Three-Year Recovery Plan slide image

Three-Year Recovery Plan

International markets FY22 Outlook • • • - - International border closure and quarantine restrictions expected to ease once 80% of eligible Australians are vaccinated International repatriation and Freight assistance program operating on behalf of the Australian Government to continue, representing ~15% of Pre-COVID block hours for Qantas International in 1H22 Limited cash burn until network restart of $3m per week for 1H22¹ Planning for resumption of international flying from mid December Initial destinations include Los Angeles, Honolulu, London, Singapore, Tokyo, Vancouver and Fiji Other destinations delayed to April 2022 include South Africa, South America and parts of South East Asia • Trans-Tasman bubble expected to resume from mid December International travel intention at its strongest level in 12 months² • Flying to be focused on cash generation and getting our people back to work as soon as possible • Revised Group International capacity assumptions: Competitive Positioning . • • • - - - Australia's only long-haul premium and low cost international airline with extensive transformation improving relative cost position 10 x reconfigured A380s to return to service Five will return earlier than planned, commencing July 2022 to Los Angeles, and London by end of 1H23 Flexibility to return remaining aircraft by January 2024 Resuming Trans-Pacific operations from East Coast 789s to Los Angeles, San Francisco and Dallas; A330s on Brisbane to Los Angeles and San Francisco A380 return creates flexibility for Trans-Pacific capacity to grow above Pre-COVID levels More redemption seats available for frequent flyers Emirates, China Eastern and American Airlines Joint Businesses ready to restart once international travel resumes; proposed JBA with Japan Airlines under regulatory consideration Low fares model together with high density, high utilisation 787-8 enable Jetstar to capitalise on pent-up leisure demand post-COVID Capacity 3Q22 4Q22 2H22 % Pre-COVID³ 30% - 40% 50% - 70% 40% - 55% 100 • Project Sunrise remains a key part of the Qantas International strategy. Selected A350-1000 as preferred aircraft with non-stop flights expected to be even more popular post-pandemic | 31 1. Net cash burn for Jetstar International and Qantas International including Qantas Freight. 2. Internal research of Qantas Customers. Overseas travel excluding New Zealand. As at 4 August 2021. 3. ASKS compared to FY19 as a proxy of Pre-COVID flying. 4. Emirates and China Eastern anti-trust immunity until March 2023, American Airlines anti-trust immunity until November 2025.
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