HikesWithEyes
Topic Author
Posts: 623
Joined: Sat Jan 24, 2004 10:54 am

Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 2:16 am

First, benzene in my Perrier, and now this!
 
Lono
Posts: 1136
Joined: Sun Apr 04, 2004 5:47 pm

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 3:45 am

Doooooohhhhh!!!!!

I still would like to see these guys give it a go....
Wally Bird Ruled the Skys!
 
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LN-MOW
Posts: 1684
Joined: Tue Feb 01, 2000 12:24 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 3:58 am

Makes total sense. If they can't operate them themselves yet, it's a good way to bring in some money. And build some hours for the crew.
- I am LN-MOW, and I approve this message.
 
HikesWithEyes
Topic Author
Posts: 623
Joined: Sat Jan 24, 2004 10:54 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 4:10 am

Quoting LN-MOW (Reply 2):
And build some hours for the crew.

The article doesn't mention whether they will be wet or dry leases.
I would be surprised if VA crew (if there is such an animal) actually
flies them.
First, benzene in my Perrier, and now this!
 
dutchjet
Posts: 7714
Joined: Sat Oct 14, 2000 6:13 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 4:15 am

With no set start up date, VA must do something, having eight very expensive brand new airplanes sitting on the ground for the coming months is not the answer. It will be interesting to see what happens.....

The extra financing is going to raise even more issues......now everyone will want to know who would offer VA another $53 million? And we are all guessing the same answer. This case just got more difficult.
 
luv2fly
Posts: 11056
Joined: Tue May 13, 2003 2:57 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 4:16 am

Could me that Virgin America sees a long road ahead before these planes are flying for them.....
You can cut the irony with a knife
 
ADXMatt
Posts: 513
Joined: Thu Jul 27, 2006 4:07 pm

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 6:28 am

Quoting HikesWithEyes (Reply 3):
The article doesn't mention whether they will be wet or dry leases.
I would be surprised if VA crew (if there is such an animal) actually
flies them.

I would think that it would have to be a dry lease as they are not a certificated carrier. On a wet lease the a/c is flown under the owners certificate. (i.e. Air Mike B764 is flown under the CAL certificate, pilots, dispatchers etc.)
 
worldsurfer
Posts: 117
Joined: Tue Jun 06, 2006 6:36 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 6:47 am

I saw 4 Virgin America Aircraft parked in a remote area in YUL on friday , 2 of them had the full Livery and 2 had just red engines and red tails , but no words painted on them. I could not tell if they were A319's or A320's.
 
ScottB
Posts: 5447
Joined: Fri Jul 28, 2000 1:25 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 7:20 am

This also showed up on Holly Hegeman's PlaneBuzz blog yesterday, referencing the same source and adding a bit of other gossip:

http://www.planebuzz.com/2006/08/political_climate_continues_to.html

I'd imagine that they'd only be able to lease/sublease the actual airframes without being a certificated air carrier. All that throws a bit of a wrench into their potential startup plans if/when the DOT does issue them a certificate, since they'd obviously be bound by the terms of any leases they might sign for the aircraft. You can bet that Continental's lawyers are going to jump on the source of new financing; if it's not from a bona-fide U.S. source, I think you can stick a fork in Virgin America.

Eight Airbus narrowbodies are awfully expensive capital assets on which to have to be eating lease and/or financing costs for an extended period. I'd guess they're burning $1.5 to 2 million per month just on parked airplanes. Not to mention that if JetBlue's startup is any guide, they're also burning a similar amount each month on salaries and overhead. The longer Continental and other network carriers can delay Virgin America's start, the more susceptible the new carrier will be to a protracted fare war which is IMO inevitable.

The other interesting little tidbit -- Virgin America's code is going to be VX.
 
StarGoldLHR
Posts: 1346
Joined: Mon Feb 16, 2004 1:29 am

RE: Virgin America To Sublease Aircraft?

Wed Aug 23, 2006 10:54 pm

These are the ones at YUL ..

waiting by the petrol / gas station for filling up
Big version: Width: 836 Height: 538 File size: 45kb
A Virgin America A320 freshly painted and in store at YUL, note the Gas Prices
So far in 2008 45 flights and Gold already. JFK, IAD, LGA, SIN, HKG, NRT, AKL, PPT, LAX still to book ! Home Airport LCY

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