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3-Nov-2010 11:24 AM

Australian Government favours Virgin Blue/Etihad agreement

Australia's Government has submitted comments to the Australian Competition and Consumer Commission (ACCC) in favour of Virgin Blue and Etihad Airways’ plans to launch codeshare operations (The Age, 03-Nov-2010). The government stated the proposed agreement would “provide benefits to the Australian public and help support and sustain a competitive and sustainable … industry” and would allow V Australia to compete "across a range of other markets without the need for significant capital expenditure". The government plans to ensure the country maintains a second international carrier, previously also stating it will not allow Singapore Airlines to operate on the trans-Pacific route until V Australia has established itself.