Finance Finance News Qantas cuts ‘unbelievably significant’ American deal

Qantas cuts ‘unbelievably significant’ American deal

Qantas. Getty
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Qantas is to restart direct flights between Sydney and San Francisco from December under an expanded cooperation agreement with American Airlines.

Qantas CEO Alan Joyce and American Airlines CEO Doug Parker made the announcement in Miami on Tuesday with Mr Joyce saying the deal was “unbelievably significant” for his airline and for Australian flyers.

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New best buds
New best buds: American Airlines CEO Doug Parker (left) with Qantas boss Alan Joyce.

From December 20, Qantas will reopen the Sydney-San Francisco route running on peak days. Mr Joyce said the route is the most popular onward destination for corporate customers that it doesn’t already serve directly on its network.

American Airlines will replace five of Qantas’ flights to Los Angeles – four from Sydney and one from Melbourne.

The joint venture will shift to a route revenue share agreement.

Calling it an “amazing partnership”, Mr Joyce said: “American Airlines is one of our most important alliance partners, and this deal strengthens the long-standing ties between us to provide a platform for future growth across the Pacific. At its heart, this is about delivering an enhanced network and better service for customers of both airlines well into the future.

“Together with American, we can offer direct flights and unrivalled frequencies from Australia to Hawaii, Los Angeles, San Francisco, Dallas Fort Worth, seasonal services to Vancouver and one stop services to JFK via LAX. We also offer coordinated schedules that allow seamless travel within the United States and Australia.”

– with AAP

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