Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Christchurch Airport Rues Airline Decision

Media release for immediate use

Christchurch Airport Rues Airline Decision

The news AirAsia X will soon stop flying direct to Christchurch has been met with dismay at Christchurch Airport.

Christchurch International Airport CEO Jim Boult says he is very unhappy the airport will lose its direct link to Kuala Lumpur.

“We are bitterly disappointed at the airline’s decision to end the Kuala Lumpur to Christchurch direct flights, but understand the situation AirAsia X finds itself in,” says Mr Boult.

“AirAsia X began planning the Christchurch-Kuala Lumpur service in early 2010. Since that time aviation fuel prices have increased by more than 30 percent and are forecast to stay high for the foreseeable future,” he says.

“That has put huge pressure on the airline’s low cost model, and, combined with the length of the Kuala Lumpur to Christchurch sector, has made the service unprofitable for the airline, which has been offering fares as low as $99. “

Mr Boult says the AirAsia X direct flights from Kuala Lumpur to Christchurch have had average loadings of almost 80%, with some months near 90%. He says forward bookings for the next couple of months are promising, despite the airline recently withdrawing its connecting flights to Europe on which many travellers relied.

He says the airline’s year of flying here has proven the route is viable, highlighted by AirAsia X winning an international award for “Best Network Performance” at the World Routes Awards 2011.

“We are very sorry to see AirAsia X depart, but sincerely hope we can welcome it back in the future. CIAL had invested years of work into attracting the carrier to Christchurch and we hope that work can be banked as an investment in a future service.

”I feel greatly for the tourism industry in the South Island. Many operators have told us how much the AAX service has delivered in direct new business, so this loss will be felt through the entire industry”.

Mr Boult says AAX is working with Air New Zealand on proposals to offer travellers who’ve already booked beyond the end of May, on flights to Christchurch via Australia.

END

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Must Sell 20 Petrol Stations: Z Cleared To Buy Caltex Assets

Z Energy is allowed to buy the Caltex and Challenge! petrol station chains but must sell 19 of its retail sites and one truck-stop, the Commerce Commission has ruled in a split decision that acknowledges possible retail price coordination between fuel retailers occurs in some regions. More>>

ALSO:

Huntly: Genesis Extends Life Of Coal-Fuelled Power Station To 2022

Genesis Energy will keep its two coal and gas-fired units at Huntly Power Station operating until 2022, having previously said they'd be closed by 2018, after wringing a high price from other electricity generators who wanted to keep them as back-up. More>>

ALSO:

Dammed If You Do: Ruataniwha Irrigation Scheme Hits Farmer Uptake Targets

Enough Hawke's Bay farmers have signed up for water from the proposed Ruataniwha Water Storage Scheme for it to go ahead as long as a cornerstone institutional capital investor can be found to back it, its regional council promoter announced. More>>

ALSO:

Reserve Bank: OCR Stays At 2.25%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.25 percent, in a decision traders had said could go either way, while predicting inflation will pick up as the slump in oil prices washes out of the data and capacity pressures start to build in the economy. More>>

ALSO:

Export Values Down: NZ Posts Biggest Annual Trade Deficit In 7 Years

New Zealand has recorded its biggest annual trade deficit since April 2009, reflecting weaker prices of agricultural commodities such as dairy products, beef and lamb, and increased imports of vehicles and machinery. More>>

ALSO:

Currency Events: NZ's New $5 Note Wins International Banknote Award

New Zealand’s new Brighter Money $5 note has been named Banknote of the Year in a prestigious international competition. The $5 note was awarded the IBNS Banknote of the Year title at the International Bank Note Society’s annual meeting. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news