Virgin applies for links with Singapore Airlines
 

Lookout....
Virgin Australia inks alliance with Singapore Airlines | The Australian

I knew it!

Game over AJ!

Ah yes, keep running down mainline AJ and you and your lord and master Clifford will soon preside over the destruction of an iconic brand. And for what gain?


Certainly not something that will look good on a resume' and leave you in good stead for post Qantas board appointments. Just ask Gary Toomey! (although I think he jumped into an already sinking ship).


SIA must be hardly be able to believe their luck that such a goose is running their main competitor in the asia pacific region.


And JB at Virgin must be grinning from ear-to-ear as well.



Game, set and match I'd say.:(

I said it a while back but Singair was the best way to give AJ the turkey slap he deserves.

There will be a royal commission into this whole affair soon, mark my words.

It will be very interesting to see what happens with Tiger on the domestic scene.

Qantas pissed in SIA backyard and look what it brings them now !!
This is the battle of the biggest pockets and the winner will be SIA :D
The Qantas goons now have war on all fronts lol :ouch:
Way to implode from within fellas.

SIA should just buy out Qantas now, but Im thinking it will be more fun for them
to just run them into the ground and be more fun in the process watching the absolute hiding they will inflict on Qantas.

I guess AJ will be thinking that 1 star will save the day for the group lmao ;)
Dreamers...............

"GG" good point about a Royal Com but I wouldn't hold out too much hope for this Govt to do anything about that they are busy doing what AJ is, destroying this country!!!!:ugh::ugh:
I feel for the QF workers, the real people behind QF.:sad:


Wmk2

I guessed the new brand name and Asian partner!

the only problem with all these alliances is that it hasn't added any jobs or aircraft to the virgin group, it just uses other airlines resources..........

Well done JB!
Star Alliance coming up, Sing Air alliance, up grading the biz market.:ok:

On the other hand the world's most experienced airline's CEO has ... wait for it.... trash talked HIS premier brand and employees. Bravo Al you are a genius! :D

What's the bet that the ACCC could possibly stop this merger 'cause they may very well get pressure from CASA/QF (same thing) to protect what's left of the dieing Aussie brand QF.....................very interesting times ahead indeed.



Wmk2

You can 'apply' for anything... A tie up with NASA for example... doesn't mean it's going to happen.

I wouldn't be calling game set match just yet.

Get the popcorn...
 

This, I gotta see!

The thing is they don't currently compete on any routes. VA do not currently fly to singapore (perhaps they would have sooner had this deal not been in the works). Yes you have tiger in Australia who are Singapore owned but VA aren't applying for partnership with them. What's more interesting is thatthe deal excludes the pacific route. Watch this space I say. Seems AJ has been forever missing his boat...

PBA,

Im guessing the USA was left off to avoid any avenue for appeal. QF/BA already share on Europe-Asia-Oz and as such could not really argue a SQ/DJ tie up.

Its all looking great for DJ. Now we will just have to see if it equates to profits. I honestly hope it does simply tp show that you dont have to race to the bottom in service and standards to make money.

And AJ - although nothing has really changed the positive spin makes me want to fly with Virgin. I dont work for an airline but what youre doing just seems mind numbingly stupid.

Bye, Bye Qantas, you have served the community well in your time. Time to RIP.

And........Tiger
 

Now the SQ-DJ deal is on the way, whats the bet that Tiger Aus takes the 320s back to Singapore to increase competition to J* in their own backyard?

Why take away tiger?? If anything give them a few more aircraft -

singapore will then be competing and strangling Qantas from every direction... Provide a cheaper service for leisure And LCC than Aj's baby Jetstar... Whilst tightening the screws on premium and business with virgin and sia...

Don't worry about the 33,000 or so mouths QF feeds every payday and the thousands of Mums and Dads who hold shares.....

Mostly Australians who can't run away to the sandpit for their next gig...

Agree QF has lost it a bit but what is needed is a renaissance not an "Ansett"....

