Virgin Blue was due to start flying between Brisbane and Sydney subject to Civil Aviation Safety Authority approval on August 3.

However, the thorough assessment of Virgin Blue documentation comprising some 19 manuals and 5000 pages is continuing.

Since August 3 is less than two weeks away, Virgin Blue thinks it would be unfair on those people who have already booked with us to have them risk waiting for approval.

The airline has started contacting people today who booked for travel up to mid August to offer them a full refund and future travel compensation on Virgin Blue or alternative travel arrangements.

To avoid any further uncertainty for prospective customers, Virgin Blue feels obliged to defer any future reservations until the documentation process has been finalised.

With 15 years of experience in the international aviation market, including the launch of three airlines, Virgin fully appreciates the Civil Aviation Safety Authority`s exacting standards.

The enthusiasm of the travelling public to support Virgin Blue is way beyond expectations, as evidenced by bookings to date.

While postponing launch is disappointing to both the team and the public, Virgin Blue will offer a great service, not just for the first hundred days, but for hundreds of years to come.

Virgin Blue will meet with the Civil Aviation Safety Authority as early as possible and further updates will then be available.

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