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Delta announces venture with Virgin Blue
By: The Associated Press | 09 Jul 2009 | 06:06 PM ET
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ATLANTA - Delta Air Lines Inc. plans to form an alliance with Virgin Blue Airlines Group that would include selling seats and offering reciprocal frequent-flier benefits on each other's flights between the U.S. and Australia and the South Pacific.

The airlines said late Wednesday they would seek antitrust immunity from U.S. and Australian regulators. Delta already has immunity from antitrust laws to cooperate closely with its SkyTeam partner airlines, including Air France across the Atlantic.

Delta, which started service to Australia just a week ago with service between Los Angeles and Sydney, said the venture with Virgin Blue would help it compete better in the trans-Pacific market.

Virgin Blue Airlines Group operates V Australia, which runs a daily nonstop flight between Los Angeles and Sydney and three flights a week between Los Angeles and Brisbane. It plans to begin three flights a week between Los Angeles and Melbourne in September.

Shares of Delta rose 7 cents to $5.75 in trading Thursday.

Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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