Pursuits
Qantas Faces Domestic Price War as International Loss Widens
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Qantas Airways Ltd., Australia’s largest carrier, slumped 21 percent in two days after forecasting a wider loss on international routes. Domestic operations may be next to feel the pain.
Fares within Australia are falling as Qantas adds flights to protect its 65 percent market share amid rising competition from Virgin Australia Holdings Ltd. and Tiger Airways Holdings Ltd. The price war and slower economic growth threaten earnings on domestic routes even as Qantas Chief Executive Officer Alan Joyce tries to revive international services set to lose at least A$450 million ($444 million) in the year ending June.