PETER
I’ve heard that the withdrawal of both Qantas and Jetstar from Tasmania is imminent. The sole remaining carriers would be Virgin and Tiger. If it’s true, what will be the effect on Hobart Airport’s finances, and more importantly, the Retirement Benefit Fund’s large stake in Hobart Airport?

Meanwhile …
ANGER OVER FLIGHT SCHEDULE CHANGES
http://www.abc.net.au/news/stories/2009/05/17/2572700.htm

Posted Sunday 17 May 2009

A change in airline scheduling is causing major headaches for business people in Hobart who travel regularly to Sydney.

Virgin and Jetstar have dropped their early-morning direct flights to Sydney, meaning business people now have to spend up to two nights away from home to work a nine-to-five day interstate.

Company director Jarrod Nation moved back to Tasmania for its family-friendly lifestyle .

He says lately he has been seeing a lot less of his family.

“Gone are the days where I can have dinner with my family the night before and be at a board meeting in Sydney at 8.30 the next morning,”
said Mr Nation.

He says relocating back to Sydney is now a real possibility.

Diagnostic Services CEO Lawrie Bott travels at least once a week between Hobart and Sydney.

Dr Bott says the airlines are treating business people without regard or understanding.

“Well I used to be able to fly up and down in one day, do my business and then be home in my bed with my family that night and I just can’t do it now,” he said.

“Those flights were my lifeblood getting up and down in the morning and at the end of the day.”

Hobart-based travel agent Andrew Jones says he cannot understand why Jetstar and Virgin have pulled the pin on the flights.

He says he would not be surprised if many people who came to Tasmania for lifestyle choices head back interstate.

Mr Jones says many business people rely on the early morning flights to do business in Sydney and return home the same day.

“I can only speak sort of from my business and we have numerous who do that but I think in Tasmania in general and particularly southern Tasmania there’d have to be you know up to a few hundred people who I think would do that on a regular basis,” he said.

Jetstar’s Simon Westaway says the company is meeting the market.

“If we can put services at different times of the day, if the market demand is there, we’ll look at doing that over time,” said Mr Westaway.

He says at the moment, the flights are not viable.