Qantas Airways is set to close down some of its heavy maintenance bases as part of a review of its engineering facilities, which is aimed at getting its loss-making international business back in the black within the next three years.
Australia's flag carrier will provide more details in early May once the review has been completed, the airline's chief executive Alan Joyce says in an interview with Flightglobal Pro.
"We have a heavy maintenance review that we will be announcing in early May. That will mean that we will have to close down heavy maintenance bases, make radical savings in order to improve economics and engineering. We are doing the same on catering and airports," he adds.
Other measures to reduce costs and return to profitability on the international business include buying new aircraft, refurbishing existing ones such as its Boeing 747-400s, working closely with foreign partner carriers and revamping its route network.
"We are spending A$2 billion a year on new fuel efficient aircraft, which means that the average age of our aircraft next year will be the lowest in 15 years. We are also reconfiguring our aircraft to have a new product. We are working with partners like LAN and American Airlines and changing our route network," says Joyce.
"All of those will help us to break even on the international business within three years."