Following an emergency Board meeting on Sunday 22 March 2020, Regional Express (Rex) has announced that it will shut down its expansive Regular Public Transport (RPT) air services in all States, except in Queensland where the services are underwritten by the Queensland Government. Operations will cease with effect from 6 April 2020 unless the Federal and State Governments are willing to underwrite the losses.

Rex’s Deputy Chairman, the Hon John Sharp AM said, “Rex is supportive of the strong measures taken by the Federal and State Governments such as the shutting of State borders and imposing a lockdown within the States as well as discouraging all non-essential travel. These measures will definitely reduce the number of infections from COVID-19, prevent the health care system from being overwhelmed and save many lives.”

“However, tragically for the airline industry, this means that we can expect the year-on-year reduction of passenger numbers to nosedive to around 80% from the 60% we are experiencing today. There is a tipping point in the airline business beyond which it will no longer be sustainable to operate reduced services.”

“We believe that with only 20% of our passenger numbers left we have reached that point and the Rex Group has decided that the quasi suspension of all services at this stage presents the best option to preserve its cash.”