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Wirraway
7th Dec 2004, 14:21
Wed "The Australian"

Virgin spreads its wings with code-sharing
Steve Creedy, Aviation writer
December 08, 2004

VIRGIN Blue is talking with other overseas airlines about possible code-sharing and frequent flyer redemption deals after yesterday announcing an agreement with sister carrier Virgin Atlantic.

The value-based carrier, which already has a limited code share with United Airlines, said it would begin offering a single Virgin Atlantic reservation code for passengers flying on designated routes of both airlines from April 5.

The deal will allow Virgin Atlantic passengers to seamlessly book a Virgin Blue flight and gives the airlines the ability to jointly promote the Virgin brand.

It gives Virgin Blue access to another stream of international visitors and provides a domestic feed to the international carrier's new Sydney service, which begins today.

Atlantic chairman Richard Branson is hopes to have 300,000 passengers a year flying on the new London-Sydney service and has predicted a price war on the route.

Virgin Blue said further enhancements of the code share, including a transfer bus between Sydney's international and domestic terminals, were also in the pipeline.

Virgin Blue spokesman David Huttner confirmed yesterday that the airline was also in talks with other overseas carriers about code-sharing arrangements.

He said Virgin was focusing on airlines which had at least a daily service to Australia and required greater coverage here.

"We've talked to a large number of airlines about ways we can assist them with a similar product as well as other things such as frequent flyer redemptions," Mr Huttner said.

"Virgin Blue will continue to make those offers as long as they're not done in a way that compromises our core cost structure.

"We're not going to through-check bags at Sydney airport. We're not going to take liability for the guy who misses his connection and you have to pay for his ticket to Des Moines, Iowa."

The code-share announcement came as United said it would stop face-to-face ticket sales from its offices in Sydney, Melbourne, Brisbane, Adelaide and Auckland.

The US carrier, which is in Chapter 11 bankruptcy protection, said all ticketing would be handled from its Sydney head office from January 31.

United's Australia and New Zealand manager, Stephen Pearse, said the decision reflected changing customer demand and the rapid growth of online booking.

Virgin Blue also announced yesterday that former Ansett public relations chief Heather Jeffery had been appointed to the newly created role of public affairs general manager.

Ms Jeffery, who effectively replaces Mr Huttner, will report directly to chief executive Brett Godfrey.

She will be responsible for the the airline's strategic communication direction as well as external and internal communications.

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