Thousands more seats as Virgin Trains goes for growth

Virgin Trains plans to add thousands more seats to its award-winning services during next year following today’s announcement of an eight-month extension to its West Coast franchise.

Virgin Rail Group (VRG), which operates Virgin Trains, has signed an agreement with the Department for Transport (DfT) to extend the current West Coast franchise. The franchise was due to expire at the end of March 2012, but will now be extended until 8 December 2012.

The deal means that new trains and carriages will be introduced to help continue growth on West Coast, where the number of customers has more than doubled in the last seven years, from 14m in 2004 to around 30m in the current year. Despite the recession, in the last three years Virgin Trains has been the fastest-growing operator, with annual growth above 10per cent, following big timetable improvements in 2008.

Under the extension agreement, Virgin Trains plans to add two Standard carriages to each of 31 existing Pendolino trains between April and December 2012, as well as four new trains.

The agreement is based on a forecast of 11 per cent year-on-year growth – more than three times the long distance operator average - and is very challenging given the current economic climate. Work on introducing longer and new trains is not due to complete until December 2012, with the full benefits not being realised until the start of the new replacement franchise starting on 9 December 2012.

The deal, which covers any shortfall on DfT revenue targets through an 80 per cent revenue support agreement or any excess through an 80 per cent revenue share, will see Virgin Rail Group make a premium payment to the Government for the eight months.

The new trains and carriages will add 150 extra seats to the 294 Standard seats currently on each of these trains. First Class accommodation will remain the same as now. In addition, it is planned to commission four new 11-carriage trains into the Pendolino fleet next year, each providing almost 600 seats per train in Standard and First Class.

The first of the extra carriages are set to be introduced next Spring and more carriages will be introduced gradually during the eight months of the extension as they are delivered into the UK from Italy, where they are being built by train manufacturer Alstom.

When all 106 carriages are introduced, from the start of the new franchise in December 2012, the number of Standard seats in the 56-strong Pendolino fleet will increase by more than 40 per cent. Some 28,000 extra seats will be available every day - more than 10 million extra seats a year. Work will now begin to train and prepare staff for the new and longer trains.

The franchise agreement also means that Virgin Trains will continue its service beyond the 2012 London Games, maintaining the quality of service that has won 90 per cent customer satisfaction ratings, the highest of any long-distance franchise. This month, Virgin Trains received its latest award, the British Quality Foundation's Achievement Award for Customer Satisfaction.

VRG, a joint venture between Stagecoach and Virgin Group, has already pre-qualified to bid for the new Intercity West Coast rail franchise. The Government has confirmed that the new franchise will start on 9 December 2012 and run until 31 March 2026, with an option to be extended by up
to 20 months.

Virgin Rail Group Chief Executive Officer Tony Collins said: "We are delighted to have worked in partnership with Government to agree this extension to the current West Coast franchise. It is great news for passengers and will also deliver value for money to taxpayers.

“The extension will bring continuity and allow us to run services for passengers at an exciting and challenging time for the country with the 2012 Games which start in July next year.

“Virgin Trains is delivering industry-leading levels of customer satisfaction and annual passenger numbers have grown from 14 million to around 30 million in just seven years. This reflects the high quality of service and investment in new trains and improved infrastructure, which has hugely benefitted customers using the backbone of the UK rail network.”

Virgin Trains recognised for reduced energy consumption achievement

Virgin Trains has won a prestigious energy saving award from the British Standards Institute following a year on year 2.5% reduction in energy consumption and CO2 emissions.
The BS EN 16001 certificate recognises achievement in the way energy is managed across all levels of a company. This is particularly challenging within a rail company such as Virgin Trains where the shop floor or production line is across many different geographical locations many of them being quite literally on the move.
As Peter Bowes, Safety and Environment Director for Virgin Trains explains: “The development of clear lines of communication right across the company has been absolutely vital but equally the buy in by our people has been brilliant without whose support the winning of this award would not have been possible. Our challenge now is to continue to make further improvements in energy saving .”

