V Australia promises Pacific price war
BRISBANE – V Australia has been cleared for take-off to Los Angeles in February, setting the stage for a fare war with rival Qantas on the Pacific route to the US west coast.
The airline’s original launch date of December 15 was delayed due to industrial action at the Boeing factory in Seattle, which slowed the delivery of V Australia’s launch aircraft.
V Australia, a stablemate of Virgin Blue, will now take delivery of its first brand new 777-300ER on Australia Day, January 26.
V Australia is offering return airfares up to 45 percent off the normal economy fare to mark the launch of its US operations.
The A$1199 fare is for flights from Brisbane, Sydney and Melbourne to Los Angeles and is on sale until December 29, 2008, with a travel period March 1-October 24, 2009.
The V Australia fare undercuts by about $800 the cheapest fare Qantas was charging this week on the high-profit LA route, which has been coveted by both Singapore Airlines and Emirates.
The Australian government, however, has ring-fenced the route, protecting it from foreign predators. Qantas has more than 70 per cent of direct Australia-US passenger traffic; the slack is taken up by the American airline United.
V Australia has also confirmed April 8, 2009, as the revised launch date for direct Brisbane-Los Angeles flights.
Ian Jarrett
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