Richard Bransons domestic airline dream dies, but BA rivalry lives on
Virgin Atlantic lost a skirmish at home, but the war with British Airways over the Atlantic continues
Standing in a brand new British Airways A380, at an altitude of 35,000ft over the Atlantic, Willie Walsh couldnt resist having a dig at an old rival. Sir Richard Bransons Virgin Atlantic airline had, he said, made a bad mistake launching a domestic service from Heathrow. Its looking terrible. The fact is they are struggling you cant make money flying planes that are less than half full. I said it would be a mistake and am delighted to be proven correct.
A few days later, last Monday, those words proved prophetic as Branson announced that he was grounding the Little Red carrier permanently. So thats a point to BA and its parent company, International Airlines Group, in a long-running corporate rivalry that has seen both sides notch up notable victories.
Source: Guardian Transport