Virgin Trains wins top UK customer satisfaction award

Virgin Trains has won the British Quality Foundation's 2011 BQF Achievement Award for Customer Satisfaction, sponsored by Oracle. The company was chosen by an independent awards jury for its outstanding levels of customer satisfaction and evidence that the levels achieved resulted in loyal customers.

Overall customer satisfaction has risen consistently over the last 10 years, with customer complaints decreasing by 90% over a period when passenger journeys have doubled. Complaints are currently running at 2.5 per 1,000 passenger journeys, compared with 23 a decade ago.

The company has transformed the organisational culture by making the customer the main priority and focusing employees on providing excellent customer service. We have empowered staff to act on their own initiative when dealing with customer issues, and this has encouraged them to be innovative in developing their own ideas for improvement.

Joe Goasdoué, Chief Executive of the BQF, said: “Winning a BQF Achievement Award is a fantastic result for any organisation and Virgin Trains has shown just why a single-minded focus on the customer is the fast route to success.”

Tony Collins, Chief Executive of Virgin Trains, said: “In the latest National Passenger Survey, in Spring 2011, Virgin Trains was rated best long-distance franchise operator for overall satisfaction, scoring 90% for the third survey in a row. I am proud of the way our people embrace the Virgin philosophy of putting the customer first and this Award is down to their efforts. There are always areas where we can do more, and we will continue to strive to improve.”

Other BQF Achievement Award Winners included Co-operative Banking Group, Siemens Industry Automation & Drive Technologies (IA&DT) and Skanska UK.

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For further media information contact the Virgin Trains Press Office on 0845 000 3333 or visit our Media Room website at www.virgintrains.co.uk/about/media-room

Notes to Editors

Virgin Trains

Visit our Media Room website - www.virgintrains.co.uk/about/media-room - for an Image Library of pictures of Virgin Trains and the company’s operations, or to subscribe to receive alerts to new press releases.

Virgin Trains is the brand name of Virgin Rail Group (VRG), which is owned 51 percent by Virgin Group and 49 percent by Stagecoach. We have operated the West Coast passenger train franchise since 1997.

The current franchise runs to March 2012 and the Secretary of State for Transport announced on 19 May 2011 that the Department for Transport will seek to agree acceptable terms with VRG for an extension to the current contract to December 2012. We have been short-listed for the new franchise that will start in December 2012.

Virgin Trains has been recognised in numerous industry awards. In 2011 the company was named Best Rail Operator in the Group Leisure Awards (which we also won in 2009 and 2010). In 2010 we were named Best Rail Operator of the Year at the Travel Globe Awards (voted for by readers of the Daily Mail, Mail on Sunday and Evening Standard. In 2009 we were voted Best UK Domestic Train Service by Business Traveller magazine for the second year running.

Virgin Trains first achieved Investors In People accreditation in 2007 and this was renewed in 2010; the IIP Gold award was achieved in 2011. In May 2011 Virgin Trains was awarded accreditation against the criteria of the European Foundation for Quality Management's (EFQM) Excellence Model. The company’s Learning and Development team won a National Training Awards 2011 West Midlands award for its Coaching Culture programme.

The British Quality Foundation and the UK Excellence Awards

Founded in 1993 by Government and leading UK businesses, the British Quality Foundation (BQF) is an independent, not-for-profit, corporate membership organisation.

The UK Excellence Awards are run annually by the BQF and feature the presentation of the UK Excellence Award, the BQF Achievement Awards, the Lean Six Sigma Award and the BQF Gold Medal Award for Excellence. The 2011 ceremony took place on Thursday 13 October.

The BQF Achievement Awards recognise outstanding performance in key areas of business activity such as Leadership, Customer Satisfaction and Process Management.

For more information visit www.bqf.org.uk or contact Sally Green, Awards Director, on 020 7654 5010 or sally.green@bqf.org.uk.

