V Australia, Virgin Blue's long-haul airline, has signed an agreement with sister carrier Virgin Atlantic that allows passengers on both airlines to earn frequent flier points when they fly on each other's networks.
The two airlines are also working on plans to introduce reciprocal mileage redemption, they add in a joint statement.
The agreement is in addition to a 2008 partnership between Virgin Atlantic and the Virgin Blue group, which includes Virgin Blue, Pacific Blue and Polynesian Blue.
"This is obviously a natural fit for both V Australia and Virgin Atlantic," says Virgin Blue chief executive Brett Godfrey. "Through this arrangement, we are able to further reward those who prefer to fly with and remain loyal to Virgin branded airlines and we hope this gives our guests added incentive to do so."