PPRuNe Forums - View Single Post - The Virgin Strike Thread II
View Single Post
Old 7th Jan 2008, 12:55
  #487 (permalink)  
vs_lhr
 
Join Date: Nov 2007
Location: UK
Posts: 138
Likes: 0
Received 0 Likes on 0 Posts
Scooby,

It's a bit of a tangent from the strike thread, but the Virgin Nigeria deal may or may not have been a clever idea on VS's part. All businesses are expected to lose money in the first few years (look at Virgin America), and if it turns good then it'll be a significant chunk of revenue. The key word is 'if', purely because I have no real feeling for whether there is stability in that region. It strikes me that if it starts to make cash, the local authority could reverse the agreement and VS just get left with the start up bills and no share of the benefits. But I'm no expert on Nigerian aviation, so can't really be sure what will happen there.
vs_lhr is offline