The National Passenger Survey

The National Passenger Survey is carried out twice a year - in Spring and Autumn - by rail watchdog Passenger Focus and is a key marker of train operating companies’ performance. Full results are available online on their website: www.passengerfocus.org.uk.

In the latest Spring 2011 National Passenger Survey, for the third survey in a row, passengers gave Virgin Trains the highest rating of any long-distance franchise operator when asked how satisfied they were with their overall journey. Ninety percent of those questioned rated Virgin Trains as satisfactory or good.

Virgin Trains launches pocket timetables direct to your phone

Looking for a hassle-free, convenient and sustainable alternative to paper timetables or route maps? Virgin Trains has introduced new mobile phone-friendly versions of its popular pocket timetables and route maps. These can be accessed from posters at all our stations and mean that whenever you’ve got your mobile with you, you’ve got your Virgin Trains timetable.

To access the Virgin Trains’ pocket timetables, simply download a QR (Quick Response) Reader, free of charge, from either an Android, or BlackBerry or iPhone app store. Once that’s done, use the phone to scan the QR code on any one of the Virgin Trains posters at stations. The requested timetable will load on to the phone within minutes.

At the moment customers can upload Virgin Trains’ full range of pocket timetables. From 11 December 2011, they will also be able to access the four Route Guides, giving them quick and easy access to Virgin Trains’ comprehensive timetable information. When a new timetable is released the QR code will need to be scanned again.

Virgin Trains invite Greenwood family on the Train of Hope

Virgin Trains, official charity partner of CLIC Sargent, invited the local Greenwood family on the Train of Hope, a fundraising event that has raised over £35,000 for families affected by childhood cancer.

Hayley Greenwood, 21, from Leyland, was supported by the charity when she was diagnosed with acute lymphoblastic leukaemia in May 2006. Her mum Ann and Hayley embarked from Crewe station on a 1920s steam train, which was waved off by train enthusiast Pete Waterman.

Mum Ann said: “We were absolutely delighted to be invited on the Train of Hope and we had an absolutely fantastic time. The past few years haven’t been easy, so this was a really lovely treat.

“After a cancer diagnosis, your life completely changes. As well as undergoing treatment, Hayley, who was just about to turn sixteen, had to leave school so she missed out on parts of her education and being with her mates. She also lost her hair, which really knocked her confidence.

“Thankfully our CLIC Sargent Young People’s Social Worker, Elizabeth stepped in giving us all the information we needed and was there any time for a chat. She also helped out by applying for benefits and sorting out activity days for Hayley, so she could meet other young people going through similar experiences.”

All the money raised through the Train of Hope will help CLIC Sargent to support families like the Greenwoods, across the UK. Locally, the charity funds specialist care professionals at the Royal Manchester Children’s Hospital, and Christie Hospital.

The Train of Hope took passengers on a return journey from Crewe to Carlisle, travelling through beautiful Lake District and Yorkshire Dales countryside and returning on the historic Settle – Carlisle line. Pete Waterman, record producer, owns LNWR Heritage, a steam locomotive and carriage restoration company based at Crewe Heritage Centre, was there supporting the event.

Lucy Knight, CLIC Sargent’s Regional Corporate Fundraising Manager says: “Every cancer journey is different and a diagnosis can impact a family in many different ways, from covering mounting travel costs to travel to hospital for treatment, to the isolation a child or young person might feel having to take time out from school.

“Thank you Virgin Trains, for making a real difference by launching the Train of Hope – a fantastic fundraising event. Lack of funds means that CLIC Sargent can only help two out of three children and young people with cancer – that’s why support, through events like this, makes such a difference.”

CLIC Sargent is Virgin Trains’ first official charity. So far the partnership has generated over £320,000 and Virgin Trains has recently committed to support CLIC Sargent until 2012. For more information about the Train of Hope fundraiser, visit www.trainofhope.com