Regional Express Holdings
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Rex Airlines Pty Ltd is an Australian
regional airline A regional airline is a general classification of airline which typically operates scheduled passenger air service, using regional aircraft, between communities lacking sufficient demand or infrastructure to attract mainline flights. In North ...
based in
Mascot A mascot is any human, animal, or object thought to bring luck, or anything used to represent a group with a common public identity, such as a school, sports team, university society, society, military unit, or brand, brand name. Mascots are als ...
,
New South Wales New South Wales (commonly abbreviated as NSW) is a States and territories of Australia, state on the Eastern states of Australia, east coast of :Australia. It borders Queensland to the north, Victoria (state), Victoria to the south, and South ...
. It operates scheduled regional services using turboprop aircraft. Between 2021 and 2024, Rex also operated jet services between selected major Australian cities. In July 2024, it collapsed and was placed into voluntary administration. It is the primary subsidiary of Regional Express Holdings, itself predominantly foreign-owned by Singaporean businessman Lim Kim Hai and Hong Kong investment firm PAG. Rex is Australia's second-largest regional airline by number of regional destinations, serving 45 regional destinations, behind
QantasLink QantasLink is a full-service, Regional airline, regional brand of Australian flag carrier airline Qantas. As of 2024, QantasLink provides over 2,000 flights each week to 65 metropolitan, regional and remote destinations across Australia, as wel ...
, who serve 55 regional destinations across Australia. On the night of 30 July 2024, the airline ceased all bookings for domestic jet service routes to capital cities and fell into
voluntary administration As a legal concept, administration is a procedure under the insolvency laws of a number of common law jurisdictions, similar to bankruptcy in the United States. It functions as a rescue mechanism for insolvent entities and allows them to carry on ...
, appointing joint administrators from
Ernst & Young EY, previously known as Ernst & Young, is a multinational corporation, multinational professional services partnership, network based in London, United Kingdom. Along with Deloitte, KPMG and PwC, it is one of the Big Four accounting firms, Big F ...
. It came one day after Rex stopped trading on the
Australian Securities Exchange Australian Securities Exchange Ltd (ASX) is an Australian public company that operates Australia's primary Exchange (organized market), securities exchange, the Australian Securities Exchange (sometimes referred to outside of Australia as, or c ...
(ASX), amid fears the airline could halt all operations. Rex continues to operate some regional services, which are being funded by PAG Asia and Queensland government, despite its administration. In September 2024, two months after the commencement of the administration, it was revealed that no buyer is currently found, with fears for the company to be collapsing or broken up. It did, however, previously get an extension from the
Federal Court of Australia The Federal Court of Australia is an Australian superior court which has jurisdiction to deal with most civil disputes governed by federal law (with the exception of family law matters), along with some summary (less serious) and indictable (mo ...
to further facilitate the sale process. In November 2024, the company got another extension of the administration and received funding from the government to keep afloat. It also had previously started stripping a few subsidiaries, such as
Pel-Air Pel-Air Aviation Pty Ltd (trading as Pel-Air) is an airline based in Mascot, New South Wales, Mascot, Sydney, Australia. It is a wholly owned subsidiary of Toll Group. Pel-Air specialises in air charter and ad hoc services, operating executi ...
to
Toll Group The Toll Group is an Australian freight company that operates a logistics and global freight forwarding network spanning 150 countries, with over 20,000 customers. Toll has more than 16,000 workers across 500 sites. Toll Holdings Pty Limited ( ...
. The company is currently in the midst of a lawsuit by the corporate watchdog over misleading and deceptive conduct of its ex-directors, alleging the members mislead the market on its financial position during FY22. However, in January 2025, the federal government bought $50 million debt from the senior lender PAG in another effort to secure the future of the airline, and supported administrators in again finding a buyer. As another reversal in the government's negotiations with the airline, the government pledged to buy the airline if no buyer is found.


