Regional Express Holdings (ASX:REX) confirms additional funding

Company News

by Ortenzia Borre

Regional Express Holdings (ASX:REX) has confirmed additional regional services funded by both Federal and State Governments.

In total, Rex will now operate 88 weekly return services under the various funding arrangements.

This follows the announcement of the COVID-19 Regional Airline Network Support (RANS) program where regional airlines will be provided assistance to maintain a minimal weekly schedule to regional and remote ports. The RANS program will provide funding for up to six months with an initial approval for six weeks.

Under revised Grant guidelines, Rex is eligible to receive funding to operate 2-3 return services a week to all destinations on the Rex network. Rex’s application for the ports it wishes to provide services to has been approved and was signed off on 23 April 2020.

In addition to the Federal Government funding, Queensland, Western Australia and South Australia, have also committed to funding additional services.

Shares in Regional Express Holdings (ASX:REX) are trading 5.2 per cent higher at 91 cents.