SACL to defend vigorously Virgin Blue claims
SACL to defend vigorously Virgin Blue claims
Sydney Airports Corporation Limited (SACL) today confirmed that it had received a summons filed in the Supreme Court of NSW on behalf of Virgin Blue Airlines Pty Ltd. SACL again stated that there was never an agreed price structure or a completed agreement with Virgin Blue regarding access to the former Ansett terminal.
SACL said the filing of the summons represented yet another negotiating tactic for access to the former Ansett terminal in Sydney Airport’s domestic precinct. The Corporation restated the following information as a matter of public record in response to Virgin Blue’s attempts to yet again drag out commercial dealings through the media:
Virgin Blue has never produced any evidence that in any way substantiates its claims
A series of letters from Virgin Blue to SACL during May and June clearly show that, from Virgin Blue's management perspective, there was no confirmed deal
Virgin Blue requested the Federal Minister for Transport and Regional Services to review its claims. Mr Corrigan was asked to put his claims in writing
SACL has been briefed on the outcome of an independent third party review by the Department of Transport & Regional Services. So has Mr Corrigan and Virgin Blue
SACL understands from media coverage that the Government has informed Virgin Blue that there is no evidence of any completed transaction between SACL and Virgin Blue regarding access to the former Ansett terminal
More importantly, there was nothing in the Government's briefing to cause SACL to review its position which is supported by strong legal advice
SACL stands by earlier statements in which the Corporation totally rejected unsupported assertions by Virgin Blue that there is, or was, agreement finalised on Virgin Blue’s expansion. Documentation confirming that no agreement had been finalised was revealed to all potential bidders through the data room process during SACL's privatisation.
SACL again stated that there were discussions on principles and there was a discussion document. However, no agreement was concluded as those discussions subsequently broke down on critical issues such as price and IT operating platforms – issues that remain outstanding even today.
SACL has also issued public statements covering the above which remain as a matter of public record on the Corporation’s media web site.
SACL is also surprised at Virgin Blue's decision not to resume negotiations with SACL, despite the fact that it is calling for this repeatedly in its publicity. In fact, Virgin Blue has refused to participate in commercial discussions on the use of the terminal since privatisation of SACL. However, SACL remains keen to engage with Virgin Blue on its expansion plans for the Australian market.
It is disappointing that the very airline that won consumer support through opposing the concept of an Australian domestic aviation duopoly now appears to be using this current negotiating strategy to ensure any potential new entrant has no access to crucial terminal space in Australia’s major domestic airport.
Federal Transport Minister John Anderson says the Government cannot do any more to help resolve the dispute over terminal space at Sydney Airport for Virgin Blue.
Virgin Blue has taken the dispute to court, claiming the new owners of Sydney airport have scrapped a legally abiding agreement with the previous owners for access to some of the former Ansett terminal gates.
Mr Anderson says both sides need to resolve the issue.
"This really is a matter for the parties to sort out commercially now," he said.
"I've done all I can to draw the parties together to get them talking and they've got to take it forward.
"I believe that both sides have an interest in sorting this out, Virgin needs access to the terminals, the airport needs Virgin using the terminals."