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Virgin Blue and SIA Engineering Announce 5-Year Maintenance Agreement for V Australia


* The contract, valued at S$90 million, covers Fleet Management Program services for seven B777-300ER aircraft


Virgin Blue and SIA Engineering Company Ltd (SIAEC) today announced the signing of a Fleet Management Program (FMP) agreement to maintain the inaugural fleet of seven Boeing B777- 300ER aircraft to be operated by V Australia.


With plans to commence operations between Sydney and Los Angeles from December 2008 (subject to regulatory approval), Virgin Blue's long haul operation V Australia is awaiting delivery of seven B777-300ERs, with an option to acquire six more.


At present, SIAEC has contractual agreements with six non-SIA airlines to provide FMP services on Airbus A320 and Boeing B747-400 aircraft types covering up to 109 aircraft, including 55 that are currently in service. The latest FMP ontract with V Australia is SIAEC’s first foray into the B777 FMP market.


Under the long-term contract, SIAEC will provide V Australia with a wide range of FMP services, including transit and ight maintenance checks, defect rectification, cabin maintenance, spares support, component repair and overhaul, and ogistics management in Brisbane, Sydney and Los Angeles.


Mr Brett Godfrey, Chief Executive Officer of Virgin Blue Airlines Group, said, "We are pleased to have engaged SIA Engineering Company to provide a comprehensive range of engineering support for our new V Australia fleet of B777 - 300ERs.


"V Australia will deliver high standards of safety, maintenance, cabin presentation and on-time departure and we are confident that SIA Engineering Company will assist us in ensuring those requirements are met."


Mr William Tan, Chief Executive Officer of SIAEC, said, “We are delighted that Virgin Blue has selected SIA Engineering Company as its preferred FMP partner for V Australia’s initial B777-300ER fleet.


"With the experience we have accumulated in handling the Singapore Airlines’ fleet of B777, which is the world’s largest, our customers will benefit from our in-depth expertise and comprehensive range of B777 services, as well as the economies of scale generated by our high volume B777 operations.“


About SIA Engineering Company

(Company Registration No. 198201025C)

SIA Engineering Company (SIAEC) is a major provider of aircraft maintenance, repair, and overhaul services in Asia Pacific. The Company has a client base of more than 80 international carriers and aerospace equipment manufacturers. It provides line maintenance services at Singapore Changi Airport for more than 60 international carriers, as well as airframe and component overhaul on some of the most advanced and widely used commercial aircraft in the world.

The Company achieved revenue of S$977 million in FY2006/2007. Twenty-one joint ventures with original equipment manufacturers and strategic partners in Singapore, the Philippines, Australia, Ireland, Hong Kong, Taiwan and Indonesia increase the depth and breadth of the Company’s comprehensive service offerings. The combined revenue of SIAEC’s joint ventures is approximately S$2.4 billion in FY2006/2007, with 71 percent derived from airlines outside the Singapore Airlines Group.

SIAEC has approvals from 25 national aviation regulatory authorities to provide MRO services for aircraft registered in the U.S., Europe and Japan, among others.

About Virgin Blue Group and V Australia

Multi award winning airline Virgin Blue and international carriers Pacific Blue and Polynesian Blue currently operate a fleet of 60 modern Boeing 737 and Embraer E-Jet aircraft flying to 24 Australian and eight international destinations including New Zealand, Fiji, Samoa, Tonga, Vanuatu and the Cook Islands. Virgin Blue was the first airline in the world to launch a Government-certified carbon offset program, where Guests can offset the carbon emissions from their flights. Virgin Blue Group has also announced plans to launch Australia's newest international airline, V Australia (, with flights between Sydney and Los Angeles set to launch on 15 December 2008, subject to regulatory approvals.