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Virgin Atlantic, Air France and KLM launch codeshare partnership

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Old Feb 13, 2020, 1:45 am
FlyerTalk Forums Expert How-Tos and Guides
Last edit by: Gajan
Hi All,

Further to the earlier recalled news regarding the Air France, KLM and Virgin Atlantic partnership, please find below information regarding the partnership.

As a Flying Blue member, it is now possible to:
- earn miles;
- earn XP on eligible flights (provided flights are booked in a mileage earning fare class);
- earn Elite bonus miles;
- spend miles
- extent overall validity of miles.

Earn miles

Earning miles and XP's is possible for VS or DL marketed flights and operated by AF/KL/VS/DL based on the fare class and distance flown according to the following scheme:

- Business class: J, C (200%); D (175%); I (150%); Z (100%);
- Premium economy: W, S (125%); H (100%); K (75%);
- Economy Delight: V (100%;
- Economy Classic Y, B (100%); R, L (75%); U, M, E (50%); Q, X, N, O (25%);
- Economy Light: T (20%).

Elite benefits

In addition, Flying Blue Silver members will receive the following benefits when flying VS:
- priority boarding;
- priority check-in / priority baggage drop-off.

In addition, Flying Blue Gold members will receive the following benefits when flying VS:
- priority boarding;
- priority check-in / priority baggage drop-off;
- priority baggage handling;
- additional baggage allowance (+ 1 bag);
- lounge access + 1 guest. Note: exceptions apply. At LHR, FB Gold members do not have access to the Virgin Atlantic Clubhouse but are invited to the Qantas lounge. At JNB no lounge access is provided when flying Virgin Atlantic.

In addition, Flying Blue Platinum (Ultimate) and Club 2000 (Skipper) members will receive the following benefits when flying VS:
- priority boarding;
- priority check-in / priority baggage drop-off;
- priority baggage handling;
- additional baggage allowance (+ 1 bag);
- lounge access + 1 guest, except at JNB. FB Platinum members have access to the Virgin Clubhouse at LHR (and other locations). At JNB no lounge access is provided when flying Virgin Atlantic.
- priority security.

Final remarks

In case if you have any questions regarding the new partnership, please post your question. I will see if FB can answer the questions where possible.

Best regards,

Gajan
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Virgin Atlantic, Air France and KLM launch codeshare partnership

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Old Dec 1, 2019, 11:28 am
  #91  
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Meanwhile, I saw this at JFK T4 the other day. I'm not sure when they put it up, but it looks new.

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Old Dec 1, 2019, 1:00 pm
  #92  
 
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Originally Posted by stimpy
Meanwhile, I saw this at JFK T4 the other day. I'm not sure when they put it up, but it looks new.

Pretty sure Virgin upperclass have been given status on Delta for some time
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Old Dec 1, 2019, 11:46 pm
  #93  
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Originally Posted by The doomed
Pretty sure Virgin upperclass have been given status on Delta for some time
Yes, that is correct, when I used to be DL SM Plat and above, I used to use all facilities as like VS Gold/UpperClass pax and VV. This has been in place for >4 years since DL had a stake in VS.

BTW, I just read on another travel blog that the 31% KLM/AF investment in VS is in danger of being rejected by VS - to them the JV is sufficient. Source was quoted to be from Le Monde papers (sorry I don't have a link for this). I am fine with this, but I hope that in whichever form this continues, something will be done with reciprocal FF benefits between the 2 programs.

Cheers!
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Old Dec 3, 2019, 6:32 am
  #94  
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Originally Posted by nldogbert
BTW, I just read on another travel blog that the 31% KLM/AF investment in VS is in danger of being rejected by VS - to them the JV is sufficient. !
It's not Virgin so much as Richard Branson himself.

He's backed out and decided to keep the 31% that he earlier agreed to sell to AFKL.

Originally Posted by Bloomberg
Branson Drops Air France Deal to Keep Control of Virgin Atlantic

U.K. billionaire Richard Branson said he’s scrapping the planned sale of a stake in Virgin Atlantic Airways Ltd. in favor of retaining control and expanding the airline he founded.

Branson has reached a deal to abandon a two-year-old plan to sell part of the airline to Air France-KLM Group and will hang on to the 31% stake, keeping a 51% holding overall, he said in a letter to staff posted on his personal blog Monday. The accord is “subject to contract,” he said.
This may impact the reciprocal earning/burning on AFKL and VS....
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Old Dec 3, 2019, 9:39 am
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Why ? The JV is still in place across the pond.
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Old Dec 3, 2019, 9:43 am
  #96  
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Originally Posted by mike turnbull
Why ? The JV is still in place across the pond.
Indeed, but AFKL wanted to buy a significant stake in VS as well as form a JV. Now, all that remains is the JV, which falls much shorter than what had been envisaged.

There are other VS flights on offer apart from those operated in the JV. They will likely now never earn miles and never bear an AF/KL codeshare.

Without AFKL taking a 31% share in VS, and without VS joining Skyteam, it is therefore likely that such flights will never earn miles in Flying Blue, or that FB miles will only ever be earned on AF- or KL-coded VS flights. It is therefore also possible that spending miles on VS will be limited to JV flights, or not at all possible.

