Virgin to start US domestic airline?
Sep 27, 1998, 3:50 am
#1
Original Member
Original Poster
Join Date: May 1998
Location: London,UK. Ok, about 100 miles from London really, but how many Americans know where Market Harborough is?
Posts: 409
Virgin to start US domestic airline?
Word on the street is that Virgin is looking to aquire/start a US domestic airline, in order to fight OneWorld.
This should be real fun! How will they get 'round the 25% ownership rule? Perhaps Mr Branson will ask his old friend Sir Freddie Laker to help? Or perhaps they will partner an existing US carrier and call they alliance WorldOne?
This should be real fun! How will they get 'round the 25% ownership rule? Perhaps Mr Branson will ask his old friend Sir Freddie Laker to help? Or perhaps they will partner an existing US carrier and call they alliance WorldOne?
Sep 27, 1998, 8:56 am
#2
Commander Catcop
Join Date: May 1998
Posts: 10,259
The "New York Times" had an article a few
months ago that good ol Richard Branson was
going to start a "Virgin Express" or "Virgin
America" discount carrier based out of
JFK and going to the major cities on the
East Coast. I did not see that he was going
to partner up with a U-S Carrier (Kiwi?
Midwest? -- dont' think U-S Air would rock its deal with AA.) But this story is changing and very interesting.
Another issue beside the 25-percent ownership rule is that the NYC area airports
(more JFK and LAG than Newark) have been
notorious about locking out gate space for
discount and smaller carriers. Newark is a
little bit more open... but consider that
Southwest has been unable to get into this
market (so far.) I think this is dumb, a little MORE competiton may get the big guys
to try to offer better services and treat us,
the Frequent Flyers with a few more benefits.
Remember People's Express? Once based out of
Newark.
I hope Richard finds a way to get his Virgin
off the ground in the U-S-A.
If there's an alliance maybe he can call it
"Global Virgin." or "Worldly Virgin."
CATMAn
months ago that good ol Richard Branson was
going to start a "Virgin Express" or "Virgin
America" discount carrier based out of
JFK and going to the major cities on the
East Coast. I did not see that he was going
to partner up with a U-S Carrier (Kiwi?
Midwest? -- dont' think U-S Air would rock its deal with AA.) But this story is changing and very interesting.
Another issue beside the 25-percent ownership rule is that the NYC area airports
(more JFK and LAG than Newark) have been
notorious about locking out gate space for
discount and smaller carriers. Newark is a
little bit more open... but consider that
Southwest has been unable to get into this
market (so far.) I think this is dumb, a little MORE competiton may get the big guys
to try to offer better services and treat us,
the Frequent Flyers with a few more benefits.
Remember People's Express? Once based out of
Newark.
I hope Richard finds a way to get his Virgin
off the ground in the U-S-A.
If there's an alliance maybe he can call it
"Global Virgin." or "Worldly Virgin."
CATMAn
Sep 28, 1998, 2:05 am
#3
Original Member
Join Date: May 1998
Location: Northern England
Posts: 1,531
In the (UK) Sunday Times yesterday, Branson is quoted as saying that he could start a US domestic airline tomorrow if the 25% rule was changed. The article also said that Virgin Atlantic had everything ready (i.e. cash / backing) to do it., and was pushing hard for the rule to be changed.
Sep 28, 1998, 11:39 am
#4
Commander Catcop
Join Date: May 1998
Posts: 10,259
Is the 25-percent rule a requirement that
foreign carriers have a quarter of their
holdings in the U-S or limits their holdings
to 25? Could someone explain it?
Again, I think the JFK and LAG airports and
some of the other big airports are locking out gates to keep out the discount carriers.
I would like to have a few more choices
at my disposal if the "majors" are overpriced. CATMAN
foreign carriers have a quarter of their
holdings in the U-S or limits their holdings
to 25? Could someone explain it?
Again, I think the JFK and LAG airports and
some of the other big airports are locking out gates to keep out the discount carriers.
I would like to have a few more choices
at my disposal if the "majors" are overpriced. CATMAN
Sep 28, 1998, 12:06 pm
#5
Original Member
Original Poster
Join Date: May 1998
Location: London,UK. Ok, about 100 miles from London really, but how many Americans know where Market Harborough is?
Posts: 409
The 25% rule is that non-US airlines are only allowed to own 25% of US airlines.
Catman, have a great vacation. I'll try and behave while you have gone!
MF
Catman, have a great vacation. I'll try and behave while you have gone!
MF