BEFORE THE
DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

Joint Application of

DELTA AIR LINES, INC.; VIRGIN BLUE AIRLINES PTY LTD;
VIRGIN BLUE INTERNATIONAL AIRLINES PTY

LTD d/b/a V AUSTRALIA; PACIFIC BLUE AIRLINES (NZ) LTD; and PACIFIC BLUE AIRLINES (AUST) PTY LTD Docket DOT-OST-2009-0155

Under 49 U.S.C. §§ 41308 and 41309 for Approval of and Antitrust Immunity for Alliance Agreements

ANSWER OF THE JOINT APPLICANTS

October 22, 2010i Communications with respect to this document should be sent to:

Merren McArthur Group Executive, Corporate Advisory Dayna Hall
Senior Counsel The Virgin Blue Group
P.O. Box 1034 Spring Hill QLD 4004

Australia

+617 3333 6801 merren.mcarthur@virginblue.com.au dayna.hall@virginblue.com.au

Anita Mosner Sophy Chen Holland & Knight 2099 Pennsylvania Avenue, N.W., Suite 100 Washington DC 20006 (202) 419-2604 anita.mosner@hklaw.com sophy.chen@hklaw.com

for: VIRGIN BLUE AIRLINES PTY LTD,
VIRGIN BLUE INTERNATIONAL AIRLINES PTY LTD d/b/a V AUSTRALIA, PACIFIC BLUE AIRLINES (NZ) LTD, and PACIFIC BLUE AIRLINES (AUST) PTY LTD Andrea Fischer Newman Senior Vice President, Government

Affairs Alexander Van der Bellen, Managing Director, Government Affairs

and Associate General Counsel Jeff Morgan Regional Director, Government Affairs DELTA AIR LINES, INC. 1212 New York Avenue, N.W. Washington, DC 20005 (202) 842-4184 sascha.vanderbellen@delta.comBEFORE THE
DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

Joint Application of

DELTA AIR LINES, INC.; VIRGIN BLUE AIRLINES PTY LTD;
VIRGIN BLUE INTERNATIONAL AIRLINES PTY LTD d/b/a V AUSTRALIA; PACIFIC BLUE AIRLINES (NZ) LTD; and PACIFIC BLUE AIRLINES (AUST) PTY LTD Docket DOT-OST-2009-0155

Under 49 U.S.C. §§ 41308 and 41309 for Approval of and Antitrust Immunity for Alliance Agreements

ANSWER OF THE JOINT APPLICANTS

Delta and the Virgin Blue Group have worked diligently to ensure that the

information contained in their October 13 Response fully addressed the concerns

identified in the Show Cause Order. The Joint Applicants have confidence in the

Department’s process and understand that show cause procedures exist to fully vet the

merits of the case, and to ensure that the best public interest decision is reached in the

Final Order. This case is a rare instance where the applicants have provided important

new facts, clarification, and a revised agreement that merit a departure from the

Department's initial findings and conclusions. Accordingly, Delta and the Virgin Blue

Group respectfully request that the Department issue a Final Order approving their

proposed joint venture.Answer of the Joint Applicants Page 2

Respectfully submitted,

Anita M. Mosner for Virgin Blue Airlines Pty Ltd, Virgin Blue International Airlines Pty Ltd d/b/a V Australia, Pacific Blue Airlines (NZ) Ltd, and Pacific Blue Airlines (Aust) Pty Ltd Alexander Van der Bellen for Delta Air Lines, Inc.CERTIFICATE OF SERVICE

A copy of the foregoing has been served this 22nd day of October, 2010, upon the following persons via email:

robert.rivkin@dot.gov susan.kurland@dot.gov susan.mcdermott@dot.gov christa.fornarotto@dot.gov bob.goldner@dot.gov todd.homan@dot.gov peter.irvine@dot.gov christopher.mandel@dot.gov UrsKR@state.gov Jeremy.Parkinson@infrastructure.gov.au
carl.nelson@aa.com howard_kass@usairways.com benjamin.slocum@usairways.com
hkamen@coair.com
dan.weiss@coair.com jeffrey.manley@united.com steve.morrissey@united.com jhill@dlalaw.com horanaviation@gmail.com
info@airlineinfo.com