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Virgin USA To Order 50 Planes  
User currently offlineHZ747300 From Hong Kong, joined Mar 2004, 1678 posts, RR: 1
Posted (10 years 4 months 3 days 23 hours ago) and read 11461 times:
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Or so it would seem... As a Reuters employee I feel bad that I cannot give you the whole article, but here is a portion of the article:

-- UPDATE 1-Virgin USA airline startup eyes NY, San Francisco --
(Adds details)
NEW YORK, May 24 (Reuters) - British entrepreneur Richard
Branson said on Monday the Virgin USA startup airline, which is
tentatively set to launch sometime next year, has narrowed its
choices for a home city to San Francisco or New York.
Speaking at an entrepreneurs' summit, Branson said the
carrier, which does not yet have a name, route structure or
airplanes, was considering buying aircraft from Boeing or
Airbus.
"I can't at this stage confirm whether it's going to be Airbus
or Boeing ... I think the airline is going to need about 50
planes," he said. >>>>>>>>>>>>



(Additional reporting by Kathy Fieweger in Chicago)
((Reporting by Daniel Bases, editing by Phil Berlowitz; Reuters
Messaging: daniel.bases.reuters.com@reuters.net))
((Multimedia versions of Reuters Top News are now available for:
* 3000 Xtra: visit http://topnews.session.rservices.com
* BridgeStation: view story .134
For more information on Top News: http://topnews.reuters.com))

(C) Reuters 2004. All rights reserved. Republication or redistribution of
Reuters content, including by caching, framing or similar means, is expressly
prohibited without the prior written consent of Reuters. Reuters and the Reuters
sphere logo are registered trademarks and trademarks of the Reuters group of
companies around the world.



Keep on truckin'...
57 replies: All unread, showing first 25:
 
User currently offlineArtsyman From United States of America, joined Feb 2001, 4745 posts, RR: 34
Reply 1, posted (10 years 4 months 3 days 23 hours ago) and read 11248 times:

While I did read that in the news, I now have my doubts that Virgin USA will ever happen. If you have kept up with their news, they have been reporting now for a few years that the carrier would launch "early next year", but we are now two years past that, and they are still reporting early next year.

As far as them launching from New York, I just can't see it. The would be going into a battle against Continental (which will always offer more destinations than virgin) and Jetblue who arguably will at least match or beat them on price.

San Francisco is more likely considering that Reid is from San Francisco, and there will be less immediate low cost competition.

Long, long, long way to go

J


User currently offlineGreg From United Kingdom, joined May 2005, 0 posts, RR: 0
Reply 2, posted (10 years 4 months 3 days 23 hours ago) and read 11238 times:

This will be tied into the widebody order for either more 346's or 773's.

User currently offlineLegacyins From United States of America, joined Aug 2003, 2079 posts, RR: 0
Reply 3, posted (10 years 4 months 3 days 23 hours ago) and read 11230 times:

I did not think New York was in the running. For the past few months it has been widely known that the contenders were San Francisco, Boston and Washington.


John@SFO
User currently offlineAtcboy73 From United States of America, joined Sep 2001, 1100 posts, RR: 2
Reply 4, posted (10 years 4 months 3 days 23 hours ago) and read 11146 times:

I now too seem to feel that this airline wont happen.

SFO as a base. That schedule will be on time  Big thumbs up


User currently offlineHZ747300 From Hong Kong, joined Mar 2004, 1678 posts, RR: 1
Reply 5, posted (10 years 4 months 3 days 23 hours ago) and read 11140 times:
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Well, if it is tied into a widebody order for A35/6's or 772/3's, then US carriers will be sure to cry foul. The worries are that Branson while only having 25% of the voting stock on paper, will have 99% of the decision making authority. Worry of the foreign sphere of influence prior to a joint Virgin order, will turn to outright accusations if such an order were indeed placed.

Now my opinion: The airline will happen, it will not be a smashing success if it is in New York. But, a spotlight would not shine as bright anywhere else. However, if careful research is coordinated, I am certain the changing shape of the US air travel market would reveal some defficiencies where a new airline, like Virgin USA, could succeed.

Now my soapbox: If it employs Americans at decent wages and brings the joy and convenience of air travel to the masses, I hope it succeeds.



