Virgin expects loss of up to $110m Virgin CEO John Borghetti said restructuring at the company is critical as they expect a $110 million loss. The difficult economy, competition, the carbon tax and restructuring costs will result in airline Virgin Australia booking an annual loss of between $95 million and $110 million. Virgin Australia on Monday also said it had taken longer to finalise its revenue recognition during the second half of the 2013 financial year due to the introduction of a new reservation system. "In the 2013 financial year, we accelerated the execution of our major restructuring program, which is critical to our success going forward," Virgin Australia chief executive John Borghetti said in a statement. Although today's update is disappointing and notwithstanding a challenging environment, we have made significant progress on the execution of our `game change program'. Mr Borghetti said the airline now had the right platform in the Australian market to generate sustainable earnings benefits. Preliminary results for June and July showed positive trends, which suggested strength and momentum building into the 2014 financial year. Shares in Virgin Australia were 2.5 cents lower at 43 cents at 1021 AEST on Monday.