VIRGIN BLUE SIGNS TERMINAL ACCESS DEAL AT CANBERRA AIRPORT

29 July 2002

Virgin Blue Guests travelling to and from Canberra are set to benefit from an agreement to allow Virgin Blue to operate from the former Ansett terminal facility.

The low fare airline expects to move within the next 10 days after it reached agreement with Canberra Airport to relocate from its existing space at the Common User counters to the more spacious former Ansett area.

Virgin Blue Chief Operating Officer Rob Sherrard said, "This will be a great step forward for Virgin Blue and our Guests as it means more space, more convenience and more room to grow."

He continued, "With Virgin Blue making inroads in to Qantas's former monopoly on Federal Government travel, larger and better quality facilities are needed for further growth in the ACT."

Canberra International Airport Managing Director, Stephen Byron says, "We welcome the announcement and believe it provides a strong incentive for Virgin Blue to increase the frequency of its services to the national capital."

He added, "We have negotiated an agreement that will enable Virgin Blue to continue to expand its operations, grow the business but still maintain discount fares to its Guests.

Virgin Blue plays an especially important role in the region offering a high quality, value for money option to business travellers as well as an affordable alternative for those wanting to visit friends and family interstate."

The airline will be operating in a Common User facility with room for other airlines but will be allowed to install its own modern and cost effective IT, departure and baggage control systems to ensure Virgin Blue can keep its costs and fares low.

Canberra joins a number of other airports including Brisbane, Melbourne, Cairns and the Gold Coast in facilitating Virgin Blue's smooth transition to bigger facilities while allowing it to maintain its economic and efficient systems.

"Clearly if our share of the Federal Government travel market rose to equal our share in the private sector, we are confident we will be able to add more services and greater frequencies to and from Canberra," finished Rob Sherrard.

Note

· Virgin Blue currently has 6 flights a day to and from Canberra

· Virgin Blue flies from Canberra non-stop to Brisbane and Melbourne

· Virgin Blue offers connecting flights from Canberra to Launceston, Adelaide, Cairns and shortly Hobart

· Virgin Blue has 21 aircraft in its fleet including the brand new Next Generation Boeing 737-800 with revolutionary winglet technology