Bellamy's drops 11pc on weak results

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Virgin Australia will sack 750 office workers and nosedive is reconsidered. Soft demand and high fuel costs drove Virgin to $ 315 million loss in the year ended June 30, the company said in a statement to ASX on Wednesday morning. $ 653 million loss, but still its third-worst performance. The airline has now posted seven straight years of losses adding up to $ 1.9 billion.

The company's share registry is dominated by major investors Singapore Airlines, Etihad Airways, and Chinese groups HNA and Nanshan, which each own about 20 per cent of its shares. Richard Branson's Virgin Group owns another 10 per cent. Shares last traded at 16 ¢.

Virgin's chief executive Paul Scurrah, who in March was brought in to replace long-time boss John Borghetti, said that while he was "acutely aware" of the impact the job cuts would have to improve his financial performance.

"I regret the need to reduce the size of our workforce so quickly. However, today's financial results tell us loud and clear that we need to reduce costs," he said. "We need to make tough but important decisions that are in the long-term interests of the group."

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