History

The airline was established in 2002 when the Australiawide Airlines consortium (set up by former
Ansett Australia Ansett Australia, originally Ansett Airways, was a major Australian airline group based in Melbourne, Victoria. The company operated domestically within Australia, and from the 1990s, to destinations in Asia. Following 65 years of operation, ...
employees) acquired Hazelton Airlines and
Kendell Airlines Kendell Airlines was a regional airline of Australia, in the 1990s the largest in the country. It served major regional centres in New South Wales, Victoria (state), Victoria, South Australia and Tasmania from Melbourne, Adelaide, and Sydney. ...
, before merging the companies and starting operations as Rex in August 2002. In 2005, Australiawide Airlines was renamed Regional Express Holdings and partially floated on the
Australian Securities Exchange Australian Securities Exchange Ltd (ASX) is an Australian public company that operates Australia's primary Exchange (organized market), securities exchange, the Australian Securities Exchange (sometimes referred to outside of Australia as, or c ...
. On 30 November 2005, Rex announced the acquisition of the
Dubbo Dubbo (; ) is a city in the Orana (New South Wales), Orana Region of New South Wales, Australia. It is the largest population centre in the Orana region, with a population of 43,516 at June 2021. The city is located at the intersection of the ...
-based
Air Link Air Link Pty Ltd is an airline and air charter company based in Dubbo, New South Wales, Australia. It operates air charter services and recommenced regular passenger services in November 2019. As of 2024, Aviation Logistics Holdings (ALH) who ...
, another regional airline. In October 2007, Rex expanded into Queensland when it commenced operations between
Brisbane Brisbane ( ; ) is the List of Australian capital cities, capital and largest city of the States and territories of Australia, state of Queensland and the list of cities in Australia by population, third-most populous city in Australia, with a ...
and Maryborough. This exacerbated an existing problem within the company of not having enough pilots to crew its flights (due to the expansion of larger airlines, especially
Jetstar Jetstar Airways Pty Ltd, doing business as, trading as Jetstar, is an Australian low-cost airline headquartered in Melbourne, Victoria (state), Victoria. It is a wholly owned subsidiary of Qantas, created in response to the threat posed by the ...
and
Virgin Blue Virgin Australia, formerly known as Virgin Blue, is an Australian airline based in Brisbane, Queensland. It is one of two active airlines (the other being Virgin Atlantic) to use the Virgin brand, as well as the larger by fleet size. It comme ...
), and Rex suspended operations out of Brisbane (and from
Sydney Sydney is the capital city of the States and territories of Australia, state of New South Wales and the List of cities in Australia by population, most populous city in Australia. Located on Australia's east coast, the metropolis surrounds Syd ...
to
Cooma Cooma is a town in the south of New South Wales, Australia. It is located south of the national capital, Canberra, via the Monaro Highway. It is also on the Snowy Mountains Highway, connecting Bega, New South Wales, Bega with the Riverina. ...
during the summer "low season" for this route to the NSW ski fields) in November 2007. To provide a medium-term solution to the pilot shortage, Rex announced that it was establishing a cadet-pilot flight-training programme. In November 2015, Rex announced the resumption of services to the NSW Snowy Mountains in conjunction with Snowy Mountains Airport Corporation, with the flights resuming in March 2016. In December 2015, Rex announced that it would be commencing operations in
Western Australia Western Australia (WA) is the westernmost state of Australia. It is bounded by the Indian Ocean to the north and west, the Southern Ocean to the south, the Northern Territory to the north-east, and South Australia to the south-east. Western Aust ...
in February the following year after being selected by the
Government of Western Australia The Government of Western Australia is the States and territories of Australia, Australian state democratic administrative authority of Western Australia. It is also commonly referred to as the WA Government or the Western Australian Governmen ...
to be the operator of regulated RPT routes after a tender process. Initially operating from
Perth Perth () is the list of Australian capital cities, capital city of Western Australia. It is the list of cities in Australia by population, fourth-most-populous city in Australia, with a population of over 2.3 million within Greater Perth . The ...
to Albany and Esperance, in July 2018 the Western Australian operations expanded to include Carnarvon and
Monkey Mia Monkey Mia is a popular tourist destination located about north of Perth, Western Australia. The reserve is northeast of the town of Denham in the Shark Bay Marine Park and World Heritage Site. The main attraction are the bottlenose dolph ...
. It brought Rex's weekly flights to roughly 1,500 across 60 destinations. Starting on 6 April 2020, Rex significantly scaled back all its regional services due to the
COVID-19 pandemic The COVID-19 pandemic (also known as the coronavirus pandemic and COVID pandemic), caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2), began with an disease outbreak, outbreak of COVID-19 in Wuhan, China, in December ...
, continuing to only offer government-subsidised services within Queensland and Western Australia and one flight a week between all 54 regional and remote communities within its route network. Services including
Adelaide Adelaide ( , ; ) is the list of Australian capital cities, capital and most populous city of South Australia, as well as the list of cities in Australia by population, fifth-most populous city in Australia. The name "Adelaide" may refer to ei ...
to
Port Augusta Port Augusta (''Goordnada'' in the revived indigenous Barngarla language) is a coastal city in South Australia about by road from the state capital, Adelaide. Most of the city is on the eastern shores of Spencer Gulf, immediately south of the ...
, Sydney to
Newcastle Newcastle usually refers to: *Newcastle upon Tyne, a city and metropolitan borough in Tyne and Wear, England, United Kingdom *Newcastle-under-Lyme, a town in Staffordshire, England, United Kingdom *Newcastle, New South Wales, a metropolitan area ...
and Sydney to
Armidale Armidale is a city in the Northern Tablelands, New South Wales, Australia. Armidale had a population of 23,967 as of the 2021 census. Estimated resident population, 30 June 2018. It is the administrative centre for the Northern Tablelands reg ...
were suspended. In June 2020, eyeing the demise of
Tigerair Australia Tiger Airways Australia Pty Ltd, operating as Tigerair Australia, was an Australian low-cost airline. Founded by Tiger Airways Holdings, it commenced services in the domestic airline market on 23 November 2007 as Tiger Airways Australia. It lat ...
, Rex announced interest in expanding into the domestic airline market between Sydney,
Melbourne Melbourne ( , ; Boonwurrung language, Boonwurrung/ or ) is the List of Australian capital cities, capital and List of cities in Australia by population, most populous city of the States and territories of Australia, Australian state of Victori ...
and Brisbane. Rex leased six
Boeing 737-800 The Boeing 737 Next Generation, commonly abbreviated as 737NG, or 737 Next Gen, is a twinjet, twin-engine narrow-body aircraft produced by Boeing Commercial Airplanes. Launched in 1993 as the third-generation derivative of the Boeing 737, it ha ...
s previously leased by
Virgin Australia Virgin Australia, formerly known as Virgin Blue, is an Australian airline based in Brisbane, Queensland. It is one of two active airlines (the other being Virgin Atlantic) to use the Virgin Group, Virgin brand, as well as the larger by fleet ...
to operate the new services, with the first delivered in November 2020. The first jet operations began on 1 March 2021 on the Melbourne to Sydney route. Also in June 2020, Rex announced that it had entered into a memorandum of understanding with
ATR ATR may refer to: Medicine * Acute transfusion reaction * Ataxia telangiectasia and Rad3 related, a protein involved in DNA damage repair Science and mathematics * Advanced Test Reactor, nuclear research reactor at the Idaho National Laboratory, ...
to explore options for replacing the
Saab 340 The Saab 340 is a Swedish twin-engine turboprop aircraft designed and initially produced by Saab AB and Fairchild Aircraft. It is designed to seat 30–36 passengers and, as of July 2018, there were 240 operational aircraft used by 34 differen ...
fleet with
ATR 42 The ATR 42 is a regional airliner produced by Franco-Italian manufacturer ATR (aircraft manufacturer), ATR, with final assembly in Toulouse, France. On 4 November 1981, the aircraft was launched with ATR, as a joint venture between French Aér ...
and
ATR 72 The ATR 72 is a twin-engine turboprop, short-haul regional airliner developed and produced in France and Italy by aircraft manufacturer ATR. The number "72" in its name is derived from the aircraft's typical standard seating capacity of 72 pa ...
aircraft. Following the airline's launch of jet services in March 2021, Rex replaced the announced Brisbane jet services in early April with services to Adelaide and Gold Coast, with the start of services occurring between 29 March and 1 April. The airline later cancelled all 737 fights and went into administration.


