Virgin Atlantic plans to stop domestic airline


(MENAFN) Virgin Atlantic to commence establishing its domestic airline, Little Red, after it failed to persuade passengers of its short-haul service on to the carrier's long-haul fleet, Gulf News reported.

The company's chief executive showed that Little Red's woes were the result of regulators failing to loosen British Airways' hold over the UK short-haul market after its takeover of BMI British Midland in 2012.

BMI's short-haul aircraft at London's Heathrow airport were significant sources of passengers for Virgin's long-haul passenger jets before the takeover. Virgin planned to launch Little Red in March last year in order to regain the loss of these passengers.

It hoped these short-haul services would provide significant numbers of passengers who connected on to Virgin's long-haul aircraft at Heathrow. On Monday the airline admitted this had not happened.


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