Nasty VB rumour - what's the story?
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Nasty VB rumour - what's the story?
Have for the last few days been hearing some nasty rumours regarding the liquidity of Virgin Blue...rumours include:
1) Inability to pay for fuel on credit - paying cash instead
2) The VB 737 parked at SYD freight apron is a repossessed aircraft
I keep hearing them over and over again from different sources...hope to GOD it's not anywhere near true for all the people that rely on VB...
Has anyone else heard anything else remotely like this recently?
1) Inability to pay for fuel on credit - paying cash instead
2) The VB 737 parked at SYD freight apron is a repossessed aircraft
I keep hearing them over and over again from different sources...hope to GOD it's not anywhere near true for all the people that rely on VB...
Has anyone else heard anything else remotely like this recently?
There are a lot of noises around. Seems like someone has started a whipering campaign which has rapidly gained in volume. Heard some QF checkin staff talking about 4 Virgin planes grounded Tuesday in Melbourne because they couldn't pay for fuel.
If there was something to all these rumours I think there would have been some official noises or at least something in the media.
They have a 737 which is a pay by the hour deal so they use it only sparingly by all accounts.
But overall just rumours I reckon.
If there was something to all these rumours I think there would have been some official noises or at least something in the media.
They have a 737 which is a pay by the hour deal so they use it only sparingly by all accounts.
But overall just rumours I reckon.
Join Date: Nov 2001
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If they were having cash flow troubles I don't think they would be doing the $5 fares. Didn't I read somewhere that they had just posted profits of about $8.2 million.
Anyway threads on this topic keep getting closed so it is perhaps worth forgetting about.
Anyway threads on this topic keep getting closed so it is perhaps worth forgetting about.
Join Date: Dec 2000
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In fairness to Virgin, PPruNe is just what the name says - a rumour mill.
The problem is that no matter what the company is, these rumours can often be self fulfilling.
Apart from the long term systemic issues, just look how quick it took for Ansett to unravel once the stories were out in the public domain.
I have no idea as to Virgin's true position, but I do honestly hope that the stories posted above are false.
The last thing the OZ aviation industry needs is another major collapse.
There is room for 3 airlines in this country and maybe it's time for Branson to inject capital into Virgin Blue to enable it to continue as a viable entity.
The problem is that no matter what the company is, these rumours can often be self fulfilling.
Apart from the long term systemic issues, just look how quick it took for Ansett to unravel once the stories were out in the public domain.
I have no idea as to Virgin's true position, but I do honestly hope that the stories posted above are false.
The last thing the OZ aviation industry needs is another major collapse.
There is room for 3 airlines in this country and maybe it's time for Branson to inject capital into Virgin Blue to enable it to continue as a viable entity.
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Two things that makes one nervous about the future for VB are (i) too many stunts to grab free media publicity, and (ii) giving fares away at $ 5. The media will wake up soon and the stunts will be ignored, and profits are quickly eroded at the slightest downturn in the economy when your margins are wafer thin. And $ 5 fares are just a nonsense.
Bottums Up
Mr Seatback,
A week ago I was passed information, which came from a 'well placed source', that said Virgin would be in receivership by Tuesday with aircraft already padlocked.
Now the Tuesday I refer to, was LAST Tues, January 8 2002. The day came and went and Virgin are still coming and going, infact I watched them climb out at Darwin Wednesday arvo.
I saddens me that we, the industry generally, seem so insecure, that rumours of doom and gloom and generally of a negative nature are so widespread.
[ 11 January 2002: Message edited by: Capt Claret ]</p>
A week ago I was passed information, which came from a 'well placed source', that said Virgin would be in receivership by Tuesday with aircraft already padlocked.
Now the Tuesday I refer to, was LAST Tues, January 8 2002. The day came and went and Virgin are still coming and going, infact I watched them climb out at Darwin Wednesday arvo.
I saddens me that we, the industry generally, seem so insecure, that rumours of doom and gloom and generally of a negative nature are so widespread.
[ 11 January 2002: Message edited by: Capt Claret ]</p>
