Originally Posted by
ECAMACTIONSCOMPLETE
Agreed. My prediction is that virgin come out of this with a 15-20% market share and are a permanent minority player, JetBlue style business. Leaning the business was PS’ plan anyway, voluntary administration will at least make that possible, if a buyer can be found.
Hopefully VA is an Ansett Mk II, but a bit bigger and successful of course!
Trying to take on QF was what got it into this mess in the first place.
This is no longer about taking on competitors after a rebirth, this is about being a viable entity in a travel market that has all but evaporated.
You can lean this business to the bone, but until the market returns or somebody with BILLIONS to burn comes along, administration is the only harbour from creditors. When the rebound occurs, QF are not going to shudder. They already have 60% of the market, and that was always their line in the sand.
I suspect after this, the next line will be far lower and how many investors want to be marginalised in a market where the return on investment is so low...