VS domestic
Think it was likely that VS would go after the divested BA slots, otherwise they'd get nothing from the sad demise of BD. Apart from BD regional (who have had previous LHR dealings) and EI, the likes of BE, U2, etc., appear to be completely uninterested, so VS could have a clear run.
If VS are going to do ABZ and EDI, they might as well plan for a reasonable domestic network. If MAN does well, would expect (1) another west coast main line (WCML) destination, GLA, to be added, and (2) increased frequencies (subject to slot availaibility).
The loss of the WCML franchise probably just brought the announcement time forward, this must have been planned for a while.
Quote: "Virgin Domestic. Call sign Vee Dee? Perhaps not eh?"
Oh very good! No it will be the same: "Virgin Atlantic" VS, just like BA is, and BD was, the same on international and domestic.
Quote: "I wonder how Virgin think they will operate at Heathrow; as I understand it T3 has no facilities for domestic arrivals, even from coaching stands, so they will need to arrive at T1 and do a terminal transfer for any connecting passengers."
Expect this is tied in with VS's move to LHR2, now that BD will not be there. Having a domestic operation makes their case to move there stronger. They will be able to feed the Star Alliance longhaul as well as their own, and it is possible that there is a plan for VS to join the Star Alliance later on (?).
Quote: "I dont understand why Virgin dont just sell their LHR slots to someone (other than BA), and move lock stock and barrel to become an anchor tenant at LGW.
They could have far more flexibility there, lower costs plus LGW is attracting more and more long haul traffic and Im sure would snap up the idea to turn LGW into a genuine hub airport to compete with LHR. If they really want to compete with BA then that should do the trick?! "
Will never happen! They will never leave the world's largest international hub and third largest overall, it would be suicide! VS saved their bacon by shifting to LHR in the 1980s, had they not done so, they would probably have gone the same way as BUA, BCal and Laker: belly up. There isn't sufficient connectivity at LGW, it is not a hub airport. BTW there is already an "anchor tenant" at LGW, it is U2.
Quote: "Yields collapse and LGW. Put it another way, when VS moved LGW-US round the M25 yields went up by enough % points to be more than worth the move. Profits would collapse and losses grow if they walked away from LHR. Besides they have a massive investment in their LHR base."
Exactly.
Last edited by Fairdealfrank; 22nd Aug 2012 at 00:11.