QF would be ****ting their pants right now John Borhetti not getting the CEO position at QF was probably the best thing that happened not only for himself but for Virgin aswell.................the guy is a genius pure and simple genius:)

I really hope most VA staff were like me today after reading the email, you walk taller you stand prouder, man great times ahead at VA:D

Heard both JB and AJ on the radio in the last couple of days

AJ - "Doom, gloom, negative, bumbling idiot, terrible times"

JB - "Positive, uplifting, inspirational, articulate, looking forward to future"

You pull too many bricks out of a wall and sooner or later it comes tumbling down.

AJ couldn't find any more bricks to pull out of the wall so he started chipping away at the foundation.

It's going to collapse in spectacular fashion sooner or later.

The only reason they have been announcing profits is because they have not been spending money on the product. This could explain why there is no dividend. They need the money in the bank. The money should be at 30,000 feet doing what it was supposed to be doing.

Meanwhile JB is building a substantial foundation that can support a great wall.

The Star Alliance was brought up by Steve Creedy in the Australian.
IF DJ do join up, then what of their recent alliances (and heart ache) with Delta and Jihad, oops Etihad? Are they out the door?

I have always been uneasy with alliances. At AN l could not see the logic in it. Guess what? It stymied growth and put another nail in the coffin, as far as l am concerned. Be careful what you wish for. Especially with the Kiwi's in the same bed and owning around a quarter of it!!!!!

Singapore recently announced that they would launch a low cost long haul operation. Appears that all is not rosy for the future of Singapore as a hub and may be an airline as they stand now. Moving LCC by SQ and moving up market by DJ seems like a conflict maybe?

And what of Tiger? Do they become the LCC to augment Virgin Australia? Just to become the final kick in the pants to the QF group?

And to TBM Legend- Tough!

halas

Singapore already have dollars invested in virgin Atlantic and wouldn't be surprised if they are the final alliance to give the full global reach on one ticket... Don't think star alliance will happen.

now to chase some corporate coin jb... Don't get to greedy...

What was the result of the last Australasian tie up that SQ was involved in?

Bombay HF,is that a can of worms you really wish to open?