Keep on truckin'...
User currently offlineDfwRevolution From United States of America, joined Jan 2010, 977 posts, RR: 51
Reply 6, posted (10 years 4 months 3 days 23 hours ago) and read 11080 times:

50 planes? Given that U.S. Airways said they will not be selling off any assets, what are they going to do with this many aircraft! Where in the U.S. market is there room for a 50-strong LCC fleet? The timing is way off on this move.. he was about 4 years too late.

User currently offlineRichard28 From United Kingdom, joined Aug 2003, 1619 posts, RR: 6
Reply 7, posted (10 years 4 months 3 days 23 hours ago) and read 11080 times:

article appears here
http://www.reuters.co.uk/newsArticle.jhtml?type=topNews&storyID=5237463

Rich.


User currently offlineFLY2LIM From United States of America, joined May 2004, 1184 posts, RR: 10
Reply 8, posted (10 years 4 months 3 days 23 hours ago) and read 11062 times:

Remember, people proclaimed that Virgin Atlantic would not fly either and, if it did, it would be a terrible failure for the long haired, hippie like Branson. I wonder who's laughing now?
FLY2LIM



Faucett. La primera linea aerea del Peru.
User currently offlineBobnwa From United States of America, joined Dec 2000, 6477 posts, RR: 9
Reply 9, posted (10 years 4 months 3 days 23 hours ago) and read 11014 times:

Richard Branson is the greatest living self promotor followed by Donald Trump. They have both mastered the concept of new announcements that are repeats from months or even years ago.

As for Virgin USA, will it happen before the return of the Graf Zepplin to the New York skies? The only asset Virgin USA has is a president who is on loan until he finds another job.


User currently offlineAloha717200 From United States of America, joined Aug 2003, 4505 posts, RR: 15
Reply 10, posted (10 years 4 months 3 days 23 hours ago) and read 10920 times:

Shall we begin speculating if it will be 50 717s?  Wink/being sarcastic

User currently offlineGreg From United Kingdom, joined May 2005, 0 posts, RR: 0
Reply 11, posted (10 years 4 months 3 days 23 hours ago) and read 10895 times:

Already been eliminated from the competition in round 1. Not enough range....too little capacity.

User currently offlineArtsyman From United States of America, joined Feb 2001, 4745 posts, RR: 34
Reply 12, posted (10 years 4 months 3 days 23 hours ago) and read 10891 times:

f it employs Americans at decent wages and brings the joy and convenience of air travel to the masses, I hope it succeeds.
****

Neither Virgin Atlantic or Virgin Blue pays decent wages, so I am not optimistic that Virgin USA will either. If it is an LCC, then wages will be low.

J


User currently offlineAloha717200 From United States of America, joined Aug 2003, 4505 posts, RR: 15
Reply 13, posted (10 years 4 months 3 days 23 hours ago) and read 10854 times:

Already been eliminated from the competition in round 1. Not enough range....too little capacity.


I was being sarcastic...


User currently offlineANstar From United Kingdom, joined Nov 2003, 5245 posts, RR: 6
Reply 14, posted (10 years 4 months 3 days 22 hours ago) and read 10624 times:

Perhaps Branson is sitting on the lines waiting for a failure.....

If UAL goes, lets take SFO, if US goes, lets take New York (East Coast).

I'm sure he will be doing his homework before Virgin USA starts...


User currently offlineAloha717200 From United States of America, joined Aug 2003, 4505 posts, RR: 15
Reply 15, posted (10 years 4 months 3 days 20 hours ago) and read 10403 times:

UAL isn't going anywhere.

User currently offlineGreg From United Kingdom, joined May 2005, 0 posts, RR: 0
Reply 16, posted (10 years 4 months 3 days 20 hours ago) and read 10319 times:

There is a very real posibility UA will fail.
Their only real hope now is the gov't loan.
IF that should fail, then UAL will definetely go down. There is, however, no reason to believe the loan is in any danger.

Even with the gov't backed bailout (call it what you want), there is the possibility that hey will not survive.

Once the selling of assets starts, it will signal the beginning of it's demise.


User currently offlineJetbluefan1 From United States of America, joined Dec 2003, 2988 posts, RR: 14
Reply 17, posted (10 years 4 months 3 days 20 hours ago) and read 10225 times:

50 aircraft? My guess would be some type of 737, as Virgin Express and Virgin Blue are already familiar with.

