Bain Capital takes Control of Virgin Australia

[I love to travel]

Pretty brutal though that the departure is all over the media before it has happened. Yes they get paid the big bucks but you have to feel for him atm.

 

[jakeseven7]

Pretty brutal though that the departure is all over the media before it has happened. Yes they get paid the big bucks but you have to feel for him atm.

Agree - and clearly there are many people very unhappy with Bain that are white anting them from the inside with all these leaks.

 

[Saab34]

Bit hard if you have a few hundred grand thrown at you, however you say a thing and you get nothing, or you can sail off into the sunset with your cash.

I know a CEO with a big Corp that was faced with that. He wanted to backstab on the way out but sadly his wife would not let a few hundred grand slip away.

 

[drron]

Makes sense.One of the staff down here in Tassie has a daughter and SIL who were in the VA village in Brisbane.On Monday she was talking how her SIL had got redundancy and has started up his own business and how her daughter had just accepted a new job in the transport industry.both had snior jobs there.

 

[kamchatsky]

Expect service to go back to normal (or close to it) from next month.

Not sure about that given what is happening in the executive level now.

Very sad to see the state of VA J. They were always better than QF J in the domestic scene. But with new owners comes with new directions.

 

[Saab34]

This was from Bain back in May. Between Jetstar and Qantas. Scurrah seemed to want to keep it with Qantas. I have no idea how the sitting in the middle works but I assume its tight seat pitch, tight turnarounds and no lounges.

Murphy agrees the Bain plan is likely to sit somewhere between US budget airline specialists Indigo Partners and former CEO John Borghetti's full-service, multi-brand Virgin with Cyrus reportedly promising to stick with a full service international airline.

 

[HS-TQE]

Going slightly off topic: I guess that REX joining Star Alliance may not be that much of "a stretch" after all, with REX's proposal of taking over VA's "mid-market" position .

 

[freebo]

Virgin Australia has removed a raft of benefits enjoyed by Velocity Frequent Flyer members when travelling with partner airlines including Singapore Airlines, Delta Air Lines and Etihad Airways.

The changes affect access to airport lounges, the ability to earn Velocity points and status credits and the availability of upgrades. Curiously, although announced on October 14, Velocity notes these are "effective September 2020."

The Velocity website explains the cuts as being "a consequence of COVID-19 and some government-imposed international travel restrictions" but doesn't flag that these changes are temporary and would be reinstated once overseas travel returns. Executive Traveller has approached Virgin Australia for comment.

Earning points, status credits
Velocity members will no longer earn any frequent flyer points or status credits when travelling on a codeshare flight by any partner airlines which carries a VA flight number.

Oddly, it appears you'll still be able to earn those Velocity Points and status credits on partner airlines as long as your booking is directly with them – on a flight bearing their 'native' code, such as EY for Etihad Airways and SQ for Singapore Airlines.

The additional 'tier bonus' serve of Velocity points will continue to apply to flights on Delta Air Lines and Etihad Airways.

Lounge access
Platinum and Gold members of Virgin's Velocity loyalty program "will no longer be able to access the Alitalia, Hainan Airlines and Hong Kong Airlines lounges,", the airline says.

However, "Velocity Platinum and Gold members can continue to access all other eligible Velocity airline partner lounges".


Delta Air Lines
Velocity Points can no longer be used for upgrades on US partner Delta Air Lines if the flight has been booked under a VA flight number.

In addition, Velocity Platinum, Gold and Silver members are no longer eligible for a free upgrades from Delta's economy class cabin to the extra legroom Comfort+ seating.

As previously reported, Delta and Virgin Australia have paused their joint venture partnership until Virgin resumes flights to Los Angeles.

"We both anticipate that Virgin Australia will fly to Los Angeles again, and when that happens, we look forward to restarting the Joint Venture," Clare Black, Delta’s General Manager of Australia New Zealand, told Executive Traveller last month.

“We’ve remained in very close contact with Virgin Australia throughout the whole COVID-19 pandemic and Virgin’s administration process, and they do remain a very long-term strategic partner for us,” Black said.

