By business reporter Michael Janda The capacity war that is wounding Qantas is also bleeding its other protagonist Virgin Australia. The airline posted an $84 million loss to match its rival's $235 million loss yesterday. Virgin Australia boss John Borghetti has, like his counterpart at Qantas, blamed the loss mainly on a capacity war being waged by both airlines against each other. Analysts say, unless there is a circuit breaker, the battle will continued until one airline is forced to flinch under the pinch of falling fares, empty planes and rising costs. More » |
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