Regional Express Holdings

Regional Express Holdings Limited is the
parent company A holding company is a company whose primary business is holding a controlling interest in the Security (finance), securities of other companies. A holding company usually does not produce goods or services itself. Its purpose is to own Share ...
of a number of airline and associated companies in Australia. It is based in
Mascot, New South Wales Mascot is an inner south suburb of Sydney, in the state of New South Wales, Australia. Mascot is located 7 kilometres south of the Sydney central business district and is one of the administrative centres of the Bayside Council. A small part of ...
(a suburb of
Sydney Sydney is the capital city of the States and territories of Australia, state of New South Wales and the List of cities in Australia by population, most populous city in Australia. Located on Australia's east coast, the metropolis surrounds Syd ...
) and is a public listed company on the
Australian Stock Exchange Australian Securities Exchange Ltd (ASX) is an Australian public company that operates Australia's primary securities exchange, the Australian Securities Exchange (sometimes referred to outside of Australia as, or confused within Australia as, ...
. Regional Express Holdings arose from the 2001 collapse of Ansett Airlines, which was the parent company of
Kendell Airlines Kendell Airlines was a regional airline of Australia, in the 1990s the largest in the country. It served major regional centres in New South Wales, Victoria (state), Victoria, South Australia and Tasmania from Melbourne, Adelaide, and Sydney. ...
and Hazelton Airlines. A group of Singaporean investors and a collection of Australian private investors purchased the Hazelton and Kendell businesses, which were profitable entities before they were taken over by Ansett. The investors formed Australiawide Airlines, which was officially incorporated on 12 February 2002. The assets of the two airlines were purchased by Australiawide and merged to form the airline Regional Express, known as Rex. In 2005 Australiawide offered a percentage of the owners' shares (35 million out of 115 million shares, or 30.43%) to the public in a float. At the same time an agreement was reached with the owners of
Pel-Air Pel-Air Aviation Pty Ltd (trading as Pel-Air) is an airline based in Mascot, New South Wales, Mascot, Sydney, Australia. It is a wholly owned subsidiary of Toll Group. Pel-Air specialises in air charter and ad hoc services, operating executi ...
that Australiawide would purchase Pel-Air. As part of the public float process, Australiawide Airlines' name was changed to Regional Express Holdings. Regional Express Holdings is the owner of a number of other companies. The main asset is Regional Express Pty Ltd. which is the company that operates the business of the airline Regional Express (Rex) and owns Rex Airlines Pty Limited. Rex Airlines Pty Limited was registered on the 6 July 2020 as part of Rex domestic expansion plans, responsible for issuing tickets on behalf of Regional Express Pty Limited. Another company is Air Partners Pty. Ltd., which is the company that owns
National Jet Express National Jet Express (formerly ''Cobham Aviation Services Australia - Regional Services'') is an Australian charter airline and aviation services provider with its headquarters in Perth, Western Australia. History National Jet Express was est ...
and Pel-Air and Rex Flyer. The third subsidiary company is Rex Investment Holdings Pty. Ltd., which owns the Australian Aero Propeller Maintenance and Australian Airline Pilot Academies based in Wagga Wagga and Ballarat.


