Brisbane-based Virgin Australia is Australia’s second-largest airline and one carrier to attempt a full transformation from LCC to full service airline. Virgin Australia commenced operations in 2000 as Virgin Blue, wholly owned by the Virgin Group, the country's first surviving true LCC, but has since moved away from that market. Under the leadership of CEO, John Borghetti, the airline rebranded in May-2011. Virgin Australia now operates a full service model, targeting higher-yielding corporate traffic, while seeking to maintain its core leisure market share and low-cost base. The carrier also operates subsidiaries; Virgin Samoa (previously Polynesian Blue) and Virgin Australia Regional Airlines (VARA). Former subsidiary, Virgin Australia NZ (previously Pacific Blue), was integrated back into Virgin Australia in Aug-2014. Velocity Frequent Flyer, Virgin Australia's frequent flyer programme, is owned by Virgin Holdings (65%) and Affinity Equity Partners (35%). Virgin Australia's principal shareholders are Nanshan Group, Etihad and Singapore Airlines.
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