NEW YORK — Virgin Atlantic, the airline founded by British businessman Richard Branson, filed Tuesday for protection in U.S. bankruptcy court as it tries to survive the virus pandemic that is hammering the airline industry.
The airline made the Chapter 15 filing in U.S. federal bankruptcy court in New York after a proceeding in the United Kingdom.
A spokeswoman for Virgin Atlantic said the bankruptcy filing is part of a court process in the United Kingdom to carry out a restructuring plan that the airline announced last month. The process is supported by a majority of the airline’s creditors, and the company hopes to emerge from the process in September, she said.
(Reuters)
– Virgin Atlantic on Wednesday reported an annual pretax loss for the
second consecutive year, hit by a shaky economy, the higher costs of
fuel generated by a weaker British pound and problems with Rolls Royce’s
Trent engines.
The
airline, the 1980s brainchild of British billionaire Richard Branson,
fell back into the red in 2017 after three years of profits, as
competition intensified and the weakening of the pound added to already
rising fuel costs.
Best
known in Europe for the trans-Atlantic planes it flies with Air
France-KLM and Delta, Virgin said its loss before tax and exceptional
items was 26.1 million pounds ($34.12 million) for the year ended Dec.
31, compared to a loss of 49 million pounds in 2017.
Total
revenue rose 5.8 percent to 2.78 billion pounds, as passenger numbers
grew just under 5 percent to 5.4 million and revenue per customer rose
1.7 percent.
The
company said performance had suffered from economic uncertainty and the
weaker pound – which increases costs because fuel is priced in dollars –
as well as the well-documented problems of the Trent 1000 engines used
on its Boeing 787 jets.
“While
a loss is disappointing, our performance has improved in 2018 despite
challenging economic conditions and put us on a trajectory for growth
and return to profitability,” Chief Executive Officer Shai Weiss said in
a statement.
Rolls-Royce
on Wednesday agreed to an early inspection of some Trent 1000 TEN
engines by regulatory authorities, a week after Singapore Airlines
grounded two Boeing 787-10 jets fitted with the units.
British
Airways owner IAG in February chose Boeing 777-9s, rather than a
competing package from Airbus in part powered by Rolls, underlining the
risks to airlines from the engine issues.
Since
then the industry has been thrown into chaos by the grounding of
Boeing’s new 737 MAX planes after a second fatal crash within six
months.
The
pound fell 5.6 percent against the U.S. dollar, in 2018 as Britain
contended with the political and economic uncertainty generated by its
negotiations on leaving the European Union.
Finance
chief Tom Mackay said that while economic factors would continue to
challenge the carrier in the year ahead, Virgin Atlantic was in a strong
cash position.
The
results are the company’s first since its acquisition of troubled
regional airline Flybe for $2.8 million earlier this year, in a joint
bid with Stobart Group and Cyrus Capital.
($1 = 0.7649 pounds)
(Reporting by Noor Zainab Hussain and Pushkala Aripaka in Bengaluru; Editing by Anil D’Silva)
DENVER, Colo. – Low-fare carrier Frontier Airlines continues to add routes, announcing five more non-stop flights from Branson Airport (BKG), Cleveland-Hopkins International Airport (CLE), and Nashville International Airport (BNA). Service begins in spring 2019. To celebrate the addition of these new flights, Frontier is offering introductory one-way fares as low as $29*, available now on flyfrontier.com.
Routes & Frequency:
Branson:
Cleveland:
Nashville:
Frequency and times are subject to change, so please check FlyFrontier.com for the most updated schedule.
Additionally, Frontier is expanding service between Chicago (ORD) and both Fort Myers and Tampa into the summer season with flights twice/week to Fort Myers and 3 times/week to Tampa.
“With this announcement, Frontier has now added 34 new routes for 2019 across the country,” said Daniel Shurz, Senior Vice President, Commercial for Frontier Airlines. “We continue to make air travel more accessible and affordable and we look forward to making it easier for people to fly, and for people to fly more often.”
Frontier is focused on more than low fares. The carrier offers customers the ability to customize travel to their needs and budget. For example, customers can purchase options a la carte or in one low-priced bundle called the WORKSsm. This bundle includes refundability, a carry-on bag, a checked bag, the best available seat, waived change fees and priority boarding.
The airline’s frequent flier program, FRONTIER Miles lets members enjoy many benefits as well as attain Elite status. Like the airline, FRONTIER Miles is family friendly, and the program makes it easy for families to enjoy the rewards together, including family pooling of miles. FRONTIER Milesis aptly named, because you earn one mile for every mile flown – no funny formulas at Frontier. If a customer travels a little or a lot, they will find FRONTIER Miles rewarding.
Frontier flies one of the youngest fleets in the industry, the Airbus A320 Family of more than 80 jet aircraft. With nearly 200 new planes on order, Frontier will continue to grow to deliver on the mission of providing affordable travel across America. Frontier’s young fleet also ensures that the company will continue to keep fares low and that customers will enjoy a pleasant and reliable experience flying with the airline.