2024 voluntary administration

In July 2024, the company requested a
trading halt A trading halt occurs in the U.S. when a stock exchange stops trading on a specific security for a certain time period. The halt, which can happen a few times a day per security if FINRA deems it, usually lasts for one hour, but is not limited t ...
. This sparked comparisons with
Bonza Bonza Aviation Pty Ltd, operating as Bonza, was a short-lived Australian low-cost airline, headquartered on the Sunshine Coast, Queensland, Sunshine Coast. Founded in October 2021, Bonza commenced operations on 31 January 2023. The airline ente ...
, that had collapsed and later was wound up earlier that year, and calls by the Transport Workers' Union of Australia for government intervention, with Prime Minister
Anthony Albanese Anthony Norman Albanese ( or ; born 2 March 1963) is an Australian politician serving as the 31st and current prime minister of Australia since 2022. He has been the Leaders of the Australian Labor Party#Leader, leader of the Labor Party si ...
asking for time and conditions and criticising the company's move away from regional service. It later suspended ticket sales with plans to exit out of the capital city market and appointed EY as administrators. Capital city flights were suspended, with an agreement reached with
Virgin Australia Virgin Australia, formerly known as Virgin Blue, is an Australian airline based in Brisbane, Queensland. It is one of two active airlines (the other being Virgin Atlantic) to use the Virgin Group, Virgin brand, as well as the larger by fleet ...
to accommodate affected Rex customers between 30 July and 14 August 2024. On 31 July, the company was placed into
voluntary administration As a legal concept, administration is a procedure under the insolvency laws of a number of common law jurisdictions, similar to bankruptcy in the United States. It functions as a rescue mechanism for insolvent entities and allows them to carry on ...
and cancelled all capital cities flights, but continued to operate regional services. PAG has held off taking the company under
receivership In law, receivership is a situation in which an institution or enterprise is held by a receiver – a person "placed in the custodial responsibility for the property of others, including tangible and intangible assets and rights" – especia ...
, with the hope that the company will be sold instead. The leases on three of its Boeing 737s were taken over by Virgin Australia. In August, the federal government guaranteed flights with Rex or moneyback. Administrators thanked the move as added certainty for customers during the process. However, there has been no specific dollar metric set until the event of cancellation, or say on whether further intervention might be needed to support the business or find a buyer including an outright
bailout A bailout is the provision of financial help to a corporation or country which otherwise would be on the brink of bankruptcy. A bailout differs from the term ''bail-in'' (coined in 2010) under which the bondholders or depositors of global syst ...
. This has also drawn slight criticism from unions and the federal opposition, calling it a "stopgap measure" and calling to go further as stated, including guaranteeing staff on the Fair Entitlements Guarantee - a system that was put off in the case of Bonza -, with fears also for keeping remote communities connected to transit and essential services. Meanwhile, after an extended investigation into the source of a $500 million debt or possible
insolvent trading A number of legal systems make provision for companies trading while insolvent to be unlawful in certain circumstances, and provide for directors to become personally liable for a company's debts if they have acted improperly. In most legal syste ...
, the administrators blamed a series of factors principally a pilot shortage and other supply chain issues, ex-staff entitlements and half-empty seats for the collapse. The company is indebted to a total of 4,800 creditors including ex-staff, airports and funders. It is estimated that the administration of Rex has resulted in about 600 job losses within the company and counting, with the assurance that business is not affected and that the staff are not being stripped right down but in fact were returned to original levels. On 23 August, the company was granted an extension of the administration by the
Federal Court of Australia The Federal Court of Australia is an Australian superior court which has jurisdiction to deal with most civil disputes governed by federal law (with the exception of family law matters), along with some summary (less serious) and indictable (mo ...
to 25 November, allowing more time to process and bind expressions of interest but does not intend to use all of it to find a buyer. It was later revealed that there are reports of no real interest in buying the company and that the holding company may be either broken up and sold, placed into
liquidation Liquidation is the process in accounting by which a Company (law), company is brought to an end. The assets and property of the business are redistributed. When a firm has been liquidated, it is sometimes referred to as :wikt:wind up#Noun, w ...
, and/or moved on to receivership. On 8 October, it was revealed a
YouGov YouGov plc is a international Internet-based market research and data analytics firm headquartered in the UK with operations in Europe, North America, the Middle East, and Asia-Pacific. History 2000–2010 Stephan Shakespeare and Nadhim ...
poll suggested high popular demand for further government intervention such as part-
nationalisation Nationalization (nationalisation in British English) is the process of transforming privately owned assets into public assets by bringing them under the public ownership of a national government or state. Nationalization contrasts with priv ...
of the company and setting up a separate industry commission, such as a "Safe & Secure Skies Commission", to reduce fierce monopoly and fair work and consumer affairs violations plaguing the industry. In October 2024,
Pel-Air Pel-Air Aviation Pty Ltd (trading as Pel-Air) is an airline based in Mascot, New South Wales, Mascot, Sydney, Australia. It is a wholly owned subsidiary of Toll Group. Pel-Air specialises in air charter and ad hoc services, operating executi ...
was sold to the
Toll Group The Toll Group is an Australian freight company that operates a logistics and global freight forwarding network spanning 150 countries, with over 20,000 customers. Toll has more than 16,000 workers across 500 sites. Toll Holdings Pty Limited ( ...
.
Wagga Wagga Wagga Wagga (; informally called Wagga) is a major regional city in the Riverina region of New South Wales, Australia. Straddling the Murrumbidgee River, with an urban population of more than 57,003 as of 2021, it is an important agricultural, m ...
flight school Flight training is a course of study used when learning to aviator, pilot an aircraft. The overall purpose of primary and intermediate flight training is the acquisition and honing of basic airmanship skills. Flight training can be conducted un ...
, Australian Airline Pilot Academy was also put up for sale for $17 million. In November 2024 its administration was extended again to 30 June, with the government finally also in talks of giving the company $80 million and early access to the Fair Entitlements Guarantee. This move has angered rivals, who called out the government and administrators for not allowing for any discourse whatsoever and not looking into the greater competition or situation. Administrators have found themselves in two lawsuits, including one by
ASIC An application-specific integrated circuit (ASIC ) is an integrated circuit (IC) chip customized for a particular use, rather than intended for general-purpose use, such as a chip designed to run in a digital voice recorder or a high-efficien ...
alleging the company mislead investors on its financial trend before the collapse. On 23 January 2025, the federal government announced it would acquire the $50 million in debt from the senior lender PAG in another effort to secure the future of the airline, becoming the new major creditor for the company and, as a creditor, filing to be a voting member in the administration's Committee of Inspection. The Government is reported to be 'supporting' the company in finding a buyer, after the first effort did not find a buyer. While getting bipartisan support from the Opposition, the announcement is made out by the government and analysts as a move to support regional areas in the near next election. On 12 February 2025, the federal government announced it would buy the airline if no buyer was found, coinciding with support of prospective buyers for the company. It has clarified it is not particularly in the list of buyers for the company, calling on the private sector to see an outcome for the company first. It will be the first nationally-owned airline since the privatisation of
Qantas Qantas ( ), formally Qantas Airways Limited, is the flag carrier of Australia, and the largest airline by fleet size, international flights, and international destinations in Australia and List of largest airlines in Oceania, Oceania. A foundi ...
in 1997. This saw optimism from the TMU, but however, this escalation has sparked some opposition from the Coalition and
conservative Conservatism is a cultural, social, and political philosophy and ideology that seeks to promote and preserve traditional institutions, customs, and values. The central tenets of conservatism may vary in relation to the culture and civiliza ...
outlets, pointing out at question time that the
taxpayer A taxpayer is a person or organization (such as a company) subject to pay a tax. Modern taxpayers may have an identification number, a reference number issued by a government to citizens or firms. The term "taxpayer" generally characterizes o ...
shouldn't foot the bill to keep the airline afloat, that rivals should have a say in the process which they currently don't, and cynical connections to Albanese himself and if he will appoint disgraced
Qantas Qantas ( ), formally Qantas Airways Limited, is the flag carrier of Australia, and the largest airline by fleet size, international flights, and international destinations in Australia and List of largest airlines in Oceania, Oceania. A foundi ...
CEO Allan Joyce, while the Government rebutted with airlines collapsing under their watch and the close connections to the board of the airline who had grandiose plans which ultimately ran the airline to the ground. This has also sparked some opposition from rivals, with the founder of Nexus Airlines Michael McConachy commenting that the sale campaign itself was poor and staggered and a collapse would not affect competition as others can step in and the actually-monopolised routes are few and state-underwritten.


