Monday 10 May 2010: The Virgin Blue Airlines Group today welcomed the outcome of the Federal Government's air services tender process which named Virgin Blue as one of four airlines appointed to supply domestic air travel to the Federal Government agencies and V Australia and Pacific Blue among 13 airlines appointed to supply international air travel services.
The new contractual arrangements take effect from 1 July 2010. Each of the appointed airlines will now compete for their share of the governments travel spend based on competitive pricing submitted during the tender process.
The Virgin Blue Airlines Group participated in the detailed tender process following an extensive review by the Federal Government of its travel purchasing policy and practices.
As part of new travel guidelines, the government has also issued a new Lowest Practical Fare policy designed to ensure best value for money procurement practices by all government agencies.
Virgin Blue said the appointment as an approved air travel provider supports the companys continuing aim to secure a greater share of Australias $500 million annual Federal Government travel spend.
As part of its strategy to attract a greater share of government travel business, Virgin Blue has invested, and is continuing to invest, in a series of product, services and network initiatives, to date including:
reintroduction of Virgin Blue services to the key Sydney to Canberra route;
introduction of Embraer jet operated Capital Shuttle services on the route;
the opening of a Virgin Blue lounge at Canberra airport with business facilities and seating for 150 guests;
introduction of Virgin Blues all inclusive Premium Economy product;
additional direct routes to Canberra, including Canberra-Hobart and Canberra-Townsville flights;
more services to New Zealand and the South Pacific Islands operated by Pacific Blue and Polynesian Blue;
new V Australia international flights to Los Angeles with excellent partner airline connections throughout USA;
recently launched services to South Africa ; and
an expanding list of international interline and code share options.
This was a news release on the VBA website, hopefully the new boss can bring home some of the money for this deal
VBA Price at posting:
56.0¢ Sentiment: Buy Disclosure: Held
