In short:

Rex Airlines is currently in an ASX trading halt “pending making a material announcement”, a spokesperson says.

The prime minister says the airline is important to regional Australia and the government is seeking more information.

What’s next?

The trading halt, which has no affect on Rex flights, will remain in place until Wednesday or until the airline makes a market announcement.

Regional Australian airline Rex has suspended trading on the Australian stock market pending an upcoming announcement.

The ASX-listed company halted trade on Monday with the pause expected to remain in place until tomorrow or until Rex releases a statement to the market.

In a statement to the ABC, a spokesperson from Rex Airlines said the company was currently in an ASX trading halt “pending making a material announcement”.

“In the meantime it isn’t appropriate for us to make any further comments until such announcement is made,” the spokesperson said.

Transport Workers Union boss, Michael Kaine said about 2,000 jobs were at risk and he had written to Rex.

“This is a sign that the aviation industry is broken, it’s actually in crisis,” he said.

“We’re looking forward to hearing back from REX as a matter of urgency, to try and get some more clarity on this situation.”

Government to ‘continue to work with’ Rex

Asked whether the federal government would help keep Rex in the air, Prime Minister Anthony Albanese said it was “an important airline” and he was “very hopeful that they’ll see their way through”.

“We have sought information from the airline through [Minister for Transport] Catherine King, who came to see me about this today … we will continue to monitor what happens there,” he said. 

“There are a range of communities in New South Wales, in Queensland, in South Australia and right around the country that rely upon Rex … so it’s important,” he said.

The prime minister said the airline had come through COVID and received substantial government support, “and we will remain vigilant when it comes to this airline and continue to work with them”.

“We want to see not just those jobs maintained, but we also want to see those communities continue to have access to aviation, that’s so important for their economy and for their way of life,” he said.

In 2023, Rex reduced its Sydney services from seven regional cities, including Coffs Harbour, Port Macquarie, Parkes and Orange, but said it hoped the measures would be temporary.

The trading halt comes after budget airline Bonza, which also flew to regional locations, fell into administration in April.

The trading halt has no affect on Rex flights.

It is the nation’s third largest carrier.

More to come.

Posted , updated 

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