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Virgin Blue Group still in the “eye of the storm”


Virgin Blue has requested its pilots to take outstanding leave, as part of a plan to avoid redundancies. In a memo warning that the airline is still “in the eye of a storm” with the economy slowing and recession a possibility, Virgin Blue Chief Operations Officer, Andrew David, stated low pilot turnover of less than 2% means the airline has a surplus of B737 flight crew. [1076 words]

Unlock the following content in this report:


  • V Australia feels Boeing pain
  • Rex quietly increases stake in Virgin Blue
  • Load factor back below 80% in Sep-08
  • Experiencing period of capacity growth; but capacity exceeding demand
  • Expansion of regional strategy
  • Won't follow Qantas fuel charge reduction

Graphs and data:

  • Virgin Blue monthly passenger traffic (millions) and load factor (%): 12 months to 30-Sep-07 vs 12 months to 30-Sep-08
  • Virgin Blue aircraft delivery schedule: 2008 to 2013
  • Virgin Blue capacity (ASK) growth: Jan-07 to Sep-08
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