Controversies


Political links criticism

Rex has been criticised for its close political and financial relationship with the
Coalition A coalition is formed when two or more people or groups temporarily work together to achieve a common goal. The term is most frequently used to denote a formation of power in political, military, or economic spaces. Formation According to ''A G ...
, particularly the centre-right to right-wing
National Party of Australia The National Party of Australia, commonly known as the Nationals or simply the Nats, is a Centre-right politics, centre-right and Agrarianism, agrarian List of political parties in Australia, political party in Australia. Traditionally represe ...
. John Sharp, Rex's current deputy chairman, was a National Party member of the Australian Parliament from 1984 to 1998. Rex has provided National Party members with flight tickets free of charge during election campaigns, and is a major donor to the political party. During the early stages of the COVID-19 pandemic in 2020, it was revealed that Rex received more taxpayer funds than
Qantas Qantas ( ), formally Qantas Airways Limited, is the flag carrier of Australia, and the largest airline by fleet size, international flights, and international destinations in Australia and List of largest airlines in Oceania, Oceania. A foundi ...
and
Virgin Australia Virgin Australia, formerly known as Virgin Blue, is an Australian airline based in Brisbane, Queensland. It is one of two active airlines (the other being Virgin Atlantic) to use the Virgin Group, Virgin brand, as well as the larger by fleet ...
combined, despite the Australian flag-carrier being more than six times larger than Rex by number of aircraft and employees. In response to this revelation, the then-
Labor Labour or labor may refer to: * Childbirth, the delivery of a baby * Labour (human activity), or work ** Manual labour, physical work ** Wage labour, a socioeconomic relationship between a worker and an employer ** Organized labour and the labour ...
opposition accused the then-Coalition Government of "supporting their National Party mates", a reference to the close friendship between John Sharp and then-deputy Prime Minister and Transport Minister Michael McCormack, who authorised the handout. In 2022, the year the Coalition lost government federally, Rex named a newly delivered 737-800 aircraft after McCormack at the airline's 20th anniversary celebrations.


