[MarcusGB]

I do not really understand Virgin Atlantic and its Position, when it is so aligned with Delta, but not officially a Skyteam member using whichever FFP you have.
I have a fair amount of Virgin miles Separated, that do not really join with my Platinum Flying Blue, KLM/AF Based membership?

You can use Virgin points to book KLM/AF and earn points for membership. But a 1 way is the same miles as a return spent on Virgin, so its expensive miles/points wise. Tickets also carry a HUGE £600 excess charge by Virgin!
They do not have the routes that appeal to me or i use and more leisure orientated with holiday destinations.
It does not seem to work the other way.

It would simply be more beneficial to fully join, than this confusing part membership or codeshares, and half in half out.
Membership points /XPs cannot be transferred between their programs, yet Virgin will status match if you have platinum or gold with Flying Blue….

What do other BT Members know or feel?

[FaroFlyer]

[postquote quote=1360376]

TAP has a lot to resolve before any sane bidder will commit. Here is a link to CNN which gives some insight
https://cnnportugal.iol.pt/tap/cpi/ramiro-sequeira-confirma-que-sabia-estar-abrangido-pelo-estatuto-de-gestor-publico-nao-sabia-era-da-saida-de-alexandra-reis-ate-acontecer/20230510/645be1dbd34ef47b8753b815
Last week, Portuguese TV had a news item that Lufthansa are in active discussions, swiftly followed by a denial that the Government are in discussions with any body. Then confirmation that IAG are also interested.

Yes, somebody will take TAP on board, but it will take deep pockets to fund the many months of industrial action that will follow, taken by flight deck and cabin crew desperately believing in their historic importance and status.

[cwoodward]

M GB – To me it seems that Virgin is in a rather precarious position at the moment and straddling a number of fences – this becomes painful after a while and I fear for the future of what was a very decent airline only a few years ago.

[transtraxman]

This has already been reported by Business Traveller.
“Lufthansa Group to purchase 41 per cent stake in ITA Airways,” 26 May 2023.

Lufthansa Group to purchase 41 per cent stake in ITA Airways

But you might be interested how others have reported the news.
“Lufthansa to buy 41% of Italy’s ITA for €325mn,” ch-aviation, 26-5-23

https://www.ch-aviation.com/portal/news/127944-lufthansa-to-buy-41-of-italys-ita-for-325mn

and
“BREAKING: Lufthansa Agrees To Buy 41% Of ITA Airways”, Aviation News, 25-5-23

https://simpleflying.com/lufthansa-agrees-to-buy-41-of-ita-airways/

though the news is basically the same there are slight differences in detail.

[AndrewinHK]

It doesn’t look good for LH or IAG. The EC has indicated it has concerns regarding LH’s takeover of ITA, and the EC has signaled its belief that IAG’s bid to buy out Air Europa may reduce competition. I think the EC has a valid point in both cases and seems to indicate a real aversion to consolidation. I understand LH offered remedies but these don’t seem to have satisfied the EC, and the current probe is deciding whether to count the LH/UA/AC joint venture as one entity to determine whether the addition of ITA could affect Italy-North America competition. One positive for IAG on the long haul front, with LATAM exiting One World, less of a case can be made that Iberia/Air Europa combining would have an anti-competitive impact on South America routes into Spain. Certain routes like Montevideo-Madrid would become monopolies and remedies would be needed, but the major markets like Brazil/Argentina/Chile/Peru/Colombia all have other operators.

2 users thanked author for this post.

BackOfThePlane, cwoodward

[BackOfThePlane]

Personally, I think to allow Air Europa & Iberia to effectively merge would be akin to allowing BA to takeover Virgin – ok, there would still be competition on almost every route that both airlines operate but, still, is that something we really think wouldn’t negatively impact on competition ex Heathrow?

If Air Europa can’t survive on its own, I would be more than happy for it join either the LH or AF/KL family.

[transtraxman]

This not just a case of IAG (Iberia) taking over Air Europa. It is a question of eliminating competition. This is exactly what IAG (BA) did by taking over BMI (and all the others) at Heathrow. BA wants to be the strongest operator at Heathrow and Iberia wants to be the same at Madrid Barajas. However, these are not going to happen easily.

The third joker in the pile is TAP. There are rumours that Iberia wants to take over TAP. That way it will control all the Iberian traffic to South America (principally to Brazil). This is is obviously a no-go for The European Commission min in Brussels. We have to take into consideration the lack of competition.

[AndrewinHK]

I don’t think it’s plausible that IAG has any chance with TAP. Air Europa is a relatively small carrier, so the only group it really makes sense for is IAG, it just doesn’t have the scale that the other majors would need at Madrid to gain real traction which was the same scenario with BA acquiring BMI. The EC has a delicate balancing act, I don’t really think a case can be made that Europe is not a competitive aviation market, intricacies of course with certain airport pairs, but when you take in to account 1 stop itineraries and cities that have multiple airports, passengers have a lot of choice. It is some what ironic that much of the regulation placed on airlines is actually forcing consolidation, airlines already have razor thin margins, they are expected to pay for delays, you have many advocating passenger compensation for staff illness, all whilst having to hedge for external factors outside your control with fuel prices/taxes etc, I have a lot of time and respect for airline management and I’d be an advocate for consolidation if I was running any of those businesses.

[Author]

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