Virgin Australia cuts lounges, points, upgrades on partner airlines

Virgin Australia has removed a raft of benefits enjoyed by Velocity Frequent Flyer members when travelling with partner airlines including Singapore Airlines, Delta Air Lines and Etihad Airways. The changes affect access to airport lounges, the ability to earn Velocity points and status credits...

www.executivetraveller.com

 

[jakeseven7]

There is another thread started for the latest rounds of cuts, but the codeshare one is the most worrying - that breaks all the ‘rules’ of most airlines..... so why would you book a VA code ever? Hope it’s temporary.

 

[RAM]

I know of one competitor who's 99% likely to now be in negative Net Tangible Assets situation who would be very keen for as many negative VA II stories to be flowing as possible. Notably since the financial authorities announced they'd investigate one particular rumour from around 6 months ago now - a certain senior exec has dropped from averaging 18 statements/week prior to that announcement to just 4 in nearly 6 months.

Sometimes rumours can become self-fulfilling if they get enough airplay.

With the VFF points for non-VA badged partner flights but not for codeshare flights ticketed as VA - if ticketed as EY (say) not VA then EY pays for the VFF points. So for example codeshare to UK as an example.

On ex-execs keeping silent - if they don't then they generally never get a high paying job again. Once you share the dirty laundry no Board of Directors will touch you (no matter how warranted the relevation is).

 

[Scarlett]

@RAM, it's an interesting theory/concept that, not content with running an FF program with an airline on the side, a competitor is also running a serious IO campaign perhaps befitting a state actor.

And I'd say it may well be working, certainly I will be making forward bookings with QF only, as they have a demonstrable product.

VA have... well... talk is cheap.

 

[jakeseven7]

Going slightly off topic: I guess that REX joining Star Alliance may not be that much of "a stretch" after all, with REX's proposal of taking over VA's "mid-market" position .

It certainly appears that Bain will be taking VA2 lower than PS has been PR'ing the last couple of weeks which is very very odd.... unless he was doing that to try and force Bain's hand? Very cloak and dagger....

It certainly seems that Rex may be very well lined up directly v VA2.... and competing with them head on on the golden triangle when it restarts, with their old planes and with VA2 downgrading the value of Velocity.....

 

[jakeseven7]

Just heard on ABC radio that there is an announcement expected shortly from Bain/VA2 re: PS.....

Doesn't sound good....

Wonder what role Jayne will play....

 

[HappyFlyerFamily]

It certainly appears that Bain will be taking VA2 lower than PS has been PR'ing the last couple of weeks which is very very odd.... unless he was doing that to try and force Bain's hand? Very cloak and dagger....

It certainly seems that Rex may be very well lined up directly v VA2.... and competing with them head on on the golden triangle when it restarts, with their old planes and with VA2 downgrading the value of Velocity.....

My thinking / presumption is that the losses are mounting and hence forcing Bain to take VA onto a lower cost basis than originally planned, just to seemingly stay afloat. I’m guessing Bain doesn’t want to put in more money having seemingly locked in new equity (Qld, Branson).

 

[auflier]

ceo and management team exit. the ex jetstar is in. premium virgin bye bye!

 

[OATEK]

Other outlets runnung the PS to resign today/in hours story (including everyones favourite ) Union claims Virgin’s new owner Bain Capital is gutting company

 

[Carrots]

Article on the AFR. If you find it's paywalled, just google the header.

Virgin's Scurrah to resign within hours

As the old saying goes, where there's smoke there's fire.

No where's my popcorn?!

PS (pun intended) will tomorrow's breaking news be PS to head new Rex jet division?

 

[auflier]

Other outlets runnung the PS to resign today/in hours story (including everyones favourite ) Union claims Virgin’s new owner Bain Capital is gutting company

they knew. bain is bain. money before anything. not that successful. deloitte shouldve allowed brookfield. but meh. end of virgin era

 

[jakeseven7]

Now where's my popcorn?!

Don't you mean your 2 minute noodles?

 

[TheInsider]

Going slightly off topic: I guess that REX joining Star Alliance may not be that much of "a stretch" after all, with REX's proposal of taking over VA's "mid-market" position .

Ohh please don't start on them!!!!!!