -900.
The -800 is essentially the most prolific 737 at the moment in operation and is considered a workhorse of the skies. It has a wider wingspan, and improved gasoline capability, vary and better most take-off weights.
In line with reportsas of March final 12 months, 17 p.c of all passenger planes in service worldwide had been Boeing 737-800 NGs.
Mr Sharp mentioned Rex had opted to increase its 737-800 fleet, moderately than utilizing a unique airplane, as a result of the plane was a “constant product”.
“It signifies that we’ve the identical sort of plane in our fleet in order that when passengers get on, they know what to anticipate,” he mentioned.
“It is about consistency for the shopper expertise.”
Eyes to the horizon
Rex’s long-term purpose was to proceed to develop their home metropolis enterprise and increase their regional community, whereas additionally specializing in the expansion of Nationwide Jet Specific, a constitution fly-in fly-out service, Mr Sharp mentioned.
Rex finalized the acquisition of Nationwide Jet Specific from Cobham final 12 months for $48 million.
