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The Victorian government and transport billionaire Lindsay Fox considered an eleventh hour rescue package for Virgin Australia in a sign state governments could still play a key role in deciding whether a private consortium ends up owning the collapsed airline.
Victorian Premier Daniel Andrews joined the contest with the Queensland and NSW governments over the airline’s fate in recent days, considering a $500 million package before the company went into voluntary administration on Tuesday.
The country's second-largest carrier has confirmed it is entering administration.CREDIT:JAMES ALCOCK
With Queensland offering $200 million to support the company, the Victorian government opened talks with Mr Fox to relocate some of the airline’s operations to his Avalon Airport outside Melbourne, according to sources familiar with the discussions.
The weekend negotiations came close to a deal before Mr Andrews and Victorian treasurer Tim Pallas decided not to go ahead, but the airline could revive the idea as it searches for government support as well as new corporate investors from a list of 10 potential bidders.
This article first appeared on trn.trains.com
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