VIrgin Atlantic Game Plan

With the money, Virgin America is poised to launch cheap seat service out of San Francisco in 2006. A320s will be the aircraft of choice, the same craft that helped JetBlue become successful on the East Coast.

Clearly, Virgin America hopes to replicate the kind of success on the West Coast that JetBlue has built back East. The Virgin group of companies (headed by billionaire Richard Branson) is committed to providing the remainder of Virgin America's start-up money. This is in line with U.S. laws, which limit foreign ownership.

The United States Department of Transportation has yet to determine whether Virgin America is fit, willing, and able to operate as a U.S. airline. The department will work with the Federal Aviation Administration to review the airline's planned operations and equipment to ensure that they are safe.