Virgin Blue is in talks with Airbus and Boeing on future fleet requirements potentially worth up to A$1.2 billion ($640 million), with the airline's commercial head David Huttner saying the low-cost carrier is not "locked in" to a Boeing 737 fleet.

The airline wants to retain a single-type fleet, adds Huttner, so that if it selects the Airbus A320/A321, its present 737-300/800 fleet would be replaced. "We have to make a decision on which fleet we want to have. Once we have 40 or 50 aircraft it would be very hard to make a transition."

Source: Flight International