Sky’s the limit for Virgin

Virgin Blue's CEO Brett Godfrey has revealed radical expansion plans which could involve replacing its Boeing 737 fleet with up to 35 Airbus jets.

While discussing the airline's likely higher-than-expected profit yesterday, Mr Godfrey said that the all-Boeing airline, which has until now only operated Boeing 737 jets, is talking to both Boeing and its arch-rival Airbus about its future fleet options.

Mr Godfrey said that most of the past year's profits were generated in a three-airline environment, as Virgin battled the now defunct Ansett and Qantas in the domestic market.

He is expecting that Virgin's full-year profit to March 31st will exceed the forecast $32.5 million and says that the reason the profit will be exceeded is that “for the last month we didn't have Ansett in the sky”.