Qantas has rejected accusations by Australian low-cost start-up Virgin Blue that the national carrier has engaged in illegal predatory pricing practices, saying that they are "baseless".
Virgin Blue has filed a complaint to the Australian Consumer Competition Commission, following Qantas' 50% capacity increase on the Brisbane-Adelaide route which Virgin Blue begins in February. Analysts believe Qantas is gearing up for a major price and capacity war, following Impulse's and Virgin Blue's launch on four of Australia's most dense routes with below-cost promotional fares.
Source: Flight International
