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Qantas to Reduce Fuel Surcharges

Sydney, 16 January 2007

Qantas announced today it would reduce its domestic fuel surcharges and further reduce some of its international surcharges for tickets issued on or after Tuesday 23 January 2007.

The Executive General Manager of Qantas, Mr John Borghetti, said the fuel surcharges would be:

International Travel (one way from Australia)
- UK and Europe - $170 (no change)
- Mainland USA, Canada, South America, South Africa and India - $133 (no change)
- Asia, Pacific, Honolulu - $100 (was $105)
- New Zealand - $55 (was $60)

Domestic Travel (per sector)
- Qantas Australian and New Zealand Domestic - $26 incl GST (was $31)
- QantasLink (jet services) - $26 incl GST (was $31)
- QantasLink (turboprop services) - $24 incl GST (was $29)

"We reduced international surcharges in October and we have been monitoring oil prices closely since then," Mr Borghetti said.

"With the more recent fall in the price of jet fuel, we can now extend the surcharge reduction to domestic fares, as well as make further reductions on a number of our international routes."

Mr Borghetti said Qantas would continue to monitor oil prices and refining costs, which remained a major issue for Qantas and the wider aviation industry.

"Despite hedging and surcharges, we are still under-recovering the cost of fuel price increases by hundreds of millions of dollars, even with the recent drop in jet fuel prices," he said.

Mr Borghetti said Qantas would also reduce its Frequent Flyer points option, for Frequent Flyers electing to use their points to pay for taxes, levies and charges on domestic Australian and New Zealand Award flights, by 500 points from 23 January.

Issued by Qantas Corporate Communication (3522)
Email: qantasmedia@qantas.com.au