Branson’s Virgin Atlantic sees Norwegian Air hurting US fares

Norwegian Air Shuttle’s expansion into long-haul flights linking Europe with North America is set to depress fares in the world’s most lucrative travel market, according to Virgin Atlantic Airways. Virgin, which returned to profit in 2014, aided by a trans-Atlantic venture with Delta Air Lines, is expecting a dip in pricing on services that make up about 70% of its entire operation as Norwegian extends its reach, CE Craig Kreeger. “They’re someone we compete with aggressively,” Kreeger said, describing the Scandinavian carrier as “relatively small” right now but with “gigantic” growth plans. “We need to -- and we do -- take them very seriously.” Virgin is analysing Norwegian’s route choices as it expands its fleet of Boeing 787 wide-bodies from 10 now to 42 by 2020. <br/>