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Virgin America Could Lower Fares

July 25, 2006 By: Susan Young Travel Agent

A study conducted by the Campbell-Hill Aviation Group, an aviation and economic research firm, says Virgin America could save U.S. passengers $786 million per year, or $88 per roundtrip, in reduced fares once the airline becomes certified as a new U.S. domestic airline. Right now the airline's application is before the U.S. Department of Transportation. The study said 84 percent of such savings would benefit existing U.S. airline passengers, while creating another 3.3 million new airline passengers who are highly price sensitive.

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