SYDNEY — Budget airline Jetstar said on Monday it would cut domestic capacity by around 10% in January due to industrial action by pilots and was considering the sale of three Boeing Co 787-8 jets serving loss-making international routes. The Qantas Airways Ltd subsidiary said the financial impact of disruptions by pilots and ground staff in December and January was estimated to be around A$20 million ($13.6 million) to A$25 million and had led it to do a broader review of its fleet and network, including its 787-8s. "There's no doubt that industrial action is expensive and frustrating, but we have to hold the line on costs or it threatens the long-term sustainability of our business," Jetstar Group Chief Executive Gareth Evans said in a statement. Jetstar said a business case had been developed to sell three of its 11 787-8s, with the capital to be reinvested in other parts of the Qantas Group or returned to shareholders, with a final decision expected in the first quarter of the 2020 calendar year.

Source: International New York Times December 16, 2019 00:19 UTC