Virgin Atlantic posts pre-tax profits jump

Virgin AtlanticVirgin Atlantic, which celebrates its 25th anniversary this year, has posted a near-doubling in full year pre-tax profits to £68.4 million, in sharp contrast to the recently posted results for rival British Airways.

Virgin Atlantic attributes some of the increase to an increase in the number of premium travellers flying with the airline and “prudent management decisions” made when the price of air fuel rose and fell so dramatically.

British Airways has just posted its biggest ever loss and reports that premium passenger numbers are in decline. It is reviewing its first class cabin policy for its latest aircraft orders.

All airlines are struggling during the global downturn and the tightening of corporate budgets and individual leisure spending. BA’s revenue gains were offset by fuel costs.

Virgin Atlantic reported group sales up 8.4% to £2.579 billion and total number of passengers carried rose to 5.77 million.

The airline unveiled a 25th anniversary brand campaign created by Rainey Kelly Campbell Roalfe/Y&R with an 80s theme earlier this year. The ad is soundtracked by the Frankie Goes To Hollywood song Relax.

Virgin Atlantic is currently waging a public campaign warning that plans by BA and American Airlines will be anti-competitive.

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