Wirraway
13th Dec 2004, 16:26
Fri "Australian Financial Review"
Branson Explores The LA Route
Virgin Blue and its big sister may soon be causing Qantas serious grief, writes Katrina Nicholas.
Date December 10th, 2004
Qantas's dominance on the lucrative Sydney-Los Angeles route looks likely to be challenged after Virgin Atlantic chairman Richard Branson pledged yesterday to help local low-cost carrier Virgin Blue break the national airline's stranglehold.
Sir Richard told The Australian Financial Review that Virgin Atlantic was considering teaming up with Virgin Blue to create a new carrier to fly the route. The carrier would be majority owned by Virgin Blue.
"It's something we'd love to see happen and something we are exploring," Sir Richard said.
"I would hope we would have a decision on that within the next four to five months and, if we do do that, there would also be other long-haul routes that the new carrier would look at, including Japan and China."
A new carrier muscling in on the Sydney-LA route could damage Qantas because the airline makes about a third of its international profit from the flights.
Virgin Atlantic made its first London-Sydney flight earlier this week and hopes to gain permission to fly to London from other Australian capital cities, including Melbourne and Brisbane.
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Branson Explores The LA Route
Virgin Blue and its big sister may soon be causing Qantas serious grief, writes Katrina Nicholas.
Date December 10th, 2004
Qantas's dominance on the lucrative Sydney-Los Angeles route looks likely to be challenged after Virgin Atlantic chairman Richard Branson pledged yesterday to help local low-cost carrier Virgin Blue break the national airline's stranglehold.
Sir Richard told The Australian Financial Review that Virgin Atlantic was considering teaming up with Virgin Blue to create a new carrier to fly the route. The carrier would be majority owned by Virgin Blue.
"It's something we'd love to see happen and something we are exploring," Sir Richard said.
"I would hope we would have a decision on that within the next four to five months and, if we do do that, there would also be other long-haul routes that the new carrier would look at, including Japan and China."
A new carrier muscling in on the Sydney-LA route could damage Qantas because the airline makes about a third of its international profit from the flights.
Virgin Atlantic made its first London-Sydney flight earlier this week and hopes to gain permission to fly to London from other Australian capital cities, including Melbourne and Brisbane.
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