Virgin America Defends Ownership; Questions Remain
25 3월 2009 - 6:05AM
Dow Jones News
Virgin America said Tuesday that it still complied with rules
governing foreign ownership of U.S. airlines as it sought to halt
efforts to ground the carrier.
The Transportation Department faces calls from Alaska Airlines
Group Inc. (ALK) and two industry unions to ground the Burlingame,
Calif.-based airline founded by Sir Richard Branson unless it
discloses more details of its ownership.
The Wall Street Journal reported earlier this month that the two
U.S. hedge funds drafted in to provide start-up capital - and meet
the ownership test - had cashed in their holdings.
Virgin America insisted in a regulatory filing that it complied
with all "citizenship" rules to operate a U.S. carrier and that "no
sale or transfer of the 75% U.S. citizen controlling equity ... had
occurred."
The airline did not say whether U.S. investors retained an
"economic interest" alongside board representation, which its
opponents said was critical to meet the citizenship test.
Virgin America also did not identify who held the U.S.-owned
shares. It is understood to be seeking alternatives to the two
founding investors.
While the airline asked the DOT to dismiss the calls for a fresh
probe into its ownership - and potential grounding - the Air Line
Pilots' Association and the Association of Flight Attendants-CWA
both called for the department to take action.
-By Doug Cameron, Dow Jones Newswires; 312-750-4135;
doug.cameron@dowjones.com