Meanwhile Qantas has sold its catering arms to its global alliance partner Emirates, in a move it says will help it to focus investment in its core airline operations.
The airline said on Wednesday it would sell subsidiaries Q Catering Limited and Snap Fresh to Emirate’s dnata catering, cargo and ground handling group.
The sale price was not revealed but the airline said it was not ‘material’. Qantas’ combined catering businesses employ about 1200 people, who will become dnata employees, boosting the number of people the Emirates arm employees to 5,400..
dnata has 11 catering facilities in Australia and operates in 13 countries globally. It already services Qantas aircraft out of Adelaide, Canberra, London and Johannesburg.
Under the sale, which will require Australian Competition and Consumer Commission approval, dnata will take over Q Catering’s facilities in Sydney, Melbourne, Brisbane and Perth and will supply food and drinks on Qantas flights under a 10-year deal.
Qantas will continue to set its own menus and work with produce suppliers, the airline said in yesterday’s statement (https://www.qantasnewsroom.com.au/media-releases/sale-of-qantas-catering-business/).
"We’ve always said that we would explore the sale of certain assets where it makes sense, just as we’ve done before,” Qantas domestic chief executive Andrew David said.
“The catering businesses will benefit significantly from dnata’s global footprint, catering expertise and ability to drive investment and growth for what is a core focus of its operation.”
The sale also includes the Queensland-based Snap Fresh business, which produces frozen meals for a number of airlines, as well as customers in healthcare and for general retail.
