V AUSTRALIA AND DELTA AIR LINES SIGN INTERLINE AGREEMENT

23 March, 2009 (Sydney, Australia) – Virgin Blue’s international airline V Australia and Delta Air Lines have negotiated and signed an Australia-U.S. interline agreement offering seamless travel on the networks of each carrier and across the trans-Pacific route.

Effective immediately, the agreement allows travellers to purchase a single ticket from their Travel Agent, V Australia or Delta for travel between the U.S. and Australia on either carrier.

Delta Air Lines is the world’s largest airline and the second largest domestic US carrier. The airline operates a vast domestic network in the USA including major destinations such as New York City, Washington D.C., Orlando, Salt Lake City and Atlanta. V Australia commenced flying between Los Angeles and Sydney on 27 February, 2009. The airline will commence direct flights from Los Angeles to Brisbane on 8 April, 2009 offering a convenient service to the Sunshine State, gateway to the world famous Great Barrier Reef. The airline will also commence services from Los Angeles to Melbourne in September, 2009^.

Delta will begin daily non-stop services on the Sydney - Los Angeles route from 1 July, 2009.**

Background

V Australia is a part of the Virgin Blue Group of airlines. The Australian based airline group also includes Virgin Blue, second largest carrier in Australia www.virginblue.com.au and short haul international airlines Pacific Blue www.pacificblue.co.nz Polynesian Blue. Together they operate a fleet comprising of 80 modern Boeing 737-NG’s, Boeing 777 and Embraer E-Jet aircraft flying to 28 Australian and 13 international destinations in the South Pacific and Southeast Asia.

V Australia http www.vaustralia.com.au is a three class boutique style airline offering the acclaimed service for which the Virgin Blue Group is renowned and a unique Australian style. On board the airline’s brand new 361-seat 777-300ER aircraft, configuration includes Business Class cabin with 33 fully lie-flat beds, Premium Economy with 40 International Club seats and 288 International Economy seats. All cabins offer state-of-the-art personal seat back entertainment, seat to seat 'chat' or competition connectivity. The airline also has two in-flight bars, mood lighting including twilight and sunset, bathrooms with piped music including a "ladies only" bathroom and other touches of Australiana from salt and pepper shakers to hidden wallpaper murals.

Delta Air Lines is the world’s largest airline. From its hubs in Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-JFK, Salt Lake City and Tokyo-Narita, Delta, its Northwest subsidiary and Delta Connection carriers offer service to 379 destinations in 66 countries and serve more than 170 million passengers each year. Delta’s marketing alliances allow customers to earn and redeem either SkyMiles or WorldPerks on more than 16,000 daily flights offered by SkyTeam and other partners. Delta‘s more than 70,000 employees worldwide are reshaping the aviation industry as the only U.S. airline to offer a full global network. Customers can check in for flights, print boarding passes, check bags and flight status at delta.com.

^ Subject to regulatory approval

** Subject to Australian Government approval.