Delta buys 49% of Virgin Atlantic (official)
Dec 11, 2012, 6:52 am
#136
Join Date: Jul 2010
Location: MKE
Programs: DL-MM-Diamond HH-Diamond
Posts: 3,218
This should also help on my connecting flights to Australia. However, will be much harder in redemptions as now you have all the Virgin frequent flyers fighting for the same redemptions. Yikes.
Dec 11, 2012, 6:58 am
#138
Join Date: Jul 2010
Location: SUX
Programs: BA Silver; HHonors Gold; SPG Gold; Points but dirt with everyone else
Posts: 8,050
I'm confused how this helps at all with Australia. Are you flying MKE-LHR-HKG-SYD? Virgin Atlantic and Virgin Australia are different airlines.
Dec 11, 2012, 7:00 am
#140
FlyerTalk Evangelist
Join Date: Oct 2002
Location: Currently in Bloomington, IN, but Normally NYC, CDG, and even POZ or wherever FT takes me.
Programs: Northwest Airlines. MTA pay-per-ride Metrocard; zero-balance Oyster card.
Posts: 14,021
Anyway, looking forward to my return LHR-JFK on a VS plane next summer. Still have the unused portion of a DL ticket. If I can earn MQMs by then, all the better.
Dec 11, 2012, 7:21 am
#141
A FlyerTalk Posting Legend
Join Date: Oct 2002
Location: back to my roots in Scotland!
Programs: Tamsin - what else is there to say?
Posts: 47,843
Not quite. VS is wet leasing the aircraft from Aer Lingus for their new short haul service. They looked at several different suppliers. This is not an airline tie up, but a straight supplier relationship.
Dec 11, 2012, 7:28 am
#142
FlyerTalk Evangelist
Join Date: Oct 2009
Location: ATL Lost Luggage
Programs: Kettle with Kryptonium Medallion Tags
Posts: 10,313
Dec 11, 2012, 7:33 am
#143
Join Date: Jun 2004
Location: ATL
Programs: Delta PlM, 1M
Posts: 6,365
Dec 11, 2012, 7:36 am
#144
Suspended
Join Date: Sep 2005
Location: SEA
Programs: UA Silver, BA Gold, DL Gold
Posts: 9,779
DL can leverage their ownership interest into a TATL JV, SQ can't. VS can leverage DL's network to help feed theirs (and vice versa), while feed from the SQ-VS partnership was likely minimal.
As a simple investment proposition doesn't necessarily make sense, but as a de facto merger of US-UK traffic, it makes quite a bit more sense.
As a simple investment proposition doesn't necessarily make sense, but as a de facto merger of US-UK traffic, it makes quite a bit more sense.
Dec 11, 2012, 7:41 am
#146
Join Date: Jul 2003
Location: Australia
Programs: QF LTS, Marriott LTP, ALL GOLD
Posts: 2,440
I believe VS will now explote joining Skyteam - I expect it to be announced sometime next year.
How well did Ansett and Air NZ work out for Singapore?
I believe SQ aren;t that great in working with other airlines and to be honest could have made more of the VS shareholding if they had wanted to.
At least Delta seem to be more willing and capable of doing that. I mean having a JV is a huge bonus to VS/DL from the UK... already that is far better integration than VS/SQ ever had.
Dec 11, 2012, 7:46 am
#147
Suspended
Join Date: Aug 2005
Location: BOS
Posts: 15,027
Dec 11, 2012, 7:51 am
#148
Join Date: Jul 2003
Location: Australia
Programs: QF LTS, Marriott LTP, ALL GOLD
Posts: 2,440
The also lost a fare chunk in Air New Zealand too. As I said - they don't have a good track record of airline investments.... they are usually a silent partner and really need to leverage the synergies between the airlines...
Something that DL is looking to do from day 1 witgh the joint venture etc which is more than SQ ever offered VS.
Now SQ did by the VS stake at the peak of the market and even then it was deemed to be over priced.
Something that DL is looking to do from day 1 witgh the joint venture etc which is more than SQ ever offered VS.
Now SQ did by the VS stake at the peak of the market and even then it was deemed to be over priced.
Dec 11, 2012, 7:51 am
#149
Suspended
Join Date: Sep 2005
Location: SEA
Programs: UA Silver, BA Gold, DL Gold
Posts: 9,779
All,
We want you to be some of the first to know we have just announced plans to form a joint venture with Virgin Atlantic Airways meant to strengthen our position across the Atlantic, especially in New York. We are investing $360 million to acquire a 49 percent stake in Virgin Atlantic, which will include three seats on their board of directors.
This joint venture will offer a combined trans-Atlantic network between the United Kingdom and North America with 31 peak-day round-trip flights; enhanced benefits for customers including cooperating on service between New York and London, with a combined total of nine daily round-trip flights from Heathrow to JFK and Newark; reciprocal frequent flyer benefits and shared access to Delta Sky Club and Virgin Atlantic Clubhouse airport lounges for elite passengers (more details coming soon).
Our next step is to apply for antitrust immunity with the U.S. DOT and undergo review by the U.S. Department of Justice and the EU’s competition regulators and other relevant authorities. We expect the share purchase and the joint venture to be implemented by the end of 2013.
We will work to keep you informed each step of the way. Please view the full release here http://news.delta.com/index.php?s=43&item=1822
Thanks,
DLCorpGalNYC
We want you to be some of the first to know we have just announced plans to form a joint venture with Virgin Atlantic Airways meant to strengthen our position across the Atlantic, especially in New York. We are investing $360 million to acquire a 49 percent stake in Virgin Atlantic, which will include three seats on their board of directors.
This joint venture will offer a combined trans-Atlantic network between the United Kingdom and North America with 31 peak-day round-trip flights; enhanced benefits for customers including cooperating on service between New York and London, with a combined total of nine daily round-trip flights from Heathrow to JFK and Newark; reciprocal frequent flyer benefits and shared access to Delta Sky Club and Virgin Atlantic Clubhouse airport lounges for elite passengers (more details coming soon).
Our next step is to apply for antitrust immunity with the U.S. DOT and undergo review by the U.S. Department of Justice and the EU’s competition regulators and other relevant authorities. We expect the share purchase and the joint venture to be implemented by the end of 2013.
We will work to keep you informed each step of the way. Please view the full release here http://news.delta.com/index.php?s=43&item=1822
Thanks,
DLCorpGalNYC
Dec 11, 2012, 7:54 am
#150
FlyerTalk Evangelist
Join Date: Oct 2011
Location: Anywhere I need to be.
Programs: OW Emerald, *A Gold, NEXUS, GE, ABTC/APEC, South Korea SES, eIACS, PP, Hyatt Diamond
Posts: 16,046