Hostilities with Australian regional councils

Since its inception, Rex has been involved in tense public disputes with many regional councils in Australia, whom operate many regional airports, over airport fees, high airfares and alleged price gouging, airport security costs, operational requirements as well as negative comments about the airline made by regional mayors and councillors, and have made various threats with the intention of pressuring councils to the point where they succumb to satisfying the company's demands. Threats made by Rex, which in many cases have been followed through, have included temporary or permanent suspension of flights to relevant cities and towns, alleged acts of
blackmail Blackmail is a criminal act of coercion using a threat. As a criminal offense, blackmail is defined in various ways in common law jurisdictions. In the United States, blackmail is generally defined as a crime of information, involving a thr ...
ing councils, and banning councillors from flying with the airline. In some cases Rex has directly withdrawn flights to towns in response, without engaging with affected councils. In some cases, Rex's withdrawal of services has left many towns across Australia without an air service.


Arizona aircraft theft

In September 2024, it was revealed that USA-based firm Jet Midwest Group filed a ( AU$10,737,760) lawsuit alleging Rex unlawfully dismantled parts and scrapped 4
SAAB 340 The Saab 340 is a Swedish twin-engine turboprop aircraft designed and initially produced by Saab AB and Fairchild Aircraft. It is designed to seat 30–36 passengers and, as of July 2018, there were 240 operational aircraft used by 34 differen ...
aircraft in the firm's possession when they were stored at an
aircraft boneyard An aircraft boneyard or aircraft graveyard is a storage area for aircraft which are retired from service. Most aircraft at boneyards are either kept for storage continuing to receive some maintenance or parts of the aircraft are removed for reus ...
in Kingman Airport,
Arizona Arizona is a U.S. state, state in the Southwestern United States, Southwestern region of the United States, sharing the Four Corners region of the western United States with Colorado, New Mexico, and Utah. It also borders Nevada to the nort ...
. The lawsuit, filed by the firm in the
Supreme Court of New South Wales The Supreme Court of New South Wales is the highest state court of the Australian States and territories of Australia, State of New South Wales. It has unlimited jurisdiction within the state in civil law (common law), civil matters, and hears ...
, alleges Rex instructed a third party to remove these parts, which included engines and propellers, as well as to scrap the airframes, and profited from the sale of these components. The litigant was soon deterred from proceeding by the court, which agreed with the administrators citing that it would be a huge "costly" logistical distraction from the company which will affect the efficacy of the administration. Jet Midwest backed out agreeing that there is no "urgency" in the claim seeing it even took 4 years to take action.


ASIC lawsuit

In December 2024, following an investigation regarding an ASX tipoff, the
Australian Securities and Investments Commission The Australian Securities and Investments Commission (ASIC) is an independent commission of the Australian Government tasked as the national corporate regulator. ASIC's role is to regulate company and financial services and enforce laws to pro ...
began legal proceedings against four former directors of the company over allegations of deceptive and misleading conduct and dereliction of directorial duty regarding accurately and timely reporting the company's financial performance to the market leading up to its collapse. The regulator alleges it was making baseless, disingenuous claims to investors regarding its financial position which also contradicted a massive $35 million profit downgrade forecast. The regulator clarified it is not looking to personally fine the company (especially "given its current circumstances") or claim outright
insolvent trading A number of legal systems make provision for companies trading while insolvent to be unlawful in certain circumstances, and provide for directors to become personally liable for a company's debts if they have acted improperly. In most legal syste ...
, but leave it to the Supreme Court of New South Wales to declare contravention first which then may result in fines or bans targeted at the offenders themselves. ASIC later alleged that Rex told investors it shall receive a full-year profit, whilst reeling from a EBT $7 million loss in February 2023 following a $109 million loss in 2022 and seeking $10 million funding citing its cash reserves being "critically low" and "disappointingly and bewilderingly" terrible sales. The airline would ultimately still go on to make a $32 million loss that year in total.


