A report in the Sydney Morning Herald today says that there rumours of Singapore Airlines and Macquarie Bank launching a joint takeover for Qantas resurfaced yesterday.
The theory runs like this: Singapore Air could gain entry on the coveted Sydney-Los Angeles route if it took a stake in Qantas.
But there are some serious problems with this thinking.
Even if it snared Qantas, Singapore Air would still be considered Singaporean, and therefore barred from the route.
Singapore Air would also be restricted to owning 25 per cent of Qantas, thanks to the Qantas Sale Act.
And even if the Qantas Sale Act allowed it to own 100 per cent of Qantas, the Flying Kangaroo would then be considered a Singaporean airline.
And hence barred from the trans-Pacific route.
What do you think?
The Mole says that Singapore Airlines has been pretty unhappy with the Australian Government since the airline was prevented from buying Ansett and all sorts of other road blocks since then, including the Pacific!
No smoke without a little bit of fire perhaps?
Click on COMMENTS below and let us have your views.
Report by The Mole
