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Virgin Blue Holdings Ltd (ASX:VBA) and Singapore Airlines have established a long-term partnership.
Under the alliance the two airlines plan to codeshare on each other's international and domestic flights and co-ordinate flight schedules.
The airlines also plan to offer reciprocal frequent flyer programme benefits to their customers.
Virgin says the alliance will connect Singapore Airlines extensive international network with its own range of Australian and Pacific destinations.
Subject to approval from the Australian Competition and Consumer Commission Virgin expects the alliance will be operational later this year.
Virgin Blue booked a net profit of $23.8 million in the first half of the 2011 financial year.