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Virgin Atlantic said Monday it has ordered 10 Airbus A330-300s worth $2.1 billion and expects to start taking deliveries in 2011.

Speaking to reporters at London's Heathrow Airport before the airline's 25th birthday flight, Virgin Atlantic President Richard Branson said five of the planes will be delivered in 2011 and the rest are due in 2012.

Virgin Atlantic is 51% owned by Richard Branson's Virgin Group and 49% by Singapore Airlines Limited (SINGY).

It has already secured financing for all 10 aircraft from AerCap Holdings NV (AER), an aviation and aircraft leasing company. Four of the 10 aircraft will be on direct operating leases from AerCap.

The new aircraft will allow Virgin Atlantic to fly to new destinations from London such as Beijing, Cancun and Vancouver. They are more fuel-efficient and have lower maintenance costs.

Virgin Atlantic currently has 38 aircraft in its fleet.

The engines aren't part of the order and Branson said the company is negotiating the engine selection for the A330-300. The manufacturers involved are General Electric Co (GE.), Pratt & Whitney and Rolls Royce Group PLC (RYCEY) and the decision will be announced during the summer.

Branson said the airline will take delivery of Boeing 787s in 2013.

Andrew Adonis, Secretary of State for Transport, said the order was good for jobs. He said the government isn't interested in bailouts but understands the difficult market conditions facing all carriers.

Company Web site:www.virginatlantic.com

-By Kaveri Niththyananthan, Dow Jones Newswires; 4420 7842 9299; kaveri.nithtyananthan@dowjones.com