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Draft approval for Virgin/SQ alliance

written by australianaviation.com.au | October 13, 2011

Singapore Airlines' relationship with Virgin Australia is taking off. (Seth Jaworski)

The Australian Competition and Consumer Commission (ACCC) has provided draft approval of the proposed alliance between Virgin Australia and Singapore Airlines.

The alliance would see the two airlines codeshare on some services, to align schedules, to offer reciprocal frequent flyer points, and to share airline lounges.

“We welcome the ACCC’s draft approval of our proposed alliance with Singapore Airlines,” Virgin Australia group of airlines CEO John Borghetti said. “The alliance will enable us to deliver an attractive and competitive service for travellers in Australia and Asia. The proposed Singapore Airlines alliance is a key plank in Virgin Australia’s strategy to build an international network of airline partners that offers global coverage.”

Added Singapore Airlines regional vice-president South West Pacific Subhas Menon, “We are pleased with the ACCC’s draft approval. We pride ourselves on setting the benchmark for service excellence, product innovation and network connectivity in line with our customers’ needs and our partnership with Virgin Australia will enable us to deliver a best-in-class travel experience across Australia.”

The proposed alliance is still subject to final ACCC approval as well that of the Competition Commission of Singapore (CCS).

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