Alliance Airlines tips 25% rise in full-year profit

Australian carrier Alliance Airlines expects its full year profit before tax to come in above A$32.5 (US$22.5m), about 25% higher than its result for the previous financial year. If confirmed, it will be the largest full-year profit in the carrier's 17-year history. CE Lee Schofield says that the stronger result is being driven by significant growth of its business as it continued to diversify into other areas while continuing to win contracts in its core resource charter market. "We now have 4 different flying categories (contract, charter, wet lease and scheduled airline services) and operate regularly to over 50 destinations," he states. As well as resource charter operations, Alliance has a close codeshare and wet-lease relationship with Virgin Australia. This year, however, it has been the target of Qantas, which now owns a 20% stake in Alliance. <br/>