From all of this, there is a certain degree of "reluctance" evident on the part of VS. This means that FFP benefits are likely to fall far short of what we were all expecting.
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Old Dec 3, 2019, 3:00 pm
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Be that as it may, AF/KL are hardly cash rich and what would they have got for their €258m , even though it wasn't a lot ? (With no dividend payout.)
I guess Ben Smith, CEO said 'No way' , particularly as he joined from Air Canada after the original decision had been made.
Money better spent elesewhere !
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Old Dec 3, 2019, 4:13 pm
  #98  
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Originally Posted by mike turnbull
Be that as it may, AF/KL are hardly cash rich and what would they have got for their €258m , even though it wasn't a lot ? (With no dividend payout.)
I guess Ben Smith, CEO said 'No way' , particularly as he joined from Air Canada after the original decision had been made.
Money better spent elesewhere !
Yes, both sides seem to be happy with the way things ended up.
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Old Dec 4, 2019, 12:31 am
  #99  
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Originally Posted by mike turnbull
€258m

Money better spent elesewhere !
Alitalia is back on the block!

(The idea that an investment in an airline only gives you something "tangible" if said airline pays dividends seems a bit simplistic. Perhaps they no longer think the Heathrow expansion is going to happen, or that UK travel is going to propser in the coming years...)
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Old Dec 4, 2019, 12:33 am
  #100  
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https://www.businesstraveller.com/bu...rgin-atlantic/
https://onemileatatime.com/branson-b...atlantic-sale/

The motivations behind the move are anyone's guess.
Buying Flybe might be a significant change.

Last edited by brunos; Dec 4, 2019 at 12:36 am Reason: sorry was late in the news
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Old Dec 4, 2019, 8:29 am
  #101  
 
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Originally Posted by brunos
https://www.businesstraveller.com/bu...rgin-atlantic/
https://onemileatatime.com/branson-b...atlantic-sale/

The motivations behind the move are anyone's guess.
Buying Flybe might be a significant change.
Manchester, and the collapse of Thomas Cook: Thomas Cook had the lion's share of flights from Manchester (Not great business, but very good leisure). This has opened up some space for Virgin to move into, and, thus, start subsidising the rest of VS. Therefore, Virgin has now a future where a cash injection probably isn't needed as much.

Just my thoughts.
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Old Dec 5, 2019, 9:15 am
  #102  
 
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Originally Posted by woggledog
Therefore, Virgin has now a future where a cash injection probably isn't needed as much.
It was the sale of existing shares from the Virgin Group to Air France-KLM, no new capital injection in Virgin Atlantic. Delta pushed for the participation of AF-KL to circumvent the limitation of their 49% minority stake.

Interesting thing is, what does AF-KL mean with no change in the position of Air France-KLM in the JV:

"Air France-KLM and Virgin have considered that Air France-KLM’s acquisition of a stake in Virgin Atlantic is no longer necessary and are negotiating an agreement whereby Air France-KLM will not acquire a stake in Virgin Atlantic, without any impact on Air France-KLM’s position in the commercial Delta -Virgin Atlantic- Air France-KLM joint venture."

The position of AF-KL in the JV was their own agreed profit share plus the 31% they indirectly had via their 31% ownership of Virgin Atlantic. No change would ultimately mean that Virgin Atlantic gave up a bit of their profit share in the JV. But that seems unfair to Delta and a high price to pay for Branson.
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Old Dec 5, 2019, 10:02 am
  #103  
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Originally Posted by Berent
"Air France-KLM and Virgin have considered that Air France-KLM’s acquisition of a stake in Virgin Atlantic is no longer necessary and are negotiating an agreement whereby Air France-KLM will not acquire a stake in Virgin Atlantic, without any impact on Air France-KLM’s position in the commercial Delta -Virgin Atlantic- Air France-KLM joint venture."position of AF-KL in the JV was their own agreed profit share plus the 31% they indirectly had via their 31% ownership of Virgin Atlantic. No change would ultimately mean that Virgin Atlantic gave up a bit of their profit share in the JV. But that seems unfair to Delta and a high price to pay for Branson.
Whatever AFKL have said, this is definitely coming from Richard Branson himself. He decided he didn't want to sell. AFKL are making the best of it.

I saw at least one report saying that AFKL could legally enforce the agreed sale; however, they're probably not too pushed about it given that final approval had just been granted by the US for the JV, which was probably always the most important aspect of the whole deal. As long as this material change in the deal doesn't affect the approvals which had just been granted. Or maybe this change of heart came about on the realisation that the JV approval was non-contingent on the transaction actually proceeding.


https://www.virgin.com/richard-branson/letter-virgin-atlantic-employees
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Old Dec 5, 2019, 10:56 am
  #104  
 
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I'm waiting patiently for further news on the impact of 'earning and burning '.....good news/bad news.
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Old Dec 5, 2019, 12:21 pm
  #105  
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Originally Posted by mike turnbull
I'm waiting patiently for further news on the impact of 'earning and burning '.....good news/bad news.
I read elsewhere it should kick in on January 1st. But we are unlikely to hear anything prior to then. I've been keeping an eye on the FB website to see if Virgin Atlantic gets added as a partner but nothing so far....
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