A weekly re-cap of the events that have made news in Cairns over the past week.

Monday April 8, 2002 60th Edition

The news of the day in Cairns is the announcement that Australian Airlines will definitely be going head and starting services later in the year. Cairns will be the operational base for the new airline, which will initially service six Asian destinations. The news has been welcomed with the economic flow on expected to be as high as $1 billion statewide.

New airline official - at last
Following months of speculation the official announcement has finally been made that Australian Airlines will commence operations in October of this year and that the airline will use Cairns as the major hub for its international operations. The news has been received with a sigh a relief from Cairns business leaders as doubts about the viability of the airline had started to circulate following to collapse of ANSETT and generally turbulent aviation industry conditions.

The new airline will commence flights from Cairns on October 27th. Initially the Australian Airlines will commence operations with four 767-300 craft, building up to a fleet of 12. Australian Airlines will have the potential to bring a further 160,000 tourists into Cairns and provide thousands of jobs throughout the state. The six ports that the airlines will fly into include Osaka, Fukuoka, Singapore, Taipei, Hong Kong and Nagoya. Eventually the airline will offer international flights from every major Australian capital city.

Australian Airlines will offer a single class service aimed at budget and group travellers. Although the airline is owned 100% by QANTAS it will be managed independently.

Australian Tourist Commission to promote Australian Airlines
The Australian Tourist Commission has allocated $1 million for marketing prior to the launch of Australian Airlines in October this year. The funding is expected to target new destinations including regional Japan, China and Korea. Australian Airlines will also fly into Hong Kong and Singapore. Premier Peter Beattie has also announced plans to develop an action plan that will ensure that Cairns businesses maximise the potential of Australian Airlines.

City backpacker hostels sell
Cairns real estate agents have reported increased activity in the CBD area with two backpacker hostels selling in recent weeks. The two properties had a combined value of over $2 million. CB Richard Ellis North Queensland Managing Director, Danny Betros, stated that the sales were a sign of confidence in the Cairns investment market. As prices continue to climb in Brisbane and Sydney, Cairns is considered an area that still offers potential for good longer term returns on property investment.

Cairns leading Diving company launches new boat
Pro Dive Cairns is one of the leading diving operators in the world. The company has a long established quality reputation for both diver training and extended dive trips. Last week the company announced the launch of their second live aboard dive vessel, SCUBAPRO 11. The custom designed and built vessel is valued at $2.2 million and it was built utilising Cairns based shipbuilder NQEA.

Finally some rain for Cairns
Cairns has finally enjoyed a wet weekend. In what is shaping up to be one of the driest years on record, the people of Cairns would normally be looking forward to the end of the wet season about this time. Instead last weekend's deluge was the first consistently wet period for several months. As El Nino takes effect scientists are predicting that Australia will fall into typical patterns of hot and dry conditions.

Push for movie studio goes to Los Angeles
The ongoing push to attract Hollywood moviemakers to Cairns is starting to grow with State and Federal Funding being used to develop a business plan for the concept. The aim is to build a sound stage, which can be used as a movie set. Queensland Premier Mr Beattie stated "North Queensland offers many ideal spectacular locations varying from dense tropical rainforests, cityscapes, idyllic tropical islands, to rural farming, mining and unlimited beaches. The other big advantage, besides the fantastic locations, is the film friendly weather".