The Virgin Blue Group of Airlines (VBA) Chief Executive Officer John Borghetti announced on Monday the first phase of the Group’s network review aimed at delivering increased competition and capturing growth opportunities.

Mr Borghetti said that Pacific Blue would expand as an international medium haul airline with operations across the Tasman, the Pacific Islands and South East Asia.

“Pacific Blue will cease flying New Zealand domestic routes and redeploy its New Zealand-based aircraft on to trans-Tasman and medium haul international routes. Guests holding forward bookings on New Zealand domestic routes from 18 October onward will be provided with re-accommodation and refund options,” he said.

Sydney Morning Herald commented that the decision to pull Pacific Blue out of New Zealand has been tipped for more than 18 months, especially after Jetstar replaced its parent, Qantas, on domestic routes there last year.

The newspaper also said that Jetstar seized on its rival's announcement, saying it would look to expand its network in New Zealand and base two additional A320 aircraft there within the next year.

Mr Borghetti said: “By restructuring our Pacific Blue operations we are now able to free up our long haul V Australia aircraft to capture the growing demand for travel to the USA.

“By year-end, V Australia will be fully devoted to international long haul business more suited to the B777 fleet, with Fiji serviced by Pacific Blue.

“We are delivering what our Guests tell us they need – more capacity and frequency on Eastern seaboard capital city routes, and to key tourist destinations such as the Gold Coast and Uluru,” Mr Borghetti said.

Find cheap flights to New Zealand

Comments