Virgin sees challenging profit outlook on the triangle
Dec 11, 2020, 3:02 am
#1
Original Poster
Join Date: Feb 2019
Posts: 40
Virgin sees challenging profit outlook on the triangle
https://www.reuters.com/article/virg...-idUSL1N2IP06U
The decision to keep the 'anchors' of VA's international partnerships is a sensible decision IMO, although DL still being there won't please the Star Alliance fans (or NZ/UA for that matter).
It's a matter of who survives out of REX or VA domestically (if not entirely) imo. QF still has the reserves to sit out the upcoming war, despite encumbering a large number of their assets in recent months to survive the wave.
* Sydney-Melbourne-Brisbane triangle to be more competitive
* Virgin ramping up domestic capacity as state borders re-open
* Keeping Singapore Airlines, Etihad, Delta as partners (Adds details of route importance, CEO comments)
SYDNEY, Dec 9 (Reuters) - Virgin Australia expects the profit outlook for the Sydney-Melbourne-Brisbane triangle will be challenging for a long time as Regional Express Holdings Ltd (Rex) enters the market, Virgin’s chief executive said on Wednesday.
The so-called “golden triangle” of the Sydney-Melbourne, Sydney-Brisbane and Brisbane-Melbourne routes normally accounts for 40% of domestic aviation traffic.
* Virgin ramping up domestic capacity as state borders re-open
* Keeping Singapore Airlines, Etihad, Delta as partners (Adds details of route importance, CEO comments)
SYDNEY, Dec 9 (Reuters) - Virgin Australia expects the profit outlook for the Sydney-Melbourne-Brisbane triangle will be challenging for a long time as Regional Express Holdings Ltd (Rex) enters the market, Virgin’s chief executive said on Wednesday.
The so-called “golden triangle” of the Sydney-Melbourne, Sydney-Brisbane and Brisbane-Melbourne routes normally accounts for 40% of domestic aviation traffic.
It's a matter of who survives out of REX or VA domestically (if not entirely) imo. QF still has the reserves to sit out the upcoming war, despite encumbering a large number of their assets in recent months to survive the wave.
Dec 15, 2020, 2:49 pm
#3
Join Date: May 2006
Location: GA
Programs: VA-PLT, QF-GLD, DL-GM, UA-ex1K, AA-exPLT, HH-DM, IHG-PLT, MR-GLD
Posts: 8,242
Sure when VA was cozy with NZ it made some sense. But now VA's close partners are in various (or no) alliances. SQ is the only primary one in *A (the ANA link is tenuous at best). And the NZ relationship turned pretty sour. Star Alliance and VA are never going to happen.