Vietnam Airlines and the Qantas Group have reached an agreement regarding the airline, which they both own stakes in, Jetstar Pacific. With the agreement, the Asian airline will see a significant number of modifications, including a brand and ownership changes.
To start with, the Jetstar Pacific brand will no longer exist and revert to Pacific Airlines, the brand under which the carrier operated before Qantas bought a stake in back in 2007. The airline’s new livery and logo will reportedly be very similar to the ones of Vietnam Airlines in an attempt to streamline operations and increase brand recognition in the region where it will operate.
Photo by Duy Khang Tran | AeroNewsX
In addition to the previously mentioned changes, Qantas will be abandoning its stake in the carrier, which will result in Vietnam Airlines gaining full control over the budget carrier pending governmental and regulatory approval. The Australian airline had already confirmed in April that it was in discussions Vietnam Airlines about the future of their joint-venture business.
Qantas will retain, however, its stake in Singapore-based Jetstar Asia (49%) and Japan-based Jetstar Japan (33%). Other changes that will result from this agreement will be switching the reservation system from Navitaire to Sabre. This helps streamline the bookings with its parent company, Vietnam Airlines.
According to Qantas, the airline was facing problems, which had only worsened during the coronavirus pandemic. With the new branding, Vietnam Airlines plans to combat the tough domestic competition in Vietnam.