Woolworths Limited and Qantas Airways Limited to Create New Loyalty Alliance

Sydney, 12 December 2008

Woolworths Limited (Woolworths) and Qantas Airways Limited (Qantas) today announce an exclusive Heads of Agreement to create a world-leading loyalty alliance.

From mid-2009, the new relationship will allow Woolworths customers who participate in the Everyday Rewards program to earn Qantas Points when they shop for groceries, fuel, packaged liquor, general merchandise or consumer electronics at a participating Woolworths group business.

Details of the relationship and how it will operate, will be finalised over the coming months, when a formal agreement will be signed.

The alliance will unite two of Australia's most recognised and iconic brands and, in terms of range and scope, will deliver even greater reward opportunities for consumers.

The Chief Executive Officer of Woolworths, Michael Luscombe and the Chief Executive Officer of Qantas, Alan Joyce, said together both companies had helped meet the everyday and travel needs of Australian families for more than 85 years.

Mr Luscombe said 2.7 million registered customers currently enjoyed the benefits of the Everyday Rewards program.

"The alliance with Qantas Frequent Flyer will take Everyday Rewards to the next level," he said.

"It will extend the program beyond our existing fuel savings offer and will significantly enhance the value of being a member. No other loyalty alliance could offer our customers such rich rewards, simply for buying their everyday household needs."

The Chief Executive Officer of Qantas, Alan Joyce said the alliance would offer Qantas Frequent Flyer's 5.4 million members yet another way to accelerate their points earning.

"Through their everyday spending, members will have more opportunities to earn points, and the opportunity to double-up on their points every time they use their eligible direct-earn credit card, when making purchases at Australian stores within the participating Woolworths group businesses," he said.

"With the recent enhancements to the Qantas Frequent Flyer program, they will also have more opportunities to redeem them.

"This ranges from the program's excellent value Classic Awards on Qantas and Jetstar, to Jetstar or Qantas Any Seat Rewards and the choice of gift vouchers or over 1,000 products, through the Qantas Frequent Flyer Store."

Issued by Qantas Corporate Communication (Q3865)