Australian airline Regional Express Holdings (Rex Airlines) entered voluntary administration on July 30, leading to the cancellation of all major domestic flights. Ernst & Young Australia (EY Australia) has been appointed as Joint and Several Voluntary Administrators by the Rex Group’s Boards of Directors.
Since Tuesday, Virgin Australia has stepped in to fill the gap by offering flights to customers whose bookings were affected by the cancellations. Despite the upheaval, Rex’s regional planes, which include Saab 340s, continue to operate. The airline’s fleet also includes Boeing 737s used for major city routes.
Rex Airlines and Virgin Australia are exploring opportunities to support regional customers. These initiatives include potential codeshare or interline arrangements, allowing Virgin Australia to sell Rex’s regional services, according to a statement from the airline.
Rex Airlines is now the second Australian airline to go bust in 2024, following the low-fare carrier Bonza earlier in the year. This development further consolidates the already narrow Australian aviation market.
Originally operating as a regional airline since 2002, Rex expanded into domestic operations in 2021, offering narrowbody aircraft services alongside its regional routes. These domestic operations included flights in the highly competitive golden triangle of Sydney-Melbourne-Brisbane. In 2024, Rex added new routes, including Melbourne to Perth, and established an interline agreement with Etihad.
While regional operations remain unaffected by the administration, the airline did cut several routes from its network in September 2023. The future of Rex Airlines remains uncertain as it navigates this challenging period.
