Virgin Australia which is the number 2 airline in Australia have posted a loss of 88 Million Australia Dollar . The Airline is really undergoing a tough phase and major restructuring is needed to lower down the losses and bring the carrier into profits for long term sustainability. The Airline have blamed that the high carbon tax and difficult and tough competition with other airlines is to be blamed for this loss.

Recently the Australia Government put through a tax of 23$ on every ton of carbon the air planes emit which have caused a huge havoc in the industry. This heavy carbon tax have forced airlines to increase fares but still it is tough and is getting difficult to cope with increasing expenses.