Industry reacts to Air Australia woe

Industry reacts to Air Australia woe
By admin


Travel agents and wholesalers are frantically working to help thousands of stranded Air Australia passengers as the low cost carrier went into voluntary administration overnight, just three months after its launch.

The carrier was reportedly unable to refuel its planes in Phuket last night, prompting the appointment of administrators KordaMentha at 1.30am this morning.
Its entire fleet of five Airbus A330-200 and A320-200 aircraft is now grounded voiding the 100,000 tickets sold and leaving up to 4,000 passengers struggling to get home from Bali, Phuket and Honolulu.
“It currently appears that there are no funds available to meet operational expenses so flights will be suspended immediately,” a statement from KordaMentha confirmed.
The administrator said that it was “too early” to predict the position of the airline or to be precise about the reasons for the group’s problems, but it stated that it was “highly unlikely” that flights would resume in the short to medium term.
It has called for immediate expressions of interest in the sale of business, which comprises seven companies including Air Australia, Strategic Engineering Australia and Strategic Aviation Charter.
Meanwhile, Qantas and Jetstar have pledged to help those stranded, offering tickets at the same price as the Air Australia.
Creative Holidays said it was working to resolve the situation for its “small number” of clients in Hawaii, Phuket and Bali, but said it was unable to process any refund requests at this time.
People who have booked with the airline should contact their credit card issuer or travel agents to find out if they are entitled to a refund. Cash bookings will not be refunded, unless covered by an insurance policy.
Insurance firm Cover More and Flight Centre had raised question marks over the business’ financial position at the end of last year. But the airline dismissed insolvency concerns as unfounded and convinced Flight Centre of its sound footing with the two signing a commercial deal.
A spokesman for Flight Centre described it as a “very sad” development. He said agents were assisting “thousands” of clients already overseas and those yet to travel.

Latest News

  • Road & Rail

Ingenia Holiday Parks powers its very own EV Superhighway throughout NSW

Ingenia Holiday Parks has started plans to make it easier for electric vehicle drivers to explore Australia’s east coast with their expanded EV charging network. By the end of 2024, Ingenia Holiday Parks will have installed 44 new EV charging ports across 11 of its parks, enabling seamless travel from Brisbane in Queensland to Eden […]

  • Destinations
  • Regional
  • Tourism

Warrawong on the Darling’s new ownership and summer savings

Outback holiday retreat, Warrawong on the Darling, has new owners marking a new era for the cabin, van and camping park near Wilcannia, and released savings for summer stays and a free roast dinner on Christmas Day. Nestled by a pristine billabong on the Darling River and surrounded by sand dunes, far horizons, rugged open […]

  • Aviation

Visit Sunshine Coast, Jetstar host Kiwi trade partners ahead of JQ Auckland-Maroochydore launch

Visit Sunshine Coast’s trade and international manager, Emily Zinowki, treated Auckland trade partners to a hosted lunch alongside Jetstar New Zealand. The lunch was in celebration of the imminent launch of the new JQ Auckland to Maroochydore direct service on 13 December. The year-round direct flights between Auckland and the Sunshine Coast are a first […]

  • Cruise

Celebrity Cruises opens new 2026/27 sailing bookings

Celebrity Cruises has opened bookings for its exciting new 2026/27 sailings, including the Grand Voyage, a 110-night journey, and the longest without repeating ports for Celebrity. Aussies will be able to book fan favourite Celebrity Solstice as she returns to Australia in the 2026/27 season as part of Celebrity Cruises’ Grand Voyage. When they aren’t taking […]

  • Cruise
  • Cruise Lines

Heritage Line launches 2025 early bird discount

Boutique river cruise operator, Heritage Line, has launched an early bird discount with up to US$200 (around AU$313) off on bookings for 2025. The offer is available until 31 December, making it ideal for those planning to gift a trip to someone for the holidays or for those ready to plan their 2025 vacations. The […]

  • News

Tragedy at Bali’s Ubud Monkey Forest as tree collapse kills two

A freak event claimed the lives of two tourists at the popular Ubud Monkey Forest in Bali on Tuesday afternoon local time when a large tree branch collapsed. A 32-year-old French woman and a 42-year-old Korean woman were fatally injured. At around 12:30 pm a sudden storm with strong winds and heavy rain arrived with […]

  • Aviation
  • Hotels
  • Travel Agents

Dorchester and Cathay Pacific advisor promotion winners enjoy luxury fam in Rome and Milan

Winners of a Dorchester Collection and Cathay Pacific travel advisor promotion enjoyed a luxury fam in Roma and Milan where they were wined and dined before enjoying a stopover in Hong Kong. The winners, Hema Desai (Spencer Travel), Ani Aladjadjian (ATPI), Mimi Romijn (Wentworth Travel), Emma Neely-Bartlett (Travel Beyond Group), Nicole Reber (Mosman Travel), Steve […]

  • Food & Beverage
  • Hotels

Lee Ho Fook chef Victor Liong adds another chapter with new offering Singapore’s Quenino Artyzen hotel

Melbourne chef Victor Liong, of the two-hatted Lee Ho Fook, has added to his culinary storytelling with Quenino by Victor Liong, in Singapore’s Artyzen hotel, where contemporary Asian cuisine is served with a relaxed fine-dining flair. Artyzen Singapore emerged from an iconic Singapore heritage landmark that was once the sprawling tropical-garden mansion named “Villa Marie” […]

  • Food & Beverage

Tolpuddle Vineyard opens Tasting Room in Coal River Valley

Tolpuddle Vineyard is opening its Tasting Room at their Coal River Valley property in Richmond, Tasmania, this Friday, 13 December. The Tolpuddle Vineyard Tasting Room, managed by Pip Anderson, previously general manager of hospitality at Mona, will be open from Friday to Monday, 11am to 5pm with appointments available online. Visitors can taste a flight […]

  • Aviation

Air Tahiti Nui celebrates big wins with 2025 APEX awards and Cash & Miles Program

Air Tahiti Nui has again been recognised for service to travellers being honoured with the prestigious Five Star Major Airline title for the 7th consecutive year. Announced at the APEX/IFSA Awards 2025 ceremony, the ranking is based on passenger reviews of over one million flights and 600 airlines. The flagship carrier of The Islands of […]