Qantas Risk Tops Air France-KLM on Plan Doubts: Australia Credit
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Doubts over Qantas Airways Ltd.’s plan to stem losses pushed bond risk for Australia’s biggest carrier above that of Air France-KLM Group, which is attempting a turnaround from near bankruptcy.
Credit-default swaps protecting against non-payment of Qantas’s debt have risen by as much as 48 basis points since Feb. 28 to 300 on March 13, the highest level since November 2012. It ended last week at 294.5. Risk for Air France-KLM fell to a three-year low on March 7 as the carrier’s Chief Executive Officer Alexandre de Juniac, who said it had been “heading to bankruptcy,” refocused on premium fliers.