Qantas Chief Executive Officer Geoff Dixon said today that the company expected to exceed its profit before tax target of $550 million dollars for the financial year ended 2002 by more than 10 per cent.

This improved result was due to a range of factors, including a faster recovery in the international aviation market, a solid domestic performance and improved overall productivity.

Mr Dixon said the main drivers of the improved productivity included:

- the introduction of new, more efficient aircraft into the domestic fleet;
- benefits delivered through the dedicated Cityflyer shuttle service;
- a lower cost of sale from a significant increase in internet bookings; and - reduced overhead costs due to improved benefits of scale.

Mr Dixon said the results for the 2001/02 year would provide a solid foundation for 2002/03 when the company`s major capital expenditure program would begin to impact.

For the four years to 2005, Qantas will invest an average of $2.5 billion dollars each year on new aircraft, upgraded lounges and improved product, including inflight entertainment and international sleeper beds.

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