Virgin Australia Airlines Pty Ltd | PO Box 1034 Spring Hill | QLD Australia 4004 | ABN 090 670 965
Date: 07 June 2011
SINGAPORE AND SYDNEY, 7 June 2011: Singapore Airlines and Virgin Australia group of airlines have signed a
landmark agreement which will enable them to establish a long-term alliance.
Under the agreement, the two airlines propose to:
· Codeshare on each other’s international and domestic flights;
· Offer reciprocal frequent flyer programme benefits and lounge access;
· Co-ordinate schedules between Singapore and Australia and beyond to provide seamless
connections; and
· Engage in joint sales, marketing and distribution activities.
The alliance will connect Singapore Airlines’ extensive international network with Virgin Australia’s wide
range of Australian and Pacific destinations. Through the Singapore Airlines network, Virgin Australia
customers will have access to some 70 more destinations, while through the Virgin Australia network
Singapore Airlines customers will have access to some 30 more destinations. Members of Singapore Airlines’
KrisFlyer frequent flyer programme will be able to earn and redeem miles on Virgin Australia flights, while
Virgin Australia’s Velocity members will be able to earn and redeem miles on Singapore Airlines-operated
flights.
The two airlines will lodge an application for authorisation with the Australian Competition and Consumer
Commission (ACCC) to enable them to co-operate across a broad range of commercial functions.
Authorisation will allow the airlines to build a deep and integrated alliance with seamless service offerings to
the travelling public.
Singapore Airlines CEO Goh Choon Phong said: “Singapore Airlines has been committed to the Australian
market for more than 40 years and we are always looking for ways to serve our customers better. With
regulatory approval, the partnership will enable us to offer even more choice for domestic and international
air travel. Together with Virgin Australia we will provide the public with access to an enlarged network,
offering a first-rate, integrated travel experience.”
Mr Goh added: “The partnership presents a significant opportunity for Singapore Airlines to drive growth in
a manner consistent with our focus on service excellence, product innovation and network connectivity. It
will enhance the attractiveness of Australia as a travel destination while also opening up new horizons for
travellers from Australia.”
Virgin Australia group of airlines CEO John Borghetti said: “We are delighted to be partnering with one of the
most respected and innovative airlines in the world. When it first launched in Australia, Singapore Airlines
revolutionised international air travel for Australians, providing a world class service to Asia, Europe and
beyond.”
Mr Borghetti added: “Asia is clearly a critical market for us as we build our international alliance network.
Singapore Airlines’ extensive network throughout Asia will be particularly attractive to our international
business and leisure travellers and this partnership, along with our other alliances, will mean Virgin Australia
can now offer truly global flight coverage.
“With the recent re-positioning of our brand and the launch of our product enhancements, including
domestic business class, Virgin Australia and Singapore Airlines are ideally suited as airline partners.”
As part of the announcement today, Singapore Airlines and Virgin Australia have agreed that from 1 August
2011:
· Singapore Airlines customers will be able to interline on Virgin Australia’s domestic network,
allowing them to travel through to a range of destinations with one ticket, through-checked
baggage, terminal transfers and inclusive meals; and
· Virgin Australia Velocity Gold members and Singapore Airlines KrisFlyer Gold members will have
reciprocal access to each airline’s airport lounges.
Singapore Airlines and Virgin Australia will lodge an application with the ACCC in the coming weeks. Subject
to approval, customers should be able to experience the full benefits of the alliance from late this year.
About Singapore Airlines
When Singapore Airlines was formed in 1972, it operated a modest fleet of 10 aircraft to just 22 cities in 18
countries. With a commitment to fleet modernisation, product and service innovation and market
leadership, the Airline quickly distinguished itself as a world-class carrier.
Today, Singapore Airlines operates a modern passenger fleet of more than 100 aircraft and its network,
including Singapore Airlines Cargo and SilkAir destinations, covers a total of 101 destinations in 40 countries.
Singapore Airlines serves five destinations in Australia - Adelaide, Brisbane, Melbourne, Perth and Sydney –
with 92 round-trip flights per week.
In October 2007, Singapore Airlines, a member of the Star Alliance, made aviation history as the first to fly
the world’s largest passenger aircraft, the Airbus A380.
About Virgin Australia
Virgin Australia group of airlines (ASX: VBA), formerly the Virgin Blue group of airlines, was launched in 2000
as the first sustainable low-fare airline in Australian skies. It has established a global reputation as an
innovator and leader in the aviation industry; renowned for the warmth of its people and the quality of the
service they provide.
Starting out as a single airline operating a single route with just 200 team members, today the group
employs over 7,000 people and includes multi-award winning domestic airline Virgin Australia (formerly
Virgin Blue); international long-haul airline V Australia; international subsidiary airline Pacific Blue; and
Polynesian Blue, a joint venture airline with the Government of Samoa. Virgin Australia is currently in the
process of re-launching its domestic and short-haul international product, and both V Australia and Pacific
Blue airlines will operate as Virgin Australia by the end of 2011.
Virgin Australia operates a fleet of 89 modern Boeing 737, 777 and Embraer E-Jet aircraft flying to 32
Australian and 16 international destinations including the USA, UAE, New Zealand, Indonesia, Thailand,
Papua New Guinea, Fiji, Samoa, Tonga, Vanuatu and the Cook Islands.

The question in my mind is - does this agreement come with a naming agreement as well? In other words, will Singapore now allow the new Virgin Australia name to be used internationally, as it will now arguably benefit them? Or perhaps Virgin Pacific?

Interesting times.

Oakape, it has already been announced by John Borghetti that Virgin Australia will be the name used for the entire group by the end of the year. That includes both domestic and international operations. It was apparently all worked out at the 11th hour before the brand change.

