Interview: Virgin America CEO David Cush on new LAX-Dallas service and what’s next

On Tuesday, I lassoed Virgin America Chief Executive David Cush for a quick chat about his airline’s venture into “Big D” and what’s next. On Wednesday, the California-based carrier will begin nonstop daily service to Dallas-Fort Worth (DFW) from Los Angeles (LAX). On Monday, it will add DFW-San Francisco (SFO) nonstops.

Cush, who attended Southern Methodist University in Dallas and spent many years working for American Airlines, also based in the area, said the new service is a homecoming for him.

“I lived in for Dallas 25 years and still have a lot of friends there, “ he said.

Virgin America set its sights on Dallas, which Cush said is the fourth largest revenue market in the U.S. after New York, Los Angeles and Chicago, “because it’s an underserved market with no competition.”

Or until now, not much competition. Out of 18 nonstop flights a day from LAX to DFW, 17 have been flown by American Airlines and one by a United Airlines regional carrier, he said. (Southwest Airlines offers connecting service to LAX from Dallas Love Field [DAL].)

Cush said Chicago is the next destination in his airline’s sights.

“We hope to go there in April,” he said. “We have the planes. It’s just a question of gates at O’Hare.”

Why O’Hare International Airport (ORD) instead of Midway International Airport (MDW)?

“O’Hare is much more familiar to non-Chicagoans, and it has no low-fare competition,” Cush said. He added that Virgin America hopes to announce its entry into Chicago in January.

Meanwhile, the price and perks wars in the Dallas-California market are heating up. On Tuesday, Virgin America was advertising $129 one-way fares between DFW and LAX. American this week launched two promotions to compete with the new kid on the tarmac:

-- Through Feb. 28, customers in the AAdvantage frequent-flier program flying between LAX and DFW and between SFO and DFW will earn double elite qualifying miles and double flight miles.

-- Under American’s “15 Days of Giveaways” promotion, from Wednesday to Dec. 15, customers on select “mystery” flights on the two routes will receive gifts such as Admirals Club lounge passes, movie tickets and extra AAdvantage miles. Customers can check the promo page or follow American on Twitter or Facebook for giveaway news.