REX: Locks in 6 Boeing 737-800’s to start capital city routes

Rex has announced the signing of ‘Letters of Intent’ for the lease of 6 Boeing 737-800 NG aircraft.

Aircraft arrival

We can expect REX to recieve the first aircraft on 1 November, with the remaining 5 received over then next 4 months.

“Three of these aircraft will be deployed in the first phase of our launch on 1 March 2021 on the Sydney –Melbourne route, with another two aircraft beginning service before Easter. From there, Rex will continue to grow the domestic fleet in line with the return of passenger demand and hopes to see its fleet of 737-800 NG’s reach ten by year-end.”

John Sharp, Deputy Chairman

Still a few hurdles

REX still needs regulatory approval which it expects in December 2020 and that’s when ticket sales should commence for the March 2021 operational start of the Sydney/Melbourne route.

Expect prices to undercut the major competitors, and maybe some opening specials.

2PAXfly Takeout

The aviation industry has a difficult road ahead when it comes to sustainability. It’s going to require a relative revolution in technology, with ‘electric planes’ or hydrogen planes, or some form of jet engine that doesn’t require a carbon based fuel. And that is going to require the development of an alternative to jet engines probably.

It’s a big ask. It will take time to develop.

This move to home grown and manufactured SAF is a first step – maybe even a baby step in a very long road of innovation. In the long run, US$200 million won’t even touch the sides.

Call me cynical, or just someone with a good memory for past tilts at the domestic capital city market. Remember Air Australia? I am just not convinced this is a goer. Will I test them out – probably? Do I think they will last – no. Do I support their tilt at the domestic capital city market – absolutely – because at the least – they will keep the other airlines’ prices in check.