As I sit and gaze at my crystal ball, in addition to my visions of the past where I caught a fleeting glimpse of a Singaporean Virgin, I see a new equipment ordering and holding company.

Imagine, if you will, a virtual company that would buy a bunch of 777’s and maybe some of the intermediate ranged 330’s and sell or lease them to the partners of a virtual airline with bases in the Americas, Australasia, Asia and the Middle East. One could come up with a basic standard configuration compatible with all partners so as to facilitate rapid disposition of equipment by leasing swapping and loaning.

A virtual airline in the group would have access to equipment and destinations that cover the world without the need to overextend it’s own abilities to finance and service a giant network. It would be incumbent on each of the partners to grow its own patch while lending support and synergies to the entire group.

Absent from, (but not essential to), the group, would be a regional partner in the EU and operators to service Sth America and the African continent. Partners of such a group could cover 90% of the world with just 5 or 6 likeminded groups, rather than the 30 or so members of each of the other alliances. A small number such as that could, through joint ventures rather than just code shares, more easily overcome regulatory hurdles to more accurately control prices and schedules to achieve the ultimate synergies. Basic to any application for relief from anti cartel laws is that no degradation of service or dilution of customer choice should occur. With each partner in a small group , handling it’s own patch, this must surely be easier than the current overextended alliances. The overlapping of current alliance networks, works against them in that they cannot be seen to regulate competition. This reduces their ability to manipulate prices and services , the market must do that.

The real gold is in the equipment provision. It has been reported that Boeing have an unidentified order for 10 777’s, could this be the start, or to look at it another way the start of a new beginning.

Mr Borgetti, I doffs my lid.

SS

^seems brilliant compared to the franchised race to the bottom of the lcc model...

Let's not totally sugar coat the s**t, Virgin are in deep cash trouble. All the fan fare and high fives are great but they are damm near broke. At least the Rat has some cash in reserve for a rainy day (for whoever ends up owning it ).

The only reason they have cash in the bank is they have not spent it on their product.

Most of the fleet still wears the old tired livery. The paint is just about falling off. Let's not even start on the 767 and 737 classic interiors.

If they were doing what Virgin is doing they would be in a similar position.

So what do you call deep cash trouble?????? $100M in the bank $500M in the bank $10 in the bank???

Virgin Australia has no debt so dont forget that when your painting your doom and gloom picture either:D

I dont think alliances would be getting signed off and approved and money being spent if the money couldnt really be spent.

You are joking right? Virgin currently have about $700 million cash sitting in the bank. That's not pocket change genius.

@biton, you beat me to it.

Don't confuse a profit downgrade/loss for the year as being "broke." Far from it. The trick, of course, is to make sure Virgin's fortunes improve before eating too much into said cash reserves.

Thats it bunglerat, and with the money thats being spent is only going to improve profit over the course of the net 18 months, you gotta spend money to make money, I had seen out YFC yesterday and had a quick try out of J class man its nice:D

I think you need to change the word "have" with the word "had" genius. The only reason SQ would even consider a link up with VB is to venture out on the lucrative US routes.

As for this comment, brand new A380's here and on the way. Brand new 737's to replace all the classics. Brand new A330's and 787's (they hope) on the way. If Boeing didn't stuff up the 787 delivery schedule they would have no tired 767's.
Jetstar get a new plane every second month A320's/A330's.
I think you guys have been sucked in by the posh adds your PR guys show on t.v.
What Virgin Australia does have going for it is a fresh, new approach but it will need plenty of cash or a bed friend (hmmmm SQ maybe) to make it work.

Are you sure about that?

SIA own a large chunk of Virgin Atlantic.

With Virgin America, Virgin Australia, Virgin Nigeria, Virgin Atlantic and various other code shares we are looking at the birth of the worlds first truly global airline empire.

Perhaps SIA will become Virgin Singapore :)

In fact I bet those 777s they are talking about will become Virgin Asia :)

Gg - think he was referring to the US pacific routes...