Destinations

Rex Airlines initially offered regional flights from various bases across Australia using turboprop aircraft, but in March 2021 began flying between its bases using jet aircraft with flights between Melbourne and Sydney. Prior to its voluntary administration in July 2024, its domestic flights were between Melbourne, Sydney, Brisbane, Canberra, Gold Coast, Adelaide and Hobart. Rex Airlines operates to the following 45 destinations :


Interline agreements

Rex Airlines currently has Interline agreements with
Etihad Airways Etihad Airways is one of the two flag carriers of the United Arab Emirates (the other being Emirates). Its head office is in Khalifa City, Abu Dhabi, near Zayed International Airport. The airline commenced operations in November 2003, and ...
and
Delta Airlines Delta Air Lines, Inc. is a major airline in the United States headquartered in Atlanta, Georgia, operating nine hubs, with Hartsfield–Jackson Atlanta International Airport being its largest in terms of total passengers and number of depart ...
.


Fleet


Current fleet

, Rex Airlines operates the following aircraft:


Former fleet

Rex Airlines has previously operated the following aircraft:


Fleet development

Rex operates the world's largest fleet of
Saab 340 The Saab 340 is a Swedish twin-engine turboprop aircraft designed and initially produced by Saab AB and Fairchild Aircraft. It is designed to seat 30–36 passengers and, as of July 2018, there were 240 operational aircraft used by 34 differen ...
aircraft. The delivery of 25 ex- American Eagle Airlines Saab 340B ''Plus'' aircraft started in mid-2007 and enabled the expansion of services and the phase-out of the airline's Saab 340As, and some older B models. The 340B ''Plus'' has a quieter and more comfortable interior. In July 2008 the company announced that all of its 340As would be phased out; however one rejoined the fleet in July 2015 after a 7-year stint with Rex's subsidiary airline
Pel-Air Pel-Air Aviation Pty Ltd (trading as Pel-Air) is an airline based in Mascot, New South Wales, Mascot, Sydney, Australia. It is a wholly owned subsidiary of Toll Group. Pel-Air specialises in air charter and ad hoc services, operating executi ...
and remains in service as of January 2020. The airline also previously operated some Fairchild Metro 23 aircraft seating 19 passengers, but the aircraft were later phased out. The airline operated an all-Saab 340 fleet with three variants of the type until December 2020, when the airline commenced jet aircraft operations following the delivery of its first
Boeing 737-800 The Boeing 737 Next Generation, commonly abbreviated as 737NG, or 737 Next Gen, is a twinjet, twin-engine narrow-body aircraft produced by Boeing Commercial Airplanes. Launched in 1993 as the third-generation derivative of the Boeing 737, it ha ...
.


Incidents and accidents

*On 21 February 2016, a Regional Express Airlines Saab 340B, registered VH-ZLA, was forced to take evasive action to avoid a glider while operating from Orange Airport. The
Australian Transport Safety Bureau The Australian Transport Safety Bureau (ATSB) is Australia's national transport safety investigator. The ATSB is the federal government body responsible for investigating transport-related accidents and incidents within Australia. It covers ai ...
(ATSB) found the Rex aircraft was climbing through 7,500 ft after departing Orange when the crew sighted the glider in "close proximity", and took evasive action. *On 17 March 2017, the right propeller sheared off a Regional Express
Saab 340B The Saab 340 is a Swedish twin-engine turboprop aircraft designed and initially produced by Saab AB and Fairchild Aircraft. It is designed to seat 30–36 passengers and, as of July 2018, there were 240 operational aircraft used by 34 different ...
, registered VH-NRX, while operating flight ZL768 from
Albury Albury (; ) is a major regional city that is located in the Murray River, Murray region of New South Wales, Australia. It is part of the twin city of Albury–Wodonga, Albury-Wodonga and is located on the Hume Highway and the northern side of ...
to Sydney. The pilot made a
pan-pan The radiotelephony message PAN-PAN is the international standard urgency signal that someone aboard a boat, ship, aircraft, or other vehicle uses to declare that they need help and that the situation is urgent, but for the time being, does not po ...
call but was able to land the plane without incident. The ATSB after investigating found a fatigue crack in the engine's propeller mounting flange. *23 March 2017, at about 0942 Eastern Daylight-saving Time, a Regional Express SAAB 340B, registered VH-RXS, departed Dubbo Airport, New South Wales to operate scheduled passenger flight ZL821 to Sydney, New South Wales. At about 0944, as the aircraft climbed through about 4,300 ft, the flight crew heard several bangs from the right engine accompanied by jolts through the aircraft. *On 29 August 2019, a Regional Express Saab 340B, registration VH-RXX, the crew received a right engine fire indication followed by a loud bang while they were shutting the engine down. The aircraft landed at the planned destination of Merimbula without further incident. The ATSB discovered that the indication and subsequent engine failure was caused by an internal oil fire weakening the turbine blades. *On 8 May 2019, Regional Express Saab 340B aircraft, registered VH-OLM, descent below minimum safe altitude, 15 km south-west of Williamtown Aerodrome (Newcastle Airport), New South Wales. The ATSB found the flight crew had misjudged the aircraft's position relative to the aerodrome while conducting a night visual approach. *On 20 August 2019 a Regional Express, Saab Aircraft Company 340B, registration VH-ZLX, departed Adelaide, for a regular public transport flight to Port Lincoln, South Australia. During the post flight walk around, the first officer noted that the left main outboard landing gear tyre was deflated and that a piece of the wheel was missing. Ground support personnel at Adelaide Airport subsequently located the missing section of wheel on the runway strip. An area of fatigue cracking in the wheel. It was considered likely that the fatigue crack was present at the most recent maintenance visit, however, it had not been detected. *6 July 2021, a Saab 340B aircraft, registered VH-ZLJ, departed Perth Airport for a scheduled passenger flight to Albany, Western Australia. At about 1623, while climbing through an altitude of 6,000 ft, and before entering icing conditions, the crew activated the engine anti-ice and wing de-ice systems. Shortly afterwards, caution lights illuminated indicating a fault in the de-ice system. After levelling off at 7,000 ft, the crew actioned the relevant abnormal checklist, but the caution lights remained on. In response, the flight crew requested a descent to 5,000 ft to exit icing conditions and decided to return to Perth. ATC instructed the crew to make a right turn. About 20 seconds after beginning the turn, the aircraft’s aerodynamic stall warning stick shakers activated. The first officer initiated the stall recovery procedure before the captain took control as pilot flying to complete the recovery. The aircraft returned to Perth, landing at 1642. *5 April 2022, a Regional Express SAAB 340B aircraft, registered VH-ZRK, was being prepared for an air transport flight from Melbourne, Victoria to King Island, Tasmania. The scheduled departure time was 1445 local time. Interrupted engine start and evacuation. Two passengers received minor injuries during the evacuation. *4 November 2022, rejected take-off involving SAAB 340, VH-ZRC, at Flinders Island Airport, Tasmania. During the take-off roll, the aircraft veered to the left and the crew detected abnormal airspeed indications before rejecting the take-off, resulting in four landing gear tyres deflating. *21 December 2022, SAAB 340B aircraft, registered VH-RXE, that occurred about 140 km from Perth, Western Australia. During cruise, the no. 2 engine failed, and the crew returned the aircraft to Perth.


