Virgin Atlantic's wings clipped

Sir Richard Branson's Virgin Atlantic is heading for record losses of as much as £135 million ($A197 million), triggering fears of job cuts among the carrier's 9000 staff. New chief executive Craig Kreeger (pictured) has instigated a pay freeze and a cost-cutting plan after warning in an internal memorandum that the airline's financial performance was "well behind where we anticipated". The carrier, which flies 6 million passengers a year, slumped to an £80 million loss last year. It has been hit harder still this year by soaring fuel costs, stronger competition on its transAtlantic routes and rising airport charges.