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Virgin Australia

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Virgin Australia uses a familiar formula pioneered by airlines such as Southwest Airlines and Ryanair eliminating costs such as included in-flight meals and printed tickets in favour of selling food onboard and using telephone and internet booking systems.

It has also cut costs by limiting the number of airports serviced and by operating one type of aircraft, the Boeing 737.

In September 2003, Virgin Australia announced that its wholly owned subsidiary, Pacific Blue, would offer a similar cheaper service between New Zealand and mainland Australia. Pacific Blue is now a major low-cost competitor on trans-Tasman routes.

In early 2006 Virgin Australia announced its intention to operate up to 7 flights a week to the US using Los Angeles International Airport (LAX), saying that the route was needed to make the airline as profitable as possible. The airline has also expressed interest in flying to Japan.

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