Flight school

In November 2007, Regional Express Airlines and Mangalore Airport Pty Limited created a joint venture pilot academy called the Civil Aviation Training Academy, based at
Mangalore Airport Mangalore International Airport (also known as Mangaluru International Airport) is an international airport serving the coastal city of Mangalore in the state of Karnataka, India. It is one of only two international airports in the state, t ...
in Victoria. In April 2008, Regional Express Airlines fully acquired the Civil Aviation Training Academy and it was renamed to Australian Airline Pilot Academy. On 18 February 2009, Regional Express Airlines announced that the Australian Airline Pilot Academy (AAPA) would be relocated from Mangalore Airport to
Wagga Wagga Airport Wagga Wagga Airport is a regional airport serving Wagga Wagga in New South Wales, Australia. The airport is located in the suburb of Forest Hill, New South Wales, Forest Hill, south-east of the city centre, on land leased from the Department ...
in partnership with the
City of Wagga Wagga City of Wagga Wagga is a Local government in Australia, local government area in the Riverina region of southern New South Wales, Australia. The mayor of the City of Wagga Wagga is Councillor, Cr. Dallas Tout, an Independent politician, indepen ...
starting in April 2009. On 27 May 2010, the AAPA campus at Wagga Wagga Airport was officially opened by Federal
Minister for Infrastructure, Transport, Regional Development and Local Government The Minister for Infrastructure, Transport, Regional Development and Local Government in the Government of Australia is a position currently held by Catherine King following the swearing in of the full Albanese ministry on 1 June 2022. The M ...
,
Anthony Albanese Anthony Norman Albanese ( or ; born 2 March 1963) is an Australian politician serving as the 31st and current prime minister of Australia since 2022. He has been the Leaders of the Australian Labor Party#Leader, leader of the Labor Party si ...
. On 19 November 2019, AAPA purchased ST Aerospace Academy Australia at Ballarat Airport in Victoria, taking it over as a second campus. In addition to training aircraft, the flight school has five
flight simulator A flight simulator is a device that artificially re-creates aircraft flight and the environment in which it flies, for pilot training, design, or other purposes. It includes replicating the equations that govern how aircraft fly, how they rea ...
s, including a full motion Saab 340 simulator. There is also one retired Saab 340B at Wagga Wagga used as a training aid. On 3 November 2024, it was confirmed that AAPA was up for sale after Rex Airlines went into administration in July 2024. It was reported that there was interest from over 40 parties based both domestically and internationally.


Training fleet

, the Australian Airline Pilot Academy operates the following aircraft:


See also

*
List of airlines of Australia The airline industry in Australia began in the early 1920s with Western Australian Airways on the west coast, and Australian Aircraft & Engineering on the east coast. In 1920 (November), Qantas was formed, and continues to operate. This is a lis ...


References


Bibliography

*Thorn, Jim. "Interview – Michael Jones, CEO Regional Express". ''Australian Aviation'' magazine, No. 187, September 2002, pp. 30–34. Aerospace Publications Pty. Ltd. ISSN 0813-0876


External links

{{Portal bar, Australia, Aviation Airlines of Australia Airlines established in 2002 Australian companies established in 2002 Regional Aviation Association of Australia Companies based in Sydney