Shares in the major domestic airline remain in a trading halt.
Regional Express Airlines (Rex) has halted selling jet tickets between major cities for the next two weeks with Ernst & Young said to be working with the carrier and likely to be appointed as administrators, according to numerous reports.
If it is confirmed, Rex will become the second Australian domestic airline this year to enter voluntary administration, following the collapse of Bonza in Apr.
According to Bloomberg, which cites internal sources speaking on the condition of anonymity, Rex will officially inform the Australian Securities Exchange (ASX) tomorrow of its move into voluntary administration.
Similar reports have surfaced on multiple mainstream media outlets including the Sydney Morning Herald and the Australian Financial Review.
Rex’s shares entered a trading halt yesterday, with both Rex and EY declining to comment on the latest developments.
More details in tomorrow’s issue of Travel Daily.