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Alaska Air Acquire Virgin America To Become The Fifth Largest US Airline.

Alaska Air Acquire Virgin AmericaThe announcement came on Wednesday about the acquisition of Virgin Airlines by Alaska Air in their more unique way. A Boeing 737-900ER was painted with the features of both the airlines that flew from Seattle to San Francisco International Airport. The plane was painted in blue, red and purple livery with the slogan on it “More to Love”. After this acquisition the merged company would be the fifth largest US airline.

Both Alaska Air and Virgin America has been best at their services and been ranked in the top ten category. Wall Street Journal ranked Alaska Air no#1 among the top nine largest airlines where in Virgin America was ranked second. Virgin America was ranked “Best Domestic Airlines” consecutively for past 8 years.

Alaska Air is much different than Virgin America and have very different identities in the corporate world but still the core customer support and the services remains the same– says Alaska Air CEO Brad Tilden. Even the approach of the customers is different wherein Alaska Air is more of a nice and sweet caring service provider compare to Virgin America which is considered as a low face high quality providing airlines.

This acquisition might prove beneficial to the customers since it would increase the number of the flights to every destination at a comparatively lower cost. It is estimated to have 1,200 flights flying on a daily basis covering more than 118 destinations including Mexico, Cuba and Canada to name a few. With the increase in the number of flights to every destination and increase number of air planes Alaska Air is focusing on capturing and reaching to maximum destinations as many as possible.

With an increase in the number of destinations covered and markets tapped, this would ultimately reflect in the increase of revenue and expected to reach up to $7 billion with an increase of 27%. Through this merger Alaska Air has tried to enter into the California market and provide a stiff competition to its other four competitors. There has been lot on discussion and thinking about retaining the name Virgin America after its acquired completely because both Alaska Air and Virgin America has a different image and does not want to lose the customer base which is loyal to Virgin America airlines. At least till the end of 2017, both the entities will operate with their individual names.