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Air India-Virgin to work out commercial agreement on Aug 14

Virgin Atlantic-- which had threatened to withdraw operations from India but later kept on hold its notice to suspend twice weekly flights to Delhi-- and Air India are likely to work out a commercial agreement on August 14, official sources said on Tuesday.

A two-member team of the British carrier during their last round of negotiations in Mumbai on July 18 had agreed to keep the termination notice served on Air India on February 12 this year, under suspension and continue to make available seats on its flights.

Likewise, Air India had also decided to do the same on the codesharing flights.

Under their existing codeshare arrangement, Virgin, which operates two flights on Air India's unutilised bilateral rights, gives 50 seats on their flights to the Indian carrier. It also operates these flights under Air India numbers.

The British carrier had served the termination notice to be effective from August 11, giving financial non-viability of operations as a reason and had sought a third service to Delhi under Air India's codeshare agreement.

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