Virgin Atlantic
I wonder if British Airways will pull out of Newark next.
Paxing All Over The World
In the longer term, I would expect BA to stay with EWR. Look what happened when VS pulled out of CPT? BA still ruling that roost, it's been a cash cow for them.
Newark is a rather different story to Cape Town though. New York have two major international gateways serving the city whereas as Cape Town only has one.
VS returning to Cape Town was inevitable in my opinion.
With VS axing Newark it's not leaving the route as a monopoly to British Airways in the same way as leaving Cape Town was.
Newark and JFK are basically two New York airport's serving the same city.
Newark basically serves the metropolitan area of New York City. VS and BA already have a large presence at New York JFK. With VS axing Newark and concentrating their New York flights at JFK in cooperation with Delta there is nothing stopping BA doing the same especially as they have American Airlines as their JV partner at JFK.
Either way New York as a destination will still be served.
With VS axing Newark it's not leaving British Airways as a monopoly on LHR.
Let's not forget that United Airlines operate LHR-EWR so Newark will still have a LHR connection. If British Airways did follow suit and axe Newark it will be United Airlines who will have the monopoly on LHR to Newark.
It's no different to British Airways axing LGW to JFK and concentrating their New York flights at LHR.
With VS shortly resuming LGW to New York JFK I wonder if this route will still commence, same with Delta on LGW to Boston.
Join Date: Apr 2010
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Indeed. I have concerns about their future. HOPING against hope they get help.
https://www.bbc.co.uk/news/business-52066640
https://www.bbc.co.uk/news/business-52066640
Join Date: Jul 2002
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The government should not bail out VS. If they need money so quickly they either don’t want to spend their own cash reserves, don’t have any cash reserves and/or their shareholders don’t want to put their own money into the airline in case it still fails..
For the number of jobs they would save the money would be better spent propping up small businesses.
For the number of jobs they would save the money would be better spent propping up small businesses.
The government should not bail out VS. If they need money so quickly they either don’t want to spend their own cash reserves, don’t have any cash reserves and/or their shareholders don’t want to put their own money into the airline in case it still fails..
For the number of jobs they would save the money would be better spent propping up small businesses.
For the number of jobs they would save the money would be better spent propping up small businesses.
"The airline's founder Sir Richard Branson this week offered to inject £250 million into the Virgin Group, with most of that amount going to the airline."
I Have Control
Join Date: May 2004
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£250 million will not last long. I hate to see VS go under and those subsidised Middle East carriers survive. But that appears to be what will happen. Maybe VS should look to the Chinese to buy a chunk of them.
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One thing is certain and that is that Richard Branson and Virgin Atlantic (mainly Branson but he’s strongly associated with the brand) have been berated for putting their staff on unpaid leave despite Branson’s widely reported wealth. Of course, I’m sure many will book with them (if they survive) imminently after restrictions are lifted but there have been many calls to boycott Virgin Atlantic (along with other businesses like Wetherspoons, Arcadia, Sports Direct, Gordon Ramsay) so this could potentially be a factor.
Shareholders and directors have amassed huge wealth to the detriment of their hardworking employees. They treat their employees with contempt and then have the cheek to ask the govt for help?? Greed has gone too far!
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Like they did with Flybe and we know how that ended. Bailouts should be linked to money spent vs jobs saved. Say they need 762 million to keep going, this would equate to £100,000 per job as they only have 7620 employees. I would imagine most of their routes are duplicated anyway. Of course the airline supports other jobs around the world but it is not for the U.K. to save the world.
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Join Date: Jan 2010
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Virgin bailout?
If Branson and co. want socialist solutions to bail out their airline then can start by applying a bit of socialism to others.
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Might have hoped that over 30 years the company would have built a degree of resilience against a rainy day and yes I appreciate these are not normal circumstances and it is a bl88dy monsoon!
Sorry if VS go for all the staff but honestly see no reason why they should be an exception to the dozens of other travel companies and thousands of other businesses big and small that will go to the wall.
Sorry if VS go for all the staff but honestly see no reason why they should be an exception to the dozens of other travel companies and thousands of other businesses big and small that will go to the wall.
