Brussels-based low fare carrier Virgin Express has over the last six months, carried more passengers than any other airline at Brussels Airport, making it the first main airport in Europe where a low fare carrier is the market leader.

Delta Air Lines has announced that it will launch its own budget subsidiary next year. The as yet unnamed carrier will fly, initially, on routes between the US Northeast and Florida. Delta said it later intends to expand the operation across its US network. Fares are expected to come in between USD$79 and USD$299.

Bulgaria intends to launch a new national airline, Balkan Air Tour in December after the final collapse of its troubled flag carrier Balkan Bulgarian.

It is scheduled to start operations on December 1 and will operate services to seven destinations – Berlin and Frankfurt, London, Milan, Moscow, Paris and Tel Aviv.

Air Canada has reached a three-year deal with the Quebec government to provide low cost fares throughout the province using the airline's Jazz budget operation. In return the province, which is a heavy user of Air Canada services, has agreed to buy around CAD$2.5 million (USD$1.6 million) additional tickets every year for the government and its agencies.

The agreement will also ensure that travellers in Quebec will get cut price Internet fares for travel between remote regional communities and both Quebec City and Montreal. The airline says that fares will be cut by as much as 70 percent compared with regular ticket prices and the flexible low cost deals will be extended to all Air Canada Jazz routes in the province.

Oh dear, arisen from the ashes of Belgium’s now defunct Sabena, Delsey Airlines, has filed for bankruptcy. It was flying transatlantic services from Brussels to New York, Boston and Los Angeles. The airline, originally called VG Airlines, was created by the entrepreneur Freddy Van Gaever who was the founder and first CEO of the successful regional airline, VLM, and Antwerp financier Tony Gram, managing director of the travel goods manufacturer, Delsey. The airline had been in talks this week with a possible last-minute investor, but had to concede defeat when the investor pulled out.