New York or San Fran? If they base themselves in NYC, their little red selves will be chased out by blue tales before they can say "sale fare." San Fran is a better choice, but still is not too great. They'll have lots of competition from UA, and neighboring OAK is swarmed with flights from WN and some from B6.

I think Virgin USA missed the boat. There's enough airlines in the U.S and too much capacity (or not enough people flying) - and here comes I-Air. At this point, it would be a mess if they decided to launch.

JetBluefan1



Most people on a.net hate JetBlue. Get used to it.
User currently offlineKomododx From , joined Dec 1969, posts, RR:
Reply 18, posted (10 years 4 months 3 days 20 hours ago) and read 10145 times:

Well I'll be darned... at least he narrowed his choice down for a manufacturer! (It's pretty obvious it's gonna be A or B, not E)

KdX in TLH


User currently offlineWdleiser From United States of America, joined Apr 2004, 961 posts, RR: 4
Reply 19, posted (10 years 4 months 3 days 20 hours ago) and read 10044 times:

I highly doubt UAL will go under. They seem to be making progress, unlike USair which seems to be screwed.


User currently offlineBrons2 From United States of America, joined Sep 2001, 3013 posts, RR: 4
Reply 20, posted (10 years 4 months 3 days 19 hours ago) and read 9867 times:

I think it will be the A32x, because I'm sure WN would be in a tizzy if they were allocated 50 737 production slots, seeing as how 2004 and 2005 slots are sold out.


Firings, if well done, are good for employee morale.
User currently offlineUsatoeze From United States of America, joined Feb 2004, 358 posts, RR: 3
Reply 21, posted (10 years 4 months 3 days 18 hours ago) and read 9728 times:

Two Things:

Brons2:
Great point about WNs delivery slots.

If A32xs are ordered, wouldnt there be a fear by Airbus that when either US or UA ultimately fail(one of them will...search yourself you know it to be true), wouldnt the market be flooded with used Airbus aircraft. The scary thing to think about is that on top of UA and US there are also airlines like Spirit and Independence, which there are chances that either of them could fail in the next five years. I guess just something to think about.



War is a very poor political tool
User currently offlineSQ452 From United States of America, joined Apr 2004, 1114 posts, RR: 0
Reply 22, posted (10 years 4 months 3 days 18 hours ago) and read 9713 times:

Just saw on Bloomberg that he hasnt decided whether or not it is Airbus or Boeing to supply the planes for Virgin US


SIN > CVG > BOS
User currently offlineUA744Flagship From , joined Dec 1969, posts, RR:
Reply 23, posted (10 years 4 months 3 days 18 hours ago) and read 9541 times:

Don't pay attention to Greg.

He has a poor understanding of the airline industry despite his throusands of posts.

Reality:
- There is reason to doubt that UAL's ATSB loan will be approved (yes, this comes from a rabid UAL cheerleader)
- Even if UAL doesn't get the ATSB loan... that does not signal the end for the airline... just that less desirable investors/opportunists will step in with funding hoping to rape the company for a quick buck

Back on topic:
A fair amount of actual airline analysts believe that V.USA will not fly.


User currently offline747firstclass From , joined Dec 1969, posts, RR:
Reply 24, posted (10 years 4 months 3 days 15 hours ago) and read 9302 times:

I can not possibly believe that Bush, behind the scenes, will let the loan for UAL be turned down. Period. This is an election year and he does not need any more problems.
As for Virgin USA, I do not think it will start up "sometime next year" If you notice from a recent press release they mention "they hope to start sometime next year" I emphasize the word hope.
They have not even submitted a business plan for the US DOT approval or any other paperwork. That approval process alone takes months and months. In short "it aint gonna fly"


