Blue Squadron is a Viper squadron on the battlestar Pegasus that has been reassigned to Galactica following the colonization of New Caprica.
During the Battle of the Binary Star System, Blue Squadron is shown on the Dradis screen participating in the battle. It was presumably led by Captain Kara "Starbuck" Thrace (The Captain's Hand).
During the Battle of New Caprica, Blue Squadron departs Galactica during planetfall. They lead hit and run attacks on surface installations during the battle (Exodus, Part II).