M&AAustralia
Qantas Share Buy-Back Delay Sparks Market Confusion and Concerns
A major Qantas shareholder thinks it's confused the market by announcing a share buy-back, but deferring it until changes to the loyalty program were announced. Qantas will make it easier for members to book seats with points which brokers are concerned will affect the airline’s overall margins. Brokers believe the revamp provides a margin opportunity for the airline if Qantas Loyalty passes on some of its margins to the airline. Qantas Loyalty currently buys seats from the airline at cost.