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Bain Capital, the new owner of Virgin Australia says it is ready to compete fiercely with Qantas, after rebuilding the airline from scratch for the past seven months.
Virgin Australia was sold to U.S equity firm Bain Capital after being into bankruptcy owing $6.8 billion.
The new owner, cut Virgin’s workforce from 9000 to 6000, axed its international fleet, shut the budget arm Tigerair and trimmed its domestic fleet from about 80 jets to 56 Boeing 737s, as part of restructuring.
Virgin, was the Australia’s largest airline when it went into administration following deep rooted financial crisis.
“…we’ve been able to achieve in administration is to be able to completely restructure every single component of the business.” Deloitte joint administrator Vaughan Strawbridge said
Under the proposed direction, Virgin Australia will offer three choices of seating including business class, economy X and economy seats – making it the only airline in the country to do so.
Virgin will operate lounges across six domestic airports including Melbourne, Sydney, Brisbane, Adelaide, Perth and the Gold Coast.
Virgin Australia will be “a mid-market carrier appealing to customers who are after a great value airfare and better service.” said the Bain Capital, incoming CEO Jayne Hrdlicka.