Branson:VIRGIN may have disappeared...

[Poof in Boots]

In an extraordinarily candid admission whilst being interviewed recently, Branson said:

"Virgin Atlantic may have disappeared if HBOS had gone, it could have been that serious," Sir Richard said, adding it would have been "no fault of our own".

In an interview with Fox News he said: "HBOS looked like it was going to go bankrupt in Europe so Virgin Atlantic rings up HBOS, we have a billion pounds on deposit - not really our money, it's people who've bought tickets, people who've bought holidays - and we said, 'We want it out. We want to move it to another bank.'

How embarrassing for Virgin that Branson would make this public knowledge

[vs69]

Is this not the same as the thread running in spotters corner? The one you already posted on? Do you have a problem with Virgin?

[Rainboe]

What's the problem? ANY company in the land could disappear if one of the banks that holds its large deposits defaulted. Why is Virgin being singled out? Why is it 'embarrassing'? To admit you have LARGE cash deposits is 'embarrassing'? Pourquoi? Is there another frustration being ironed out here? Do I sniff a personal campaign to try and cause a company embarrassment with this sort of headline over a complete non-event?

[Dani]

It's not embarassing but shows how open Branson can communicate and show the effects of the credit crisis for everyone, not related to the finance industry.

Dani

[Carnage Matey!]

I'd day it shows how Branson has a tendency to engage his mouth before his brain, leading to lots of cringing and clarification from the people who actually run his businesses.

[anotheradam]

"I'd day it shows how Branson has a tendency to engage his mouth before his brain,"
What are you on about? How can you make a sweeping statement like this? Shows how you have a tendency to engage your fingers to keyboard before your brain. And I probably know you as well as you know Branson.

[captainflash]

Are you aware of how many other organisations would have gone 'tits up' had HBOS done the same . . . honest words from an honest man . . . I smell roses rather than (bull) **** . . . refreshing for a change.

[Bruce Wayne]

What an absolutely pointless non-thread.

Any company that receives advance payments places them in banking accounts. If that bank goes Tango Uniform then those customers advance payments will be lost, not by the airline but by the bank.

If the funds had been spent by the airline and as such not available to be returned then that is fraud, grand larceny etc. if you are in AZ and subjected to FAA regs then you would know that a Part 121 has to maintain financial regularity or have their ticket withdrawn.

Do you suggest that Branson stuff customer advance payments in his mattress?

I don't see where anything cringe making is or that Branson engages his mouth before his brain. He stated something that is fact and the fact is that with some of the largest banks facing financial problems a nett result is how critical those problems are to business and commerce.

Aircraft operators depend, no matter how large they are, on banking and finance arrangements from 1st tier to 3rd and 4th tier operators downward, capital equipment that is leased or finance purchased, maintenance and light through heavy checks have to be paid for some way and spending money you don't have leads back to the above.

It's not just Virgin's aircraft operations that have been exposed in the banking situation but the vast majority of aircraft operators across the globe.

[Carnage Matey!]

What are you on about? How can you make a sweeping statement like this?

Simple. By listening to what Richard Branson says and then comparing it to what is actually the truth you can pretty clearly see that there are a lot of gaffes followed by a lot of back pedalling. Do you recall Bransons complaints about the BA/Qantas duopoly between LHR and SYD (a route served by over 30 airlines)? Or his grand efforts to buy Northern Rock before it was revealed his firm didn't even have a banking licence? Or perhaps you'll recall his support for the Ashes to be sent to Australia, bolstered by his heart-rending (and completely fabricated) tale of their theft by an English cricket captain. Are you even aware that Virgin execs have been rapidly backpedalling ever since the HBOS comments, explaining that there was in fact no danger of Virgin going bust if HBOS fell over? Gaffe-tastic!

[Wigster]

To be fair, all good points well made Mr Carnage!!