Virgin Blue’s domestic load factors fall in May
Virgin Blue, like Qantas mainline and Jetstar continued to expand its domestic capacity quite aggressively last month, growing ASKs by 6%. Traffic (RPKs) however increased by 2.7%, resulting in a 2.4 ppts reduction in load factor for the month. The airline does not disclose yield data, but stated this time last month that it expects average fares to decrease by over 10%. Falling yields and load factors are a toxic combination.
