Australian low-cost carrier Virgin Blue will use its $3.1 billion order for up to 50 Boeing 737s to help it launch international services.

The deal, which was signed on 16 January ending 10 months of cross-dealing with Airbus and Boeing, comprises 10 firm orders for 180-seat 737-800s for delivery by August 2004, and options for 40 more for delivery over the next 10 years. These can be taken as the -700, -800 or the planned extended range -900X, and will be used for expansion and allow for "swap-outs" of older leased 737.

Chief executive Brett Godfrey says a major move in the coming year would be the launch of international services. The carrier is eyeing flights to Fiji and Samoa as well as possible connecting flights with Virgin Atlantic to Hong Kong and Singapore. The airline has also looked at operating services to New Zealand.

Virgin Blue operates an all-737 fleet, that includes two -300/400s, 17 -700s and 10 -800s.

Source: Flight International