Frontier wants its customers to have more options when they fly and there is no fee for reservation changes made 90 days or more from the travel date. If you need to make a change between 89 and 14 days from departure, the fee is only $49. Changes made 13 days or less from travel cost $119. When making a change, customers just pay any increase in fare that applies.
*About Intro Fare Offer:
Fares must be purchased by 11:59 pm Eastern time on Jan. 17, 2019 for nonstop travel. Travel is valid Tuesdays, Wednesdays, Thursdays, or Saturdays dependent on days of operation through June 13, 2019. The following blackout date applies, May 28, 2019. Fares are one-way and do not require roundtrip purchase.
MOJAVE, Calif., Dec 13 (Reuters) – A Virgin Galactic space tourism vehicle took off from California’s Mojave desert under clear skies on Thursday bound for the fringes of space, a mission that if successful would mark the first U.S. human flight beyond the atmosphere since the end of America’s shuttle program in 2011.
The test flight foreshadows a new era of civilian space travel that could kick off as soon as 2019, with British billionaire Richard Branson’s Virgin Galactic battling other billionaire-backed ventures, like Amazon.com founder Jeff Bezos’ Blue Origin, to be the first to offer suborbital flights to fare-paying tourists.
In the first steps before a high-altitude rocket launch, Virgin’s twin-fuselage carrier airplane holding the SpaceShipTwo passenger spacecraft took off soon after 7 a.m. local time (10 a.m. ET) from the Mojave Air and Space Port, about 90 miles (145 km) north of Los Angeles.
Richard Branson, wearing a leather bomber jacket with a fur collar, attended the take-off along with hundreds of spectators on a crisp morning in the California desert.
If all goes according to plan, the carrier airplane will haul the SpaceShipTwo passenger rocket plane to an altitude of about 45,000 feet (13.7 kms) and release it. Seconds later, SpaceShipTwo will fire, catapulting it to at least 50 miles (80.47 km) above Earth, high enough for the pilots to experience weightlessness and see the curvature of the planet.
Virgin’s latest flight test comes four years after the original SpaceShipTwo crashed during a test flight that killed the co-pilot and seriously injured the pilot, dealing a major setback to Virgin Galactic, a U.S. offshoot of the London-based Virgin Group.
“We’ve had our challenges, and to finally get to the point where we are at least within range of space altitude is a major deal for our team,” George Whitesides, Virgin Galactic’s chief executive, told reporters during a facilities tour on Wednesday in Mojave, where workers could be seen making pre-flight inspections of the rocket plane.
While critics point to Branson’s unfulfilled space promises over the past decade, the maverick businessman told a TV interviewer in October that Virgin’s first commercial space trip with him onboard would happen “in months and not years.”
Thursday’s test flight will have two pilots onboard, four NASA research payloads, and a mannequin named Annie as a stand-in passenger. More than 600 people have paid or put down deposits to fly aboard Virgin’s suborbital missions, including actor Leonardo DiCaprio and pop star Justin Bieber. A 90-minute flight costs $250,000.
Short sightseeing trips to space aboard Blue Origin’s New Shepard rocket are likely to cost around $200,000 to $300,000, at least to start, Reuters reported in July. Tickets will be offered ahead of the first commercial launch, and test flights with Blue Origin employees are expected to begin in 2019.
Other firms planning a variety of passenger spacecraft include Boeing Co, Elon Musk’s SpaceX and late Microsoft co-founder Paul Allen’s Stratolaunch.
In September, SpaceX said Japanese billionaire Yusaku Maezawa, founder and chief executive of online fashion retailer Zozo, would be the company’s first passenger on a voyage around the moon on its forthcoming Big Falcon Rocket spaceship, tentatively scheduled for 2023.
Musk, the billionaire CEO of electric carmaker Tesla , said the Big Falcon Rocket could conduct its first orbital flights in two to three years as part of his grand plan to shuttle passengers to the moon and eventually fly humans and cargo to Mars.
According to Virgin, SpaceShipTwo is hauled to an altitude of about 45,000 feet (13.7 kms) by the WhiteKnightTwo carrier airplane and released. The spaceship then fires its rocket motor to catapult it to at least 50 miles (80.47 km) above Earth, high enough for passengers to experience weightlessness and see the curvature of the planet.
Bezos’ New Shepard has already flown to that altitude – an internationally recognized boundary between Earth’s atmosphere and outer space known as the Karman line – though the Blue Origin trip did not carry humans.
Virgin’s Thursday launch likely will not go as high as the Karman line. Virgin’s pilots are aiming to soar 50 miles into the sky – the U.S. military and NASA’s definition of the edge of space and high enough to earn commercial astronaut wings by the U.S. Federal Aviation Administration.
Thursday’s test flight carried two pilots, four NASA research payloads, and a mannequin named Annie as a stand-in passenger.
(Reporting by Eric M. Johnson in Mojave, California Additional reporting by Irene Klotz in Cape Canaveral, Florida Editing by Leslie Adler and Nick Zieminski)
