DJ INTERVIEW:Australia's Virgin Blue: Star Alliance Talks
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DJ INTERVIEW:Australia's Virgin Blue: Star Alliance Talks
Dow Jones
DJ INTERVIEW:Australia's Virgin Blue: Star Alliance Talks
At the moment, Virgin Blue only flies Boeing planes.
An expanded fleet deal with Boeing would include an order of around 20 planes, while switching to a deal with Airbus could include some 40 planes over the next three to four years.
"We're also looking at potentially adding to the order for Virgin Express, our sister airline in Belgium. And if we end up doing a joint bid, joint deal, joint tender...that might slow it down a little bit," Godfrey said.
He said the next 48 hours would be spent looking through the financial proposals, noting he has already held two preliminary discussions with Airbus.
Virgin Blue currently operates 16 Boeing 737s between Melbourne, Sydney, Adelaide, Brisbane, Perth, Canberra, Cairns, Gold Coast, Launceston, Mackay, Darwin and Townsville.
All Virgin Blue planes are leased, so switching aircraft makers wouldn't be a major problem, Godfrey said.
"The reality is Airbus does have some other advantages at the moment that they do have more aircraft available coming off the production line than Boeing does.
"I think they're going to be more competitive on price, which will certainly be in our interest," he said.
Godfrey said the only major factor in deciding which aircraft maker to chose will be the final price. "It's going to come down to nothing other than benefits to the bottom line. It comes down to who's going to have the sharpest pencil, that's all I'm interest in," he said.
The Brisbane-based no-frills carrier also is in talks with two Star Alliance members about a passenger-code-sharing agreement, Godfrey said.
"I won't say which ones, but we are talking to two Star Alliance members at present, and I believe we will have a deal signed with at least one of them within the next month," he said.
The Star Alliance comprises just over a dozen international carriers, including Singapore Airlines (Singapore:- news) Ltd. , Thai Airways International PLC , Air Canada and United Airlines, a unit of UAL Corp. . Its members were left without a local code-sharing partner after Ansett ceased operations in March.
Godfrey reiterated the carrier is still 12 months away from starting services from Australia to New Zealand. He said there are still a number of issues to resolve, including a terminal, handling, operating manuals, immigration and customs.
-By Lilly Vitorovich; Dow Jones Newswires;
61-2-8235-2963; [email protected]
DJ INTERVIEW:Australia's Virgin Blue: Star Alliance Talks
At the moment, Virgin Blue only flies Boeing planes.
An expanded fleet deal with Boeing would include an order of around 20 planes, while switching to a deal with Airbus could include some 40 planes over the next three to four years.
"We're also looking at potentially adding to the order for Virgin Express, our sister airline in Belgium. And if we end up doing a joint bid, joint deal, joint tender...that might slow it down a little bit," Godfrey said.
He said the next 48 hours would be spent looking through the financial proposals, noting he has already held two preliminary discussions with Airbus.
Virgin Blue currently operates 16 Boeing 737s between Melbourne, Sydney, Adelaide, Brisbane, Perth, Canberra, Cairns, Gold Coast, Launceston, Mackay, Darwin and Townsville.
All Virgin Blue planes are leased, so switching aircraft makers wouldn't be a major problem, Godfrey said.
"The reality is Airbus does have some other advantages at the moment that they do have more aircraft available coming off the production line than Boeing does.
"I think they're going to be more competitive on price, which will certainly be in our interest," he said.
Godfrey said the only major factor in deciding which aircraft maker to chose will be the final price. "It's going to come down to nothing other than benefits to the bottom line. It comes down to who's going to have the sharpest pencil, that's all I'm interest in," he said.
The Brisbane-based no-frills carrier also is in talks with two Star Alliance members about a passenger-code-sharing agreement, Godfrey said.
"I won't say which ones, but we are talking to two Star Alliance members at present, and I believe we will have a deal signed with at least one of them within the next month," he said.
The Star Alliance comprises just over a dozen international carriers, including Singapore Airlines (Singapore:- news) Ltd. , Thai Airways International PLC , Air Canada and United Airlines, a unit of UAL Corp. . Its members were left without a local code-sharing partner after Ansett ceased operations in March.
Godfrey reiterated the carrier is still 12 months away from starting services from Australia to New Zealand. He said there are still a number of issues to resolve, including a terminal, handling, operating manuals, immigration and customs.
-By Lilly Vitorovich; Dow Jones Newswires;
61-2-8235-2963; [email protected]
