Fares from $39* to Celebrate New Dunedin Service

MEDIA RELEASE

RED JETS CONFIRMED FOR SOUTHERN SKIES

PACIFIC BLUE OFFERS FARES FROM $39* TO CELEBRATE
NEW DUNEDIN SERVICE

01 April 2008: New Zealand airline Pacific Blue today announced it will expand its New Zealand domestic network and launch flights to Dunedin in July.

Virgin Group Chairman, Sir Richard Branson joined Virgin Blue Chief Executive, Brett Godfrey to announce that Pacific Blue will be starting daily return direct flights between Christchurch-Dunedin from 1 July 2008.

The expansion is part of the airline’s ongoing growth strategy, which includes taking delivery of a new 180 seat Boeing 737-800 aircraft in late June, bringing the airline’s fleet total to seven.

On a visit to Australia to announce the details of V Australia’s new trans-Pacific services, Sir Richard Branson said, “I’m so pleased to know the people of New Zealand have embraced Pacific Blue and supported our services and we can return that support by flying to a new domestic destination and introducing more competition which always means lower fares.”

“This is absolutely marvellous news as it means thousands of new travellers will now enjoy the benefits of good old fashioned competition and service.”

Virgin Blue Group Chief Executive, Brett Godfrey, said, “From the start we promised we would give the competition a red hot run for their money. We launched flights from Auckland, Christchurch and Wellington in November and this was the catalyst for lower fares and an increase in domestic New Zealand travel.”

Pacific Blue said it was looking forward to bringing affordable fares and modern jet aircraft to Otago, with everyday low fares to Dunedin priced up to 15% lower than those currently available.

The airline said corporate travellers were also in for great deals. Pacific Blue’s highest full economy fare from Auckland to Dunedin is just $299, which is 35% cheaper than Air New Zealand’s recently announced top end fare on the same route of $465**.

In keeping with Pacific Blue tradition, special launch fares are being offered to celebrate the announcement that Pacific Blue will add Dunedin to its network. All fares, including the special launch fares, go on sale tomorrow morning 2 April 2008 at 9.00am.

Christchurch – Dunedin: Sale fare of $39* one-way on the Internet, available 2 April to 7 April 2008 or until sold out, for travel from 1 July 2008 to 31 August 2008. Fair fares will start from $59 one-way on the net, 15% percent lower than existing fares available on the same route.

Wellington – Dunedin (via Christchurch): Sale fare of $69* one-way on the Internet, available 2 April to 7 April 2008 or until sold out, for travel from 1 July 2008 to 31 August 2008. Fair fares will start from $79 one way on the net, 13% percent lower than the existing fares available on the same route.

Auckland – Dunedin (via Christchurch): Sale fare of $79* one-way on the Internet, available 2 April to 7 April 2008 or until sold out, for travel from 1 July 2008 to 31 August 2008. Fair fares will start from $89 one-way on the net, 10% percent lower than existing fares available on the same route.

Pacific Blue has carried more than 300,000 Guests on its main trunk network in its first four months of flying and inflation figures earlier this year showed that domestic air fares in New Zealand had fallen by nearly 5% since Pacific Blue brought more competition to the market.

About Pacific Blue, Polynesian Blue, and Virgin Blue Airlines

Pacific Blue and Polynesian Blue, along with Australian domestic airline Virgin Blue, operate a fleet of 61 modern Boeing 737 and Embraer E-Jet aircraft flying to 22 Australian and eight international destinations including New Zealand, Fiji, Samoa, Tonga, Vanuatu and the Cook Islands.

* All fares are one-way for flights booked on the internet, $15 more by phone. Seats are limited and fares may not be available on all flights or during peak periods. On sale 2 April to 7 April 2008 or until sold out for travel from 1 July 2008 to 31 August 2008.

** Source: Air New Zealand Media Release 25 January 2008

ENDS

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