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News 6/12/2005   

DJ bid to beat SQ for Pacific route
 
Virgin Blue executives in Canberra are making an 11th-hour bid for approval ahead of Singapore Airlines to operate on the Australia-US route, arguing it would be a low-cost and "Australian" competitor to Qantas, according to The Australian newspaper.

With cabinet due to consider SQ's application next week, DJ has been lobbying most cabinet ministers, and yesterday addressed the government's 'Friends of Tourism' committee headed by backbencher Bruce Baird.

DJ ceo and co-founder Brett Godfrey said yesterday: "We're arguing against ceding a national asset."

The airline is seeking access to the route and a guarantee the government will not open the market to new foreign carriers.

Virgin is lobbying for an initial seven weekly services, rising to between 14 and 21.

Initially it would fly between Sydney and the US West Coast but eventually, with 21 services, could have seven of them operating from Melbourne.

Godfrey said if DJ operated on the route it would run a two-class service, providing differentiation from the Qantas three-class service. He said Virgin would need two years to launch operations.***



6 December 2005


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