United Airlines To Start A Full Service Domestic Operation In Australia?
 

Now before people jump down on me as usual.. .. .1. I have looked back a fair way and cannot see this mentioned?. .. .2. It does not come from one of my normal very accurate sources, so I cannot swear it is true, mainly trying to see if others have heard the rumour?. .. .The rumour is, that United Airlines are intending to start up a full service domestic airline in Australia, thus filling the void created here for the Star Alliance. It makes sense, in that the Star Alliance NEED something in Australia since the demise of Ansett, and neither Air NZ or Singapore seem interested.. .. .As I said I cannot swear this one is true, the people that told me say it is, anyone else heard about it?

Why not, they have the resources, the track record and understand the market better than most.. .. .Oh and BTW a certain ex PMs sister knows her way around the halls of power pretty well.. . . . <small>[ 28 March 2002, 01:40: Message edited by: gaunty ]</small>

Gaunty, ex PM's sister resigned from UA last year.. .. .Given current UA financial situation, it is hard to see them spending a huge amount establishing a domestic prescence in Oz though some other Star carriers may come to the party here.. .. .Having said that, after having flown QF on 8 sectors in 3 weeks I think they need the competition, the decline in their standards is alarming. At this rate they'll end up as a premium fare budget carrier, which is an oxymoron only a monopoly can sustain.

Thank you all for your input.. .. .When I first heard the rumours about a week ago, I thought the same, no way could United afford it.. .. .However I believe that their financial situation has improved greatly recently, and I guess they would be doing it with both financial and logistical support from other Star carriers?

Financial Review last week reported that UA had employed a Bankruptcy expert/manager, the same one that oversaw the wind up of TWA and the subsequent sale to AA. Seems unlikely they will be starting a new venture off shore. . . . <small>[ 28 March 2002, 05:48: Message edited by: DEFJET ]</small>

My info is to expect an announcement soon (possibly next week) about UA and VB alliance with possible AirNZ involvement. VB being associate member of Star Alliance for on carriage of Star Alliance passengers. UA completed audit of VB recently and were very impressed by all accounts.. .My personal tip is that VB will lease AN terminal space from the administrators now that creditors voted not to liquidate.

Not sure on accuracy and just a query.... .. .I understood that Star Alliance airlines required at least 2 classes (economy and business/first) and therefore Virgin Blue was not eligible.... .. .Is this correct ??

OzFlight,. .. .That's why it would be an "associate" membership.

Rampsuper,. .. .The plot thickens.. .. .Maybe this is the same thing, although I was led to believe that it would be a full service operation?. .. .Unless maybe Virgin Blue will convert their aircraft to two class configuration?. .. .Or maybe they could use Air NZ, or even United, aircraft for the Star Alliance code share flights?. .. .Interesting times.. .. .Best regards,. .. ."Townsville Refueller"

Townsville Refueller. .Not 100% sure on how or what but seems to be heading towards UA, AirNZ, or even SQ doing full service. VB maintaining current model.. .VB pushed for AN administrators not to liquidate.The assumption is for VB to lease bay space off the administrators and paying for only what they use instead of the whole terminal - especially Sydney.

The GATX guy on HYY's ferry flight said it would be SQ & UA starting up, but my post was ridiculed back then. QF better sort out their YCL product, just in case!! <img border="0" title="" alt="[Wink]" src="wink.gif" />

Okay, thank you everyone for the inputs, looks like it is going to happen, in one form or other.

Yea.....Intersesting concepts, and makes sense to me but then so did a lot of other propositions that never came to anything over the last six months.. .. .Anyway I'll keep my fingers crossed,in fact they've been crossed for so long there now joined and I'm having great difficulty picking my nose! <img border="0" title="" alt="[Big Grin]" src="biggrin.gif" />

"...Having said that, after having flown QF on 8 sectors in 3 weeks I think they need the competition...At this rate they'll end up as a premium fare budget carrier, which is an oxymoron only a monopoly can sustain."

1A...you have exactly described the business model of Qantas's domestic New Zealand operation as it is described to its staff by Sydney blow ins.

No joke.