Virgin Blue's new boss is finalising a restructure of the airline's international operations in a bid to restore flagging revenues, reports the Sydney Morning Herald.
John Borghetti, a former senior Qantas executive who is barely a month into his new role, is said to want to reduce the number of brands under which the carrier operates from three to one. It currently flies domestically under the Virgin Blue name, trans-Tasman and to the Pacific Islands under Pacific Blue banner and to the US, Thailand, Fiji and South Africa under the V Australia brand.
An agreement between Virgin Atlantic and its 49 per cent shareholder Singapore Airlines, prevents other airlines in the Virgin group from flying international routes under the Virgin banner and Borghetti is reported to be trying to negotiate a change in that agreement in order to most likely adopt the brand Virgin Australia for all routes.
The newspaper predicts that Virgin Blue's fledgling international operation V Australia may have its wings clipped, with the Phuket and Fiji routes axed in favour of increased frequency on the Los Angeles and Johannesburg routes.
A comprehensive report on Borghetti's likely course was published on the Sydney Morning Herald website today.
LINK: http://www.smh.com.au/business/virgin-launches-rescue-mission-20100602-wztg.html |