Virgin Atlantic won't survive without government help - Branson

Virgin Atlantic won't survive unless it gets government aid, says founder Richard Branson.

Julian Satterthwaite reports.

Virgin Atlantic won’t survive without government help.

That’s according to founder Richard Branson.

On Monday (April 20) he said the company was doing all it could, but needed assistance.

Branson said aid should come in the form of a commercial loan that would be paid back.

He denied the airline was asking for free money.

Virgin Atlantic first asked for help last month, but no agreement has been reached.

Branson has come under fire for seeking aid at a time when the airline’s employees have had to take pay cuts.

But the billionaire says his net worth is based on his companies’ value, not cash in the bank that could be used now.

Prospects for Virgin Australia don’t look much brighter.

It looks poised to enter voluntary administration, according to local media reports.

Australia’s number-two carrier is more than 90% owned by Branson and a group of investors including Singapore Airlines and Etihad Airways.

It’s weighed down by over three billion dollars in debt.

Options under administration would include asset sales, a deal with creditors, or even the winding up of the firm.