Australia's Strategic Airlines have grasped an opportunity to make an impact in the airline industry in the wake of the Qantas crisis.

Rebranding themselves as Air Australia, the carrier will fly domestic and overseas routes and position themselves as a budget airline.

“The name Air Australia was already marked as our preferred choice and the challenge was the historic opportunity to create an iconic brand for a new Australian airline and a modern Australian aviation product,” said Group Managing Director and CEO Michael James.

The Air Australia symbol is a stylised boomerang with traditional green and gold, and silver-grey "representing gum trees, koalas and grey kangaroos."

The airline, which was launched as Strategic Airlines in 2009, is headquartered in Brisbane and will become the new low cost carrier by the end of 2011.

Strategic Airlines currently operates scheduled passenger services on routes including Melbourne-Phuket, Brisbane-Phuket, Brisbane-Bali, Brisbane-Port Hedland and Perth-Derby.

New domestic flights between Melbourne and Brisbane and direct flights from Melbourne to Honolulu and Brisbane to Honolulu will commence from December.

The company has also been granted rights to operate services between Australia and China and Australia and the USA.

Cairns Aiport spokesperson, Helen Laird, told The Newsport that their aviation business development team have been in discussions with Air Australia regarding routes to Cairns, but nothing has been finalised to date. 

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