25 AA737-823 : I really feel like it will be an Airbus order. You guys know how much I prefer Boeing (take a hint- don't get me started), but I really think Branson
26 HlywdCatft : If Branson brings his airline onto U.S. soil and orders Buses, I hope the airline fails. I know its not really cabotage, but it almost is in a way unl
27 Vorticity : Seems to me there isn't enough market to add another airline without hurting another. I bet Branson has the power to get his going, so I wonder who's
28 Mark777300 : Sorry folks, but I can't see Virgin USA using NY as it's hub. People are simply just focusing on B6 and CO, but thats not the whole picture. You have
29 GSPSPOT : Aren't both S.F and NYC notoriously expensive cities? Wouldn't a new start-up want to go into a centrally-located, more economical area? This doesn't
30 HZ747300 : Actually, that's a great point Jetbluefan1--Virgin Express and Blue both already use the 737. I would agree then that the likely choice is the 737 sin
31 Greg : Gee, I'm not sure UAL774...but when your single largest capital lender has said they will not longer bank you (and are selling your loans), then I'd s
32 SFOintern : California's courtship of Virgin USA http://sfgate.com/cgi-bin/article.cgi?f=/c/a/2004/05/25/BUGUN6R4PG1.DTL&type=business
33 Post contains images Scbriml : If Branson brings his airline onto U.S. soil and orders Buses, I hope the airline fails. Branson isn't bringing a foreign airline to the US, he's star
34 Post contains links Alphascan : http://sfgate.com/cgi-bin/article.cgi?f=/c/a/2004/05/25/BUGUN6R4PG1.DTL&type=business Interesting article. Thanks Intern. I hadn't heard about Primair
35 Flaps : Just my two cents but........ I recall previous stories that the headquarters decision would not necessarily be linked to an operating base. Very few
36 UAMAYBACH1239 : Virgin did make that announcement for the purchase of 50 ac, but if he did linger around until next year and US did downsize or sell off assets im sur
37 EAL757 : I agree with earlier posts...I think V-USA will flop...aren't there laws to keep him out of the USA? Geez, I don't want the guy here...we don't need h
38 Post contains images Northwest717 : Aight, well.....Strong words Jeff, BUT, I am going to have to agree with you on this one. I mean, how would the UK like it if we came in and created S
39 AirPortugal310 : I really dont care either way, but I doubt hes going anywhere either. Some of you need to take a chill pill, namely Hollywoodcatfight whatever that is
40 Post contains images Scbriml : I agree with earlier posts...I think V-USA will flop...aren't there laws to keep him out of the USA? Geez, I don't want the guy here...we don't need h
41 Bjg231 : "So you don't want someone to invest their money in the US and create jobs?" I think the fear isn't that it would create jobs, but that the added comp
42 EAL757 : I think the fear isn't that it would create jobs, but that the added competition may threaten current jobs with other airlines. Although I personally
43 EAL757 : AirPortugal310: take a chill pill? Is this not a discussion forum based on the idea that people can share their opinions? I shared mine--what need do
44 Post contains images United4ever : Shall we begin speculating if it will be 50 717s? Nah, it'll be second hand DC9s from North West after they replace them with A319s in the year nod. M
45 Redraider : Yes, what a horrible notion - more competition. We can't let it happen. I want to pay higher fares with fewer choices for travel. Please make this hap
46 EAL757 : Why do airline 'fans' shun capitalism and the free market? we don't shun capitalism...but it's a vicious war domestically already--why are we going to
47 Redraider : There's no such thing as 'American' capitalism. It defeats the purposes of capitalism and free trade to be so protectionist.
48 Ord : "Also, Mr. Bush, please waste millions on a UAL loan. Their management has shown such competency for the past 10 years (at least)..." Redraider, you o
49 Potomac : i think the definition of virgin usa as a 'foreign carrier' is being stretched a little too far in all of this...started by a um, 'foreigner' in richa
50 Aa717driver : Ord--During Greenwald's tenure EVERYBODY made record profits. Even TWA would have been profitible if Icahn hadn't been sucking money out of the compan
51 Redraider : Wasn't it also during his tenure that he gave such 'lucrative' and 'record-breaking' contracts to the labor unions? Of course he had good relations wi
52 Post contains images Airforum : And what if they were a real UK LCC. Would that make them less than an American carrier? I would love to see Southwest or JetBlue operating from Amste
53 Ord : "Wasn't it also during his tenure that he gave such 'lucrative' and 'record-breaking' contracts to the labor unions? Of course he had good relations w
54 Frugalqxnwa : I think Branson will pick SFO for their base, despite the many delays and high landing fees. The east coast is swamped with airlines right now (US, B6
55 Elwood64151 : I can not possibly believe that Bush, behind the scenes, will let the loan for UAL be turned down. Period. This is an election year and he does not ne
56 Bubbinski : United, US Airways, and Delta are all in trouble. Maybe Branson is counting on one of them going under and then coming in to fill the gap?? The Virgin
57 As739x : Whats makes SFO now any worse then the other big airports? Yes, we have ATC delays, but who doesn't? I sit here all day watching flights to EWR, ORD,
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