Delta just bought Flybe
 

Meh, 30% of Flybe just got bought by VS and Delta owns 49% of VS. That ends up being a really small number :D

More sources of income than Virgin/Alaska though. Ask me about sources of income in a month.

With a lot of stock held by mutual funds, especially index funds that don’t actively vote their shares, a controlling interest in a company can be a whole lot less than 50%. And yeah, a single company holding 30% of the voting stock can often control it. And anyone holding a 49% share generally WILL control it in most circumstances,

15%...

78910

Airfrance owns 31% of Virgin and we own 10% of Airfrance, so it's more than you think.

http://www.travelweekly.co.uk/articl...irgin-atlantic

After looking at the definitions of “Control” and “Affiliate” in our Scope section, I think the argument could be made that we (Delta) have control of more than 49% of VA.....

Any thoughts?

Denny

It would be a tough argument but may be worth it. The indirect ownership could be characterized as a temporary investment. That opens a whole can of worms for them with regards to the government and stake holding rules and taxes etc. They would fight tooth and nail not to be defined as a majority shareholder.

But yes, you are right in thinking we have effective control. This is the new world order, a few dominant ownership groups and multiple carrier brands.

https://en.wikipedia.org/wiki/Intern...Airlines_Group

No one brought up VX/AS, irrelevant as that was a merger in this country. The disingenuous thread title that Delta bought Flybe, certainly not alone and the math works out to a very small percentage.

Are you referring to the possible Alitalia deal?

I only brought it up because you post (usually negativity) so much in the Delta thread, yet you work at Virgin, recently upgrading (congrats, btw). So you must be continuously making comparisons if you're so motivated to always be in the Delta forum.

Nah, just feb14. Hopefully the powers at be see something profitable in Alitalia; but recent times (years, decades) don't show them as being so. Recent articles I've come across tend to point more to it being all about defending against the ME3, somewhat going on the offense. Guess we'll see.

Thank you Sir! I’m in all the different major threads, like to keep up with everything. :)

Well, Denny. This was too easy for someone with your comedic gifts. "Delta just bought... with my pension." OFG

There's a reason why "control" is defined by sub parts a. through f. The fact that it was not looked at right after the Air France, Delta, Virgin and China Eastern multiple ownership deal was a mistake. I have been sounding this alarm for awhile to no avail.

https://www.flightglobal.com/news/ar...stakes-439743/

Anybody think that Virgin Atlantic did this without consulting Ma Delta? No way. In my opinion Delta effectively controls Virgin Atlantic and Aero Mexico.
FlyBe also has valuable Heathrow slots.

If those slots are as valueable as legend claims, why do we fly 75's and 76's there so much while our "partner" flies super premiums?

I think we have a BOS and MSP to LHR on the 763, but the rest are on 330s. I've been flying quite a bit more LHR over the last year.

I'm pretty sure we have seats on the board at all the companies we own 49% of, that wouldn't be possible.

Is this why we can’t have nice things?

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It is not a legend. LHR slot pairs typically sell for ~$50 million.

(you can look it up on the interwebs if you are still skeptical)

Virgin's offer of ~$4 million (!) plus a $20 million loan is a steal.

.

I don't doubt the hype, nor do I doubt the perception. I've done the GTW express a few times to downtown and its within minutes of the tube, but nevertheless legends persist. I never understood why anyone, even a road warrior, would pay significantly more for the perception of a few minutes after a long transatlantic flight, but they do and obviously we need to take advantage of it.