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- Regional Express (REX) signs a letter of intent to add two new Boeing 737-800NG aircraft to its fleet
- The aircraft are expected to arrive in August and take the airline’s fleet of 737s to a total of eight
- With the added aircraft, Rex will be able to launch new routes to capital cities, as well as large regional centres and popular leisure destinations
- The airline now hopes to add another two 737s to its fleet before the end of this year, taking the total to 10
- Shares in Regional Express remain steady at $1.20 each as of 3:50 pm AEST
As part of its domestic expansion plans, Regional Express (REX) has signed a letter of intent to add two new Boeing 737-800NG aircrafts to its fleet.
The airline currently runs 737 services from Melbourne to Sydney, the Gold Coast, Adelaide and Canberra, and from Sydney to the Gold Coast.
The two aircraft will take Rex’s fleet of 737s to a total of eight and are scheduled to arrive in August, with flights to begin in September. Rex said the new planes will allow the airline to launch new routes to other capital cities, as well as large regional centres and popular leisure destinations.
As Australia’s largest regional airline, Rex had previously avoided going toe-to-toe with the likes of Qantas, Jetstar and Virgin. However, the company secured Board approval in June last year for a venture into more mainstream operations.
Then, in November, Rex secured $150 million in funding through an agreement with Hong Kong-based investment firm PAG Regulus Holdings to support its expansion plans.
“Within six months we have already obtained approval for the jet operations on our Air Operator’s Certificate (AOC), recruited and trained crews and engineers, procured six aircraft and started operations on five domestic routes, with the first services commencing on 1 March 2021,” Deputy Chairman John Sharp said.
Rex is now aiming to add another two 737s to its fleet before the end of the year, for a total of 10, and is seeking expressions of interest from lessors for the two aircraft as well as from cities that are, according to Mr Sharp, “keen to finally put an end to the price gouging they have been subject to for too long”.
Shares in Regional Express remain steady at $1.20 each as of 3:50 pm AEST.
