Historic deal with Rex Airlines with significant investment by Rex

Maranoa Regional Council resolved to finalise and execute a ground-breaking partnership deal with Rex Airlines during the November 2022 council meeting.

This partnership guarantees resident fares at $169 and small-to-medium business fares at $250 (per ticket, one- way) which responds to extensive community consultation in 2021. Fares will be available for sale and travel from 01 January 2023.

Mayor Golder advised, “This is a true partnership opportunity. The deal projects an increase in revenue for next year and gives Council financial security with CPI increases each year.”

“Council regrets the negative views reported in the media that gives the perception that the partnership with Rex results in a deficit for the Roma airport operations or that there is any form of subsidy to Rex. In fact, Council confirmed that the total airport business unit had a positive EBITDA (earnings before interest, tax, depreciation, and amortisation) thus a positive operating cash flow for council. Roma airport itself generated $2.297m of the $2.467m budgeted for the 4 airports in FY 2022 of which $0.24m went towards covering corporate overheads.”

“We are mindful of the reputational damage that the negative comments have inflicted on Rex and we are grateful that Rex is willing to reverse its position to withdraw from the partnership following those comments.”

“Rex currently services Roma with up to 5 return flights a day to Brisbane on weekdays and have committed to increasing this whenever capacity is insufficient. Our community has never experienced such affordable and frequent air services ever.”

Rex Executive Chairman, Lim Kim Hai, said, “Mayor Golder has advocated effectively for his community and has convinced me that the mischievous comments do not at all reflect the predominant view of the community and that the latter should not be made to pay the price. I salute the passion and community mindedness of the Mayor.”

“Rex looks forward to growing the partnership with the Maranoa Regional council under Mayor Golder leadership and we are confident that our affordable, frequent and reliable air services delivered with our hallmark country hospitality will be a strong motor of growth to the socio-economic fabric of the entire Maranoa region.”

For more information, please contact Council on 1300 007 662.