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Rex Airlines thrown a further lifeline to keep serving regional and remote communities

January 24, 2025 7:03 am in by

Any news that strengthens the prospect that Regional Express (Rex) Airlines stays in the air is good news for Sunraysia and regional Australia, Member for Mallee Dr Anne Webster has says.

The Federal Government yesterday extended its debt holding in the airline by $50 million, acquiring PAGAC Regulus Holdings Limited’s debt to reduce the risk Rex Airlines will be wound up, by becoming its major creditor.

“Two regional airlines have gone into administration on the Albanese Labor Government’s watch, both of which – Rex and Bonza – had been serving the Sunraysia community,” Dr Webster said.

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In April, Bonza Airlines entered voluntary administration 18 months after launching its first flights in Australia including the popular Mildura – Sunshine Coast route.

“Bonza had linked us to Queensland which was a huge boost for the local community, and that service is sorely missed,” Dr Webster said.

“If extending the Federal Government’s debt exposure to Rex keeps them in the air, that is good news.”

Australian taxpayers are already exposed to $80 million in debt with Rex Airlines, provided in November to keep regional routes operating until June 2025.

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