Regional carriers in limbo over Rex, says Skytrans

Regional airline Skytrans has said the decision to extend Rex’s administration to next June is holding it back from moving into its beleaguered rival’s routes. Speaking to Australian Aviation, CEO Alan Milne argued regional carriers are in limbo, unsure whether to launch flights now or wait for the carrier’s ultimate fate to be decided. His comments come after the AFR reported the Government is also considering buying out investment firm PAG’s debt from Rex to have more say over the outcome of the administration process, which has been extended to the end of June 2025. “We were waiting for that decision in November, and then to [have them] say, ‘Oh, actually, we’re pushing it to June’ puts us in a difficult position,” said Milne. “We have to now re-strategise: do we push ahead regardless, assume that they’re either one, not going to make it, or two, that they’re going to come in at a much lesser capacity? Or do we just not do anything and watch the airplanes get sold offshore, never to be seen in Australia again? “It is a difficult position. From a strategy perspective, it makes it very difficult for us – we had a strategy in place ready to go, two different strategies for the November decision, and now that’s been pushed out till June.” <br/>