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

 

Finance: Major Campaign To End "Gross Overtaxation Of Savings"

The campaign – which includes a special web site through which New Zealanders can e-mail their own and other MPs and party leaders – is backed by Age Concern, Consumer NZ, the Financial Services Council and the Taxpayers’ Union. More>>

ALSO:

Scoop Business: Leighton-Led WGP To Build, Manage Transmission Gully

The Wellington Gateway Partnership, led by a unit of ASX-listed Leighton Holdings, has won the $1 billion contract to build the Transmission Gully road north of Wellington. More>>

ALSO:

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news