Each week the Blue Swan Daily brings you a snap shot of the key share and oil prices related to all things travel and aviation.
Monthly Share Price Snapshot:
Key news stories of the week
Qantas Airways chairman Leigh Clifford renewed criticism of the airline’s foreign ownership cap in the Qantas Sale Act, which caps foreign ownership at 49%, saying it could make it harder to fund a fleet overhaul and purchase ultra long haul aircraft. “We haven’t got a particular need at the moment, but at some stage we’re going to have to dramatically renew the fleet”, Mr Clifford said, adding: “At some stage we’re going to have to replace the [Airbus] 380s … and [CEO] Alan [Joyce] has talked of the challenge we’ve put out to Airbus and Boeing for long range aircraft. Well, these don’t come cheaply”. Foreign ownership stood at 46.7% as of 15-Dec-2017, with a breach of the limit triggering a forced sell down of shares on a “last in, first out” basis. “We’re marketing Qantas as a stock to the world, and when we reach up near that cap it discourages foreign purchases of shares”, Mr Clifford said, adding: “I can understand why people would be concerned by foreign control, and we’re not ever suggesting that, but I think Qantas needs to have scope such that foreign buyers can buy Qantas shares”.
Oil Prices Update