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Virgin Blue To Introduce Fuel Surcharge

13/05/2004

Virgin Blue has today announced the introduction of a fuel surcharge effective on all bookings made after 17 May 2004 due to the continued rise in jet fuel prices.


"While jet fuel prices have seen spikes before, we are concerned about what appears to be a sustained price plateau higher than we have experienced since our launch", said Virgin Blue CEO, Brett Godfrey.


"Like other airlines around the world, we are focusing our cost controls on things we can try and impact like the insatiable appetite of some airports as well as internal cost controls. We truly regret that we have been compelled to introduce this surcharge for the first time, but the oil markets are obviously beyond anyone's influence."


Virgin Blue will introduce a fuel surcharge of $6 per sector for Virgin Blue flights and $10 per sector for Pacific Blue flights on all bookings made after midnight on 17 May 2004.


Since Virgin Blue’s average flight time domestically is approximately 2 hours and its internationals are just over three, the low fare airline thought this was appropriate amount for the markets it serves.


The fuel surcharge will be effective for all bookings made on or after 12:01 a.m. on Tuesday morning, 18 May.