John Borghetti, chief executive of Virgin Australia, has called on the Australian Competition and Consumer Commission to reapprove its partnership with Delta Air Lines for another 10 years. He warns that the airline’s future on US routes could become unviable if the alliance is rejected. Borghetti said airfares had fallen 20% since Virgin’s entry on the US routes – 10% since its partnership with Delta, controlling 24% of the capacity on the route. As Qantas controls 54%, Borghetti says that the two airlines are almost “insignificant players” and that without their partnership, neither airline would be viable.
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