Qantas To Reduce International Fuel Surcharges

Sydney, 08 October 2008

Qantas announced today it would reduce its international fuel surcharges in response to recent falls in oil and jet fuel prices.

The changes will apply to tickets issued on or after Thursday 9 October 2008.

The Executive General Manager of Qantas, Mr John Borghetti, said the new international fuel surcharges (one way ex Australia) would be:

- UK and Europe- $A190 (new) $A210 (previous)

- Mainland USA, Canada, South
America, South Africa and
India - $A150 (new) $A165 (previous)

- Asia, Pacific, Honolulu -
$110 (new) $120 (previous)

- New Zealand - $ 65 (new) $ 70 (previous)

"Although the price has fallen below US$100 a barrel in recent days, oil remains very volatile and a major challenge for the airline industry,” Mr Borghetti said.

Mr Borghetti said the surcharge reduction would be accompanied by domestic fare reductions.

"Qantas domestic and QantasLink regional fares across a range of routes will be reduced by approximately 2-3 per cent,” he said.

Mr Borghetti said at current oil prices, and even after hedging and fuel saving measures, the Qantas Group’s fuel bill this year would still be $1.3 billion higher than in 2007/08.

Issued by Qantas Corporate Communication (3828)